SPRIND TAT–SACHEN #2023/24 EN

A HOME FOR PEOPLE WITH RADICAL NEW IDEAS

ANNUAL PERFORMANCE REPORT #2023|24 TAT–SACHEN

BUNDESAGENTUR FÜR SPRUNGINNOVATIONEN

FEDERAL AGENCY FOR BREAKTHROUGH INNOVATION

TAT-SACHEN NO. 2

A HOME FOR PEOPLE WITH RADICAL NEW IDEAS

WE LOOK FORWARD TO THE FUTURE –AND WE WANT TO HELP SHAPE IT.

THIS IS WHY SPRIND LOOKS FOR ANSWERS TO THE MAJOR

SOCIAL, ECOLOGICAL

AND ECONOMIC CHALLENGES OF OUR TIME.

OUR GOAL IS TO CREATE NEW DISRUPTIVE INNOVATIONS FROM GERMANY.

THIS MEANS PRODUCTS, SYSTEMS AND SERVICES THAT IMPROVE OUR LIVES IN

A TANGIBLE AND SUSTAINABLE WAY.

PRINCIPLES

INNOVATIONS ARE BORN FROM PASSION

We do what we do because we love it. We want to support innovators who also think the same way with their work and progress. This also means, for example, that we do not focus on control, but on common goals and values.

WE CAN SHAPE THE FUTURE

Seeing and seizing opportunities, developing and implementing visions. We have a great desire to tackle things and get something done. The future is what we make of it.

PROGRESS CALLS FOR ENTREPRENEURIAL THOUGHT AND ACTION

We want to transfer ideas into products and services that bring long-term benefits for Germany and Europe. That is why we always think and act entrepreneurially – with the agility of a start-up.

WE FOCUS ON PEOPLE AND THE COMMON GOOD

We believe in humanist values – in freedom, self-determination and democracy. The common good and social challenges are at the forefront of our work.

FAILURE IS PART OF THIS

Curiosity is the force that drives us. We burn to solve the big problems and take conscious risks to accomplish this. Nobody wants to fail, but we are not afraid to do so.

DISRUPTIVE INNOVATIONS CALL FOR STRONG NETWORKS

We believe in strong networks with common goals –in Germany, Europe and worldwide.

SUCCESS CALLS FOR PERSONALITY AND TEAMWORK

We create an environment in which personalities can unfold, focus on their strengths and collaborate with fellow innovators.

CONTRIBUTION BY RAFAEL LAGUNA DE LA VERA AND THOMAS RAMGE ESSAY

INNOVATING INNOVATION

The state needs to make savings. But we must not scrimp on the future. How more can be achieved with less in innovation (too):

FOUR LESSONS LEARNED FROM FIVE YEARS OF SPRIND

It is a phenomenon that innovation research knows only too well from case studies of large companies in crisis mode: When budgets get tight, new projects are the first to go. The reason for this is obvious –the money for future products or services has not yet been firmly allocated. There are no path dependencies on the business model yet. No manager ever has to admit they have blown money on old projects if they know how to sugarcoat the figures. New initiatives are then quietly shelved, disappearing first from the corporate strategy, then from the budget planning. Only the R&D team feels the blow directly. US aircraft manufacturer Boeing serves as a real-time case study of the downward spiral of cost-cutting pressures, declining innovation and competitiveness. Unfortunately, it is also impossible to ignore the parallels to the status quo, innovative strength and future prospects of the German state and economy.

The 2024 federal budget amounts to just under EUR 500 billion. According to a report by the Federal Court of Audit, around 90 percent of this is firmly allocated or blocked by statutory benefits. As a result, budget holders can only cut one tenth of their expenditure. Unfortunately, investments in innovation are particularly affected by this. In an ideal world, funding for the research and development of quantum computers and nuclear fusion, broad-spectrum antiviral agents and dementia therapies would require very little discussion at all. It would simply be there. In times of tight funding budgets, we must subject government innovation to an innovation process itself. The ideal scenario in this case is also obvious: achieving more with less money. This is not only necessary, but is also actually possible. Five years of SPRIND have left us in no doubt that if German politics shifts four levers, the social “return on innovation” increases.

① COMPETITION AS A FUNDING PRINCIPLE

At the risk of sounding hyperbolical, research funding today generally proceeds as follows: Smart researchers put their heart and soul into applying for funding from a large pot. If their application is successful amongst all the competition from other researchers, they usually receive comfortable funds for three to five years. Despite having to jump through various evaluation hoops, the chances of receiving a funding extension for another few years are also very good. Meanwhile, however, the competition is left empty-handed – after all, taxpayers shouldn’t have to shoulder the costs of research several times over.

As far as basic research is concerned, this approach is probably still more or less effective. But it immediately runs into problems when it comes to so-called translational research – in other words, applied research in technical disciplines. Competition invigorates things here, too. Through initiatives such as our “sparks” and “challenges” innovation competitions, our experience at SPRIND has shown that when several teams work in parallel, the speed of development and the quality of the (interim) results increase. A key reason for this is not only that the innovators feel the pressure of time from other teams - time is money in innovation, after all. The teams also cross-fertilize each other as knowledge diffuses from team to team. This notion of “coopetition”, where teams cooperate and compete with each other at the same time, stimulates business even more than simple competition.

As part of this, however, it is important to define clear success criteria that must be achieved in comparatively short time intervals. Rather than offering one group a lot of money for five years, such challenges distribute a sufficient amount of funding amongst several groups. Only those who can demonstrate initial success based on the defined criteria will receive further funding – in a simple, non-bureaucratic process that will help them to achieve success in the next stage of development. No proof of means, no evaluation, only results must be delivered. A focus on a competition model and shorter funding terms could easily be extended to a large part of state innovation funding. But for this to happen, funding bodies would have to learn to let go a little here and there.

② CONTROL IS WORSE

State bureaucracy is riddled with the spirit of mistrust. This is not a negative trait found in bureaucrats; it is literally systemic. In its historical context, the system also made sense. The mother of modern administration, the Prussian state bureaucracy, succeeded in standardizing recurring processes in the 19th century. This not only meant that they could be carried out efficiently, but also finally enabled the well-organized authoritarian state to exercise comprehensive control. That was very innovative. Unfortunately, however, the dialectic of progress has struck with an iron fist when it comes to promoting research and innovation – too much control prevents innovation. Research bureaucrats are forced to carry out assessments according to a set of rules that even those who drew it up can hardly understand. Otherwise, they violate the rules they themselves are governed by.

The crazy thing about the whole process is that the assessors do not look at the results of projects, but rather the process. Has the application been submitted correctly according to all criteria? Were all funds spent correctly? And just to be on the safe side, do the auditors’ auditors do another check to verify that funds have been approved correctly in accordance with all the allocation guidelines? Whether or not an R&D project has yielded results in the end becomes a footnote amidst all this formal madness.

A little CONTROL is good, TRUST is a PREREQUISITE, RESULTS are better.

This formula also sums up our experience throughout the five years that we have collaborated with the Nerds with a Mission. It is not the job of innovation managers to make sure that three quotes have been obtained before purchasing printing paper. They need to be looking at whether an agreed development milestone has been reached after six or twelve months of funding and what this then means for market maturity, further funding requirements, collaboration with potential partners, and so on.

③ DON’T TRUST THE CAT TO GUARD THE CREAM

It’s the ever-present elephant in the room: When it comes to the allocation of state research and development funding, the boundaries between advice and vested interests are blurred. Usually, there is no malicious intention. Political decision-makers naturally seek specialist advice on the main innovation topics from subject experts. However, these are often the very people who then apply for funding once their advice has been taken and funds are allocated to a specific field of research. All of us, including researchers, consider our own work and actions to be of particular importance. The current funding system really is like asking the cat to guard the cream.

Of course, it is essential that clever minds and institutions with special interests continue to be heard in politics. What is ultimately required is neutral expert advice based on extensive expertise in deep technologies that does not make recommendations to political decision-makers according to its own interests, but instead places bets on the future to the best of its knowledge and belief based on the data available today. Such a (neutral) consulting assignment must then also include consideration of the most important of all technology issues: What technological bets does society want to make and with what goal?

④ MISSION POSSIBLE

Rebuilding a European chip industry with the help of substantial taxpayers’ money is a well-founded mission. It makes Europe resilient to supply crises. It gives researchers access to knowledge and test environments that will enable Europe to regain its position as a world leader in chip design and development. Without state anchor investments, however, no European start-up ecosystem for chips and computer hardware will emerge. After just a few months, we can already see that the mission of the EU Chips Act is beginning to bear fruit and can very quickly become an investment that pays off economically. What were the success factors?

The goal was clearly described. The EU and German governments did not get tangled up in the minutiae of funding. Germany allowed the global giants of the chip industry to compete for funding. The local administration was unusually non-bureaucratic in the necessary approval procedures.

Even if Intel did put its plans for a chip plant on hold, it still serves as a prime example that high-tech missions with economic and social benefits are possible. Now that the Taiwanese chip manufacturer TSMC has joined forces with the German companies Bosch and Infinedo and the Dutch NXP Group to form ESMC (European Semiconductor Manufacturing Company), the new semiconductor plant in Dresden will significantly improve semiconductor supply assurance for German and European industry in the long term. Of course, which missions we want to tackle and when, and with how much money, must ultimately be decided by parliament and politicians according to democratic rules. But before it even gets that far, the most important homework has to be done. State innovation funding must undergo a thorough innovation process – and tight budgets are a good reason for this. We also know this from case studies in innovation research. Often, an abundance of resources is not at all conducive to innovation.

Necessity is the mother of invention.

FOUR LESSONS LEARNED FROM FIVE YEARS OF SPRIND:

COMPETITION AS A FUNDING PRINCIPLE

SUBMISSIONS

SUBMISSIONS WITH DISRUPTIVE POTENTIAL CAN COME FROM ANY TECHNOLOGY FIELD AND INNOVATION AREA.

TOTAL SUBMISSIONS TO DATE

2,111

OF WHICH HAVE RECEIVED SPRIND FUNDING

163

OF WHICH HAVE RECEIVED LARGESCALE FUNDING (EUR 3-90 MILL.)

21

WHICH AREAS ARE REPRESENTED IN THE SUBMISSIONS?

ENERGY TECHNOLOGY

HARDWARE AND ELECTRONICS

CONSTRUCTION AND INFRASTRUCTURE

INFORMATION TECHNOLOGY

BIOTECHNOLOGY AND MEDICAL TECHNOLOGY

MANUFACTURING, INDUSTRY AND MATERIALS ENGINEERING

ENVIRONMENTAL AND AGRICULTURAL TECHNOLOGY

THE MOST IMPORTANT THING IS THAT THESE SERVICES, PRODUCTS OR SYSTEMS HAVE A POSITIVE AND SUSTAINABLE IMPACT ON OUR LIVES.

SUBMISSIONS COME FROM?

GERMANY BY FEDERAL STATE

PROJECTS

INNOVATIONS AND THE MINDS BEHIND THEM WHEN GROUNDBREAKING IDEAS BECOME GROUNDBREAKING COMPANIES

CPTx

THE VIRUS BUSTERS

CPTX ASPIRES TO CURE VIRAL DISEASES WITH DNA ORIGAMI

THE INNOVATORS: HENDRIK DIETZ AND CHRISTIAN SIGL, EXPERTS IN NANOTECHNOLOGY

SPRIND AND CPTX

THIS IS WHY WE ARE COMMITTED

Because CPTx is developing antiviral agents with a broadspectrum effect and it is high time for an effective agent against viruses. Because CPTx could be as effective against viral diseases as penicillin is against bacterial infections. We want nothing less than to disrupt viral diseases. Because we never want to experience another pandemic. Because in future, we want viruses to be quarantined, not people. So that we not only avert damage to our society, but also establish this important key technology in Germany.

WHAT WE DO

The challenge motivated the innovators to found a company from the research project. We are now supporting the project, leveraging private investment and giving the team the freedom to drive its development forward.

THIS IS THE POTENTIAL WE SEE

A world in which viral infections are treated quickly and effectively. An important contribution to ensuring preparedness for future pandemics.

SPRIND LAUNCHES ITS NEW TOOLS

The SPRIND Freedom Act allows us to make a direct, tailored investment in CPTx. This way, innovators retain their flexibility and can leverage private investments.

The discovery and increased use of antibiotics took the threat out of many bacterial diseases in the last century. If the CPTx founding team has its way, virus infections should soon be less terrifying too. Currently, there are only a few treatment options for viruses. At the same time, viral infectious diseases pose enormous socioeconomic burdens on both individuals and society. Every year, hundreds of millions of people contract viral infections, many of which are life-threatening.

“A current example of this is, of course, the coronavirus pandemic, which has highlighted the need for antiviral agents in many respects,” explains Professor Hendrik Dietz, chair of Biomolecular Nanotechnology at the Technical University of Munich and CPTx founder. “Viral infections not only mean great suffering for those affected, but also high expenses for the healthcare system as well as indirect costscaused by things like productivity losses. This is why alleviating or preventing disease altogether is both socially and economically important.”

SARS-CoV-2 also clearly demonstrated how difficult it is to counter a pandemic. “Vaccines are a good way forward, but it takes time to develop them and they are not accessible to everyone. For example, vaccines are no help to people with immune deficiencies. So we also need a drug-based strategy for treating acute infections,” says Hendrik Dietz, who founded CPTx together with biophysicist Dr. Christian Sigl, virologist Professor Ralf Wagner and lawyer Georg Lindner.

NANOMETER-SIZED SHELLS TRAP AND NEUTRALIZE VIRUSES

Viruses have no metabolism of their own and replicate using the cells of the organism they infect. With its new antiviral platform, CPTx prevents viruses from entering cells in the first place. “Our approach is based on nanometer-sized shells that are slightly larger than viruses, which capture and encapsulate the viruses, rendering them noninfectious. The body then breaks them down, together with the shells,” explains CTO Sigl. These highly complex “virus traps” are constructed from DNA molecules using the so-called DNA origami technique.

THE GOAL: A BROAD-SPECTRUM ANTIVIRAL DRUG

CPTx’s platform is designed to enable the production of a broad-spectrum antiviral drug. And so far, things are going very well. “We have already encapsulated ten different types of viruses with the virus trap. We were also able to show that infections with influenza, coronavirus, hepatitis and chikungunya viruses can be prevented in cell culture with human cells using the virus trap,” explains Ralf Wagner from the University of Regensburg, an experienced virologist and entrepreneur in the DNA field with decades of experience.

In any case, the approach is unusual, and this type of drug has never existed before. “Most of them consist of tiny molecules, chemical compounds, antibodies; they are always smaller than pathogens and typically interfere with metabolic processes,” elaborates Wagner. “We are ’simply’ encapsulating viruses so that they cannot enter cells, which means we are taking a more physical approach. And the concept works!”

SUCCESSFUL ANIMAL STUDIES ALREADY UNDERWAY

However, the novel virus trap and the goal of developing therapies for different viruses also pose challenges from a regulatory perspective. Clinical trials are not platform-based; instead, the intended use and, more importantly, the drug must be specifically tailored –meaning that the entire process would have to be repeated anew for every type of virus. “We are optimistic that we will find solutions for this, and are focussing on the most urgent diseases first: influenza and Chikungunya. Following the in vitro studies, in vivo efficacy studies are already being carried out in animal models,” reports Dietz.

Of course, the entire undertaking is associated with a high level of risk, which is why the team was immediately attracted by the call for the first SPRIND challenge on broad-spectrum antivirals in summer 2021. The virus trap was well received and SPRIND became a catalyst for more developments. “We knew all along that we had to make the most of this opportunity. Back in November 2021, just after the start of the challenge, we founded capsitec.” Known today as CPTx, the team’s impressive vision remains: “We want to eliminate viral diseases from the world and prevent and cure as many as possible,” affirms Christian Sigl.

SPRIND is supporting CPTx in bringing its antiviral platform to clinical settings for the important application of its DNA origami technology.

“SOMETHING THAT COULD HAVE SUCH A HUGE IMPACT CANNOT BE IGNORED. WE HAVE TO MAKE EVERY EFFORT POSSIBLE.”

OLIMENT

THE FUTURE OF SUSTAINABLE CONCRETE THE INNOVATION: A CARBON-NEUTRAL BINDER FOR CONCRETE APPLICATIONS

THIS IS WHY WE ARE COMMITTED

Besides saving CO2 and providing a basis for environmentally friendly construction with Oliment, this new type of cement can help to achieve the climate targets without high investments for carbon capture and storage plants. This would be an enormous advantage – and not just for Germany.

WHAT WE DO

We are currently financing the production and approval process for Oliment in the form of a pilot plant. Research in such a facility outside of the laboratory scale is a major step towards the approval of Oliment.

THIS IS THE POTENTIAL WE SEE

To provide the construction industry with a CO2-neutral, cheaper raw material and thus revolutionize the production of cement worldwide.

OLIMENT, SPRIND AND NECONA

Oliment GmbH has a cooperation agreement with necona, a 100% subsidiary of SPRIND. The project to produce a CO 2-free cement and obtain approval from the building authorities for the cement is financed by a loan from SPRIND. All three parties hope that the new SPRIND Freedom Act will provide even more opportunities for financing knowledge transfer in order to take a noticeable step forward in establishing this cement in the coming years.

SPRIND AND OLIMENT

Sustainability is becoming a necessity in today’s world, and this has given rise to a paradox in the construction industry: Concrete is in the spotlight both as a massive cornerstone of modern infrastructure and as a major climate pollutant . With an 8% share of global CO2 emissions, concrete production is at the center of many debates about environmental protection. The production of cement, the binding agent that holds sand and gravel together as concrete, is the main source of emissions that pollute our environment.

To eliminate this problem, Oliment is working together with necona, a Leipzigbased research company set up by SPRIND that is dedicated to the mission of using disruptive technology to free cement production from ballast. “The main goal of Oliment is to establish a CO2-neutral binding agent for cement applications in the construction industry,” explains Dr. Frank Bellmann, lecturer at Bauhaus-Universität Weimar and founder of Oliment. “The first steps included recipe development and the production of a binder based on olivine that could be used on a ton scale.”

Frank Bellmann has been working with mineral materials in the construction industry since the early 2000s, when he began to research cement chemistry and binding agents for concrete. During his time as a lecturer at the Bauhaus-Universität Weimar, he found a suitable environment for this. His PhD supervisor Professor Jochen Stark had already implemented a similar project over 30 years ago, which involved transferring so-called coating cements from the laboratory to the application. Similar scaling problems also had to be solved back then too. Bellmann and the

team are benefiting from this experience and are continuing on the path that Stark and his former colleagues took.

In July 2023, the project was successfully funded by SPRIND, and shortly afterwards, the Oliment team grew to include CFO Alexander Butt. The team combines profound knowledge in process engineering, chemistry, concrete technology and geosciences, creating a scientific basis that forms the very backbone of Oliment GmbH. The driving force is not just technological progress; the team is striving to revolutionize cement production in a sustainableway. “The amazing commitment and belief in our project have shown us that even from the supposed remoteness of Saxony, we have the power to make a global difference,” says Alexander Butt.

OLIVINE: A NEW PROTAGONIST IN SUSTAINABLE MATERIAL SCIENCE

Olivine is a component of rocks; a greenish shimmering mineral that is present in large quantities worldwide. What makes olivine so special is its composition: a mixture of magnesium, iron and silicon oxide. This makes it possible to produce a binding agent that not only solidifies with water, but also binds carbon dioxide. In contrast to limestone, olivine contains no CO2, so none is released in the production process.

“As a binding agent, olivine can be quickly integrated into existing cement applications to drastically reduce CO2 emissions,” says Frank Bellmann. “Olivine does not require an energy-intensive heating process, which not only eliminates CO2 emissions but also reduces dependence on fossil fuels. It can be produced using electrical energy.”

The most current concern of the project is to research fields of application for the binding agent and to explore synergies in connection with other sustainable building materials. This includes the development of a complex plant architecture; massive production facilities fill the hall in the small town of Rötha to the south of Leipzig.

“We are in the process of developing a pilot plant for production on a ton scale as well as prototype plants for the production of hundreds of tons per day. The aim is to obtain general approval from the building authorities and to use the binding agent in research and demonstration projects to prove its effectiveness,” reports Alexander Butt. “These systems are both designed for use in scientific studies and tested to demonstrate their suitability for the production of cement.”

Together with SPRIND, the FederalAgency for Disruptive Innovation, the Oliment team aims to overcome the existing challenges and achieve the overarching goal.

„AS A BINDING AGENT, OLIVINE CAN BE QUICKLY INTEGRATED INTO EXISTING CEMENT APPLICATIONS TO DRASTICALLY REDUCE CO2 EMISSIONS,“ SAYS FRANK BELLMANN.

MEMLOG

RESISTORS WITH BRAINS –USING MEMRISTORS

TO STORE AND PROCESS THE GROWING FLOOD OF DATA

THE INNOVATOR: HEIDEMARIE SCHMIDT, PASSIONATE RESEARCHER AND UNEXPECTED ENTREPRENEUR

THE NETWORKER: STEPHAN KRÜGER, PHYSICIST, TECHNOLOGY TRANSFER MANAGER AND ENTREPRENEUR

SPRIND AND MEMLOG

THIS IS WHY WE ARE COMMITTED

Because with the help of TECHiFAB ’ s (TiF) memristor, we can overcome existing limitations and lay new foundations forhigher computing power and energy efficiency. Because the TiF memristor not only has the potential to complement the current Von Neumann architecture, but also makes the computing architecture of the future possible. Because the TiF memristor has the potential to establish a variety of innovations in various markets.

WHAT WE DO

Create a company from a research project. The developers are given the freedom and resources to further develop memristor technology.

ESTABLISHING KEY TECHNOLOGY IN EUROPE

Developing TiF memristor technology in Germany will establish a key technological innovation, thus promoting Germany as a location for innovation.

NETWORKING AND THINKING BIGGER

SPRIND uses its own wide network of experts to support TECHiFAB. With its diverse contact to partners and users, SPRIND drives the project forward and helps to ensure the swift implementation of the technology in applications.

Electrical circuits consist of various active and passive electronic components.

The basic components include coils, capacitors and resistors, which can be used to measure and connect current, voltage, charge and magnetic flux. However, back in 1971, physicist Leon Chua postulated that, for reasons of symmetry, a fourth, passive electronic component must exist that directly links the charge and magnetic flux. He hypothesized that another special feature of this component could be that it could “remember” the flow charge and the generated magnetic flux. Chua called this component a memristor, a portmanteau of “memory” and “resistor”.

Since then, many basic approaches have been developed for memristivecomponents, but so far no memristor component has been capable of storing both digital and analog data and computing it. That is, until Professor Heidemarie Schmidt and her team at the Helmholtz-Zentrum Dresden-Rossendorf began researching

the magnetic properties of materials. In 2011, they discovered an iron-based material that matched the properties described by Chua.

In 2016, while investigating and developing the discovery as part of a Heisenberg Fellowship from the German Research Foundation, Heidemarie Schmidt metStephan Krüger,who, after a decade and a half in the semiconductor industry, had joined the Helmholtz-Zentrum Dresden-Rossendorf as technology transfer manager in 2015.

“There are a lot of great patents at Helmholtz, but hers stood out. We exchanged ideas, and it soon became clear that we would continue working together on this,” recalls the physicist.

LIKE A SYNAPSE IN THE BRAIN –A COMPONENT WITH MEMORY VALUE

“The memristor is a component with a specific resistance that can be measured and selectively changed. It behaves like a synapse in the brain, a component with memory value. Our TiF memristor calculates in a certifiable, transparent, repeatable and trustworthy way and remembers the calculation result.”

Heidemarie Schmidt and Stephan Krüger quickly formed a perfect team –she the passionate researcher developing applications, he the semiconductor expert and accomplished networker who weaves the threads in the background and thinking beyond the laboratory to upscaled production and the economy. His initiative to apply to SPRIND added further momentum to their ambitions. The project validation began in 2021 and quickly confirmed that the memristor not only meets the requirements for a storage medium, but is even better as it can

store digital as well as analog data. Believing that the best way to conquer the world market was to establish their own company, Schmidt and Krüger founded TECHiFAB to manufacture the new components for resource-efficient electronic circuits, prepare for mass production and develop and market applications. As part of the SPRIND New Computing Concepts challenge from 2022 to 2023, TECHiFAB scientists tested new technologies relating to neuromorphic computer structures. Ultimately, the SPRIND subsidiary MemLog was founded in spring 2023, and continues to collaborate closely with the Helmholtz-Zentrum Dresden-Rossendorf and other research institutions.

