Category Archives: Chemical Industry

Academic IP

Some years back I was an assistant professor of chemistry. I had a series of sabbatical replacement gigs and as a result had the opportunity to teach in a variety of chemistry departments across the USA. Eventually I got a tenure track slot at a department that had the critical enabler for an organikker- an FTNMR. It was interesting to compare the departments up close.  Honestly, I was treated warmly at every post I held. 

So, zooming back to the present, I can’t help but ponder the opportunities for academics and industry to collaborate.  From a distance, there would appear to be a great many benefits from academic/industrial alliances.  Synergies, even.  But now that I’ve been on both sides, my enthusiasm is limited.

At the most basic level, the imperatives of industrial and academic scientists are quite different. I am limiting my comments to experimentalists.  The unmistakable sign of progress for an industrial scientist is getting a profitable product to market. For an academic scientist, it is uncovering some insight and getting a publication.  Industrial scientists develop proprietary technologies and carefully guard company secrets.  Academic scientists develop technologies with the intent of folding the work into the big picture. 

In general, when industry wants something special from an academic, they want it kept quiet.  The academic must agree to the strictures of secrecy in order to play the game.  In fact, it is somewhat complicated for industry to engage an academic for some problem solving.  There is the problem of the ownership of inventions that may arise.  What if you engage the professor and his/her group to work on a problem and they invent something? 

For the professor, this is a kind of freelancing that the university may or may not be pleased about.  Who owns the invention? Most universities will require a professor to turn over the ownership of an invention to the university.  Who gets paid for work done in the university lab? Can the student use the work towards a dissertation? How do you handle having the professors work done in the same lab as the proprietary industrial work- do they have separate secret and open group meetings? Secret and public lab notebooks?  Is the professor being absolutely scrupulous about disclosure, documentation, and inventorship?  All of this can float to the surface during litigation and sink a patent or clinch a charge of infringement. 

If the company owns the IP, what’s in it for the university and the students involved?  If the University owns the IP, why should an outside company commit resources to fund it’s development? Licensing a university’s IP could work well, or it could tie your ankle to a boat anchor when competitors jump in the water, as they have a maddening habit of doing. 

One way to handle this matter is for universities to back business startups with their own IP.  This technology incubator approach been going on for quite a while now with some schools racking up spectacular results.  In the early Reagan days the Dole-Bayh Act enabled universities to patent work funded by grants from federal agencies. There are a few strings, but generally it isn’t onerous.

So, what is wrong with this? Seems like a vigorous way to get technologies and industries on stream.  Well, in a sense, it is.  But, think about it from a public policy perspective.  Is this what our universities should be doing? That is, using public grant monies for patenting compositions and processes and receiving a 20 year monopoly on its use? That is, barring the taxpayers who paid for it from practicing it?

Our university system is a key structural element of our vitality as an advanced technological culture.  Until recently it was accepted  by our society that resources are set aside for centers of learning and research and from this the culture as a whole reaps the advances through open access.  Most students pass through the system and move on to contribute productive activity in our industrial culture.  But the system will snare unusually productive persons who will make step changes that advance the system into new paradigms.  Their work in particular has been available for everyone to apply to the advancement of our culture.

Until recently, that is.  If you’re paying attention to this, and you do if you’re in industry, you’ll see more and more that the fabulous reactions found in journal articles may be claimed in one or more patents.  And these patents may not surface for several years.  I have yet to see an journal article where the authors are up front about this matter. 

It is quite possible for a company to adopt a literature transformation into a process only to find out well after the due diligence research that the process they have been practicing is suddenly claimed in a freshly issued patent. 

So here is the situation in a nutshell.  We pay taxes that fund a variety of grants that enable research at university institutions both public and private. We pay Chemical Abstracts Service to have access to the literature.  We pay ACS for memberships and journal subscriptions or downloads.  The work gets patented and we are either barred outright or are required to enter into a licensing agreement.  We pay fees up front to enter the agreement and pay royalities on sales.  Quite possibly, the technology has an exclusive licensee who then has a monopolistic hold on the technology and the public pays a premium for products manufactured under the monopoly. 