THE FUSION OF MEMORY AND PROCESSOR

The TIF memristor can calculate, process data and establish a completely new computer architecture. Demand for these new electronic components is immense. Conventional computer architectures have long since reached their limits and consume enormous amounts of energy when storing data. To date, the exponential increase in the use of devices has led to a 1.38-fold increase in energy requirements for computing technology every ten years, for example from 1.67 to 2.31 petawatt hours between 2010 and 2020. By 2030, energy demand for AI computing is projected at 3.18 petawatt hours. Processors, specifically between memories and cores, demand a lot of this energy for continuous data transfer,

which also massively slows down computing power. For example, the computing time required to train complex AI networks has increased tenfold every year since 2010. New neuromorphic computing architectures will circumvent all of this by using memristors, which combine memory and processor functions in the same component.

“If we succeed in establishing and maintaining our production in Saxony, Germany and Europe, we have the chance to create cutting-edge technology locally that will drive us forward economically, have a positive impact on the environment, nature and society and enable us to process the exponentially growing amount of data in a resource-efficient manner,” explains Heidemarie Schmidt.

The physicist, who was appointed professor of solid state physics with a focus on quantum detection by the University of Jena in 2017, says that she has always felt compelled to do research, but – like so many scientists – has never considered founding a company; lab work had always been enough for her. She is therefore all the more excited to see her discovery on its way into applications in edge sensor technology for quantum detection and, in the near future, in edge computing for neuromorphic computer architectures.

Now it is up to MemLog and TECHiFAB to develop memristor hardware and bring new applications to market. To do this, the charismatic, modest duo would like to focus on partnerships with people

who have been eagerly awaiting memristor technology. “We are looking for people who want to test their application ideas for AI – both in hardware and in real time – initially in small quantitiesand incrementally scaled up.”

The first components are already available – the COR-RiSTOR demonstrator. With the COR-RiSTOR, TECHiFAB has designed and launched the first fully operational product with TECHiFAB’s memristors – the TiF memristors – specifically for high-precision real-time correlation analysis of sensor data in the fields of predictive maintenance and infrastructure monitoring. TECHiFAB’s CORRiSTOR enables the identification of linear and non-linear data correlations directly at the sensor with acluster error rate reduced to almost 0% and a fundamental minimization of hardware and energy requirements.

“Establishing collaborations and finding first-time users in fields like the automotive industry, vehicle and mechanical engineering, medical or measurement technology, energy supply or semiconductor production is one of our major goals,” confirms Heidemarie Schmidt.

“THE FUSION OF MEMORY AND PROCESSOR: THE TIF MEMRISTOR CAN CALCULATE, PROCESS DATA AND ESTABLISH

PLECTONIC

NANOROBOTS IN CANCER THERAPY

THE INNOVATORS: PLECTONIC ASPIRES TO “TURN OFF” CANCER WITH LOGIBODIES

SPRIND AND PLECTONIC

THIS IS WHY WE ARE COMMITTED

Because every anti-cancer drug also kills healthy cells. This means that millions of patients not only have to endure the suffering of cancer, but also of the treatment itself. We want to cure cancer directly – without side effects. Because we need drugs that only kill cancer cells and nothing else. Because in the future, we will be able to design drugs that target very specific diseases.

WHAT WE DO

We give innovators all the resources they need to turn the research project into a company. Use SPRIND ’ s extensive network of experts to facilitate contacts with partners and inspire the best minds for the project. Determine the development steps over five years.

FIGHTING LEUKEMIA WITH NANOROBOTS

The innovators use DNA to build nanorobots, which specifically seek out cancer cells in the body. And only when these are found is the body ’ s own superweapon deployed – our immune system. We want to finally create a cancer treatment that is not only effective but also extremely accurate. This will stop patients from having to suffer side effects during treatment.

THIS IS THE POTENTIAL WE SEE

With DNA origami, we are developing a completely new class of drugs. These should not only improve, but also enable previously unavailable treatments – and thus revolutionize the healthcare system.

Preventing an enormous amount of suffering and pain with an “on/off switch” –this is the ambitious vision of physicists Dr. Klaus Wagenbauer and Dr. Jonas Funke and process engineer Dr. Benjamin Kick. The three founders of Plectonic aspire to make even better, more efficient use of the most powerful weapon in the fight against cancer: the immune system. “We want to change cancer immunotherapies to make them more effective and at the same time reduce side effects,” states Klaus Wagenbauer, CEO of Plectonic. “Turning your own immune system against cancer can do a lot. The immune system has already fought and lost once if cancer has developed. But reactivating it locally in a targeted way afterwards can be very promising.”

SWITCH TRIGGERS

A TARGETED RESPONSE FROM THE IMMUNE SYSTEM

To make this possible, the Plectonic team from Munich is equipping nanostructures with antibodies, and these constructed molecules can respond to an appropriate external signal. “We are building a switch that is large enough to accommodate different biomolecules and that can change its conformation when it detects a tumor cell. In this case, the switch is “flipped” to shed light on previously hidden antibodies. These are then recognized by the body’s own immune cells and subsequently recruited to fight the cancer cells,” explains Jonas Funke, who is leading the project as CSO in the scientific area. “Healthy cells will not activate the switch, meaning immune cells will simply ignore and

spare healthy tissue.” Based on this if-then logic, the team named the antibody switch LOGIc-gated AntiBODY or LOGIBODY for short.

The LOGIBODY framework is constructed from DNA. In doing so, the research team draws on its many years of experience with DNA origami technology, which was significantly advanced in the Biomolecular Nanotechnology group at the Technical University of Munich led by Professor Hendrik Dietz, who is also co-founder of Plectonic. DNA is used as a building material for the nanoscale tools. After almost 15 years of fundamental research, the team has enough understanding of DNA origami to develop highly specific anti-cancer agents.

“IF

WE CAN DO THIS WITH ONE OF OUR TINY BUT COMPLEX NANOROBOTS, IT WILL OPEN UP A WHOLE NEW WORLD IN MEDICINE AND DISEASE THERAPY.”

“BECOMING, IN EFFECT, THE ERUPTION BEHIND THE DISRUPTIVE INNOVATION.”

REDUCING MANUFACTURING COSTS BY A FACTOR OF THOUSANDS

The technology, which was only invented in 2006, still occupies a niche. For years, the biggest issue was the incredibly costly production of DNA origami – until, during his PhD, engineer Kick and his colleagues in the Dietz Lab were able to find a solution, reducing costs by a factor of 1,000. Spurred on by the new technical possibilities, the three young postdocs have committed themselves to the question of how best to apply their collective findings since 2018. It was always their vision to start a company to get their research out into the world.

“Back then, everyone was still saying it wouldn’t work. But we believed in it and pushed ahead with our research into LOGIBODies with government funding,” recalls Benjamin Kick, now COO at the company. And indeed, in vivo studies proved the scientists right. What’s more, since the end of 2021, the research has

also sparked SPRIND’s interest in the risky idea. The validation process began in May 2022; in December 2023, joint research collaboration was established under the umbrella of SPRIND’s own subsidiary Plectonic Logibody GmbH. Since then, the team of around 25 people has moved into its own laboratories outside of the Technical University of Munich.

THE NEXT STEP: TO DEVELOP A LEAD CANDIDATE FOR CLINICAL RESEARCH

In order to pave the long way for clinical trials, LOGIBODIES will be spending the next few years looking for a suitable lead candidate. They will work on overcoming regulatory hurdles and drawing up pharmaceuticalproduction accordingly. “We are initially focusing on using this technology to treat leukemia. It is particularly important that patients tolerate the medication well,” explains Jonas Funke. Since this is a platform technology, Plectonic is simultaneously developing

it further in a second strand to facilitate new indicators. A later-stage goal is the therapy of solid tumors, for which there are currently poor treatment options. “We want to develop LOGIBODY to be even more efficient and safer, so that we can combine it with other molecules in order to test different modes of action and exploit the full potential of the technology, including in the area of autoimmune diseases, for example,” reports Klaus Wagenbauer.

BICONY

TWO IS BETTER THAN ONE CANCER IMMUNOTHERAPY ACCORDING TO A TWO-KEY

PRINCIPLE

THE INNOVATORS: GUNDRAM JUNG AND HELMUT SALIH, PASSIONATE RESEARCHERS AND DOCTORS

THIS IS WHY WE ARE COMMITTED

Because we care about the well-being of our patients. Because after years of intensive research, we have succeeded in developing a promising platform that has the potential to help a great number of patients. Because we believe that we can successfully treat solid tumors with this approach.

THIS IS THE POTENTIAL WE SEE New treatment options for cancer patients and replacement of standard therapies with many side effects.

WHAT WE DO

Conduct toxicity studies. Prepare and conduct a PhaseI clinical trial in patients with metastatic prostate cancer and a Phase I clinical trial in patients with metastatic colon cancer. Develop new and innovative drug combinations for other solid tumor diseases. Collect scientific results and make them accessible to society

QUANTUM LEAP IN CANCER IMMUNOTHERAPY

At the end of the project, a pipeline with potentially groundbreaking active substances for drug development will be available to combat solid tumors.

SPRIND AND BICONY

“IT IS GRATIFYING TO SEE THAT T CELL-BASED IMMUNOTHERAPY IS NOW FIRMLY ANCHORED IN CANCER MEDICINE.”

Research often requires staying power. This is particularly true for the development of new drugs, where not only the development in the laboratory, but also the constantly increasing regulatory requirements and provisions cost time and money. Professor Gundram Jung and Professor Helmut Salih have experienced these developments first hand over the past 35 years. Jung has been working on cancer immunotherapy since the early 1980s. His focus has been on antibody constructs that are able to recruit T cells, one of the immune system’s most effective cells against tumor cells. Helmut Salih joined the team in the 1990s, when he worked as a junior doctor on a clinical trial with bispecific antibodies developed by Jung. “I was immediately convinced by the approach’s potential, and I am honoured that I was able to be there 25 years ago when we used Gundram Jung’s bispecific antibodies to treat patients with leukemia and glioblastoma – and with great success,” recalls Salih, now Medical Director and Professor of Translational Immunology at the University Hospital of Tübingen and the German Cancer Research Center(Deutschen Krebsforschungszentrum – DKFZ).

BISPECIFIC

ANTIBODIES CAN STIMULATE AND DIRECT T CELLS TO ATTACK CANCER CELLS

“It is gratifying to see that T cell-based immunotherapy is now firmly established in cancer medicine. So-called checkpoint inhibitors, CAR T cells and bispecific antibodies have become a cornerstone in the treatment of numerous cancers and are effective even in advanced stages of the disease. These approaches use antibodies either to directly or indirectly stimulate the T cells or to direct them to attack cancer cells. Bispecific antibodies can do both, which makes them particularly promising. However, like the other T cell-recruiting strategies mentioned, they currently only achieve lasting success in certain types of cancer and in a small number of patients,” explains Gundram Jung. “The difficulties start with the seemingly simple question of how to get immune cells to leave the vasculature in sufficient numbers and migrate into a solid tumor. We guide the process by directing our antibody constructs against “target molecules” that are not only found in tumor cells themselves, but also in the tumor’s specific blood vessels. This enables us to achieve the required influx of T cells,” explains Salih.

TWO-KEY PRINCIPLE

A second major improvement made possible by Salih and Jung’s strategy concerns the efficiency and duration of T cell activation. For over 30 years, scientists have understood that T cells are activated (effectively as a safety maneuver) in a kind of two-key principle, meaning two different protein molecules on the cell surface have to be stimulated more or less simultaneously, first an antigen-specific and then a costimulatory receptor. If the second, costimulating signal is missing, the activation is relatively short and is quickly “switched off” again. The receptors involved can be specifically manipulated with antibodies – or in CAR-T cells. While modern CAR-T cells are equipped with both signals (and have only been clinically effective since then), the available bispecific antibodies have, until now, only been able to simulate the first signal. “In Tübingen, we have developed a special combination of bispecific antibodies that stimulate both the first and second signals. The fact that the two bispecific antibodies used in combination are functionally dependent on each other and recognize two different target antigens on tumour cells and vessels means that we kill two birds with one stone,” explains Jung.

TWO TARGET ANTIGENS

AND TWO SIGNALS: TWYCE The two target antigens are present together in the tumor cells, but do not occur simultaneously in healthy tissue. This results in improved tumor specificity on the one hand, and on the other, the double stimulation of T cells yields a better, more sustained immune response.

“After decades of work, we believe that our concept can achieve a quantum leap in bispecific antibody therapy,” reports Helmut Salih. “However, since the first steps were taken in the 1990s, a new problem has emerged: the ever-increasing regulatory burden required for both manufacturing and clinical trials, which significantly slows down the progress of getting new drugs, like our antibodies, out of the laboratory and to the patient. This is why I am all the more pleased that we are tackling this process in the Translational Immunology Clinical Cooperation Unit at the University Hospital of Tübingen with DKFZ Heidelberg, and that we are now testing more than ten new therapy concepts in clinical trials.”

The team has dedicated staff members with many years of relevant experience for all steps of the manufacturing process and the implementation of clinical studies. Dr. Martin Pflügler, a trained pharmacist, is responsible for the manufacturing process, whileDr. Jonas Heitmann, an internist and oncologist, organizesthe clinical trials.

In 2019, the first trial with a bispecific antibody that delivers signal 1 was launched in patients with advanced prostate cancer. Patients responded, but only briefly. Based on the results, the antibody has been used since the end of 2022 in patients with a so-called biochemical recurrence of prostate cancer and thus a low tumor burden. A relatively short activation of T cells may be sufficient to achieve an anti-tumor effect. A study is planned for advanced-stage patients in which this antibody will be used for the first time in combination with a bispecific co-stimulator (BiCo), which provides the second signal and therefore significantly prolongs the duration of T cell activation. This study is scheduled to

begin in 2026. Additional bispecific antibodies, which should enable the treatment of other types of cancer, such as intestinal or breast cancer, alone and in combination with other BiCos, are in advanced stages of development. However, none of this can be achieved with public funds alone. This is why Salih, Jung and Pflügler recently founded TWYCE GmbH. Together with the Federal Agency for Disruptive Innovation and the SPRIND subsidiary BiconY, which was founded in May 2023, the team is now taking greater steps towards overcoming the existing hurdles and achieving their goal of declaring war on cancer.

“ WE CAN ACHIEVE A QUANTUM LEAP IN CANCER THERAPY.”

PULSED LIGHT TECHNOLOGIES

PULSED LIGHT TECHNOLOGIES: LASER-DRIVEN FUSION

“RISKS INVOLVED WITH FUSION POWER PLANTS ARE DRASTICALLY LOWER THAN FOR NUCLEAR FISSION POWER

PLANTS.

”

– ANTONIA SCHMALZ, MANAGING DDIRECTOR OF PLT AND INNOVATION MANAGER AT SPRIND

SPRIND AND PULSED LIGHT TECHNOLOGIES

THIS IS WHY WE ARE COMMITTED

Because we are convinced that nuclear fusion is one of the energy sources of the future and that laser fusion could be a possible way forward. We founded PLT to develop laser systems that are not only technologically groundbreaking, but can also pave the way for the commercial operation of fusion power plants.WHAT WE DO

PLT focuses on the development and construction of laser systems that make nuclear fusion commercially viable. We are also working on the early preparation of the necessary capacities and supply chains to ensure that an infrastructure is ready and available as soon as the fusion technology is fully developed.

THIS IS THE POTENTIAL WE SEE

We want to position Germany as a leading location for fusion research and industry. Broad support from the industry is important, not only to enable to use the fusion technology itself, but also to be able to supply it worldwide.

Will Germany be able to use nuclear fusion to generate energy in the next few decades? The chances are looking pretty good. SPRIND is currently supporting two promising start-ups that want to make laser fusion possible: Focused Energy and Marvel Fusion. Although each follows a different approach, both need one thing more than anything else: intensive lasers.

With existing laser systems, nuclear fusion, which generates more energy than is required for its operation, is hardly possible. In response to this, SPRIND has established the subsidiary Pulsed Light Technologies, or PLT for short. “PLT was founded with the aim of developing laser systems that are built in such a way that they can later support commercially viable power plant operation,” explains Antonia Schmalz, Managing Director of PLT and Innovation Manager at SPRIND.

The efficiency of current lasers continues to be very low. PLT aims to develop laser systems with an efficiency of more than 10% that emit at least ten light pulses per second. “Ten Hertz would be a huge step forward and is also necessary for it to make sense for power plant operation,” says Antonia Schmalz.

The company Focused Energy needs a compression laser and an ignition laser for its research. It wants to compress a ball of fuel from all sides using laser pulses. A second, shorter laser beam is used to accelerate protons and ignite the compressed fuel. PLT is working with the company and other partners to develop the required nanosecond laser and picosecond laser by 2028.

Marvel Fusion, on the other hand, requires a femtosecond laser. The company pursues an unconventional approach: It wants to use a nanostructured solid. The laser beam hits the solid, penetrates it and travels along a rod-like structure inside, knocking electrons out of the way. What remains are the heavier, positively charged atomic nuclei, which are pulled behind the electrons by the resulting electric field. A ring-shaped structure causes the heavy ions to collide with the stored fuel, compressing it and triggering a fusion reaction. The first tests with the PLT laser could start as early as 2026.

Despite the planned laser development, a fusion power plant is still a long way off. “What we will be developing are only demonstrators of a central power plant component. However, these will of course show as many aspects of the technology as possible that will be relevant for power plants later,” explains Antonia Schmalz. “Even a larger demo plant would require between ten and 100 laser systems, depending on the fusion approach. An actual power plant would need around 500.” Considering that a single laser system is currently around 70 m long and will still be 1-2 shipping containers in size even after the PLT developments, the dimensions are easy to imagine.

“There is currently no manufacturing capacity anywhere in the world to set up a proper demo plant within one to two years,” says Antonia Schmalz. And it is not just technical production capacities that are lacking, but also money: “A demonstration plant would cost around 800 million to one billion euros. However, funding is still pending and is causing a chicken-and-egg problem,” says Schmalz, explaining, “As long as it is not clear whether such a plant will be financed, no one in the supply chain will put up the money to drive forward development and build the necessary capacities.”

SPRIND and PLT are trying to solve this dilemma by taking their campaign for funding a demonstration plant to the political realm. “It is not just about raising the money, but also about helping to build the ecosystem,” explains Schmalz. After all, the main goal of PLT is to develop entire supply chains for the fusion power plant of the future.

It is not only fusion that would benefit from PLT developments. “The various laser systems have many other applications,” enthuses Schmalz, who holds a PhD in physics herself. “For example, various mechanisms could be used to generate beams of high-energy particles such as electrons or neutrons as well as intense X-rays. There are many possible applications for the diagnosis and radiation of cancer, but also for various material investigations.”

Possible locations for such a demonstration plant and a future fusion power plant includethe sites of old nuclear or coal-fired power plants. “This has

several advantages: On the one hand, we would be accommodating the former operators, as they would otherwise have to completely dismantle the nuclear power plants, and on the other hand, we could benefit from existing structures,” explains Antonia Schmalz, adding, “The plants offer space and more than enough safety precautions. The risk profile of a fusion power plant is drastically lower than that of a nuclear fission power plant. And then, of course, the connection to the power grid would already be in place.”

It makes sense to start thinking today about what will ultimately be needed for a fusion power plant and what must be available. “Waiting until everything has been demonstrated technologically and only then starting to build the corresponding capacities and supply chains is not a good idea because we’ll be too slow,” says Schmalz. And even if the first fusion power plant does not end up being built in Germany, forward-looking planning could well pay off. “We have a very strong industry in Germany, both in terms of optics and lasers. This also applies to magnetic fusion technologies. Broad support from the industry is important, not only to be able to use the fusion technology itself, but also to supply it worldwide.

STRATEGY PAPER

↳ UTILIZING FUSION ENERGY

↳ Profit for Germany and Europe

① CREATE URGENTLY NEEDED FRAMEWORK CONDITIONS

→ For a long time, fusion research was regarded as basic research. In the meantime, however, the most powerful supercomputers, advances in the development of artificial intelligence, new laser diodes and high-temperature superconductors have brought fusion much closer to commercial application. In recent years, these technological advancements, coupled with continuously growing demands for energy, have also motivated private investors to invest in the fusion industry for the first time. Worldwide, 43 fusion start-ups, including four in Germany, raised over six billion dollars in private investment (Fusion Industry Association 2023). The start-ups pursue a very broad range of technological approaches, each one unique. The various technologies that are being researched across all start-ups increase the chances of a commercial approach being found quickly. At this stage of development, however, it is not yet possible to predict which technologies will ultimately reach the market. Therefore, only focusing on one or a few technologies is not scientifically justifiable or recommended today (Metzler and Messinger 2023).

→ In order to ensure that Germany can remain in the race for the best technology and maintain its sovereignty in key technologies, the state must create the appropriate framework conditions. Such framework conditions are a minimum political requirement and primarily concern regulations and the approach to learning and training in universities and companies. In addition, the state needs to provide targeted incentives for the economy and reduce risks by structurally supporting both training organizations and the industry through the formation of concentrated fusion hubs with local ecosystems.

REQUIREMENTS

TRAINING

MILESTONE-BASED PUBLICPRIVATE PARTNERSHIP, INDUSTRY-LED COLLABORATIVE PROGRAMS

→ Reliable and risk-adjusted regulatory framework conditions must be created. Fusion power plants pose very few hazards, which also represent a significantly lower risk than fission power plants. If a legal framework is created now that is tailored to the hazard and risk profile of fusion power plants, a predictable, trustworthy environment can be created for start-ups and their investors. Adopting overly strict rules from the regulation of nuclear fission power plants would drive up the costs of fusion power plants. Last but not least, strict regulations also increase the likelihood that German startups will see initial success abroad, as the United States and the United Kingdom are already working on adapting their regulatory frameworks for fusion plants. The two countries also recently announced that they have entered into their own joint fusion development partnership (Leake 2023).

→ Germany’s expertise, which is already worldclass in certain areas of basic research, must be strengthened and expanded further. In addition to physicists who deal with the physical processes behind fusion energy, engineers, plant engineers and materials scientists with specialist knowledge will also be needed in the future for large-scale process implementation and power plant development.

→ With broad-based education and training in Germany, a strong international position can be achieved through the ability to better evaluate other and future fusion technologies too.

→ The time and cost plan for the ITER experimental fusion reactor has been revised several times over recent years. This shows how a potentially excellent project can be slowed down by complex framework conditions, tendering obligations, ineffective cooperation, political diplomacy and a lack of market orientation, which go hand in hand with purely state funding and long-term research plans.

→ Driven by their private investors, the fusion start-ups follow a strict, milestone-based roadmap and focus on the profitability of their fusion power plants. Unlike state-funded projects, they can adapt their strategy quickly and flexibly to new findings, technologies and market developments. If a milestone is not reached, measures are taken

POLITICAL ACTION

immediately, which can lead to drastic consequences and even the end of a project.

→ Germany and Europe is also home to a very adaptable and experienced SME sector as well as industrial groups, for example in automation technology, sensor technology, diagnostics, materials development, magnetic technology or the photonics/optics industry. These companies can supply components for fusion power plants as well as platform and cross-sectional technologies that can be used for various fusion approaches. With the right incentives, they could drive development and industrialization beyond pure fusion research together with fusion start-ups. In this constellation, they would be significantly faster than individual research institutions. Their technologies can also trigger innovations in other application areas and industries, and are not limited to fusion.

→ Start-ups should be supported by milestone-based public-private partnership models. A milestone-based approach similar to a SPRIND challenge ensures that high-risk projects with high profit potential are also supported, while approaches that prove to be unsuitable can be eliminated in order to limit financial damage. The possibility of failure must be expected and accepted.

→ The contribution of the public sector should also include access to research facilities and equipment as well as data centers. Exemplary programs can already be found in the United States and the United Kingdom (Hsu 2023).

→ SMEs should be supported in collaborative projects with industrial groups, fusion start-ups and research institutions. It is important for financial partners to take the lead as soon as possible and not the research institutions. The new BMBF funding program for the support of collaborative projects represents a first step for such initiatives that focus on a path towards market maturity.

→ An Important Project of Common European Interest (IPCEI) would also be a further step towards the market. An IPCEI on the topic of fusion could channel interim results from basic fusion research projects such as ITER, JET and WendelsteinX and

use them to strengthen production capacities in the aforementioned industries or lead to the construction of a demo power plant. An IPCEI on photonics could combine both fusion technology with ancillary applications and the production of photonic circuits and sensors in one strategy.

→ Other models for supporting the supplier industry are also feasible. With a total of EUR 90 million over the next five years, SPRIND is already funding the development of laser technology in a subsidiary company. Another example of cross-sectional technology is superconductors which, in addition to fusion, can also be used in medical technology, wind turbines, electric aircraft and high-performance cables for power lines.

→ To accelerate fusion power plant development, companies and research institutions must work together to build larger centers or clusters for an active ecosystem with substantial investment. These centers or clusters require appropriate infrastructure, such as data centers, measurement systems or larger demo systems. Within this framework, facilities such as laser systems and space for tests and experiments should be offered, which should also be made available to or even determined by fusion start-ups. Such access reduces the capital requirements of companies, supports the transfer from basic research and, above all, supports the development of young talent, such as at the Culham Centre for Fusion Energy in the United Kingdom.

→ Germany already offers research locations that would be ideally suited as hubs for such activities, such as Darmstadt with the GSI Helmholtz Centre for Heavy Ion Research and the Technical University, Munich with the Max Planck Institute for Plasma Physics, the Centre for Advanced Laser Applications and two universities, Dresden with the Helmholtz-Zentrum Dresden-Rossendorf and Dresden University of Technology, the KIT in Karlsruhe, the Forschungszentrum Jülich or Hamburg with the Deutsches Elektronen-Synchrotron (DESY). All of these locations also offer the possibility to address users beyond fusion, especially at the laser research facilities.

FUSION HUBS, DEMO FACILITIES AND ECOSYSTEMS

② FUSION APPROACHES AND GERMAN START-UPS

→ Over the last few decades, research has created an excellent basis for the commercial application of fusion. However, the development of cost-effective power plants will not be the result of research, but must instead be driven by industry and start-ups. This development process towards a fusion energy economy must be structurally strengthened through public-private partnership measures and flanked by research. As it is not yet clear which concepts will ultimately make it to the market and prove to be sustainable in the long term, flexible, milestone-based programs are essential. Increased support for platform and cross-sectional technologies must also be available early on in the value chain. The necessary regulatory framework and improved training can only be driven by the state and should therefore be one of its main concerns.

→ Unlike the fuel used in today’s nuclear power plants, the safety risk associated with fusion power plants is extremely low, as a fusion process does not trigger a chain reaction, regardless of the fuel. Most technological approaches to generating fusion energy use tritium and deuterium as fuel. Tritium and deuterium are so-called isotopes of hydrogen, which have additional neutrons compared to “light” hydrogen. So far, only a few start-ups aim to combine helium-3 nuclei or boron with hydrogen as fuel. On Earth, tritium only exists naturally in small quantities. However, it can be produced directly in a fusion power plant from lithium, which is available in large quantities. Tritium has a half-life of just 12.3 years. It is only slightly radioactive and is also only present in small quantities in the combustion chamber at any one time, which means that it would also be highly diluted if dispersed in the air. The radioactivity of tritium is so low in energy that it cannot penetrate human skin from the outside (Max Planck Institute for Plasma Physics 2023). Although the tritium cycle and the fast neutrons pro-

duced in the process, which can radioactively activate the walls of reactors, complicate the design of fusion power plants, the other, non-radioactive fuels, which hardly produce any fast neutrons, are significantly more difficult to fuse.

→ Two main methods are followed to fuse the fuel: long-term confinement of the plasma to be fused by external magnetic fields, so-called magnetic confinement, or short-term confinement by the inertia of the involved mass itself, which is known as inertial confinement. There are also various ignition mechanisms.

→ With magnetic confinement, the generated plasma is heated in large ring-shaped systems using various techniques and held together by a large number of superconducting magnets. The two most prominent approaches involve apparatus known as a tokamak (simple geometry plus external current) and a stellarator (complex geometry). The tokamak is the most thoroughly researched concept, but it struggles with plasma instabilities. These instabilities are caused by the dynamics of the alternating magnetic fields, as the externally applied magnetic fields are supplemented by an internal magnetic field generated by an electric current that is permanently conducted directly through the plasma. Although the stellarator is more stable, it requires unevenly bent magnetic coils in order to dispense with the internal magnetic field, the shape of which is difficult to calculate and manufacture.

→ For inertial confinement fusion, a fuel pellet is usually compressed and heated by high-intensity laser beams. Depending on the concept, the pellet is ignited by other external drivers such as particle or laser beams, for example. It is operated in pulsed mode.

→ Now, the initial ignition of the fusion process with just a few cores is no longer a challenge. Instead, the challenge in all approaches is how to trigger the fusion process in a stable manner and keep it running for as long as possible without repeated ignitions. If the fusion process is self-sustaining after initial ignition, like the sun, for example, its maintenance consumes less energy than it generates and the power plant begins to become cost-effective. Critical components include laser systems and conventional magnets, which are currently energy inefficient.

→ Several fusion start-ups already exist in Germany: Proxima Fusion and Gauss Fusion, bothwith the aim of developing a stellarator (magnetic confinement), and Focused Energy and Marvel Fusion, each pursuing a different approach with laser (inertial) fusion. They are joined by the SPRIND subsidiary Pulsed Light Technologies.

→ Pulsed Light Technologies GmbH (PLT) is a fully owned subsidiary of SPRIND and will receive a loan of approximately EUR 90 million from the SPRIND budget over the next five years. Rather than developing products, PLT works on demonstrators/IP of core technologies that reduce the high technical risk and indirectly also the economic risk for future laser manufacturers or other suppliers in today’s precarious market.

→ The aim of PLT is to develop the infrastructure required for laser-driven fusion. It will focus on issues that are crucial for fusion, but which are not part of the core development or IP of start-ups working on the development of a fusion power plant.

→ Laser systems are currently being developed in collaboration with laser fusion start-ups based in Germany to demonstrate the key elements of such systems that are required for subsequent power plant operation. The two collaborative partners Marvel Fusion (Munich) and Focused Energy (Darmstadt) are focusing on different approaches with different laser system requirements. PULSED

REFERENCES

Metzler, Florian and Messinger, Jonah, The Spectrum of Nuclear Energy Innovation (June 1, 2023).

Available at SSRN: https://ssrn.com/ abstract=4531998

Leake, Jonathan (2023): UK strikes nuclear fusion deal with US after snub from EU , The Telegraph. URL: www.telegraph.co.uk/ business/2023/11/08/uk-strikes-nuclearfusion-deal-with-us-after-brexit-snub-eu/. Retrieved on 11/10/2023.

Hsu, Scott C. (2023): U.S. Fusion Energy Development via Public-Private Partnerships , in: Journal of Fusion Energy, 42(12). URL: https://link.springer.com/ article/10.1007/s10894-023-00357-9.

Fusion Industry Association (2023): The global fusion industry in 2023. URL: www.fusionindustryassociation.org/news/ from-the-fia/#industry-reports

Max Planck Institute for Plasma Physics (2023): Tritium . URL: www.ipp.mpg.de/84503/tritium. Retrieved on 11/10/2023.

FURTHER READING Public-private partnership program (https://science.osti.gov/fes/-/media/grants/ pdf/foas/2022/SC_FOA_0002809.pdf)

UK: Strategy (https://assets.publishing.service.gov.uk-media/ 65301b78d06662000d1b7d0f/towards-fusionenergy-strategy-2023-update.pdf)

Culham Center for Fusion Energy (https://ccfe.ukaea.uk)

BACKGROUND PROJECTS

ADLUNAS

RETHINKING THE EDUCATION SYSTEM

It ’ s time for change. Through the adlunas and Mein Bildungsraum projects, SPRIND aims to promote and drive forward the transformation of the education system. In this interview, Jelka Seitz and Johannes Koska, who have been at the fore of SPRIND’s educational mission from the outset, reveal exactly what it is all about.

THROUGH ADLUNAS, YOU WANT TO CHANGE THE WAY SCHOOLS ARE CURRENTLY RUN – WHY?

JOHANNES KOSKA: Our school system is not in a good state. Schools are the most important educational establishments in Germany and are currently facing several problems. One in four pupils at our primary schools are unable to read and write properly. We have a huge shortage of teachers. THEN COME problems caused by a lack of digitalization inside the system and the simultaneous rapid digitalization on the outside, particularly in terms of AI.

JELKA SEITZ: The system is under pressure. Recent decades have witnessed an enormous backlog of innovation and the school system has barely changed, while our world and society are now completely different. Now it is no longer just about incremental changes, but fundamental ones. A transformation.

WHAT

CHANGES

ARE NECESSARY?

JS: Schools need to prepare children and young people for a changed outside world. For a new reality with a high degree of technologization and networking. This brings new opportunities, but also challenges, such as deep fakes or increasingly pressing environmental and democratic issues...

JK: Above all, students need to learn to deal with constant change. But they also need other meta-skills, such as critical thinking or creativity. We also need to move away from standardization towards individualization so that everyone can learn according to their needs and interests. However, our adlunas project is not about getting our children and young people to learn differently or different content, but rather about supporting the school system in the transformation process and empowering it to deal with the constant changes. After all, today’s system is built to preserve what already exists. SO DOES THIS MEAN THAT ADLUNAS IS NOT ABOUT EDUCATIONAL CONTENT?

JK: At adlunas, we don’t look at the pedagogy in schools or the educational content. That’s not our job and actually, there are a lot of positives in this area. Instead, we want to look at how

the system needs to change, regardless of the content.

JS: adlunas was created to facilitate change and innovation in the school system. We look at the factors that prevent the implementation of contemporary pedagogy, both in schools and the surrounding ecosystem. We work together with federal states, local authorities and schools that are interested in exploring this further.

HOW EXACTLY DOES ADLUNAS WANT TO HELP FEDERAL STATES, LOCAL AUTHORITIES AND SCHOOLS WITH TRANSFORMATION PROCESSES?

JS: First, I want to emphasize that there are great people and initiatives everywhere in schools, the administration, politics and even outside the system, who are already putting a lot of energy into changing and improving the school system. But because the system cannot handle the implementation of new ideas, it is incredibly difficult for anyone who wants to make a change. Many people come up against the same problems over and over again, but they can’t solve them on their own.

JK: In addition, many people outside the school system underestimate how heavy the workload is, both within schools and the administration. You can’t just do new things on the side, especially when they are so difficult to

“IT IS IMPORTANT TO US TO ALWAYS BUILD ON WHAT ALREADY EXISTS BEFORE WE ATTEMPT SOMETHING NEW.”

implement. At adlunas, we see ourselves as external colleagues who provide resources and expertise and help to identify and overcome obstacles to change. HOW DO YOU SPECIFICALLY TACKLE SUCH OBSTACLES TO CHANGE?

JS: We focus on technological and systemic hurdles. The latter also include organizational issues. Schools are often seen as a subordinate authority and not as an independent organization that is managed accordingly. However, this is exactly what distinguishes efficient school systems abroad and those that have already successfully transformed here. One of our first projects is looking at the aspect of how schools can be supported during the transformation process in organizational terms.

JK: From a technological point of view, this also includes issues such as how administrative processes can be automated or simplified and how the system can be relieved overall. Other hurdles might arise from legal matters, since transformation requires new legal frameworks or interpretations. This often involves understanding what personal risks are being taken. Currently, many people are unsure about what is allowed and

what is not. In addition to liability exemptions, guidelines could be helpful, which we could have drawn up if there is interest from the federal states, local authorities or school authorities.

JS: On the one hand, we see our core task as establishing processes and formats to identify relevant obstacles to change as well as innovation drivers or initiatives that either already have solutions or ideas for solutions. There are quite a few of these, and often you have to hunt a little to find them. On the other hand, the aim is to always end up with solutions or products that can actually be used by the relevant target group in everyday life.

IN OTHER WORDS, IT’S MAINLY ABOUT FINDING SOLUTIONS THAT ALREADY EXIST?

JK: Basically, it’s true that there are already solutions to many problems. However, they are either not accessible to everyone or not prepared in such a way that they can be implemented in their own context. It may sound strange to people from the tech sector, but bringing digital devices or even just making WiFi available to schools can be incredibly difficult – not to mention issues surrounding the sensible use of digital technologies in everyday school life. But in

some places it also works well – Lübeck is an excellent example of successful digitalization in schools. This might be a very obvious example, but there are others all over. The question now is how to transfer the knowledge gained there. Stakeholders lack the resources to be able to manage this transfer themselves. This, in turn, also acts as a barrier to change.

JS: There is already a great deal of knowledge, but it is often just a case of the wheel being reinvented, simply because there is no overview of what works and what does not. As a result, a key part of what we do will be to show what can work because it has already been done successfully elsewhere and to provide the resources and skills to help others to make it happen.

SO ADLUNAS IS TRYING TO MAKE PROTOTYPE INNOVATIONS AND DEVELOPMENTS AVAILABLE TO EVERYONE IN THE SCHOOL SYSTEM?

JK: Yes, it is important to us to always build on what already exists before we attempt something new. Data protection is a good example. Before we create an overview or a blueprint ourselves that specifies what is compliant with data

protection and which IT solutions are possible, we first look to see if there is anyone who has already dealt with this. However, some things do have to be developed from scratch, as they have only existed in people’s heads up to now.

JS: In general, it is important to us that the developments are created collaboratively. We want to work together with various partners from schools, politics, administration, science, business and society. Basically, we SEEourselves as a catalyst for their actions. IN ADDITION TO ADLUNAS, ANOTHER MAJOR EDUCATIONAL PROJECT HAS RECENTLY COME INTO BEING. THE BMBF ASSIGNED SPRIND WITH THE MEIN BILDUNGSRAUM PROJECT. WHAT EXACTLY IS THIS PROJECT ABOUT?

JK: Mein Bildungsraum is a largescale digitalization project which was previously known as the national learning platform and the digitalnetworking infrastructure for education. It is an attempt within the federal German system to create the basis for education to become digital everywhere. This not only aims to target administrative processes, but also to enable citizens to

find online educational opportunities that match their own qualifications. As part of the takeover by SPRIND, we will initially only concentrate on the administrative processes.

WHY DID SPRIND TAKE ON THE PROJECT?

JS: Firstly, in certain areas, SPRIND is simply able to act differently to a federal ministry. In addition, the situation between the federal government and states is rather tense when it comes to education. We don’t automatically have the stigma of being part of the federal government. This makes it easier for many people to talk to us. Secondly, SPRIND has already been able to demonstrate in the past that it is solution-oriented and, as a state-owned agency,works as agilely as possible.

WHAT SPECIFIC GOALS IS SPRIND PURSUING WITH REGARD TO THE EDUCATION AREA?

JK: We will initially focus on the technical implementation of a digital identity, a wallet in which educational certificatescan be stored and a certification and seal system. This will mean that in future, schools will be able to issue signed and certified digital certificates directly. These will then be able to be digi-

tally forwarded to universities, which will considerably speed up the entire enrollment process. The long-term aim is for all education-related certificates to be digitalized. We will be working closely with the SPRIND EUDI Wallet project to implement this.

JS: We will also be developing an operating and management concept. After all, even if the technical solutions were in working order today, there is still no concept of how they can be implemented within the federal structure in the long term. We not only plan to hold discussions between the federal government and states, but also facilitate dialog with society in general in order to find a shared solution for politicians, the administration, local authorities and schools.

AND WHAT COMES AFTER THAT?

JK: First, we will be doing our homework by concentrating on this use case. Of course, we have lots of other ideas, too, which we will talk about in due course.

EUDI-WALLET

THE DIGITAL WALLET

The EUDI wallet concept aims to enable the digital identification of citizens and organizations as well as the digital storage and management of official documents. SPRIND was commissioned by the Federal Ministry of the Interior and Community (BMI) to drive forward the development of the EUDI wallet. Dr. Torsten Lodderstedt is project lead and lead architect. In this interview, he explains what the wallet of the future will look like.

EUDI WALLET IS AN ABBREVIATION FOR “EUROPEAN DIGITAL IDENTITY WALLET”. WHAT EXACTLY IS THIS PROJECT ABOUT?

DR. TORSTEN LODDERSTEDT: Many people already use digital wallets on their smartphones, to save their credit card details, for instance, so that they can pay with their cell phone. Or they might store concert tickets or boarding passes for flights. The EUDI wallet takes this idea further and also aims to ensure the required level of data protection and security. We want to create a digital

wallet that can be used by everyone. Our vision is that everything that is currently plastic, cardboard or paper today will also be available digitally in the future. DOES THIS MEAN THAT SPRIND WANTS TO BUILD A CORRESPONDING APP?

TL: The eIDAS Regulation stipulates that from 2027, everyone should be able to use a digital wallet, which is why we are currently working on a state version for Germany. Our wallet will be available in the form of an app for Android and iOS. We are currently at the opinion formation stage of the consultation process. BUT COULDN’T WE SIMPLY USE THE EXISTING WALLETS?

TL: The eIDAS Regulation sets out a series of rules on what a secure wallet needs to be. Only those that meet all of the requirements will be given the “EUDI wallet” designation. This means that providers such as Apple, Google or Samsung could theoretically also offer an EUDI Wallet. However, our state wallet will probably be the first wallet for German citizens that meets the eIDAS requirements. We would welcome more EUDI wallet providers, because we believe that everyone should be free to choose which provider to trust.

FROM 2027, WILL IT BE OBLIGATORY FOR EVERYONE HAVE TO HAVE AN EUDI WALLET? FIRSTLY, NOT EVERYONE HAS A SMARTPHONE, AND SECONDLY, IT IS LIKELY THAT NOT EVERYONE WILL WANT A DIGITAL WALLET EITHER.

TL: Whatever we do, we must not exclude any member of society. In this respect, and this is also stipulated in the eIDAS Regulation, there must be no obligation. So in order to use public services, for example, there must always be an alternative option to using the EUDI wallet for identification. The EUDI wallet will be completely voluntary. We know that many people are worried about having to prove their identity with their electronic wallet all over the internet. But if I want to do things anonymously, I don’t have to use the wallet at all. In addition, the wallet will not only allow the use of your own identity, but also the use of pseudonyms. WHAT OTHER

ADVANTAGES

DOES THE EUDI WALLET OFFER?

TL: The EUDI wallet will be able to store many different documents, meaning that certificates from school and work could always be at hand, too. Nowadays, paper certificates required for job applications are often scanned and

then sent as a PDF. However, the authenticity of documents is difficult for employers to verify. The EUDI wallet would change that. Schools and universities will generate a cryptographic fingerprint for each certificate, which is encrypted with a secret key. This will create an electronic signature that works in a similar way to a wax seal. Any attempts to change a document afterwards are immediately visible. It will also be possible to see who issued the certificate. Electronic signatures could also facilitate simple, convenient and above all, legally compliant participation in online petitions. This is great news for our democracy.

SO IF WE ASSUME THAT THE EUDI WALLET WILL BE FULL OF IMPORTANT DOCUMENTS, HOW WELL WILL IT BE PROTECTED AGAINST HACKER ATTACKS?

TL: We will take the utmost care to ensure that the highest standards of security are adhered to. In addition to the use of modern encryption algorithms, hardware components of the respective smartphone will also be used for individual encryption. This means that the wallet encryption will be extremely secure. Of course, security is also something that users themselves are responsible

for, by choosing a PIN that is difficult to guess, for instance. “123456” is obviously not a good idea. However, in the event of cell phone theft, it will also be possible to block or delete all of the documents in the wallet.

HOW FAR ON IS THE DEVELOPMENT OF THE STATE WALLET?

TL: We are currently starting with the digital ID card; this initial step is also known as the “evolutionary solution”. This is the heart of the digital wallet, as people will use it to identify themselves to universities and other institutions, for example to obtain a certificate. However, our main focus is on accompanying and shaping the consultation and architecture process. In other words, our primary goal is to develop a concept in dialog with society on how wallets and the entire ecosystem – including the issuers and consumers of proof of identity – can be implemented in Germany. This was kicked off last year and we will be submitting a concept next summer. To evaluate the initial technical ideas and help to find further innovative ideas for the implementation of EUDI wallets, we have also launched an innovation competition, the EUDI Wallet Prototypes spark.

WHAT IS THE AIM OF THE SPARK?

TL: Our spark has a total of eleven teams who are taking on the challenge of developing a prototype for the EUDI wallet. We developed concepts in the project, but it is up to the teams to actually implement them. The biggest challenge here is to implement a wallet that meets the high requirements for security and data protection while at the same time being easy to use and widely available to users. I’m excited to see what the outcome will be. All spark teams (in the funded track) publish their results publicly. This means that anyone can use the source code, and this is deliberate. The knowledge we are now gaining from the spark will, of course, also be directly incorporated into the conceptual development of the state wallet.

IP TRANSFER 3.0

HAVE DIGITAL SHARES, WANT INTELLECTUAL PROPERTY RIGHTS

When researchers want to spin off from a university, institute or research facility, they are often faced with a lengthy and complication process. This is because the property rights on which the start-up is based usually belong to the institution and not to the founding team. So how can the intellectual property transfer from universities to founders be organized in an effective manner?

In this interview, Barbara Diehl, whoheads the SPRIND IP Transfer 3.0 initiative, explains how SPRIND aims to support both founding teams and institutions.

WHY DOES THE PROCESS OF TRANSFERRING INTELLECTUAL PROPERTY (IP) TO FOUNDING TEAMS TEND TO BE SO COMPLICATED?

BARBARA DIEHL: The conventional common practice has always been for an institution to choose a license model when transferring intellectual property rights to a spin-off. This means that the facility says to the start-up, “You can use the property rights and you’ll get a license to do so, but you’ll have to pay a fee.” These license payments and the associated cash flows often pose a problem for start-ups since, at that point, they do not yet have any income. Any outflow of funds at this early stage acts like poison for the young company.

WHAT COULD BE THE SOLUTION?

BD: Instead of a license model, the institution could also take shares in the spin-offs. However, company shares are associated with many obligations. This model is therefore usually out of the question, as universities often do not have the personnel or know-how to take on such shareholder responsibilities professionally. Virtual shares are an interesting solution. In essence, these are normal company shares with the special feature that they do not include voting rights. Unlike silent partnerships, they do not have to be registered with a notary. If the company is sold, the institution – like any other shareholder – receives a corresponding payment based on its percentage share. Theoretically, it would also be possible to sell the virtual shares earlier if this was contractually agreed in advance.

WHAT ADVANTAGES DO VIRTUAL

SHARES HAVE FOR THE FOUNDING TEAM?

BD:Getting rid of license payments is, of course, a major advantage, but there are others as well. With a license model, the property rights remain with the university. Virtual shares, on the other hand, are ideally granted in exchange for the complete transfer of property rights. This gives the founding team and investors security, and changes the dynamics between the innovators and the university. In this model, the university takes the

risk together with the founding team and all other investors – everyone is in the same boat.

BUT DON’T VIRTUAL SHARES MAKE UNIVERSITIES WORSE OFF? LICENSE PAYMENTS MEAN THEY RECEIVE A CONTINUOUS FLOW OF FUNDS, THROUGH LICENSE PAYMENTS, BUT ONLY AT SOME POINT IN THE FUTURE THROUGH VIRTUAL SHARES.

BD:If the start-up is successful, the value of the company increases and with it, the value of the university’s virtual shares. It can therefore be financially very attractive for universities not to bleed the company dry from the outset, but rather to share in the risk.

HOW DO YOU GET THE FOUNDING TEAM AND UNIVERSITY TO AGREE ON THE AMOUNT OF VIRTUAL SHARES?

BD: Before negotiating investment amounts, the value of the IP must first be assessed. So the key question is how important and central the property rights are for the business model and the success of the company. To answer this, we have developed a tool that can support both the founding team and the institution in the IP assessment. Known as the IP scorecard, it can help to simplify and objectify the evaluation. We also developed the IP Wahl-O-Meter as part of the project. This is basically a questionnaire that the founding team and ideally also the university’s transfer office fill out to

gain a better understanding of the IP situation. Ideally, the result of the IP WahlO-Meter should provide an indication of which transfer model might be most suitable for the scenario in question. WHAT HAPPENS NEXT?

BD: After this, the aforementioned IP scorecard is used. Both parties sit down together and evaluate a number of factors. The result will be between 1 and 10. A ten means that the IP is essential for the business model and thus the success of the spin-off. A top score like this is probable in the pharmaceutical sector, for example, if a drug candidate has been discovered at a university and the founding team now wants to develop and market it as a medicine.