Oh, there is more. Since the university requires the faculty member to assign inventions to the institution, the institution pays for the patent prosecution and for the annuities for the lifetime of the patent.  For a US patent prosecution, figure nominally $15k to $50 k. But for foreign patents, there could be dozens of countries with many foreign law firms doing office actions that are orchestrated from the US patent attorney.  This means big bucks flow away from the institution years before any of that elusive royalty stream comes in.  The annuities on foreign patents come up every year, unlike US patents, so an institution is burdened with annual payments to keep the foreign patents valid.  And Gawd help you if there is litigation- US or off shore. That is when you open a big vein and the real bleeding starts.

The run up to litigation can be fantastically expensive.  At this point, you have many attorneys involved- a lead attorney, junior attorneys, mock trial specialists, jury consultants, videographers & transcript stenographers to record depositions, contractors who do graphics for presentation to the jury, and maybe even specialist litigators. Even IP specialists in companies have trouble grasping the possibilities.

One of the joys of owning a patent is paying defend it. In fact, seasoned patent experts will say that a patent is only as good as the last attempt to bring it down.

In the end, why does a unversity need to defend its IP?  Who is it defending it from?  The public? 

But that is the wrong question.  Universities get involved in patenting because they think that a revenue stream can be tapped from an invention.  There are cases where some inventions have paid huge royalties. But if you ask the patent office, they’ll tell you that they estimate that only 2 or 3 thousand of the million and a half or so patents in force actually make a profit for the owner. 

The matter of academic IP seems to be poor public policy and more people need to raise hell about it. If an academic wants to be a business person, then he/she should be a business person.  Raise the money and take the risks like the rest of us do.

Propinquity

Process development and scale-up isn’t one of those things a young, freshly minted synthesis chemist generally aims for.  I recall the heady days in grad school when we thought “drug design” was the ultimate gig for a synthetic organic chemist.  Landing a slot in a first tier pharmaceutical discovery group was like landing a spot on the cast of a Broadway play.  And, in fact it is like that.  I have many friends and fellow students who have found fantastic careers doing just such a thing.

In the late 80’s and early 90’s, asymmetric synthesis was hitting its stride and anyone who could make heterocycles with chiral shrubbery attached somewhere was golden. Even better, if you had studied “Enzymatic Reaction Mechanisms” by Christopher Walsh and you could name all of the amino acids, you definitely had a future.  Most of us were lucky to be able to pronounce propinquity after consuming four pounds of Killians after a long day of research.

This time period that I refer to is before the introduction of high throughput experimentation (HTE), or CombiChem.  It was a kind of gilded age where reductionists prevailed.  If only we had enough data on the geometry of the active site, we could design a suicide substrate inhibitor to shut the enzyme down. We had CAChe(R) and SAR to help with the design of pharmacophores- it was a heady time.

It was an age when giants walked the laboratories- Corey, Evans, Nakanishi, Seebach, Oppolzer, Meyers, etc.  Some of these fellows still do.  But things would fundamentally change when a new experimental methodology rolled into town. The age of automation had arrived.

HTE would spawn new ways of thinking in discovery.  To methyl, ethyl, butyl, … futyl would be attached an exponent.  It would become possible to do and analyze a thousand reactions in a day.  Pharma companies invested heavily in this technology and, I understand, some of it is actually paying off.

But while the elite discovery krewes were spending down these giant R&D budgets that exceeded the GNP of a third world nation, a different group was quietly laboring with that most favored transformation of all.  Actually turning chemicals into money.  The most prized alchemy.

The activity to which I refer is, of course, process development and scale-up.  This field requires a slightly different mind-set.  It is not the domain of the show-horse. It is the world of the plow horse. And, by the prinicple of propinquity, I have developed a taste for it. 