HOW HIGH COULD VIRTUAL SHARES BE IN THIS SCENARIO?

BD: Ultimately, this is and remains a matter of negotiation between the founding team and the institution. However, because we were also interested in this question, we conducted a survey in the investment community. The result was that the maximum participation that an institution can realistically negotiate is 10 percent.

HOW WELL HAS THE PRINCIPLE OF VIRTUAL SHARES AND THE SPRIND TOOLS WORKED SO FAR?

BD: We are currently testing this. We have a pilot group made up of 17 institutions from Germany. These include universities, research associations and non-university institutions. The idea of

exchanging virtual shares for property rights was originally developed at the Technical University of Darmstadt. We have picked up the idea and want to use our tools to support IP transfer. So far, the response has been positive; the discussion about property rights is becoming more objective and this results in huge improvements in relations between founding teams and their alma mater.

WHAT IS SPRIND’S GOAL CONCERNING IP TRANSFER?

BD: Our primary concern is to achieve more transparency. To the outside world, transfer offices can often look like monopolies of power. The founding teams are usually negotiating property rights and a spin-off for the first time in their lives. For many founders, the whole process is very much a black box. We want to change that. In addition to the IP Wahl-O-Meter and the IP scorecard, we therefore also provide contract templates. Most institutions already have standard contracts, but the contract templates can give the founding team a first impression of what to expect. This enables the founding teams to negotiate with the transfer office on an equal footing. We see our role as both a driver and broker in the discussion on improving and simplifying IP transfer.

WHAT DOES THIS MEAN?

BD: We are drivers in the sense that we push institutions to critically scrutinize their own processes and models and try out new approaches. At the

same time, we act as a broker or intermediary between the institutions and politicians. Politicians are demanding more transfer activities from universities, while universities are forced to generate short-term income due to insufficient funding. We promote political dialog in order to bring all stakeholders – politicians and university management – to the table. We push the universities, but we also protect them in order to enable greater sustainability together.

STRUCTURE

SPRIND IS A LIMITED LIABILITY COMPANY WHOLLY OWNED BY THE FEDERAL REPUBLIC OF GERMANY AND REPRESENTED BY THE FEDERAL MINISTRY OF EDUCATION AND RESEARCH AND THE FEDERAL MINISTRY FOR ECONOMIC AFFAIRS AND CLIMATE PROTECTION.

SCIENTIFIC ADMINISTRATION & MANAGEMENT

PRESS & PUBLIC AFFAIRS PODCAST

INNOVATION MANAGEMENT

ANALYSIS

STRATEGIC PROJECTS

COMMITTEE SECRETARIAT

CHALLENGE OFFICE

PROJECT MANAGEMENT

PARTNER MANAGEMENT

HUMAN RESOURCES

IT/ INFRASTRUKTUR PURCHASING

OFFICE MANAGEMENT

MARKETING

ACCOUNTING AFFAIRS

CONTROLLING LEGAL

OPERATIONAL & BUSINESS MANAGEMENT

THE BOARD OF SPRIND GMBH

MARIO BRANDENBURG

FEDERAL MINISTRY OF EDUCATION AND RESEARCH

MAX PLANCK INSTITUTE FOR INNOVATION AND COMPETITION PROFESSOR DIETMAR HARHOFF, PH. D.

DR. (H.C.) SUSANNE KLATTEN

SKION GMBH

CHAIRMAN OF THE SUPERVISORY BOARD DR. PETER LEIBINGER

TRUMPF GMBH + CO. KG

DR. GESINE OSIEKA

FEDERAL MINISTRY OF FINANCE

DR. FRANZISKA BRANTNER

FEDERAL MINISTRY OF ECONOMIC AFFAIRS AND CLIMATE PROTECTION

GERMAN BUNDESTAG RONJA KEMMER

CELONIS SE REMY A. LAZAROVICI

GERMAN BUNDESTAG HOLGER MANN

VICE CHAIRWOMAN OF THE SUPERVISORY BOARD PROFESSOR BIRGITTA WOLFF

UNIVERSITY OF WUPPERTAL

REPRESENTATIVES OF THE SHAREHOLDER

CHRISTINA DECKER

FEDERAL MINISTRY FOR ECONOMIC AFFAIRS AND CLIMATE ACTION

DR. TINA KLÜWER

FEDERAL MINISTRY OF EDUCATION AND RESEARCH

WITH BERIT DANNENBERG AND RAFAEL LAGUNA DE LA VERA INTERVIEW

A NEW ERA OF ENTREPRENEURSHIP

A GOVERNMENT AGENCY TO IDENTIFY, FUND AND NURTURE DISRUPTIVE INNOVATIONS? → THIS IS THE MISSION OF SPRIND.

THE TWO DIRECTORS RAFAEL LAGUNA DE LA VERA AND BERIT DANNENBERG JOIN US TO DISCUSS THE CONTRIBUTION THE SPRIND FEDERAL AGENCY FOR DISRUPTIVE INNOVATION CAN MAKE TO THE REVIVAL OF GERMANY AS A BUSINESS DESTINATION.

IS GERMANY SLOWLY DEGENERATING INTO AN INDUSTRIAL MUSEUM?

RAFAEL LAGUNA DE LA VERA: I hear this question more and more frequently in business circles these days, and with an increasingly pessimistic undertone. To answer this question, it is worth looking back to our country’s booming era of entrepreneurship, the so-called Gründerzeit, which began in 1871. Innovators such as Robert Bosch, Gottlieb Daimler, Friedrich Bayer and Alfred Krupp founded industries such as pharmaceuticals, automotive, chemicals and steel and used them to build Germany as an economic nation. After the war and reconstruction, these industries were developed further, and medium-sized “hidden champions“ also emerged. And we’re still riding on the coattails of that.

BERIT DANNENBERG: However, we are currently seeing innovations that emerged from that era gradually being phased out. Even in the automotive industry, others now seem to be showing us how it’s done. That is definitely making us a little concerned. Nevertheless, we are still a highly innovative country. We have excellent universities and non-university research institutions; however, it seems were are struggling to translate findings and inventions into new companies and industries that create economic benefits.

ONE REASON FOR THIS IS PROBABLY THE LOW LEVEL OF PERMEABILITY BETWEEN SCIENCE, BUSINESS AND POLITICS.

BD:Exactly. There is no clear career path from academia into industry. On the other hand, there are hardly any incentives for people from the business world to switch to politics or public administration and vice versa. Of Bundestag members, there are only a handful of career changers – in other words, actual entrepreneurs and scientists. RL: In the USA, things are very different. During my stay at Harvard University, I was surprised and thrilled to find that about 70% of professors in the university’s business department were entrepreneurs or managers who had been passing on their knowledge for the past ten years of their careers. That would be unthinkable in Germany. Despite having 40 years of entrepreneurial experience under your belt, no one becomes a full professor here without a PhD.

SO THE BAD NEWS IS WE ARE NOT GOOD AT INDUSTRIALIZING OUR TECHNOLOGIES.

RL: Accordingly, we currently rank in a respectable 8th place in the international innovation league table, but we are definitely no longer world leaders. The good news is that there is no shortage of talent and well-educated minds who want to make a difference. We have outstanding scientists who are also successful entrepreneurs. Özlem Türeci and Uğur Şahin, who developed the BNT162b2 vaccine against the coronavirus, are a prime example. As with the BioNTech founders, innovators are often people with an immigrant background, who often have to act unconventionally if they want to be successful in our society.

BUT THE FOUNDERS OF TOMORROW ARE HERE; THEY LIVE AMONG US. WE JUST NEED TO GIVE THEM A PLATFORM. AND THAT’S ALSO WHAT SPRIND IS FOR.

BD: Our main task is to turn our innovations into industries that secure future prosperity again. In contrast to “normal” innovations, disruptive innovations are characterized by the fact that they are not merely improvements on what already exists. When a disruptive innovation comes into being, the world is noticeably different afterwards. If we succeed in overcoming the “siloization” of our systems, Germany will develop enormous strength as an economic nation. SPRIND acts as a kind of real-life laboratory for this transformation.

RL: With AI, we are currently experiencing the dawn of a platform for disruptive innovations, and the internet and mRNA vaccines also belong in this category. Through SPRIND, we want to identify such promising innovations and help to bring them to fruition. We also analyze the main systemic barriers to innovation and consider how our work could be generalized and such translation made the social standard.

BD: One example of this is IP transfer from universities and research institutions to industry, which continues to be very difficult today. It is still often incredibly laborious and time-consuming for “sciencepreneurs” at universities to transfer their intellectual property (IP) to a company and use it commercially. Quite a few give up after two or three years of negotiations,

or have to sign contracts that hinder the further development of the start-up. To overcome these obstacles, we worked with 17 universities and research institutions to develop evaluation models and contract templates for simplified and standardized IP transfer, which we published at the end of 2023.

ONE QUESTION THAT IS OFTEN ASKED IS WHAT DOES THE STATE HAVE TO DO WITH THE INNOVATION BUSINESS?

RL: Here, too, it’s worth thinking back to the business boom of the first Gründerzeit. At that time, the German Empire had provided scientists with reparation funds from the Franco-Prussian War so that they could build their companies. The roots of Bayer, Daimler and BASF all date back to this time. All three were “heavy IP” start-ups that were endowed with millions of Reichsmarks – which equates to several billion euros today – to get their innovations on the road. At the same time, the systems were much more permeable than they are today. In the German Empire, there were outstanding researchers who carried out their professorships in a very business-oriented manner and made it easier for their doctoral students to move in and out of the business world.

Right from its infancy, the German Empire thus triggered an economic boom that lasted for decades, complete with stock market hype and crash. Today’s state needs to incubate in the same way whilst also removing obstacles to innovation from the path. The money is there, because the return on investment will be huge. We just have to do it. However, for this to happen, the state needs to pluck up the courage to go out on a limb. Our agency is like a living lab to nurture this courage.

IS SPRIND A GERMAN COUNTERPART TO THE US INNOVATION AGENCY DEFENSE ADVANCED RESEARCH PROJECTS AGENCY (DARPA)?

BD: When we developed SPRIND five years ago, one of our role models was of course DARPA, which was founded by US President Eisenhower in 1958. This provided funding to founders, who then had full order books thanks to the US military as their largest customer. It yielded countless disruptive innovations that made the USA great, from spy satellites – which later gave rise to GPS – the forerunners of the internet and driverless vehicles to voice recognition software. DARPA was and is a state-subsidized and breathtakingly efficient incubator. Contrary to popular opinion, it is just not that Silicon Valley is the product of the free market alone.

RL: We took a very close look at DARPA and its predecessor ARPA and adopted many features. However, DARPA enters and leaves technological development cycle much earlier. We are not involved in basic research, as we already have a very good basic research landscape in Germany. Our domain is applied sciences, in other words, the translation of fundamental knowledge into economically viable companies. This means that SPRIND can therefore support projects for much longer. We’re now a role model for countries that are setting up similar innovation agencies.

HOW MUCH FUNDING CAN SPRIND USE TO SUPPORT INNOVATORS?

BD: In 2022, we invested more than 100 million euros. This increased to 160 million euros in 2023, and in 2024 it will exceed 220 million euros.

This makes us one of the largest deep-tech funders in Europe. So far, we have examined 2,111 projects, funded 163 of them and taken 21 to large-scale financing. This includes the 40 teams that are currently receiving funding through eight SPRIND challenges and sparks. All these teams are working on the big issues of our time, so we can certainly say from our own experience: We have many outstanding inventors!

RL: Providing we obtain enough money to fund our work – after all, our budget has to be approved by the Bundestag every year – it is almost inevitable that this will result in two or three disruptive innovations in the coming years. In game theory terms, you could say the roulette table is full. However, while it is not cost-efficient to place a chip on every number in a casino, it is highly effective with disruptive innovations. As we have seen with the breakthrough innovation of mRNA vaccines, the benefits are immense. The success of BioNTech alone has led to Rhineland-Palatinate being promoted from a recipient to a donor state in the federal financial equalization scheme. And this company has only been operating for five years.

Our project portfolio includes companies that are working on novel drugs against cancer, Alzheimer’s disease and viral infections. If we imagine that just one of the projects were to take off, and at the same time consider how important topics such as cancer and Alzheimer’s are, then we get an idea of how huge the impact of a single disruptive innovation can be.

IS SPRIND A PANACEA AGAINST WIDESPREAD PESSIMISM?

BD: Pessimism is like fear: There are situations in which both emotions are perfectly appropriate. Sometimes they can even be essential for survival. In the vast majority of cases, however, they act like archaic brakes and there is no place for them whatsoever. We only need to take a look around ourselves to see that the world is full of terrible problems, but the bottom line is that the situation on our planet has demonstrably and significantly improved over the past 300 years. Many of the major challenges of our time –energy and climate, water, diseases – can be solved with technology. This also requires social innovations that, on the one hand, ensure they “go to society” and take people with them and, on the other, prepare them for our new world through education.

RL: The latest major disruptive innovation that has found its way from Germany onto the streets – the mRNA vaccines – shows us that this can be done. Why did they work? Because during the coronavirus crisis, for once we “bent the rules a little”, quickly funded two teams – Curevac and BioNTech – and changed the regulatory framework. And that’s exactly what we need to do in other areas, too. We need to be bold, remove barriers to innovation and get things rolling, even without a major crisis breathing down our necks. We dealt with the gas crisis in a similar way. For example, a lot of regulations and laws were simply suspended in order to build LNG terminals in record time. It is possible!

WHAT CAN EACH AND EVERY ONE OF US DO TO USHER IN A NEW ERA OF ENTREPRENEURSHIP?

BD: SPRIND projects enable those who are not firmly bound to path dependencies decide which way to go, and we fund them to do it. In doing this, we are well aware that the vast majority of new approaches will fail. If most of them don’t fail, it simply means we haven’t taken enough risks. In other words, failure doesn’t matter as long as some innovations take off. And we only need two or three new industries.

RL: That’s why we love our job. Every day we see innovations that have the potential to change our country and our lives for the better. We therefore have good reason to be optimistic – and this in turn is a prerequisite for success. Those who allow themselves to be carried away by pessimism are shooting themselves in the foot. For this reason alone, every entrepreneur should be optimistic in their basic outlook.

My advice to entrepreneurs would be to go to universities as guest lecturers! Support researchers with their spin-offs, talk about entrepreneurship! Open up your companies to innovations from outside, distribute money to venture capital funds and sit on their advisory boards so that you can see the project pipeline. And if you see a start-up that you really like, get involved, invest and profit. The bottom line is that it will pay off many times over – for you, your company and the period of booming entrepreneurship that lies ahead.

BERIT DANNENBERG, a trained lawyer, has been commercial director of SPRIND since spring 2021. She previously worked in traditional science management in various institutions of the Helmholtz Association and most recently as head of administration of Faculty IV – Electrical Engineering and Computer Science at the Technical University of Berlin.

RAFAEL LAGUNA DE LA VERA is the founding director of the Federal Agency for Disruptive Innovation. At 16, he founded his first start-up, Elephant Software. He went on to build numerous other technology companies and worked as a technology investor, interim manager and consultant for venture capital funds. His commitment to Open-Xchange AG and SUSE Linux established his reputation as an open-source pioneer and campaigner for the open internet.

FUNDING

ALL FIGURES IN THOUSANDS OF EUROS

A  ADMINISTRATION

C  CHALLENGES

P  PROJECTS

*Figures from the government draft for the 2023 federal budget. These are subject to the availability of budget funds.

171,075 228,990 248,972

FUNDING TOOLS

DISRUPTIVE INNOVATIONS NEED TAILORED SUPPORT – THROUGH THE SPRIND FREEDOM ACT, WE HAVE BEEN GIVEN THE OPPORTUNITY TO PROVIDE POTENTIAL DISRUPTIVE INNOVATIONS WITH EVEN MORE FLEXIBLE, AGILE AND INDIVIDUALIZED FINANCING.

VALIDATION

SPRIND validation is often the first step in the funding process. We fund experiments and trials to further develop the technology in order to validate its feasibility and potential and used the results of to decide on further funding. As a rule, we provide up to EUR 200,000 for this purpose as part of a research contract.

START-UP FUNDING

Through start-up funding, we support young companies that are not yet able to acquire sufficient funding from private sources. We use the start-up funding to build up the company, develop the technology and, if necessary, take the first steps towards commercialization. Funding is provided up to EUR 1 million.

INVESTMENTS & CONVERTIBLE LOANS

If the private venture capital market does not offer sufficient financing, we can invest directly in start-ups. New private investors must provide at least 30% of the financing round and, as lead investor, negotiate the terms on which SPRIND will then invest on an equal footing. We can use equity investments, convertible loans and any other instruments similar to equity investments.

OUR AIM IS TO PROVIDE THE BEST POSSIBLE SUPPORT FOR DISRUPTIVE INNOVATIONS AND THUS MOBILIZE PRIVATE CAPITAL AS EARLY AS POSSIBLE.

WE FOCUS ON THE INDIVIDUAL DISRUPTIVE INNOVATION AND DEVELOP A TAILORED FINANCING CONCEPT TOGETHER WITH THE STARTUP. WE COMBINE DIFFERENT FINANCING TOOLS AND PROVIDE ACTIVE SUPPORT THROUGH CONTACT WITH VENTURE CAPITAL INVESTORS.

FUNDING FOR RESEARCH & DEVELOPMENT

We support disruptive innovations during capital-intensive research and development stages and fund part of the development costs. The remaining costs are covered by private investments. Our funding is typically in the single-digit million euro range, although it can reach up to EUR 35 million in individual cases. SPRIND funding only has to be repaid in the event of success, in other words, if the start-up goes public, is sold or begins to distribute profits.

CHALLENGES

In the SPRIND challenges, teams with disruptive innovation potential currently receive between EUR 500,000 and three million per competition stage. Funding is provided as a pre-commercial contract for research and development.

SPARKS

Every SPRIND spark can be a small step towards great transformations. Like the challenges, the sparks are innovation competitions for pioneers with world-changing ideas – but even faster. Currently, teams receive up to EUR 350,000 per competition stage. As with the SPRIND challenges, funding is provided via pre-commercial contracts.

CHALLENGES OUR CALLS FOR PIONEERS WITH WORLDCHANGING IDEAS CHALLENGES

OUR GOAL:

CHALLENGES TO FIND VISIONARY SOLUTIONS TO TACKLE THE GRAND CHALLENGES OF OUR TIME

THE PRINCIPLE: AN AMBITIOUS GOAL  – AND A CALL FOR THE BEST SOLUTION.



SPRIND challenges are called into

being wherever there is an urgent need for action in relation to societal issues. They define a clear objective that can be solved in a wide

variety of ways.

 The multitude of different approaches increases the probability of achieving the challenge goal and tackling the specific issues.

INNOVATION FUNDING REVAMPED

SUPPORT ON THE PATH TO DISRUPTIVE INNOVATION

Our challenges are designed to give the brightest minds the freedom to drive their ideas forward. Such participants have very different backgrounds. They come from universities and non-university research institutions, start-ups and established companies.a In order to offer all of these participants fast and flexible funding without bureaucratic strain, SPRIND makes use of pre-commercial procurement. This allows for attractive financing that involves minimal administrative effort, can be implemented quickly and enables the flexible use of funds.

In addition to funding their work, SPRIND supports the teams’ progress by providing close support and specific coaching. Disruptive innovations are often implemented in the context of existing markets and structures with high inertia. In order to overcome these hurdles, SPRIND provides the teams with advice and support, allocating coaches with needs-oriented expertise.

THERE ARE NO LOSERS: THE INNOVATION ECOSYSTEM

CHALLENGES

The teams that are eliminated do not leave empty handed. During the course of the challenge, SPRIND supports participants in building a strong innovation ecosystem, for instance by establishing contact to other sponsors. History has also shown that innovation missteps can still give rise to important discoveries. Galileo Galilei, for example, was unable to solve the riddle of determining longitude at sea in an innovation contest, but he did invent the best method for calculating longitude on land.

TEAMS

CONCEPT

CONCEPT DEMONSTRATION

FUNCTIONAL EXPANSION

NUMBER OF TEAMS

ANYONE CAN APPLY, BUT ONLY OUTSTANDING IDEAS WILL RECEIVE FUNDING AND ONLY THOSE WHO DEMONSTRATE CONVINCING PROGRESS WILL RECEIVE FURTHER SUPPORT IN THE NEXT STAGE OF THE CHALLENGE. SPECIAL CHALLENGES REQUIRE SPECIAL FORMATS. IN AN INTERVIEW, CHALLENGE OFFICER JANO COSTARD TALKS ABOUT THE COMPETITION THAT TRANSFORMS IDEAS INTO DISRUPTIVE INNOVATIONS.

JANO, THE WORLD IS CURRENTLY FACING SO MANY CHALLENGES – HOW DO YOU CHOOSE A CHALLENGE TOPIC?

There really are many pressing problems, but some areas, such as AI, have already garnered lot of public and private support in Germany. Instead, we look at where there is a lack of funding and ask ourselves which topics are important but neglected. Our BROAD-SPECTRUM ANTIVIRALS challenge, for example, has huge social potential, but at the same time there is an enormous technological gap that is unlikely to be filled by other players. We must compensate for this market failure.

IN PRINCIPLE, ANYONE CAN TAKE PART IN A SPRIND CHALLENGE. WHY IS IT IMPORTANT TO ADDRESS PEOPLE FROM OUTSIDE THE FIELD WITH THE CHALLENGES?

If you invite people from outside the field to apply, you also receive submissions that don’t normally make it into a state-funded project. But we

lenge and of course also during the challenge itself to obtain their feedback. However, it is not so much finding expertise that is tricky, but rather deciding which feedback carries weight. Ultimately, the SPRIND challenges are driven by the recognition that we cannot be sure which innovation will actually become a disruptive innovation if we do not try it out. This is why several teams and technologies compete against each other in every challenge.

THOSE WHO MAKE IT INTO THE CHALLENGE CAN LOOK FORWARD TO GOOD FUNDING.

Yes, because the combination of a very early stage of development and unvalidated technology often makes it necessary for us to fund the teams in full. There is no big prize money at the end of our challenges; instead we offer turn-based funding. And the teams do not all get the same amount of money, but rather apply for a certain amount of funding. This is

“FAILURE IS PART OF THE PLAN.”

know that the people with the best ideas – with the greatest potential –often do not come from the circle of established experts. We want to show these people that it makes sense to move into a new field. After all, this can lead them to completely rethinking themselves and their existing technologies. This is why our tiered model makes so much sense: We give many seemingly utopian approaches a chance and sort them out as the challenge progresses in order to concentrate on the most promising innovations as soon as the potential of technologies and teams becomes clearer.

NONSENSICAL FANTASIES AND BRILLIANT FLASHES OF INSPIRATION CAN LOOK SIMILAR AT FIRST GLANCE. HOW DO YOU DECIDE WHICH IS WHICH?

also an evaluation criterion for us and we are always pleased when teams succeed in raising additional funds, whether public or private. After all, this not only shows that teams are capable of making progress more quickly, but it also speaks for their ability to continue funding themselves independently later on.

APART FROM THE MONEY, HOW ELSE DOES SPRIND SUPPORT THE TEAMS?

Our jury is made up of experienced experts with different perspectives who specialise in the topic of the respective challenge. We also work a lot with external stakeholders during the development process of a chal-

Our guidance and support is always very specifically tailored to the topic of the challenge and the respective teams. We have participants who have already built up a full academic career but are starting a company for the first time. It is normal that these new entrepreneurs suddenly have a lot to learn and need to structure their work in a completely different way. We give them the confidence and encouragement that it can be done and achieved. We can make clear recommendations regarding how to spin

CHALLENGES

off from the university on the best possible terms, for example, and we can actively promote networking between the teams and other experts. And, of course, we also facilitate networking between the teams themselves. BUT AREN’T THE TEAMS DIRECTLY COMPETING WITH EACH OTHER?

The real competition takes place outside the challenge, in the existing markets that need to be disrupted. Our teams are therefore not so much focused on the idea of “I really want to win the challenge”. Maybe also because there is no prize money at the end of the challenge for which every-

solutions that do not fit these key figures. This is why we communicate to teams primarily verbally what we are about, where we see the challenges lie and what the goal of the challenge is. This sometimes includes key figures, but these are mainly for orientation purposes, so we don’t say, “If you haven’t reached level suchand-such in the next three months, you’re automatically out.”

BUT EVEN TEAMS WITH A LOT OF POTENTIAL DO NOT NECESSARILY MAKE IT TO THE NEXT CHALLENGE STAGE.

It is always a difficult decision when you have to say goodbye to teams that

“IT IS AMAZING AND HUGELY MOTIVATING TO SEE EVERYTHING THAT IS POSSIBLE.”

one is competing. Instead, innovators are driven by the goal of solving the overarching problem. If the teams believe that they can achieve the goal of the challenge and that it has disruptive potential, then they are simply passionate about what they are doing.

THE CHALLENGES USUALLY RUN FOR SEVERAL YEARS. EACH YEAR, THE TEAMS ARE RE-ASSESSED TO DETERMINE WHETHER THEY MAKE IT TO THE NEXT ROUND. ARE THERE CLEAR GOALS THAT NEED TO BE ACHIEVED IN ORDER TO MOVE FORWARD?

The basic idea is that we want to see something being demonstrated. We’re not interested in seeing another iteration of a concept; we want to see data that tells us whether what you set out to do can work or not. Of course, we also consider the typical rate of progress in each area. Some experiments simply require a lot of time or elaborate prototypes have to be built. And sometimes it just doesn’t make sense to say this is the point that needs to be reached in order to move forward. The more we focus on quantifiable key figures, the better we can compare the teams and the more competition we have. On the one hand, this is good, but on the other hand, we run the risk of excluding important

have worked hard to solve a problem. Depending on what kind of team it is, the stage it is currently at and what it needs in its field, we therefore also try to find other investors to continue to support it. But even if it is not easy to communicate these decisions to the teams, I believe that competition and rivalry are very valuable, because it encourages the teams to make progress that they would never have made otherwise. After they have been eliminated, some teams tell us that what they achieved through the SPRIND challenge in one year would normally have taken them more than three years. And I believe that this one year, the money and time invested will really have been worth it, even if things don’t go any further with us.

YOU PROBABLY CAN’T PREVENT TEAMS FROM FAILING, CAN YOU?

That’s not how we see it. At the end of the day, all participants are winners. This is because the challenge itself presents a major learning curve when teams develop their solutions and themselves further. For us, technological openness means that during the course of a challenge, both we and the teams might learn that a certain approach does not have the potential that we expected or hoped for. Or that one team may not have the poten-

tial we had hoped for. On the other hand, we can also learn that certain approaches have much greater potential than we thought, or that a team develops in a way that we could never have imagined. And this openness to developments, both positive and negative, is absolutely essential.

HOW DO THE SPRIND SPARKS DIFFER FROM SPRIND CHALLENGES?

The main difference is that the SPRIND sparks only run for six to nine months instead of two or three years. In such a short time, it is impossible to develop much that is fundamentally new, at least in terms of hardware. That’s why the sparks focus on enabling teams to demonstrate the limits of what a technology can do. Our main focus is on delivering fast demonstrations. This works particularly well in the area of software development. But it has also proved effective in other areas – there are already approaches for 3D-printed organs, for example. We want to accelerate further development in this field through our “TISSUE ENGINEERING” spark. After all, when others see what is already possible, they are more willing to invest. We use the sparks to give developments a final push towards achieving a breakthrough or to enable new investments.

HOW DO THE CHALLENGES AND SPARKS DIFFER FROM OTHER PUBLIC FUNDING?

through the challenges are so big and important that we cannot afford not to think outside the box.

WHAT INSPIRES YOU MOST ABOUT THE CHALLENGES AND SPARKS?

Seeing what is possible is hugely motivating. Among other things, we are working on the decarbonization of the chemical industry and removing CO2 from the atmosphere at the same time. That sounds a little too good to be true, but maybe it really is possible. The teams inspire me to believe that we really can solve the challenges of our time.

CHALLENGES

What we and other public institutions want is for start-ups to be founded that conquer the world. However, teams that also apply for other public funding often tell me that they sometimes have to wait 18 months or even two years to actually receive money. With the SPRIND challenges and sparks, we have shown that we do not slow down entrepreneurs, but rather offer them rapid, comprehensive support as a partner. This is why we place great importance on short deadlines and minimal bureaucracy. Our funding instrument ensures transparency and predictability. Another difference is that we do not restrict our financing to Germany, but provide it throughout Europe. The issues we want to tackle

BROAD-SPECTRUM ANTIVIRALS CHALLENGE

STAGE 0 1

TEAMS: 9

DURATION: NOV. 1, 2021 –  OCT. 31, 2022

STAGE 0 2

STAGE 0 3

TEAMS: 6 TEAMS: 4

DURATION: NOV. 1, 2022 –  OCT. 31, 2023

DURATION: NOV. 1, 2023 –OCT. 31, 2024

CHALLENGE: CARBON-TO-VALUE

0 2

TEAMS: 5 TEAMS: 3

DURATION: MAY 1, 2022 – APR. 30, 2023

DURATION: MAY 1, 2023 – SEPT. 30, 2024

OF  THE CHALLENGES

LONG-DURATION ENERGY STORAGE CHALLENGE

STAGE 01 STAGE 02

TEAMS: 5

DURATION: DEC. 1, 2022 – NOV. 30, 2023

TEAMS: 4

DURATION: DEC. 1, 2023 –MAY 31, 2025

CHALLENGE: CIRCULAR BIOMANUFACTURING

STAGE 0 1

TEAMS: 8

DURATION: NOV. 1, 2023 - OCT. 31, 2024

STAGE 0 2

STAGE 0 3

TEAMS: 2–6 TEAMS: 2–4

DURATION: NOV. 1, 2024 –  OCT. 31, 2025

DURATION: NOV. 1, 2025 –OCT. 31, 2026

SPRIND CHALLENGES GATHER TEAMS WHO WANT TO RETHINK AND RESHAPE OUR WORLD

BROAD-SPECTRUM ANTIVIRALS CHALLENGE

CARBON-TO-VALUE CHALLENGE

CIRCULAR

CHALLENGE LONG-DURATION ENERGY STORAGE CHALLENGE

SCAN AND STREAM BREAKING LAB WITH JACOB BEAUTEMPS

CHALLENGE:

BROADSPECTRUM ANTIVIRALS

Viruses are an unpredictable threat to global health, the economy and society – not least proven by the recent the SARS-CoV-2 pandemic. Several million people have died since the start of the pandemic. There is still a lack of effective therapeutics against SARS-CoV-2 and emerging variants. The truth is that there are still no therapeutics against many other viruses either. Potentiating viral loads, high mutation rates and limited targets are inherent to viruses, making them true "survival artists" and placing high demands on drug development. The great desire to overcome the pandemic helped new mRNA-based technologies and new ways of drug delivery to achieve a rapid breakthrough in vaccine development – contrary to the expectations of many experts.

Similarly, breakthroughs are needed in the development of antiviral agents. Highly innovative approaches are required to combat viral infections. Through this challenge, SPRIND supports new technological approaches for breakthrough innovations to combat viral infections. Participation in the challenge demands that teams give it their all. In turn, we provide them with intensive, personalised support. This not only includes funding the teams, but also providing individual support from a challenge coach who has relevant experience in the sector and has already implemented high-impact innovations themselves.

THE GOAL OF THE CHALLENGE

... is to use pioneering technologies to expand the repertoire of antiviral therapeutics, ensuring the availability of new treatment options and swift help for patients. The challenge teams are developing approaches for broad-spectrum antivirals and platform technologies for the rapid development of antiviral agents.

QUICK FACTS

DURATION

3 years (fall 2021-fall 2024)

SPIN-OFFS

• AVOCET (established 03/2023)

• MUCOSATEC (established 12/2023)

CHALLENGES

TOTAL BUDGET

EUR 25 million

STAGES 2023/24

4 teams (out of 9 in stage 1) in the final stage 3 of the challenge

• CPTx

FUNDING ROUNDS since the start of the challenge

• CPTxEUR 5 million seed

WHAT IS THIS CHALLENGE FOR?

For health and pandemic prevention

We want to develop platform technology to fight viral infections quickly and effectively.

THREE BILLION YEARS OF EXPERIENCE HOW CRISPR/CAS13 SEVERS RNA VIRUSES

Both humans and bacteria have to defend themselves against viruses. This natural antiviral defense system is called CRISPR/Cas. In recent years, CRISPR/Cas9 in particular has received a great deal of media attention because the enzyme can also be used in humans to cut or cleave genes – as genetic scissors.

“CRISPR/Cas9 has its origins in bacteria to combat DNA viruses, and it is already being used in a variety of clinical applications, for example in the treatment of hereditary diseases,” explains Professor Elisabeth Zeisberg, a medical scientist from the University of Göttingen. However, bacteria do not only defend themselves against DNA viruses. Thanks to an enzyme called CRISPR/Cas13, bacteria can also cleave RNA viruses and thus render them harmless.

When the coronavirus pandemic broke out in 2020, a therapy against RNA viruses was urgently needed. “It was obvious to us that we could use CRISPR/Cas13 as an antiviral therapy for humans, rather like a gift from nature,” says Zeisberg, founder of Avocet Bio GmbH. In fact, within a very short period of time, Zeisberg and her team were able to show that CRISPR/Cas13 reduces infectivity of cells infected with SARS-CoV-2 by 99 percent. And not only has the proof of concept in the cells been successful, the first animal experiments have also been effective. “Hamsters infected with SARS-CoV-2 show a significant reduction in lung damage,” reports Elisabeth Zeisberg.

In order for the CRISPR/Cas13 enzyme to be able to cleave viral RNA, it must first be placed in the right position. This requires so-called guide RNAs, which are small RNA snippets. The guide RNAs direct Cas13 to the target RNA sequence, where it binds and severs the RNA.

A computer analysis indicates exactly where the RNA is to be cut. Zeisberg has established three criteria for identifying the optimal RNA site: The virus must be targeted at a relevant site, the selected RNA site should preferably not be affected by mutations and there must be no equivalent in the human genome. “In the case of SARS-CoV-2, we have identified 31 such RNA sites along with their corresponding guide RNAs, seven of which have proven to be optimal in a model system.”

The fact that the selected RNA sites tend not to be affected by mutations was already confirmed during the pandemic. “Despite being identified at a time when only the Wuhan variant of the SARS-CoV-2 virus existed, all of the optimal guide RNAs we found actually cover 100% of all other variants to date,” explains Elisabeth Zeisberg. Optimistically, she adds, “This makes it likely that future variants that we do not yet know can also be treated effectively.”

Elisabeth Zeisberg is currently focusing on the question of how the “packaging material” around the CRISPR/ Cas13 enzymes is constructed: “ The question is how do we get the therapy to where we need it, which, in the case of SARS-CoV-2, is the respiratory tract? Our current work focuses on this with the aim of establishing a formulation so that we can develop an effective nasal spray or inhaler.”

In addition to SARS-CoV-2, Zeisberg and her team are now also working on another disease: rabies. “Even today, unless you have been previously vaccinated, a rabies infection requires treatment within a very short time, otherwise there is simply no effective cure. As a result, some 60,000 people die from rabies every year,” states Elisabeth Zeisberg, explaining her motivation.

CHALLENGES

Zeisberg's experience with CRISPR technology spans many years. As a cardiologist, she uses CRISPR primarily to research organ fibrosis – the defective scarring of organs such as the heart. What fascinates Zeisberg most about her work is the development of new ideas and the prospect of making a difference. “But I also enjoy teaching and supporting young scientists,” affirms Zeisberg. As a mentor, she finds it particularly important to be a role model for other women, and as a mother of four, she knows, “ Women still have it harder than men when they have children and work full-time. I want to encourage young women to follow their aspirations.”

CAPTURED AND ENCAPSULATED HOW THE VIRUSTRAP TEAM USES DNA SHELLS TO ATTACH TO VIRUSES

Professor Hendrik Dietz has a vision: to capture viruses and render them harmless. His idea is to use small, flat shells that float around in the blood and attach themselves to viruses. The coating of these shells then prevents the viruses from coming into contact with cell surfaces. “The idea is to impair the surface of the virus particles in such a way that it can no longer successfully infect a human cell,” explains Dietz, Chair of Biomolecular Nanotechnology at the Technical University of Munich.

The 45-year-old and his team build the small shells from DNA molecules. These are used as building blocks for the construction of precise three-dimensional structures in the nanometre range. The technique is based on the complementary base pairs of DNA, which make it possible to design specific sequences that assemble into stable structures consisting of multiple crosslinked DNA double helices.

The physicist has been working with this fabrication method, known as DNA origami, for a long time. “The goal was always to make new drugs at some point,” explains Hendrik Dietz. “But the question was, where can DNA origami be used in the most meaningful way? What context would allow us to achieve an impact that cannot otherwise be easily achieved with existing methods?” In 2018, everything fell into place.

“I had two computer screens at the time. On one, I had the shell prototypes we had designed more as a research project with no immediate application, and on the other screen, I had an image of a virus. And then I thought, what would happen if I put the virus in a shell like this?”

The thought never left him, and Dietz began to take an interest in viral diseases. “I found it shocking that there is not much we can do about the vast majority of viral diseases. In some cases, you can prevent it with vaccinations, but once you actually fall ill, you're usually out of luck. Either you pull through or you don’t.”

DNA shells offer the possibility of encapsulating a variety of viruses. Depending on the type of virus, the inside of the shell is coated with different adhesives, meaning that the team uses special polymers and antibodies to bind the viruses to the shells. “We simply buy the antibodies and apply them to the shells,” explains Dietz. “The downside is that the production of antibodies is expensive, which also drives up the cost of potential drugs. In the long term, we want to move away from antibodies, and use artificial intelligence to design virus binders that match the surface properties of the viruses and can be made more easily.”

Nothing has to be perfect – neither the quality of the adhesive nor its placement on the shell. This is because the sheer design of the shells themselves significantly increases the adhesive effect.

Currently, the Virustrap team is currently focusing on animal studies to demonstrate the extent to which the virus trap can contain viral infections. One such test involves the chikungunya virus, which is a tropical infectious disease transmitted by mosquitoes. No treatment or vaccination currently exists. In the first series of animal experiments, mice were given a lethal dose of the virus. While the control group died on day five, all mice treated with chikungunya virus traps survived. “I still can’t quite believe it myself, because it just worked so well. It was an almost binary effect,” says Dietz, pleased with the success.

The virus traps are designed to work outside the cells. Injections are an obvious choice; however, nasal sprays or tablet are also possibilities that still have to be tested. Another important step involves thorough testing to understand how the body will react to the virus traps. Dietz is optimistic: “In mice, our virus traps seem to be well tolerated so far. Structured DNA, as found in the shells, does not occur naturally. So perhaps the virus traps could fly under the immune defense’s radar.”

THE INVISIBLE MASK MUCBOOST

GIVES HUMAN MUCUS AN EVOLUTIONARY UPGRADE

Mucus. While others may find it disgusting at first, Professor Daniel Lauster is fascinated by it. Our body produces a good two litres of mucus every day. As the body's first internal line of defense, it constantly intercepts pathogens for us. But some viruses cannot be stopped by the mucus barrier, and they infect us. Biophysicist Daniel Lauster wants to change this by strengthening the natural protective function of mucus.

“If we fill the weak spots in mucus with virus-binding protein molecules, we can give the mucus an evolutionary upgrade,” explains the director of the MucBoost team. In concrete terms, the protein molecules can be thought of as small connecting elements. They anchor themselves in the mucus with one end and dock onto the virus with the other. If this happens successfully, the virus is transported together with the mucus via the movement of the cilia on the mucosa into the throat and from there, into the stomach, where it is destroyed by gastric acid.

When Daniel Lauster started the SPRIND Broad-Spectrum Antivirals challenge a year and a half ago, the coronavirus pandemic was in full swing, which is why the MucBoost team initially focused on developing a nasal spray against SARS-CoV-2. Since then, the team has switched to fighting influenza viruses. In principle, however, the MucBoost concept can be applied to many types of virus, even those that are still unknown.

This is because as soon as the viral surface proteins –also known as spike proteins – can be biotechnologically produced, the search for a suitable virus adapter can begin: “We put different peptide variants on the surface of a virus protein and look at what it, or its spike, binds to best,” says Lauster, who identifies the binders at the molecular level. “I'm a big fan of developing antiviral molecules using biophysical methods because you can visualize what is really happening at a very high resolution.”

The modular concept makes it possible to react very specifically to a new virus. However, the MucBoost nasal spray can also be used as a broad-spectrum therapeutic agent. “For us, conserved regions – which are regions that have remained the same for many viruses despite evolution – are particularly interesting. Our influenza binder therefore attached close to the sialic acid binding site. It is fairly well conserved because viruses

always have to bind to sialic acid in order to enter the cell,” explains Lauster. Initial laboratory tests show that the concept is working. “We can bind to several strains of the seasonal flu virus H3N2 as well as to H1N1 and the avian flu strain H7N1.”

While other scientists are engaged in basic research, Daniel Lauster is attracted to something else. “I do not want to create exotic structures that can potentially only be published in a paper. I want to develop something that can be used practically, something that is useful for people.”

The nasal spray, which will soon undergo initial animal studies, could be used directly in two different ways. Because it reduces the concentration of the virus, it could be used to weaken the course of the disease in newly ill patients, but it could also be used preventively. “In other words, I see it as a supplement to a mask. This is why we call it the invisible mask, because there are situations where you cannot wear one, like when eating and drinking,” says Lauster, outlining his vision. The disease-causing viruses would be filtered out directly by MucBoost upon contact with the mucus, preventing infection.

Daniel Lauster has devoted himself entirely to the subject of mucus. While MucBoost aims to increase the effectiveness of mucus, in another research project (MucPep) he is looking for ways to reduce mucus – for example in cystic fibrosis, a disease which is still incurable to date. However, it is not just mucus in the lungs that interests him. “We have around 200 square meters of mucus in our bodies, but its composition varies depending on the tissue.” It is quite possible that MucBoost could also be used in other regions of the body in the future, such as our intestines. “We can adjust our mucus binder accordingly. It is already stable at body temperature and can also survive passing through the stomach.” This means that oral therapy for intestinal viruses or bacterial toxins would be possible.

CHALLENGES

There is no danger of Daniel Lauster getting bored. Not only has the 38-year-old been a junior professor of biopharmaceuticals at the Institute of Pharmacy at the Freie Universität Berlin since May 2023, but he is also still studying at the same time. Alongside his doctoral thesis in experimental biophysics, he also began studying medicine. “If you are really dedicated to science, you have to be fully committed. You have to be intrinsically motivated, otherwise it won’t work,” he asserts, adding, “But it is great when ideas work. Translational research is what excites me, because I believe that I will be able to experience the success of my research myself while also making a positive contribution to society.”

CHALLENGES

THE ACHILLES’ HEEL OF VIRUSES HOW IGUARD DISABLES VIRUSES

Professor Axel Schambach wants to be prepared for the next pandemic. “Our aim is to be able to develop customized therapies as quickly as possible.” Normally, it takes several years or even decades to develop a new drug, which is eons for viruses. "SARS-Cov-2 was the perfect example of how quickly a virus can mutate. First came the Alpha variant, then the Delta variant, then Omicron, and now we have new variants again, so the vaccination strategies that were originally developed very quickly at the time are not very effective,” explains Schambach, Professor of Molecular Medicine and Gene Therapy at Hannover Medical School. “But what we always know very early on – and this was also the case with the virus from Wuhan – is how the virus is genetically structured.” Using artificial intelligence, he aims to compare this information with other virus strains. “We are looking to see whether there are certain Achilles’ heels worth targeting that make it difficult for the virus to mutate.”

Currently, Axel Schambach and his team are focusing on parainfluenza viruses. This is a family of viruses that can cause a mild cold as well as more serious respiratory illnesses such as bronchitis and pneumonia, which can have life-threatening consequences, especially in patients with compromised immune systems and transplants. To date, the absence of specific antiviral therapy has meant that treatment for parainfluenza infections only focuses on symptom relief.

This is about to change. “Basically, we looked at the whole genome with AI to see which areas of the viral mRNA are particularly vulnerable and, at the same time, resistant to mutations,” explains Schambach. Small, complementary RNA snippets – so-called siRNAs (small interfering RNA) – then dock onto the selected areas. “In general, the RNA snippets only need to be between 16 and 20 base pairs long. Since a virus genome is relatively large, we can attack it with the RNA snippets at several points,” outlines the researcher.

As soon as the siRNA enters the host cell, the cell inspects the viral mRNA for a complementary segment. Once the genetic counterpart to the siRNA has been identified, mRNA and siRNA combine to form a double strand. “This is called RNA interference,” states Schambach.

The double strand is recognized by an enzyme, a component of the Argonaute proteins, and cleaved into small pieces. The mRNA has the task of transporting the genetic information of the virus for protein synthesis. However, the cut mRNA fragments can no longer be used as a template for protein production, thus severely disrupting the replication of the virus to the point that it can no longer reproduce. “In other words, we generate endogenous signals that help the body to destroy the virus itself,” summarizes the physician.

“Simplicity is beautiful. Based on this principle, all we are doing is adding siRNA. The cell does the rest itself,” says Schambach, explaining the elegance of the method. “All we are doing is giving the initial push, as in a game of dominoes. This makes our delivery method extremely simple.”

Since the team is focusing on respiratory viruses, it wants to develop an inhalable therapeutic agent. “This is particularly exciting because there are relatively few companies in the pharmaceutical industry that focus on this,” says Schambach. “We have really broken new ground here and shown that it works in cell culture. Not only in animal studies, but also in living lung cells from patients.”

Therapeutics based on RNA interference (RNAi) represent a new class of drugs. The first RNAi therapeutic was approved for the patient treatment in 2018. RNAi drugs are currently being examined in clinical trials for various indications. “RNAi is broadly applicable to all kinds of viral infections and, especially those we don’t even know about yet,” enthuses Schambach, adding, “There are also a lot of diseases where the issue is protein overexpression. This is another area we can target, reestablishing the proper protein levels in a self-regulating way.”

The major advantage of the technology is that suitable siRNAs can be found and synthesized very quickly thanks to the support of the AI algorithm and the preclinical development pipeline tailored to it. Axel Schambach, who worked in Central Africa for several years, believes it is important that new RNAi drugs are produced quickly and cost-effectively. “Every patient who needs the therapy should be able to benefit from it. And for me, that explicitly includes developing and emerging countries.”

Schambach is convinced of the success of his research, particularly because of his colleagues. “We have a whole team of people who are excited about new topics, who don’t shy away from challenges and who refuse to give up at the first sight of a problem: people who strive to innovate and push new things forward.” Supporting and encouraging young colleagues is especially important to him. “It is vital for us to have young people on the team who can tackle such developments over the long term and commit to them for decades to come.” The iGUARD team around Axel Schambach, Philippe Vollmer Barbosa, Professor Armin Braun and Professor Adrian Schwarzer also brings together people with different core competencies. “A lot of what we do is a synergistic team effort in which we work together to find the right solutions for the medicine of tomorrow.”

HOW THE ADVANCE MARKET COMMITMENT INITIATIVE COULD SAVE LIVES AND TRILLIONS OF DOLLARS

MICHAEL KREMER

Faculty Director of the Market Shaping Accelerator at the University of Chicago and 2019 Nobel Laureate in Economics

With the support of the University of Chicago, SPRIND has proposed new funding models to stimulate the development of antiviral drugs for pandemic preparedness. New research from SPRIND indicates that the early availability of antiviral therapeutics could save millions of lives and avoid financial losses of USD 28.2 trillion in a future Covid-like pandemic.

Researchers at SPRIND modeled 135 scenarios based on COVID-19 data collected by the World Health Organisation and Our World in Data. The reference scenario assumes that antiviral drugs become available 100 days after pandemic outbreak and offer 50% protection against transmission and 50% effectiveness against mortality. The research found that six million lives could be saved and 91% of economic losses averted.

MASTERING THE CHALLENGES OF OUR TIME INTERNATIONALLY

SPRIND is working on this project as part of an innovation challenge with the University of Chicago's Market Shaping Accelerator under the direction of Nobel Laureate Michael Kremer. The team has contributed to the development of a market-shaping mechanism and address the challenges related to payouts, regulatory issues and current commercial market uses of these antivirals.

“Pandemics pose a huge threat to our economy and society. Innovation can help protect us from future pandemics, as demonstrated by the impact of novel mRNA vaccine technologies during COVID-19. Unfortunately, the existing incentives for investing in pandemic preparedness innovations fall far short of society's needs. By guaranteeing demand for successful products, the AMC designed by SPRIND with support from MSA can harness the energy and creativity of the private sector to invest in the development of broad-spectrum antivirals that would be invaluable in combating future pandemics.”