More to follow.

On the Road

I often think back to my college days and wonder what coursework I might have taken that would have been beneficial for a more lucrative mid-career.  I am presently over the great plains in the suborbital arc of my career- somewhere between Memphis and Kansas City, westbound to that Golden State on the horizon.  At some point in a chemists career he must mix metaphors and make a choice at the great fork in the road.  To remain in the lab or to move on to the crystal city on the hill:  Sales & marketing.  I chose sales and marketing, well, because I had to.   

Chemical sales is a odd field. One is neither a full member of the R&D tribe or the business tribe.  You become a chimera- a half man, half beast of burden that lopes through the B2B high plains sniffing for the stray morsel or rotting carcass.  In principle you are a member of an elite strike force, one in possession of the sacred knowledge of molecule marketing. On business trips you can mingle in the company of professors or supply-chain managers with equal ease. Your tongue can bend words with both the old ones- the blessed faculty- and those keepers of the elusive coin. 

But in your sterile cubicle, you are just another salesman.  Many companies have computer software that can be rigged to specifically to watch your every keystroke, even how frequently you move the mouse. This malevolent utility will time your calls, refuse to budge unless you set a deadline for a task, and collate every infraction from your self-imposed calendar into a tidy report for review by the taskmaster. Back in the dreamtime, you crafted covalent bonds and imbued molecules with chirality.  Today you fuss about “making the numbers”. 

As a sales man you take short courses on telemarketing and you learn how to deftly worm your way into the calendars of decision makers.  You develop a script for making the dreaded cold-call.  Your daytimer brims over with business cards. Early on you learn how to get past cold hearted administrative assistants who screen your calls and stonewall your well honed charms. 

You have become a road warrier, conversant in the codespeak of frequent flyer miles, airport hotels, and rental car companies. You learn to navigate in strange cities and how to find your way through the squirrel warren industrial parks. Your heart hardens in some ways and softens in others.  Welcome to the fabulous life of the sales man.

Alas, poor ether, I knew it well …

I’m sorry to witness the slow demise of diethyl ether.  A wonderful solvent it is.  Or perhaps the past tense is more in order.  Righteous organizations are fleeing from this magnificent ethereal fluid.  It will dissolve a Grignard reagent, mighty LAH, or bovine lipids from hamburger.  It’s low melting point and low boiling point has helped to solve ten thousand problems.  Yet despite its advantages, ethers dark side is its undoing.

Ethers “spirited” volatility, that very property that allows for its facile removal, is largely to blame for its doom.  It’s celebrated aptitude for finding ignition sources far from its point of origin has sealed its fate.  Ethers broad explosability window, its distant lower and upper explosion limits, will cause strong men to tremble openly at its supersonic possibilities.  Space explosion, they’ll say in hushed voice.  Poor-mans nuke.  And in the hands of the clumsy, the uncaring, or the plain unlucky, they’re probably right. 

So if you need an extra tanker of ether soon, you may not get it.  It may be on allocation. Serious executives in corner offices with furrowed foreheads and great fuzzy caterpillar eyebrows will anxiously lean forward to explain that it’s really not their fault.  They’ll plead that market demand has shifted its attention to other commodity solvents and that they feel the radiant heat of potential liability for all of the ether product that is out there in plants and on the road. Yes, on the road.  Yet one more reason not to swerve in front of an 18-wheeler.

So, young turks of R&D, consider the multitude of splendid possibilities before you and be not attached to the ether diethyl. For it has gone the way of the buggy whip and cathode ray tube. And above all, take heed the advice of the blessed sage of Stanford, the Cardinal d’efficacité d’atome, Professor Trost and his divine doctrine of atom efficiency.  Verily, he hath cast his pearls before the swine. Blessed is he who substitutes nickel for platinum and chloride for iodide.  And blessed is he who raiseth his space yields, for his pot shall not runneth over.  And exalted is he who spares his rupture disc, for many shall be his days before the Pfaudler.

2-Methyltetrahydrofuran Idea Clearinghouse

I would like to invite readers to share their non-proprietary experiences with the solvent 2-methyltetrahydrofuran, 2-MeTHF.  This is an ethereal solvent that has been around for a while.  While my personal experience with it is admittedly scarce, I have been eyeing this solvent for product use and process chemistry for some time. The manufacturer is concerned that they have a great solvent that will solve some problems for the folks out there, but are a bit flummoxed as to how to spread the word.

Most all synthesis folks will agree that tetrahydrofuran (THF) is a very useful solvent and, no doubt, have their favorite applications for it. I for instance prefer THF in LAH reductions.  THF is a polar, non-protic solvent that offers great solvating capability and a not unreasonable boiling point.  Sterically, THF seems to have a solvating aptitude that is different from diethyl ether. This is seen in the case of Grignard reagents, just to name one example. 

But despite all of the advantages THF offers as a solvent, a non-trivial downside is its water miscibility.  The aqueous workup and extraction of a THF reaction mixture can be complicated by the difficulty in getting a phase separation.  Various tricks can be performed, such as salting out the water layer, adding an aliphatic solvent, or solvent exchange. But these things amount to a workaround to compensate for this unfortunate attribute of THF.

These workaround techniques are not so bad on the benchtop, but at plant scale, they amount to complications that add cost to the process.  Extra expenses in terms of raw mat costs, storage & handling, and waste disposal costs.  A solvent that behaved like THF but allowed for easier workup will definitely help keep the costs of processing down.

MeTHF seems to have some aptitude for solving the THF-water miscibility issue.  But, what do you think?  Have you tried it?  Need to find a supplier? Do you have an anecdote you can share?   Let’s hear what is going on out in the world.

Pissin’ and a moanin’, part deux

So, I get an email from some cheerleading functionary from SOCMA, Synthetic Organic Chemical Manufacturers Association.  In it, the sending party gushes that they are endorsing a program to assist public school chemistry teachers in cleaning out their collection of “dangerous chemicals” from school stockrooms.  I promptly replied that I thought it was a terrible idea.  There has been no reply.

Well, I said a bit more than “I think it’s a terrible idea”. 

But how could a rational person conclude it’s a terrible idea? Here it is.  If I thought that the proposed clean-out orgy was limited to ancient bottles of peroxidized ether, great steaming heaps of calomel, or dried out picric acid leftovers, the I agree, let’s get rid of it.  But I know safety people.  Safety people do not like chemicals. They would prefer that we limit our chemical handling to baking soda and vinegar, and even at that, we need full protective garb.

Safety people will clear any stockroom of all of the interesting and useful chemicals from the shelves if given the chance.  Safety people will dress up in bunny suits with respirators and tape off the area in order to do this clean out. I can just see it.  The chemistry lab barracaded with red cones and yellow tape behind which the “hazardous material team” carefully packing jars of copper sulfate and ferric chloride into blue plastic drums filled with vermiculite. The school principal, a former kinesiology major with an administrators certificate, just stands there shaking his head at the prospect of what horrific things could have happened. Another school saved from certain tragedy.

As I’ve said before, reactive chemicals are useful chemicals. If we banish reactive chemicals from our stockrooms, we’re left with petrolatum and NaCl.  It is all part of a tragic dumbing down in the name of safety.  Just because safety staff feel insecure about chemicals, do the rest of us need to have our hands tied? Handling a chemical is like handling a knife. A knifes very utility is manifested in its sharpness. Yeah, you can get cut. But we recognize that the usefulness outweighs the risk.

We should all be skeptical of this trend to replace authentic experiences with virtual experiences.  All students should witness how tiny bits of sodium or potassium react with water. Limiting such real experiences to video experiences is wrong. Students should get to see and do the real thing.