LESSONS FROM COVID-19

The need for novel antiviral therapeutics that can be available early in a new outbreak is also stressed by the US Biomedical Advanced Research and Development Authority (BARDA), the Health Emergency Preparedness and Response Authority (HERA) and the German

THOMAS KALIL CEO of Renaissance Philanthropy and former Deputy Director at the White House Office of Science and Technology Policy

JANO COSTARD Head of Challenges at SPRIND

Center for Pandemic Vaccines and Therapeutics (ZEPAI). Manufacturers lack the commercial incentives to invest in novel research that may not be reimbursed down the line, since the occurrence of pandemics is uncertain. Closing this gap between the public health benefits and the financial attractiveness of pandemic preparedness will be key to the funding and development of these agents.

RISK SHARING AS THE KEY

Since existing commercial funding models are unsuitable, alternative approaches are needed. A government-sponsored advance market commitment (AMC) enables a new form of risk sharing between taxpayers and investors. When new technologies are developed with the help of government grants, taxpayers pay for the inevitable failures that occur on the path to new drugs. As the AMC only pays for successfully developed drugs, the investors assume part of the risk of failed attempts to develop these new drugs. This allows governments to pursue ambitious goals of great benefit to society while sharing some of the technological risk with private investors.

“Governments can and should do more to reduce the threat of future pandemics, especially given the tragic loss of life associated with the COVID-19 pandemic and the enormous cost to the global economy. The work by SPRIND and MSA has identified that market design plays a key role in the development of broad-spectrum antivirals, given that they could have high social returns and uncertain private returns. I hope that governments and other funders will join forces to support this proposal. Millions of lives may depend on it.”

As part of the SPRIND broad-spectrum antivirals challenge, a number of different approaches were funded that are delivering promising results, with additional approaches from other therapeutic areas, or even those that do not yet exist, still to be tested. An AMC would therefore allow this research field to progress organically, rewarding whichever methodology proves successful without curtailing the scope of possibilities. By aligning incentives with broader public health objectives, such as regulatory approvals and manufacturing capacity, an AMC can create effective incentives for the timely availability of antiviral treatments in the event of a pandemic outbreak.

“The findings of this research highlight the game-changing potential of novel therapeutics in pandemic response. Importantly, these new technologies also have transformative potential outside of pandemics to tackle respiratory viruses that lack proper medication. However, the key importance is really in how we enable technologies that could save lives, which can be achieved through preventive investment. Thanks to the teams at SPRIND, MSA and UChicago for their dedicated to this groundbreaking work.”

CHALLENGES

SCAN AND STREAM BREAKING LAB WITH JACOB BEAUTEMPS

CHALLENGE: TO REMOVE LARGE QUANTITIES OF CO2 FROM THE ATMOSPHERE OVER THE LONG TERM AND BIND THEM ECONOMICALLY

IN PRODUCTS

The climate catastrophe means we must reduce our CO2 emissions. Weather extremes are already on the rise and will become even more frequent and intense in the future. They destroy livelihoods, threaten our health and cause enormous economic damage. To limit the consequences of climate change, we must not only drastically reduce our current CO2 emissions, but also remove colossal quantities of greenhouse gases from the atmosphere that were emitted by humankind in the past.

But how can large quantities of CO2 be stored in a durable, sustainable and economically viable product?

This question is the focus of SPRIND Carbon-to-Value challenge, which was launched in 2022. During the first stage of the challenge, five teams received funding of up to EUR 600,000. Three teams were particularly convincing: Carbo Culture, enaDyne and Macrocarbon. They were selected for the second stage in April 2023 and will receive up to EUR 2,300,000 by the end of the challenge on September 30, 2024.

TEAMS

The construction industry has a particularly bad CO 2 footprint. Currently, cement production is responsible for around three times as much CO2 as all global air traffic. CARBO CULTURE wants to change that. To do this, the company sequesters carbon from waste biomass in the form of biochar, which, as a carbon-negative alternative, not only improves the CO2 footprint of concrete, but also its properties. Specifically, the proprietary pryolysis technology makes the biochar as electrically conductive as graphite. Possible applications include prefabricated concrete components or floors that can be heated due to their conductivity. In September 2024, the team plans to build a heated staircase in Finland.

• The company ENADYNE wants to use CO2 to produce green chemicals, including for the production of e-fuels. By employing non-thermal plasma catalysis, the team is able to convert CO2 from biological sources into methanol, ethylene and other hydrocarbon compounds with little energy input. Until now, these compounds, which play a key role in the chemical industry, have been produced almost exclusively by processing fossil raw materials. EnaDyne is currently preparing the use of the plasma catalysis reactor in biogas plants.

• The company MACROCARBON also produces chemical raw materials, albeit using a completely different approach. It relies on algae. Algae is one of nature's ultra-efficient sequesters of CO2. This is why MacroCarbon is currently building an ocean farm in the Canary Islands, where the algae Sargassum and Ulva will be cultivated. Through a process of fermentation, the company is able to process the CO2 sequestered by the algae into raw materials such as naphtha and SAFs.

QUICK FACTS

DURATION

2.5 years (spring 2022-fall 2024)

CHALLENGES CARBON-TOVALUE

TOTAL BUDGET

EUR 18 million

STAGES 2023/24

Three teams (out of five in stage one) in the final stage two of the challenge

SPIN-OFFS

MACROCARBON (03/2023)

FUNDING ROUNDS since the start of the challenge

CARBO CULTURE: EUR 25 MILLION, SERIES A (Q4/2023)

• ENADYNE: EUR 3.9 MILLION, PRE-SEED

WHAT IS THIS CHALLENGE FOR?

For climate protection through economic incentives in emissions policy. We want to enable the sustainable removal of large quantities of CO2 from the atmosphere and bind it in commercial products.

HOW OUR CHALLENGE TEAMS REACH THEIR GOAL, AND WHICH TECHNOLOGY THEY USE TO EXTRACT THE CO2 FROM THE ATMOSPHERE, IS UP TO THEM.

MORE IN-DEPTH INSIGHTS INTO THE CARBON-TO-VALUE CHALLENGE CAN BE FOUND ON OUR WEBSITE.

TEAM INSIGHT  CARBO CULTURE

The construction industry has a particularly bad CO 2 footprint. Currently, cement production is responsible for around three times as much CO2 as all global air traffic. CARBO CULTURE wants to change that. To do this, the company sequesters carbon from waste biomass in the form of biochar, which, as a carbon-negative alternative, not only improves the CO2 footprint of concrete, but also its properties. Specifically, the proprietary pryolysis technology makes the biochar as electrically conductive as graphite. Possible applications include prefabricated concrete components or floors that can be heated due to their conductivity. In September 2024, the team plans to build a heated staircase in Finland.

The company enaDyne wants to use CO2 to produce green chemicals, including e-fuels. By employing non-thermal plasma catalysis, the team is able to convert CO2 from biological sources into methanol, ethylene and other hydrocarbon compounds with little energy input. Until now, these compounds, which play a key role in the chemical industry, have been produced almost exclusively by processing fossil raw materials. EnaDyne is currently preparing the use of the plasma catalysis reactor in biogas plants.

TEAM INSIGHT  MACROCARBON

CHALLENGES

The company MacroCarbon produces chemical raw materials, albeit using a completely different approach. It relies on algae. Algae is one of nature's ultra-efficient sequesters of CO2. This is why MacroCarbon is currently building an ocean farm in the Canary Islands, where the algae Sargassum and Ulva will be cultivated. Through a process of fermentation, the company is able to process the CO2 sequestered by the algae into raw materials such as naphtha and SAFs.

SCAN AND STREAM BREAKING LAB WITH JACOB BEAUTEMPS

CHALLENGE: TO STORE ENERGY AND EFFICIENTLY PROVIDE POWER FOR MORE THAN TEN HOURS WITHOUT USING CRITICAL RAW MATERIALS

LONG DURATION ENERGY STORAGE

To play its part in the fight against climate change, Germany must become climate-neutral by 2045 and secure its energy supply exclusively from renewable sources. The pressure to act has also increased as a result of the war in Ukraine, as gas has lost its appeal as a transitional technology, and Germany's independence in terms of energy supply has gained massively in importance. In view of these new existential threats, the increasing frequency of natural disasters and extreme weather events, the share of renewable energies will have to rise sharply over the next two decades. At the same time, baseload nuclear and coal-fired power plants are to be completely taken off the grid by 2038 and replaced by wind and solar power.

In this context, long periods without significant solar and wind energy potential pose a particular challenge, so-called dark lulls. During such dark lulls, the output of wind and solar power is only a fraction of the usual average output, meaning that the energy demand cannot be met even with the help of load management and short-term storage. In Germany, several dark lulls lasting more than 48 hours happen every year, but in individual cases they can also last up to ten days. During these periods, long-term energy storage systems –in other words, energy storage systems with a storage duration of at least ten hours – play an essential role in ensuring the stability of the power grid. In addition, there are usually long periods during the winter in which energy generation will short of demand in the future.

Long-term energy storage systems are a key building block for energy autonomy and achieving climate targets, and at the same time present a growing multi-billion market that cannot be adequately served by current market-ready technologies.

TEAMS

• A radically simple design – that's the secret behind the new flow battery by UNBOUND POTENTIAL . The company is working on a membrane-free battery to rival lithium-ion batteries.

REVERION is working on a system that can go from storing energy to supplying it in less than a minute. The company uses a ceramic fuel cell that works at very high temperatures.

• HALIOGEN POWER is developing a new generation of redox flow batteries: a membrane-free battery. No membrane means 30 percent lower manufacturing costs and a longer battery life.

• Iron, air and water: ORE ENERGY is using these three elements to revolutionize the battery industry. the team's iron-air battery is designed to provide 100 hours of power and to step in whenever no renewable energy is available.

DURATION

2.5 years (winter 2022-spring 2025)

SPIN-OFFS

HALIOGEN POWER

FUNDING ROUNDS since the start of the challenge

REVERION: Convertible notes for EUR 8.5 million

ORE ENERGY: EUR 10 million, seed

CHALLENGES

TOTAL BUDGET

EUR 18 million

STAGES 2023/24

Four teams (out of five in stage one) in the final stage two of the challenge

• UNBOUND POTENTIAL: Seed in Q2/2024

WHAT IS THIS CHALLENGE FOR?

For a climate-neutral future and energy autonomy. We want solutions that enable long-term and sustainable energy storage.

QUICK FACTS

THE DESIGN REVOLUTION

HOW UNBOUND POTENTIAL IS RETHINKING FLOW BATTERIES

A radically simple design – that’s the secret behind the new flow battery by Unbound Potential. The company is working on a membrane-free battery to rival lithium-ion batteries. Membraneless batteries save costs and are more efficient, but they do come with some challenges. “The most trivial problem, that the liquids mix without a separating membrane, can be solved by using two immiscible liquids – comparable to oil and water,” explains David Taylor, CEO of Unbound Potential. “The real challenge in scaling up membraneless systems is that you need active control loops to control the inflow and outflow rate of each fluid in each cell.”

Flow batteries work by having two different electrolyte liquids flow continuously into the battery, where they are either charged or discharged depending on the charging process, and then flow out of the battery again. “You have an inflow rate and an outflow rate for two liquids. This means you have four control variables per cell,” explains Taylor. Among other things, a membrane ensures that the ratio between the two electrolyte liquids remains the same. However, if the membrane is missing, exactly the same amount of electrolyte liquid must flow in and out of the battery so that the invisible separating layer between the liquids in the battery does not shift.

“When you take a battery, which is a closed system, and you pump liquid into one side, you increase the pressure in the system. This increase in pressure automatically causes liquid to leak out on the other side. But you have no control over exactly how much anolyte and how much catholyte is pushed out,” says Taylor, describing the problem. “If the flow resistances at the outlet are not perfectly matched to the viscosity of the liquid, which in turn can change rapidly due to temperature, there may be slightly more catholyte going out than in – and the interface shifts accordingly, which means that the battery no longer works optimally.”

According to Taylor, effective and active control of the inflow and outflow rates of the electrolyte liquids is not feasible on a large scale. That’s why Unbound Potential is daring to do something revolutionary: “We don’t measure, control or regulate anything. We have a completely different design concept that takes advantage of the fluidic boundary conditions to ensure that the same amount of fluid always flows in and out automatically,” says Taylor proudly. This passive concept will become a game changer for membraneless flow batteries. “The idea behind Unbound Potential is to build the simplest stationary storage system possible, because we believe that simplicity and robustness are key criteria for the scalability of the technology,” says Taylor.

Because Unbound Potential’s flow battery has a fundamentally different design to previous flow batteries, the company also manages to have 90 percent fewer sealing

surfaces. “There are no channels, no membranes, nothing to clamp or seal,” explains the 37-year-old. “This massively reduces the CapEx, the upfront investment.”

Unbound Potential’s main competitor is lithium-ion batteries, which are manufactured cheaply in China. However, in addition to the cost of the lithium-ion cells, there are also costs for the battery management system, which controls the equal charging of the cells. There is also a temperature management system to cool the cells and dissipate heat, and copper cables to connect the individual cells. “All of this periphery has to be scaled for lithium-ion batteries,” explains Taylor. “Our aim is not to be cheaper than the cell itself, but cheaper than the whole package. Our system is so simple that we can undercut this unavoidable cost point for lithium-ion batteries and thus become the market leader for stationary storage solutions.”

But Unbound Potential not only offers lower costs, but also better performance. “If the battery is charged and discharged very often per day, we have a performance advantage over lithium-ion batteries,” says Taylor. This is due to the good cycle stability of the flow battery, which has a lifespan of 20 years. Unbound Potential primarily wants to store electricity from wind and solar power plants for four to ten hours, but the system can theoretically be extended to 20 hours.

The battery system is housed in large containers. “A battery system will consist of around 40 containers, which equates to a capacity of ten megawatt hours,” says Taylor, admitting, "Energy density is not our strong point, but we can stack our containers to save space. That’s not possible with lithium containers, which have to be several meters apart because of the risk of fire." In contrast, nothing can burn in the containers used by Unbound Potential, so all containers can be placed close together. As a result, the space required for the entire system is no larger than a lithium battery system.

Unbound Potential’s concept is convincing – it will be launching a joint pilot project with Amazon from the end of 2025. Before this, however, the team will be busy performing some test runs in its freshly kitted-out test laboratory.

Taylor enjoys developing creative technical solutions, and, as a former researcher at ETH Zurich, also enjoys building a team. “When I was thinking about my future as a researcher, I asked myself whether it made sense to spend the next 20 years tinkering with some research project, given all the problems we have – and the energy transition in particular. I felt that the concepts we were developing could actually be implemented and used, but at the same time I had a strong desire to build something tangible,” recalls Taylor, adding, “Starting a company was the ideal way to do what I am good at and what I enjoy with maximum impact, with a clear goal and a clear effect that you can feel every day.”

CHALLENGES

THE ENERGY CONVERTER

HOW REVERION GENERATES ENERGY FROM HYDROGEN

“The new energy world is binary,” asserts Felix Fischer. “There is either a surplus of electricity or a shortage.” When the sun shines, electricity prices fall; when it doesn’t, prices rise and the rapid provision of stored energy becomes increasingly important.

Reverion is therefore working on a system that can go from storing energy to supplying it in less than a minute. The company uses a ceramic fuel cell that works at very high temperatures. “Whenever electricity is cheap, the solid oxide cell operates as an electrolyser and produces hydrogen,” explains Fischer, COO of Reverion. “But – and this is the beauty of it – at the touch of a button, the same system can absorb the hydrogen and use it to generate electricity again.”

DECOUPLING STORAGE CAPACITY AND STORAGE DURATION

The highlight is that unlike with batteries, it is possible to decouple storage capacity and storage duration. “We use an energy converter and an independent gas storage system,” explains Fischer. In extreme cases, this means that if the wind blows continuously for a fortnight, for instance, Reverion produces hydrogen for a fortnight. “Other batteries would be full after just a few hours, but we can continue to produce hydrogen without any physical limits.”

The system’s energy converter, the ceramic fuel cell, is located in a container. The hydrogen can be compressed or liquefied in a separate unit. “This gives you a high energy density. So you need relatively little space to store a lot of energy,” explains Fischer. The hydrogen can be stored directly on site, but it is also possible to connect the system to the natural gas grid. This means that the hydrogen can be transported away in large quantities and used directly in industry, for example – or it can be converted back into electricity at another location using Reverion.

MORE EFFICIENCY THROUGH A SUPERIOR SYSTEM COMBINATION

The ability to quickly switch between storage and power generation modes is not only practical, but also much more energy-efficient than two separate systems. “If you had two different ’stand-alone solutions’, an electrolyser and a fuel cell unit, then the electrolyser would always need a start-up phase. It has to warm up first. This takes a very long time with high-temperature electrolysis; with a cold start, you would have to wait for hours,” says the 36-yearold. Fuel cells also need a certain amount of start-up time. “Because all of our components are running all the time,

we don’t have this problem. All we have to do is flush the gas lines and change two or three valves. Electrically, the changeover takes place in milliseconds,” explains Fischer.

LOW ENERGY LOSSES THROUGH HEAT INTEGRATION

The key to success is heat integration, and this is something that Reverion takes very seriously. Waste heat is always put to good use. “This also increases the efficiency of the electrolysis.” Another innovation is the generation of electricity. “Generating electricity from hydrogen is relatively simple from a technical point of view, but not usually very efficient,” reports Fischer, adding cryptically, “We have found a way to change that.”

“The combination of technologies we have discovered gives us a round-trip efficiency of 75 percent,” says Fischer, admitting, “We cannot store energy without losses, but our energy losses in the conversion and reconversion of electricity into hydrogen are lower than almost anything else that has been achieved so far.”

No wonder there are already some interested parties. In addition to solar and wind farms, breweries are also interested in Reverion’s system. A perfect use case for Reverion. Breweries that have a solar system on their roof and do not produce at the weekend can use the Reverion system to store sunlight at the weekend and use the electricity themselves on Monday morning when it is still dark. If the breweries were to sell the electricity into the grid at the weekend instead, it would hardly be worth anything.

SCALING: SERIES PRODUCTION IN SIGHT

The first 100-kilowatt system is to be tested in continuous operation by the end of 2024. “After that, we want to scale up by a factor of ten. This should be possible within a few weeks, because it doesn’t require any further leaps in innovation, just very clean, traditional engineering work,” explains the trained energy and process engineer.

Scaling also plays an important role at Reverion in terms of personnel. Within two years, the original team of five has grown into a company with over 100 employees. The impetus for Reverion came from Dr. Stephan Herrmann, who completed his doctorate in the same department as Fischer. Fischer recalls, “We realised that solar systems alone were not enough for the energy transition. There is a gap we had to fill.” Herrmann and Fischer felt the urge to take matters into their own hands. “I never wanted to start a company because I wanted to be a founder, but rather because I wanted to do something meaningful and worthwhile with my time. That is my intrinsic motivation,” says Fischer. Referring to his team, he enthuses, “What sets us apart is that we are passionate about finding technical solutions to an extremely acute problem.”

THE ZINC-BROMINE BATTERY 2.0

HOW HALIOGEN POWER CREATES A MEMBRANE-FREE REDOX FLOW BATTERY

Thin walls protect redox flow batteries from short circuits while allowing ion exchange between electrolytes – membranes have been used in batteries for decades. But this could change. “We are developing a new generation of redox flow batteries: a membrane-free battery,” says Dr. Lewis Le Fevre, summarizing HalioGen Power's innovative approach. No membrane means 30% lower manufacturing costs and a longer battery life. “The membrane of a redox flow battery fails after about eight years, at which point it has to be replaced or the battery will stop working,” explains Le Fevre, CTO and co-founder of HalioGen Power.

However, eliminating the membrane is not the only innovation. “We have dispensed with one of the most expensive components, namely vanadium,” says Le Fevre. “Vanadium is even rarer than nickel and cobalt and 70% of it comes from China.”

ZINC AND BROMIDE INSTEAD OF VANADIUM

Instead, the nine-strong team at HalioGen Power is working on a battery that uses zinc and bromide. Zinc-bromine batteries have been around for some time, but they have a membrane – and some problems. “Bromide oxidation produces various bromine compounds, including bromine gas, which is very toxic,” explains Le Fevre. And zinc also has its issues. “Deposits known as dendrites form on the zinc electrode. These grow unevenly, so that you end up having tree-like structures coming off your electrode.” The dendrites can pierce the membrane of the battery and cause a short circuit. To prevent this, the distance between the electrodes must be relatively large. “However, this means higher resistance and therefore lower performance,” says Le Fevre, summarizing the complications.

“We have succeeded in fundamentally solving these problems,” he says proudly. “While I was studying for my PhD, I worked on zinc-based energy storage systems, and in the third year of my thesis I found a solution.” But, he admits, “It's a very complicated chemical process that was very slow and not scalable.”

A PROTECTIVE LAYER INSTEAD OF A MEMBRANE

Le Fevre and his colleagues at HalioGen Power are therefore working on an electrochemical solution that speeds up the process and makes it easier to control. And they have reaped success: “We have found a way to electrochemically deposit a protective layer on the zinc surface that increases corrosion resistance and significantly reduces dendrite growth.”

What the adjustable protective layer is made of is still a secret, but Le Fevre reveals, “It is a so-called solid electrolyte interface, which consists mainly of a widely available food additive and it's very thin. We can grow a

protective layer with an adjustable thickness of less than 100 microns.”

The protective layer regulates the zinc flow to the electrode, as only zinc can penetrate certain areas of the protective layer; it is not permeable to bromine. At the same time, the protective layer prevents the battery from self-discharging. “We have proven in the laboratory that the self-discharge of our prototype is less than 1% with a charging time of 15 hours. This is an important selling point for us,” says Le Fevre. The protective layer allows the electrodes to be closer together, which in turn means higher performance. “Thanks to some chemical changes we have made, our zinc-bromine battery is 30% more efficient and 160% more energy-dense than a conventional vanadium system.”

HalioGen Power is planning a 10-kilowatt-hour system that is the size of an air conditioner and can therefore be easily installed on or in a house to store solar energy. The battery itself is non-flammable, and the team was also able to reduce toxicity compared to previous zinc-bromine batteries. This is because the battery contains liquid bromine rather than bromine gas.

HEAT RESISTANT UP TO 90 DEGREES

Another advantage of the zinc-bromine battery is its heat resistance. Le Fevre knows how important this is from his own experience: “My family lives in Australia. There was a large lithium-ion battery plant in Western Australia. When it was hotter than 45 degrees Celsius for several days, the battery cooling system failed and the lithium-ion battery went up in flames,” he reports. “There is a need for energy storage systems that can withstand extreme temperatures, especially heat.” What's more, extreme heatwaves are becoming more frequent due to the climate crisis.

“Our system works even at 90 degrees,” says Le Fevre. This opens up a new market for HalioGen Power. “We can also sell our product in countries where redox flow batteries could not be used before, or only with expensive cooling. We are therefore focusing primarily on countries in subSaharan Africa, South East Asia, South America and Australia.”

In addition to the 10-kilowatt-hour system for private households, HalioGen Power is also working on a 100-kilowatt-hour system for industrial estates. “We hope to have both fully commercialized by 2027,” explains Le Fevre. The 32-year-old is relaxed about the technical hurdles. The scientist, who recently set up HalioGen Power as a spin-off from the University of Manchester, has deep respect for the business world and the challenge of running a company. “I’ve always said to people that I could do it better. And now I really want to do it better.”

CHALLENGES

THE RUST OF THE FUTURE

HOW ORE ENERGY MAKES BATTERIES BREATHE

Iron, air and water: Ore Energy wants to revolutionize the battery industry with these three elements. the team’s ironair battery is designed to provide 100 hours of power and to step in whenever no renewable energy is available.

LIKE A LUNG THAT BREATHES IN AND OUT

Ore Energy’s battery consists of an iron anode surrounded by water and a membrane-like cathode. During discharge, oxygen enters the battery through the membrane. This “inhalation” causes the iron anode to rust and the oxidation process releases energy. However, if energy is supplied to the battery, the charging process regenerates the anode and oxygen is exhaled through the membrane. “The battery is like a lung that breathes in and out, turning iron into rust and vice versa,” explains Dr. Aytac Yilmaz, co-founder of Ore Energy.