The 80/20 Rule

Having done my tour of duty in chemical sales and having travelled over a good bit of the northern hemisphere buying & selling, I’ve picked up a few insights into the B2B and “retail” chemical business.   Everyone has the major chemical catalogs on their desk. You know, the thick tomes from Aldrich, Spectrum, TCI, Matrix, Strem, GFS, Gelest, Fisher, etc.  There is considerable overlap in content, though some specialize in their chosen niches. While Aldrich makes no bones about total world domination, others are pleased just to dominate certain cul de sacs of chemistry. 

SAF is clearly the colossus of international catalog companies.  The Aldrich wing was started by Alfred Bader, now a retired art collector. To hear him tell it, Bader was frustrated by the limited availability of reagent chemicals and spotty service (by Eastman Chemical, if I am not mistaken).   Anyway, Bader was the right character at the right time.  He had a single-minded drive to give chemists what they needed and make a few bucks doing so. The slogan “Chemists Helping Chemists” was a the result of a sincere calling.  Bader visited university chemistry departments and asked professors what they needed.  Over time the Aldrich catalog collection grew and so did the company. Eventually, Bader was quietly forced out of the organization.  Founders can become “problematic” evidently.

Today SAF offers a vast collection of products and makes a sizeable fraction of what they offer.  Most professors don’t know it, but interesting materials from the lab might be saleable to a catalog company. If a prof has developed a new reagent or some useful fragment or pharmacophore, for instance, it might be worth contacting a catalog company to see if they want to stock it. You never know until you ask.

But we business types know that dealing with professors can be sticky, so Herr Doktor Professor, don’t get too high handed or greedy!  Academics are often missing the merchant gene and as a result badly price their wares.  The typical mistake is to over-estimate the demand and hike the price up to the astronomical numbers that you see in the catalogs. 

Here are the problems. Catalog companies do not pay the prices that you see in the catalogs. Buying material for inventory is equivalent to putting a stack of money on the shelf.  They have to pay lots of money up front before the first purchase order for your wonder product is faxed in. They have to pay for those damned fat catalogs, the inventory, salaries, the facility, regulatory compliance, certification, labeling, packaging, the time value of money, taxes, and they have to make a profit for the shareholders. So if the catalog price of something is $10 per gram, figure that they’re likely to keep their costs to $2 to $3 per gram for it, tops.  Obviously, this is subject to variation due the type of material or special negotiated deals.  But a 3x to 5x markup is not uncommon and is necessary to stay in business.

Then, after you ship the product to the catalog house and they put it into the collection, it might not sell.  It could be a dog.  The rule of thumb is that 20 % of your inventory will do 80 % of the business.  So, one of the ways to grow is to increase the number of products. Their interest in your product may be of a statistical nature rather than a firm belief in it’s viability.

I’ve heard many people go off about high catalog prices. I don’t like to pay the high prices either. But it is the cost of convenience.  If you need some obscure material, chances are that you can order it and have it in a few days. That is worth something and the catalog companies know it.  Hell, I’d do the same thing.

UV/Vis Spectrum of Bromine in Water

We have a Cecil CE 2041 UV/Vis spectrometer.  Data is collected by the DataStream CE2000 software package. The instrument has 4 nm of resolution, not the best, but still quite usable. To quote the famous British philosopher- “You can’t always get what you want!” (M. Jagger).

This posting is an experiment on how to upload data to the web. The graphic below is a jpeg conversion of a pdf conversion of an Excel chart. Seems like an awkward way to do this. Undoubtedly someone out there can offer a suggestion of how to upload an Excel graphic to the blogosphere.

 uv-vis-of-br2-in-water-rev-2.jpg

It looks like prior to an upload the graphic has to be beefed up a bit.   I’m gonna have to monkey with it some more. Maybe someone has a suggestion.

Fabulous 2-Methyltetrahydrofuran

Some predict a bright future for 2-methyltetrahydrofuran.  At least one company is patenting MeTHF products.  For process chemists, MeTHF offers at least one advantage over THF, i.e., MeTHF is immiscible with water.  Well, mostly.  Your water phase is going to have some MeTHF in it and some water in the MeTHF phase.  You don’t have to salt up your water to get a phase boundary or worse, do a solvent exchange for an extraction. An aqueous quench of a MeTHF reaction mixture should phase separate with the aqueous wash and allow aqueous extraction. This is certainly convenient for the chemist, but at a price. 

Last time I looked, MeTHF is about twice as expensive as THF. For small scale bench work, the cost differential isn’t too onerous. If you’re talking about filling a 5,000 liter reactor with it, the costs do add up.  So, a defensible process improvement/change would have to yield at least the differential solvent cost and probably another 10-25 % to justify the cost of process validation and change management. 

Some process changes will require customer approval and product validation on their side.  Then, they’ll want a price concession for all of the trouble you put them through. So a switch to MeTHF over, say, THF will have to yield some bottom-line value to the manufacturer and the customer. It is always better to fold in your innovations before you submit your process to the plant people.  

The other issue with MeTHF has to do with it’s chirality.  For instance, MeTHF-metal complexes will be solvated by either or both enantiomers. The presence of diastereomeric complexes will only complicate in-process NMR checks of such processes.  Though certainly not a show-stopper, it is a complication that the analytical crew will have to contend with.

Scathing Diatribe on RTIL’s

The 2006 ACS meeting in SF was interesting. In a much earlier post I lamented the recent trend of boring ORGN section meetings. That was definitely not the case this time around.  Of course, there was the usual assortment of faculty rockstars with their fawning groupies (OK, I’ve done that too). A lot of interesting insights into obscure stuff.  But I have to say that there was more buzz in the air in the ORGN talks.  My favorite profspiels included Toste, Doyle, Knochel, and Trost.

This time I noted a distinct lack of talks on room temperature ionic liquids (RTIL’s). After far too much breathless ballyhoo, the worker bees in this “area” seem to have hunkered down a bit.  Do I sound cynical? I have actually developed a manufacturing process for a commercial RTIL species. I can say that the economics of RTIL manufacture and certain kinds of applications of these expensive solvents can be awful.  At least awful in direct comparison to solvents like THF, toluene, ether, etc. If you’re using an RTIL, say, in a two-phase catalytic extraction process, then the comparison is faulty and the RTIL may be quite efficient to use.  However, if you need batch reactor volumes, i.e., 50 to 1000 gallons, then the batch process costs may require scientific notation.

Even pharma companies with deep pockets extending to the MOHO layer will worry about these economics.  In order to justify an $50-$250/kg solvent (!!), there has to be some whiz-bang process improvent to justify such costs.  In batch processing, RTIL’s are prone to the concentration of ionic species or water from the previous run. The practical consequence of this is that the RTIL may be a different material from one run to the next. It may or may not be an issue. But you’ll have to investigate and qualify it. You may have to polish the solvent (!!!) after each run to qualify the subsequent use of the RTIL. How green can that be?  

I cannot speak from the perspective of a pharma industry chemist. But I can speak as someone who makes specialty products for the pharma business. From bitter experience I can testify that the last thing you want to be is the supplier of the most expensive reagent in the customers process.  It is like a rock in their shoe. They’ll squirm and fitch around until they find a cheaper supplier or engineer a way around the offending reagent. Hell, I’d do the same thing in a heartbeat. Nothing wrong with that. But it is this sort of raw cost pressure that makes the commercial viability of RTIL’s difficult. 

The disposal of bulk RTIL’s may be expensive too.  Since as a group they are resistant to incineration, the natural question is- How do we safely and ethically dispose of bulk RTIL’s?  I’m sure that someone out there in the blogosphere has a comment on this.

<END RANT>