Iron-air batteries are not a new invention. The concept was developed back in the 1960s. However, it has been difficult to implement because iron rusts easily, but the process is difficult to reverse. “If you look at a rusty bridge, for example, it is a very stable form of rust. It’s very difficult to turn it back into iron,” explains Yilmaz. But not all rust is the same: Whether it is reversible depends on its nature.

COMPLETELY DIFFERENT FROM ANYTHING THAT HAS BEEN USED SO FAR

So how does Ore Energy create reversible rust? “Although our anode material is based on iron, it is completely differently to anything that has been used before,” Yilmaz says proudly. What other materials are hidden in the anode, however, remains a company secret.

So let’s focus on the cathode: The cathode is essentially a membrane that allows oxygen to flow in and out. “This happens through a special structure,” says the 35-year-old and continues, “There is a region on the membrane that we call the three-phase boundary. This is where the solids of the membrane meet the electrolytes, which means water on one side and air on the other.” And this is exactly where the reaction takes place that allows the battery to “breathe”. When discharging, oxygen is reduced to hydroxyl ions; when recharging, the hydroxyl ions become oxygen again.

AFFORDABLE AND RECYCLABLE MATERIALS

“Iron is cheap, so we will be able to offer a very cost-effective battery, which is a decisive advantage over other batteries,” states Yilmaz and specifies, “The cost is just 16 euros per kilowatt hour.” By comparison, the price of lithium-ion batteries in 2023 was around ten times higher.

Another advantage is the safety of the battery. It is neither toxic nor flammable. The capacity is believed to be several megawatt hours and the efficiency is in the range of flow batteries. Yilmaz estimates that the battery will last 20 years, after which the iron it contains can be recycled. The battery is modular and expandable, and is primarily intended to appeal to energy suppliers looking for a gridconnected application.

Behind the battery, which is housed in a large container, is an expanding team of thirty employees from 14 nations. Yilmaz himself was born in Turkey, studied in the USA and completed his PhD in materials science in the Netherlands. It was there that he began to work on the new iron-air battery.

Yilmaz quickly realized that the scientific findings could become an effective technology that needed to be transferred to society. But leaving university was a challenge: “We do excellent research in Europe. If you look at the number of high-impact papers, Europe does very well compared to the US or the rest of the world. However, the number of companies that come out of universities and are successful is negligible compared to the USA. That is a problem that needs to be addressed,” says Yilmaz, summing up the situation.

DECISIVE BOOST FROM SPRIND

The SPRIND Long-Duration Energy Storage challenge came just at the right time for Ore Energy. “We were still at the very beginning and the support from SPRIND gave us a decisive boost. It allowed us to grow much faster and develop our technology much more quickly,” recalls Yilmaz, CEO of Ore Energy. Ore Energy plans to produce the battery on a pilot scale next year. The next big challenge is scaling up. Yilmaz can't move fast enough, because time is of the essence: “Climate change is the biggest problem facing humanity. If we want to achieve the energy transition, we have to start yesterday.”

SCAN AND STREAM BREAKING LAB WITH JACOB BEAUTEMPS

CHALLENGE: WE NEED BREAKTHROUGH INNOVATIONS TO CONVERT WASTE STREAMS DIRECTLY INTO NEW PRODUCTS.

Until now, our manufacturing processes have been based almost entirely on the use of newly extracted (raw) materials with insufficient emphasis on recycling from waste streams. This places an enormous burden on the environment and society. In addition, dependencies remain in supply chains that could be reduced through access to local materials.

A circular economy in which new products are manufactured on the basis of existing raw materials, on the other hand, enables more sustainable and resilient production.

To achieve this, biomanufacturing processes must be developed to market maturity and directly integrated with modern production processes. Scientific advances in recent years have produced new findings and methods that can significantly increase the efficiency of biomanufacturing processes and open up new application possibilities. And this is urgently needed. Although alternative ways of producing a wide range of products to replace the conventional petrochemical or chemical manufacturing processes have gone to market, breakthroughs have so far only been achieved in niche applications. However, the aim must be to switch the majority of production to the use of locally available raw materials.

TEAMS

SURFACYCLE from the Belgian biotechnology company AmphiStar focuses on the production of various biosurfactants from food waste, such as used cooking oil.

C3 BIOTECHNOLOGIES (Acrylics) produces the plastic PMMA –better known under the trade name Plexiglas – from potato starch, residues from biodiesel production and sugar beet pulp.

• CircuMat-3D, led by Dr. Mahmoud Masri, uses fats and long-chain hydrocarbons produced in yeasts in order to gain many different technically interesting polymers, some of which are even edible.

• EVERYCARBON uses organic waste to produce an important chemical for the manufacture of high-quality plastics.

INSEMPRA GMBH and its 'BioTreasure' team produce materials such as polyester and polyamides from plant residues, used cooking oil or PET waste using a special yeast.

• As waste streams such as plastic waste or old textiles are often contaminated, the MATERI-8 team led by Dr. Patricia Parlevliet and her colleagues from the University of Nottingham do not rely on a single microorganism, but on a co-culture of three different microorganisms in order to be able to utilize as much of the waste stream as possible.

• QUANTUM LEAP works with waste materials from the paper recycling industry, residues from bioethanol production and breweries, as well as molasses.

The SYMBIOLOOP team develops plastics that are in no way inferior to conventional plastics in terms of functionality. However, unlike the latter, SymbioLoop's plastics are almost infinitely recyclable.

QUICK FACTS

DURATION

3 years (fall 2023-fall 2026)

CHALLENGES CIRCULAR BIOMANUFACTURING

TOTAL BUDGET

EUR 40 million

STAGES 2023/24

Eight teams in stage 1 of the challenge

FUNDING ROUNDS since the start of the challenge

C3: GBP 4 MILLION, SERIES A

• INSEMPRA: USD 20 MILLION, SERIES A

• AMPHISTAR: EUR 8 MILLION, SEED

WHAT IS THIS CHALLENGE FOR?

For sustainability and resilience.

We want a circular economy in which new products are manufactured using existing (raw) materials.

A TOTAL OF EIGHT TEAMS ARE COMPETING AGAINST EACH OTHER. DR. LUISA GRONENBERG FROM THE BIOTREASURE TEAM REVEALS IN AN INTERVIEW HOW THEY ARE APPROACHING THE CHALLENGE AND WHAT MOTIVATES HER PERSONALLY.

WHAT IS THE CIRCULAR BIOMANUFACTURING CHALLENGE ABOUT?

The challenge is about using yeasts and bacteria, in other words microorganisms, to manufacture products and materials. Traditionally, the microorganisms are fed with sugar. The special thing about the Circular Biomanufacturing challenge, however, is that waste materials are used in place of sugar to feed the microorganisms and manufacture products. Every team has the task of using a total of three different waste streams and manufacturing three different products at the end of the challenge.

WHAT OTHER ASPECTS HAVE TO BE DELIBERATED IN THE CHALLENGE?

Rather than taking the usual three to five days, by the end of the three-year challenge, fermentation should take 180 days. During this time, both the inward waste flow and outward product flow should be continuous. In theory, this should enable more costeffective and efficient production. Another condition of the challenge is that we are not allowed to use conventional microorganisms. This means that the baker’s yeast S. cerevisiae and also E. coli bacteria, the so-called model organisms that most people at universities and in industry work with, cannot be used. Instead, we need a non-model organism –yeasts or bacteria that are not so well known and genetically explored.

WHY ARE THE KNOWN MICROORGANISMS EXCLUDED FROM THE CHALLENGE?

The reason for this is that we have been researching these model organisms for over 100 years and therefore know a lot about them already. Quite simply, however, there are many more microorganisms that could have great potential. The challenge gives us the change to consciously work on something different to broaden the spectrum and perhaps open up new possibilities.

WHAT EXACTLY ARE YOU AND YOUR TEAM WORKING ON?

We use plant-based agricultural waste, for example straw and wood waste, as well as used fats from kitchen waste, such as old frying oil. Our third and most difficult waste stream consists of PET plastic. Our three target products are a monomer that can be

polymerized to nylon, a monomer that can be polymerized to polyester and the fiber form of a protein. Our final products can be used to 3D print new plastic, or spun to produce new clothing and other materials. WHICH WASTE STREAM LEADS TO WHICH TARGET PRODUCT? AND WHICH MICROORGANISMS DO YOU USE FOR THE CONVERSION?

The idea is that everything can become everything. In other words, it doesn’t matter whether we work with old chip fat or agricultural waste. We use an oleaginous yeast that feeds on nutrients from the waste stream. We then use enzymes to modify or program our yeast to yield the desired end product. So there are three different metabolic pathways to manufacture the products. But what the yeast eats shouldn’t have any influence on what it produces. EVEN OUTSIDE OF THE SPRIND CHALLENGE, YOUR DAILY WORK FOCUSES ON FERMENTATION. YOU ARE HEAD OF RESEARCH AT INSEMPRA, A BIOTECHNOLOGY START-UP NEAR MUNICH. WHAT ARE YOU WORKING ON THERE?

At Insempra, we use fermentation to manufacture products that are normally produced synthetically from crude oil or extracted from rare plants. Specifically, that means that we use yeasts and bacteria to produce oils for cosmetics and various products for the food industry, including odorants, flavorings and antioxidants. Unlike for the challenge, we do not use waste streams here, but rather feed the microorganisms with various sugars. Working with waste streams is much more

of investors, but as a scientist, you usually submit research proposals in writing. So I was a bit nervous about pitching in front of a panel of experts, but there was a great atmosphere in Leipzig and it was interesting to meet the other teams in the hallway, who were all pretty nervous, too – it felt a bit like a game show. And then it all happened very quickly. We got the call the day after the pitch: YOU’RE IN! It goes without saying that we were all delighted. And then we said, okay, in order to achieve the goals, we pretty much have to start today. With SPRIND, there is no time to rest on your laurels – you’re accepted onto the challenge and then the project starts.

YOU GREW UP IN BOTH GERMANY AND THE USA AND STUDIED FOR BOTH YOUR MASTER’S AND PHD DEGREES IN CHEMISTRY AND CHEMICAL BIOLOGY AT HARVARD. YOU THEN WENT ON TO RESEARCH BIOFUELS AT THE UNIVERSITY OF CALIFORNIA BEFORE MOVING TO COPENHAGEN FOR EIGHT YEARS TO HELP SET UP THE START-UP BIOSYNTIA, WHICH USES FERMENTATION TO PRODUCE VITAMINS. THREE YEARS AGO, YOU STARTED TO HELP BUILD INSEMPRA. WHAT MOTIVATES YOU IN YOUR WORK?

What motivates me most is doing something to combat the climate catastrophe. You could say my CV is characterized by the question of how I can use my skills to move the needle in the right direction. That’s why I’ve spent so long looking at how we can produce biological substances using microorganisms. The aim is to replace petroleum-based processes, and we are already able to manu-

THE QUESTION NOW IS, CAN WE MANUFACTURE MASS-PRODUCED GOODS CHEAPLY ENOUGH TO REALLY COMPETE WITH PETROLEUM?

difficult because they are not always uniform. This is why we chose a very robust oleaginous yeast for the challenge. In other words, it’s not as finicky, as it doesn’t need to be at pH 7 to grow and can survive changes better. WHAT IS YOUR FAVOURITE THING ABOUT THE CHALLENGE?

facture many products. The question now is, can we manufacture mass-produced goods cheaply enough to really compete with petroleum? I think it’s great that SPRIND is shedding light on this topic and bringing so many different teams together to research it.

CHALLENGES

At Insempra, we normally manufacture high-quality products. This is mainly due to the fact that it is more difficult to compete with cheap mass-produced products that are traditionally made from crude oil. The challenge is the first time we have worked on a mass product – nylon. It means we have to achieve really low prices in order to be able to compete with oil. It’s fantastic to have SPRIND funding to improve our processes so that we will be able to compete with petroleum nylon in the future.

WHAT MEMORIES DO YOU HAVE OF YOUR FIRST PITCH AT SPRIND?

For me personally, the pitch was a little unusual. Our CEO is used to pitching in front

THE CHALLENGES ARE INNOVATION COMPETITIONS FOR PIONEERS WHO WANT TO CHANGE THE WORLD.

CHALLENGES THE SPRIND SPARKS ARE TOO – BUT EVEN FASTER

SPARKS

A SMALL STEP TOWARDS THE BIG (R)EVOLUTION

SPARK: WE NEED PIONEERING SOLUTIONS FOR THE TREATMENT OF PATIENTS WITH ARTIFICIAL TISSUE

TISSUE ENGINEERING

Many patients are dependent on donor tissue or organ donations. However, demand for donor tissue and organs far exceeds availability. As a result, patients suffer long waiting lists and countless medical challenges or die before a donation is available. Artificially produced tissue, on the other hand, promises a lasting improvement in the quality of life for these people.

In recent decades, scientists, engineers and doctors have developed tools to construct biological substitutes that mimic natural tissue. However, the ultimate goal of overcoming the limitations of conventional organ transplantation remains unachieved.

CHALLENGE: TO DEMONSTRATE THE FEASIBILITY OF A NOVEL APPROACH TO TISSUE ENGINEERING FOR THE FIRST IN-HUMAN TRANSPLANTATION.

The aim is to develop an advanced concept that will produce the most refined artificial tissue to date. This tissue must be as close as possible to natural human tissue (size, structure, complexity) and may include elements such as the engineering of cells, the development of tissue architecture or engineered materials.

On November 1, 2023, the SPRIND spark launched stage 1 with a total of four teams. Spanning ten months, the aim of the first stage was to demonstrate the characteristics of the artificial tissue. SPRIND provided funding of up to EUR 500,000. Following an in-depth evaluation of the results from stage 1, unfortunately, the competition will not be continued to stage 2. In light of the formidable nature of the challenge and the tight time frame, not enough teams were able to qualify for stage 2, in which SPRIND would have provided funding of up to EUR 100,000 for the first-in-human trial.

TEAMS

• Without a functioning liver, the body’s metabolism breaks down. This is why the team at Cellbricks GmbH has set itself the goal of replacing missing or impaired liver functions. Together with their clinical partners at Charité Berlin, they want to replicate human liver tissue at scale. Using 3D bioprinting, complex liver tissue will be created from bioinks containing extracellular matrix and human liver cells. These tissue therapeutics will be biofabricated in the lab and ultimately implanted into patients’ bodies.

• The ZonalCartHT team led by Dr. Solvig Diederichs and Dr. Uwe Freudenberg is developing a new type of cartilage substitute to restore joint function. By combining biohybrid hydrogels and stem cells, a complex two-layer matrix is being developed that mirrors the natural transition between bone and cartilage. At the same time, the materials used should enable sustainable function and resilience in order to restore joint function and prevent multiple joint replacements.

• In order to better treat muscle injuries and diseases, the Muscle Engineering for Human Transplant team made up of Dr. Bruno Cadot (Institut de Myologie, Paris), Dr. Francisco Fernandes (Sorbonne Université, Paris) and Dr. Léa Trichet (Sorbonne Université Paris) wants to produce large transplantable muscle units. The ice-templating process used by the team enables the production of macroscopic and complex tissue architectures from collagen and fibrin. These are then to be colonized with different cell types of muscle tissue in order to obtain functional and muscle units that will subsequently replace damaged tissue.

• Although insulin offers many people with type 1 diabetes an effective treatment, there is still no prospect of a cure because the body’s own tissue for insulin production is missing. Riccardo Levato (Utrecht University Medical Center) and the rest of the Functional Bioprinted Pancreas Tissue team want to take a decisive step towards a cure. With the help of light-induced bioprinting, they simultaneously combine stem cells, biologically active molecules and extracellular matrix to form a functional tissue unit. The resulting tissue resembles the endocrine pancreas and can also produce insulin. Further functionalization should also protect the new tissue from destruction by the immune system in order to solve the basic problem of type 1 diabetes.

SCAN AND STREAM BREAKING LAB WITH JACOB BEAUTEMPS

SPARK: WE NEED PIONEERING SOLUTIONS TO SHAPE THE

EUDI WALLET PROTOTYPES

Digital proof of identity is an important basis for the digitalization of our lives. Digital wallets enable users to receive, manage and present proof of identity and other documentation as part of digital processes. This will make wallets an essential part of our society’s digital infrastructure. They will enable the complete digitalization of processes and thus allow for completely new approaches to problems, which also makes them the basis for disruptive innovations.

Various approaches are currently being discussed for implementing the wallets, but there is still insufficient practical experience to make a well-founded decision on the most suitable approach. The aim of the EUDI Wallet Prototypes spark is to test technical solutions for future German EUDI wallets in the form of prototypes. The insights gained through the spark will flow into the development of more secure, data-saving, usable and far-reaching EUDI wallets.

The background to this is the current eIDAS 2.0 Regulation, which regulates the basis for the increased use of electronic means of identification and digital evidence in Europe and defines the associated framework conditions. Germany now needs a clear path to follow to ensure an eIDAS-compliant infrastructure. This is why the architecture and consultation process for EUDI wallets was launched to develop a concept for a digital wallet that citizens and organizations can use for secure digital identification in the future. SPRIND is carrying out this project on behalf of the Federal Ministry of the Interior and Community (BMI). To date, various architectural proposals have been developed for the implementation of EUDI wallets in Germany based on the existing infrastructure for the online ID function of state-issued ID cards.

START OF THE 1ST STAGE

EUDI WALLET PROTOTYPE has a term of 13 months in three stages. SPRIND will fund six teams in stage 1, up to four teams in stage 2 and up to two teams in stage 3. In stage 1, the selected teams receive up to EUR 300,000 from SPRIND. For stage 2, the teams receive up to EUR 300,000. In stage 3, the teams will receive up to EUR 350,000. In the second and third stages, the aim is to support the POTENTIAL LSP.

The decision on whether to take part was made by a panel of experts following a presentation in Leipzig in May 2024. Stage 1 started immediately afterwards and will last three months. Stage 2 will begin in September 2024 and will also last three months. Stage 3 is due to begin in December 2024 and will end in June 2025.

TEAMS

• Sphereon’s vision is to redefine the use of personal and corporate identities to create trust in a digital world. The team has set itself the task of developing digital identity solutions that enable the efficient, tamper-proof and privacy-compliant exchange of information. The approach involves combining innovation and compliance to ensure that digital identity solutions meet the stringent requirements of regulated sectors.

• A modern E-ID infrastructure must be based on solid cryptographic processes that guarantee data protection, security and a high level of trust. For such an infrastructure to be successful, it must be accepted by users and offer real added value. Through its HEIDI – Human-centered E-ID Infrastructure project, the Ubique team addresses both challenges simultaneously. The Zurichbased digital company’s interdisciplinary team combines in-depth technical knowledge with outstanding UX skills.

• Animo Easy-Pid specializes in the development of low-level opensource components. Animo Solutions has a proven track record in several open-source communities, with long-term investments in the Credo framework, a TypeScript SSI framework compatible with React Native and mainly used for building identity wallets.

• The eID Client Wallet Evolution team is made up of specialists from the Secure Identities Competence Unit, who draw on years of experience in the development of function-oriented solutions such as the “AusweisApp”, the “Governikus ID Panstar” eID server, the eIDAS middleware and other eID(AS) projects.

• TICE focuses on developing optimal solutions that meet stringent UX demands whilst ensuring security and data protection on the other. The team’s approach is a wallet solution with a smartphone app as the central component for millions of citizens. Open-source components and existing protocols are used as a matter of priority.

• eEWA team from cybersecurity company AUTHADA. Banks, insurers, telecommunications providers and e-commerce companies can use AUTHADA to identify their customers online or on-site in seconds and in a legally compliant manner via the electronic identity (eID) of the identity card. Certified by the German Federal Office for Information Security (BSI) and in accordance with ISO27001, AUTHADA meets the highest security requirements.

SOLUTIONS TO SHAPE THE MOBILITY OF THE FUTURE WITH THE HELP OF AUTONOMOUS AERIAL VEHICLES.

FULLY AUTONOMOUS FLIGHT

Logistics and mobility are the basis for a flourishing economy and society. In light of demographic change, the declining number of skilled workers and the simultaneously high and ever-growing demands on passenger and freight transport, shaping the mobility of the future appears to be one of the key challenges of the 21st century. Unmanned, largely manually controlled aerial vehicles are already an important addition in many areas of application, such as the delivery of goods, the maintenance of industrial plants, surveying technology and even fire protection and rescue operations. The private and commercial use of drones has been steadily increasing for years. Unmanned aircraft systems are set to bring profound change to our transportation systems in the future. However, the safe, autonomous operation of drones still remains challenging, especially under changing environmental influences and other disruptive factors.

CHALLENGE: DEMONSTRATION OF AN AUTONOMOUS AERIAL VEHICLE WITH A MAXIMUM WEIGHT OF UP TO 25 KG THAT CAN SAFELY NAVIGATE A PREDEFINED COURSE WITHOUT HUMAN INTERVENTION, EVEN UNDER THE INFLUENCE OF INCLEMENT CONDITIONS.

The aim is to develop a system that can overcome various challenging obstacles and tasks completely autonomously. Other autonomous systems, for instance on the ground, can also be used for support.

START OF THE 2ND STAGE

In April 2024, the expert jury selected the participants for the second and final stage of the SPRIND Fully Autonomous Flight spark. Ten teams qualified and now have the chance to present themselves to industry experts and potential investors at the final drone race in September 2024. To get them there, SPRIND provides the teams with up to EUR 80,000. In stage 1, it supported the teams with up to EUR 70,000.

TEAMS

• For the challenge, AEROTATE is collaborating with flight control system specialist UAV-DEV GmbH to present a concept that optimizes the endurance of the drone by using a ground vehicle.

• The PATHSTRIDER team presents an approach based on proven technologies and consistently implemented safety concepts. The result is a powerful drone that combines various sensor technologies to deliver remarkable navigation performance in GPS-shielded environments and special propulsion solutions that enable battery-based flights lasting for hours.

• The SIMON team develops AI-based control systems for autonomous applications that are characterized by adaptivity and modularity. Through this approach, the team takes systems with an already high degree of automation further towards autonomy.

• The BEYOND VISION team presents a modular drone system that can be equipped with a variety of sensors and cameras, promising unrivaled autonomy in flight. The specially developed drone control system can design, monitor and analyze missions – with integrated functions such as map creation, remote control and comprehensive flight history.

• The HYBRID AEROSPACE HYPOGRIFF team specializes in the development of drones that are capable of flying even with limited satellite navigation and radio communication. The spark gives them to opportunity to showcase their “Hypogriff” quadrocopter, which aims for precise, autonomous payload delivery in challenging conditions.

• The founders of the Norwegian start-up AVIANT AS met at the Massachusetts Institute of Technology in 2020. Since then, Lars Erik Fagernæs and his team have become pioneers of VTOL technology.

• The FLY4FUTURE team, a spin-off from the Technical University of Prague, is pursuing a multi-drone approach using their own specially developed system based on the autonomous cooperation of drones.

• The UBIQUITOUS team led by Professor Uijt de Haag from the Technical University of Berlin focuses on an innovative, dual-drone system engineered to work and solve tasks together.

• Professor Markus Ryll and his AMI TEAM are pursuing an approach based on the integration of advanced navigation and intelligent movement strategies as well as the use of reliable control systems and artificial intelligence.

SPARK: TISSUE ENGINEERING

STAGE 0 1 STAGE 02

TEAMS: 4

DURATION: NOV. 1, 2023  –  AUG. 31, 2024

TEAMS: 2–4

ORIGINALLY PLANNED DURATION: SEPT. 1, 2024  – OCT. 31, 2024

SPARK: EUDI WALLET PROTOTYPES

STAGE 0 1

TEAMS: 6

DURATION: MAY 17, 2024 –AUG. 31, 2024

STAGE 02

TEAMS: 2–9

DURATION: SEPT. 1, 2024 – NOV. 30, 2024

STAGE 0 3

TEAMS: 2–8

DURATION: DEC. 1, 2024 –JUN. 30, 2025

OF SPARKS

SPARK: FULLY AUTONOMOUS FLIGHT

STAGE 01

TEAMS: 13

DURATION: FEB. 1, 2024 -APR. 15, 2024

STAGE 02

TEAMS: 9

DURATION: APR. 16, 2024 -OCT. 31, 2024

SPARK: DEEPFAKE DETECTION AND PREVENTION

STAGE 01 STAGE 02

TEAMS: MAX. 14

DURATION: NOV. 1, 2024 –MAY 31, 2025

TEAMS: MAX. 8

DURATION: JUN. 1, 2025 – NOV. 31, 2025

DOES AN IDEA HAVE WHAT IT TAKES TO BECOME A DISRUPTIVE INNOVATION? WE PUT THEM TO THE TEST TO FIND OUT.

THE FOCUS IS ON REALIZING THE INNOVATION

SPRIND challenges follow a step-by-step model.

 After the application and selection phases, participants are expected to significantly advance their innovative idea in several subsequent stages.

 Each stage concludes with a selection round, meaning the number of participating teams decreases as the challenge progresses.

 SPRIND also gives highly ambitious teams with unconventional solutions a chance to realize their ideas while continuously putting them to the test and ensuring that only the best teams continue to receive SPRIND funding.

ESSENTIAL FOR EVERY CHALLENGE: THE TEST

Most teams will not meet the ambitious goals outlined in the SPRIND challenges.

 It is therefore essential to regularly test each team’s potential and their concepts, supporting only the most promising participants.

 For this, SPRIND challenges build on a multi-stage process in that consecutively eliminates teams from the challenge.

CHALLENGES

 This way, both SPRIND and the teams focus on rapid learning processes and increase the probability of success.

FEEDBACK FROM OUR CHALLENGE TEAMS * WE ASKED ALL OF THE CHALLENGE TEAMS TO PROVIDE ANONYMOUS FEEDBACK. HERE ARE THEIR RESPONSES.

WOULD YOU APPLY FOR YOUR CHALLENGE AGAIN?

① SUPPORT AND NETWORKING

CONTINUOUS SUPPORT FROM THE SPRIND TEAM

The respondents appreciated the open communication, lean processes and the supportive environment that the SPRIND team offers.

WE ARE DELIGHTED TO RECEIVE THE FOLLOWING POSITIVE FEEDBACK: ② SPEED AND EFFICIENCY

FAST DECISION-MAKING + IMPLEMENTATION

Praise was given to the fast and efficient decision-making process, which enables participants to launch their projects quickly compared to other financing programs.

NETWORKING OPPORTUNITIES

Many emphasized the value of networking within the ecosystem and meeting experienced entrepreneurs, mentors and investors. This networking was seen as an important advantage that creates connections and opens doors for further opportunities.

LOW ADMINISTRATIVE PROCEDURES

Compared to national and EU funding, the administrative requirements were minimal, allowing participants to focus on their science and business.

③ AMBITIOUS CHALLENGES AND FLEXIBILITY

HIGH AIMS + CHALLENGES

The ambitious challenges forced participants to step out of their comfort zone, fostered innovation and encouraged them to attempt the near-impossible.

FLEXIBLE FUNDING

The flexible funding model made it possible to adapt quickly to any new problems, which is often not possible with conventional financing.

④ COACHING AND MENTORING

RELEVANT COACHING + MENTORING

The coaching and mentoring provided by SPRIND was crucial for the participants’ business development and improved the overall quality of their programs.

* AI-GENERATED SUMMARIES OF ALL FREE TEXT RESPON

CHALLENGES

The texts on this double page and the following one were created with ChatGPT 4.0 using Microsoft Copilot.

COULD YOU HAVE FUNDED YOUR PROJECT THROUGH ALTERNATIVE PUBLIC OR PRIVATE SOURCES?

Probably, with minor changes No 03 23 08

Probably not, or only with major changes Yes

AREAS IN WHICH THERE IS STILL ROOM FOR IMPROVEMENT:

① TIGHT SCHEDULE AND HIGH PRESSURE

HIGH PRESSURE DUE TO THE TIGHT TIME FRAME

The tight schedule put considerable pressure on the teams, which made it difficult to hire new staff and invest in necessary ancillary aspects such as toxicity or lead optimization.

② SELECTION CRITERIA AND KPIS

UNCLEAR SELECTION CRITERIA

The criteria for advancing to the next stages were not always clear, which sometimes led to confusion.

GREAT EVENTS + NETWORKING

The events organized by SPRIND were very well received.

INSUFFICIENTLY DEFINED KPIS

The KPIs for the overall process were not clearly defined, particularly concerning upstream and downstream materials, which sometimes led to questionable decisions.

OTHER POINTS WORTH MENTIONING

CONSTRUCTIVE APPROACH + SUPPORT

The constructive approach of all SPRIND employees and the various networking opportunities were greatly appreciated.

WAITING FOR THE NEXT FUNDING CALL

Some respondents are still waiting for the promised call for further funding to be announced.

CONCLUSION

CHALLENGES

 OVERALL, THE FEEDBACK EMPHASIZES THE GREAT BENEFITS OF SPRIND SUPPORT, NETWORKING OPPORTUNITIES AND FLEXIBLE FUNDING, BUT ALSO POINTS OUT AREAS FOR IMPROVEMENT SUCH AS TIME PRESSURE AND THE NEED FOR CLEARER SELECTION CRITERIA.

KEY ELEMENTS OF THE SPRIND CHALLENGES

OPENNESS

What counts is achieving the goal of the challenge – the path to getting there is left up to the teams. This openness towards technological approaches, institutional background and geographical origin enables the incorporation of the greatest talents, regardless of where they come from. It takes no less than this to overcome the major challenges of our time.

IMPLEMENTATION

Applications do not solve problems, but innovations do. This is why the application process has been designed to be as streamlined and non-bureaucratic as possible. Participation in the challenges is therefore possible even without experience in applying for grants. This allows everyone involved to concentrate on what is most important: developing the next disruptive innovation.

ECOSYSTEM

The world does not change on its own. With their shared mission, the teams participating in a challenge form the core of developing ecosystems for new technology and markets. SPRIND itself is plays an active role in shaping these ecosystems.

CHALLENGES

PSYCHOGRAM OF HIPOS

NERD TALK THOMAS RAMGE TAKS TO INNOVATIVE PEOPLE

DR. THOMAS RAMGE IS A TECHNOLOGY SOCIOLOGIST WHO HAS PUBLISHED MORE THAN 15 AWARD-WINNING NON-FICTION BOOKS. HE THINKS, WRITES AND SPEAKS AT THE CROSSROADS BETWEEN TECHNOLOGY, ECONOMICS AND SOCIETY. EVERY 14 DAYS, HE INTERVIEWS NERDS WITH A MISSION IN THE SPRIND PODCAST.

WHAT MAKES DISRUPTIVE INNOVATORS TICK? THERE IS A GLARING ABSENCE OF EMPIRICAL STUDIES TO TELL US. BUT THROUGH THE SPRIND PODCAST, WE AT LEAST OBTAIN SOME APPROXIMATE VALUES. Why did you become a scientist? How did you make your fundamental discovery? And how do you plan on turning your scientific findings into a radically better solution that is also successful on the market? These are three basic questions that I regularly ask our guests on the SPRIND podcast. My aim is to get disruptive innovators on the mic chatting – of course about their innovation and technology, but above all about themselves, their motivation, where they see their strengths and weaknesses, what frustrates them and what makes them happy.

Internally at SPRIND, we refer to radical innovators as “HiPos”. This has nothing to do with the hippopotamus, but rather stands for “high potentials”. Unfortunately, to my knowledge, there is no significant study that systematically explores the skills and personality traits of potential leap innovators. Through our podcast, however, we at least collect anecdotal evidence on the psychogram of HiPos. They are all highly intelligent. Of course, as talented scientists, they are adept abstract and combinatorial thinkers. But these seem to us to be more hygiene factors. The conversations in the podcast, in-depth interviews conducted as part of the SPRIND application process and biographical literature on the great inventors of history suggest that they all share a high degree of at least five other personality traits or behaviors.*

⑤ SKILLS AND PERSONALITY TRAITS OF HIPOS:

❶ EXTREME INTEREST

HiPos often develop an extreme interest in a specific field during their youth. Often, others might see this interest as crossing the line into obsession. If disruptive innovators are asked to self-reflect on their extreme interest, three patterns become apparent. Firstly, the ultra-intelligent HiPos are usually unable to explain why they are so interested in their specialty. They just are. Secondly, they see early specialization as a prerequisite for achieving success in their field. Thirdly, they were often forced to defend their early specialization, particular at school, and were told not to neglect other subjects or interests. However, they fought tooth and nail for their passion. And for the sake of technical progress, it is just as well they did.

← Detailed information on the HiPo psychogram can be found on pages 80 to 99 of the current book by Thomas Ramge and Rafael Laguna On the Brink of Utopia - Reinventing Innovation to Solve the World’s Largest Problems. The e-book can be downloaded free of charge from the MIT Press website.

❷  DETERMINATION/GRIT

The concept of “grit” in psychology was popularized by US neuroscientist Angela Duckworth. Various studies in occupational science show that determination and perseverance are generally two of the most important factors for professional success. This seems to be even more true for disruptive innovators. After all, both their research and spin-off experiences are characterized by setbacks. Why? Because every disruptive innovator questions a scientific consensus and tends to receive heavily negative feedback from their colleagues. Nobel Prize winner in chemistry Stefan Hell is a prime example of this. No sooner had Stefan made his groundbreaking discovery on the diffraction limit of light waves in microscopy than he was unable to obtain follow-up funding for his research in Germany. So he went to Finland. Refuting the concerns of scientific doubters requires particular tenacity. Even more so for spin-offs from the German scientific community. Today, Stefan is not only the director of two Max Planck Institutes, but also the founder and owner of one of the world market leaders for STED microscopes based on his discovery.

❸  CURIOSITY AND OPENNESS

The fuel for technical progress is knowledge. Or, more precisely, shared knowledge. This thirst is certainly something that our podcast guests share. As radical innovators, they naturally want to bring something new into the world. But they are also thirsty for new ideas and information that will benefit them and their innovation. Curiosity – and the openness associated with it – is subject to an interesting ambivalence. On the one hand, HiPos constantly have to absorb constructive impulses from outside. At the same time, however, they must not allow themselves to be overly distracted by the doubts of others. This is why we often see disruptive innovators as “open” in terms of their approach, but also extremely “confident” when it comes to their own basic idea.

❹  INSPIRING

When a major leap is achieved in science and technology, the focus is often on individuals: Marie Curie, Robert Bosch, Jennifer Doudna and Elon Musk are just a few who spring to mind. We humans love stories with heroes and heroines. However, anyone who has had the opportunity to observe a major innovation process up close knows that innovation is a team sport. Adopting a differentiated view proves helpful. The visible innovation heroes often have the ability to infect others with their enthusiasm for their own idea. They are often role models in modern leadership. They inspire and enable every individual and highly motivated team to get the best out of themselves in, line with the common goal. Vanity, meanwhile, is said to be a phenomenon that has also been observed in HiPos.

❺  EFFECT

Fundamental researchers usually justify their deep interest in knowledge with their interest in knowledge. In this case, such circular reasoning is certainly justified. After all, Nobel Prizes can be won with this attitude. HiPos, however, want to use their knowledge to make an impact in the physical world and not rely exclusively on others. As scientists, they make a discovery that holds the theoretical possibility of a radically better solution. And then they found a start-up that brings something new into the world with practical vigour.

Can bioplastic have (almost) as good material properties as polyethylene? How could plastics be produced affordably in megatons without crude oil? And what would that mean for the chemical industry and the circular economy? THORSTEN ZANDER

When will the next generation of brain-computer interfaces arrive? Will AI systems be able to read minds? And how will the relationship between human and machine change if artificial intelligence understands us better? CLAUDIO HASLER

What are voice biomarkers? Which illnesses can be diagnosed with voice training? And when will AI-driven voice diagnosis systems be used in clinical settings? LUKAS PORZ

W hat is blue light? Why can ceramics, steel and other materials be heated in a particularly energy-efficient way? And how could LEDs be used to decarbonize many large-scale industrial production processes?

THORSTEN LAMBERTUS

W hat exactly are deep technologies? Why are innovation ecosystems for deep tech even more

innovation? And how do we unearth more

LAGUNA DE LA VERA

What will change for SPRIND with the so-called SPRIND Freedom Act? How can the national

work better together?

Can transmutation solve the nuclear waste problem? How does the process work? And could Germany, which

nuclear power, become a pioneer in radioactive waste recycling?

How can cancer be detected much earlier? Could artificial biomarkers trigger the immune system to attack cancer cells? And why is it so much easier to set up a biotech company in the USA?

DIANA KNODEL

Can robots make good teachers? Why do human teachers like using AI correction tools so much? And is data protection slowing down innovation in German schools?

GRIMM

Is scarcity the mother of invention? How are innovation and productivity growth linked? And what kind of

a green hydrogen economy need?

What is curiosity? What encourages and kills it? And what role does a thirst for new discoveries play in the innovation process?

CASEY HANDMER

How can you bring down the costs of direct air capture and electrolyzers for hydrogen? What happens if you turn CO2 and H2 into green natural gas? And why is a former NASA engineer just doing this to shake down the fossil fuel industry? FRANK WIPPERMANN

Can any more significant improvements be made to smartphone camera lenses? How can the production of mass-market lenses be returned to Europe using new manufacturing processes? And is Jena still innovative as an optics location? ANDREAS OSCHLIES

How can massive amounts of CO2 be sucked out of the atmosphere? What role do the world’s oceans play as long-term CO2 reservoirs? And is geoengineering our last hope?

DANIELA BEZDAN

What is space biology? Why could medical breakthroughs for us earthlings come from space stations of all places? And do space biologists breed extraterrestrial life?

ZIMMERMANN

C an hearts (or heart muscle) be repaired? What role do pluripotent stem cells play in this? And how could the same technology also be used to mass-produce artificial meat?

DANIELA BEZDAN

What is artificially cultivated skin? How can it be used to drastically reduce animal testing? And what can science communication learn from TikTok influencers? HENRIK

C an psychedelics cure depression and trauma? What dangers are associated with mind-expanding substances in psychotherapy? And can Germany become a pioneer in the approval of psychedelics?

PHILIPP

W hat does meat from a petri dish taste like? Will gene editing accelerate the plant-based food revolution?

PATRICK ROSE 7/17/2023

W hat innovations will synthetic biology produce in the next ten years? What is the new SPRIND Circular Biomanufacturing challenge about? And what does all this have to do with Star Trek and Jurassic Park?

ELISABETH ZEISBERG 7/3/2023

H ow well prepared are we for the next pandemic? How could a platform for antiviral drugs be created? And what role do the CRISPR genetic scissors play in this?

GERNOT WAGNER 6/19/2023

Can’t we just dim the sun? What would be the consequences of solar geoengineering?

MARTIN CHAUMET 6/5/2023

How do you build the world’s largest wind turbine? How much stronger does the wind blow at an altitude of 300 meters? And where could high-altitude wind turbines be built?

VINCE EBERT 5/22/2023

W hen is science funny? What role can humor play in science communication? And how can we stay cheerful in the climate debate despite everything?

WOLFGANG DRECHSLER 5/8/2023

H ow do countries become “entrepreneurial”? And what role does a functional bureaucratic system play in this? What would Max Weber think of German administration today?

NICOLA WINTER 4/24/2023

H ow do you become an astronaut? What skills do fighter pilots bring to the job? And what does it actually mean to be a “team player” in a spaceship?

KLAUS WAGENBAUER 4/24/2023

W hat are DNA nanoswitches? How can they be used to stop cancer cells?Could the approach revolutionize oncology?

MARIELLA BENKENSTEIN AND MARIT KOCK 3/27/2023

What is a redox flow battery? How can it radically reduce the cost of storing energy? CHRISTIAN HILDEBRAND 3/13/2023

W hy do we feel sorry for robots? How are large language models such as ChatGPT changing human-machine interaction? And what approaches do developers use to promote trust in new technologies?

ANIA MUNTAU

W hat goes wrong in the cells of inborn errors of metabolism? How can active substances against these predominantly rare diseases be developed in series? And how can biomedical start-ups and big pharma work together more effectively?

DIETMAR

Are we living in times of above-average innovation? Do we need a new research discipline in progressive science? And what about framework conditions for highly innovative companies in Germany? SEBASTIAN THRUN

H ow did Google achieve the breakthrough in autonomous driving? Is Silicon Valley still innovative?

LAGUNA DE LA VERA

W here does SPRIND stand three years after its foundation? How are projects and challenges developing? Which technology trends will the agency be paying particular attention to in the coming year?

ADRIANA GROH 12/12/2022

W hat is technological sovereignty? And what role does open-source software play in this? Should the state provide financial support to developers of open digital systems?

W hat is green methanol? How did a small start-up succeed in revolutionizing methanol catalysis? And why could a methanol economy completely free us from our dependence on oil and natural gas?

URNER 11/14/2022

Why do we perceive the world to be worse than it is? How can we overcome the negativity bias in our Stone Age brain?

ANTONIETTI 10/31/2022

W hat is sustainable chemistry? When will we finally see breakthroughs in battery development? And why do we need a “Tinder of innovation”?

STEFAN HELL 10/17/2022

H ow do you refute a scientific dogma? What character traits do disruptive innovators have in common? And why has a small German school in Romania produced two Nobel Prize winners?

JAN BUSS 10/4/2022

H ow does the database of the future work? What does their structure have to do with the human brain? And what new applications will be possible if data silos are broken down?

MIRCO BECKER 9/19/2022

Will our homes be built by robots in 2050? How will material cycles change the construction industry? And can AI make architects’ designs more creative?

OPTIMISTS UNITE

BREAKING LAB FASZINATION INNOVATION – JACOB

JACOB BEAUTEMPS wants to get young people interested in science. On his YouTube channel BREAKING LAB, he explains new technologies from a scientific perspective. In collaboration with SPRIND, he also regularly reports on the agency’s projects and challenges in Breaking Lab. In this interview, the 30-year-old reveals why innovations fascinate him so much. @BreakingLab � 635.000 ABONNENTEN � 735 VIDEOS

BEAUTEMPS SCHAUT GANZ GENAU HIN

JACOB, WHAT ARE YOUR VIDEOS ABOUT?

About the future and the present. I try to classify new developments and technologies scientifically and go into more depth than is normally possible in the news. In other words, I look at what is really behind new innovations.

WHICH SCIENTIFIC TOPICS ARE YOU MOST INTERESTED IN AND WHY?

I am most interested in innovations that have a major impact on our lives. Anything to do with energy generation. However, artificial intelligence, nutrition and health are also important subjects. For me, topics are particularly exciting when you realize that they have the potential to make our lives better. I really enjoy examining them in details, because it gives you an insight into what the future can bring.

HOW DO YOU MANAGE TO EXPLAIN COMPLEX SCIENTIFIC FINDINGS IN AN UNDERSTANDABLE WAY?

Before you can explain a topic, you have to really understand it yourself. My physics degree and professional experience both help me with this. I have been dealing with many topics for a very long time. The approaches are often similar, and then it’s mainly a case of looking at what is being done differently now. Researchers are often so deeply involved in their subject that they can find it difficult to explain complex issues in a comprehensible way. It helps a lot if you ask yourself, “What level of knowledge does my audience have?” This awareness of the audience is crucial.

SPEAKING OF THE AUDIENCE... WHO IS YOUR TYPICAL VIEWER?

Most of the people who watch my videos are between 14 and 29 years old. Many do not have a scientific background, but are interested in science. I get a lot of feedback from people telling me that I taught them something, or that I influenced their choice of study or career. Breaking Lab has a real impact on young people, and I am always delighted when my videos motivate people to research innovations themselves.

YOU HAVE BEEN WORKING WITH SPRIND SINCE 2022 – WHY?

Because it’s the perfect match. There are so many great innovations here in Germany and working together with SPRIND to make them visible is a lot of fun. I’ve visited SPRIND start-ups where it turned out that there were people working there who only knew of the company because of Breaking Lab. Lots of applications for SPRIND challenges are also made because of something someone has seen on Breaking Lab. And the high reach of the videos also reflects the success of the collaboration. Personally, working together with SPRIND was a major source of inspiration for my book Rethinking our future, which will be published in early 2025. Among other things, it deals with innovations and the minds behind them

WHAT INTERESTS YOU MOST ABOUT SPRIND?

When I met Rafael Laguna de la Vera, he said, “We may be a public agency, but we run things differently.” Processes in Germany are usually very slow and over-bureaucratized. What fascinates me about SPRIND is that it really is different and brings a lot of power to important issues, not only financially, but also through the diverse support and assistance provided by the various teams. Rafael plays an important role here because he understands Germany as a location for innovation and knows what innovators need.

WHICH SPRIND COOPERATION VIDEOS DO YOU FIND PARTICULARLY EXCITING?

I think they are all fantastic. But it was particularly exciting when I was allowed to climb a wind measurement tower for the video of the world’s tallest wind turbine. It wasn’t just great for me personally, but the video really inspired a lot of people. People will probably assume that the world’s tallest wind turbine will be built in China or the USA, but it will actually be in Germany. Perhaps we should sometimes be a little more proud of what is happening in our country – of the cool innovations that are being created here and making a breakthrough!

SPRIND FUNDS IDEAS AND PROJECTS THAT AIM TO MAKE THE WORLD A BETTER PLACE. DOES THIS GIVE YOU HOPE THAT WE WILL BE ABLE TO OVERCOME THE MAJOR CHALLENGES OF OUR TIME?

I am generally incredibly optimistic and agree with Karl Popper, who said that there is no alternative to optimism. And the SPRIND projects confirm this for me. All the innovators I have met have been optimists who are convinced that their ideas can make the world a better place. There are so many great ideas, if we get involved and accompany them with optimism, then we can really get things moving.

“PROCESSES IN GERMANY ARE USUALLY VERY SLOW AND OVERLY BUREAUCRATIC. WHAT FASCINATES ME ABOUT SPRIND IS THAT IT REALLY IS DIFFERENT AND BRINGS A LOT OF BACKING TO IMPORTANT ISSUES.”

60 STARTUP TEAMS + 200 DEEP-TECHINVESTORS

Who can convince new investors of their innovation?

Around 200 VC funds from all over the world attended the event at the Alte Münze venue in Berlin, where they got to know a total of 61 startups from the SPRIND portfolio and learned more about their potential disruptive innovations. The participating investors also introduced themselves to the teams in pitches and gave an overview of their investment focus, ticket size and value add. In a detailed discussion with Rafael Laguna de la Vera, Federal Minister for Economic Affairs Robert Habeck also provided insights into state support and the relevance of start-ups.

“A

REAL WINDOW INTO SCIENCE INNOVATION GOING ON IN GERMANY AND BEYOND.”

– JACQUELINE CAMPBELL, WILBE

“LAST TIME I FOUND ALL MY INVESTORS FROM MY SEED-ROUND AT THIS EVENT.”

–

STRATEGY PAPER

↳ Growth Capital for Deep-tech start-ups

① FUNDING GAP HURTS GERMAN

DEEP-TECH START-UPS

→ German and European research offers enormous potential for the economy and society. Driven by government funding and private early-stage investments, many more promising deep-tech start-ups will emerge in the coming years.

→ Deep-tech start-ups use proprietary technologies to secure a global competitive advantage. This creates the opportunity to produce a new generation of world market leaders from Germany who can make a key contribution not only to the national economy, but also to European technological sovereignty.

→ Deep-tech start-ups generally require considerable amounts of venture capital in order to establish themselves quickly and successfully on the market. To date, such funding has been scarce from European investors. Instead, non-European investors often secure influence by making large investments. This applies in particular to disruptive innovations, which already require significant capital for technology development.

→ The lack of European growth capital means that companies are prematurely sold to other parts of the world or move abroad. The innovation boost that Germany is striving for can only be achieved with a closed funding cycle, which is why funding offers for large-scale funding rounds are urgently required.

②

STATE AS ANCHOR INVESTOR FOR GROWTH FUNDING

→ To date, public funding and venture capital offerings have focused almost exclusively on early-stage start-ups, and have managed to close the existing funding gap. However, there is a lack of initiatives that fund disruptive innovations with business models that have not yet been fully tested, and that can simultaneously make large-scale investments in the high double-digit or triple-digit million range.

→ Deep-tech start-ups in the field of engineering experience particular difficulty in financing their so-called first-of-a-kind systems to demonstrate the innovation. Project funding that combines venture capital, loans and public subsidies must be structured for capital-intensive plant construction. Many start-ups in the pharmaceutical and biotechnology sectors are also struggling with the lack of European capital.

→ SPRIND therefore proposes the establishment of an investment fund to capitalize deep-tech startups: D-CATALYST D-CATALYST is intended to invest primarily in highly innovative deep-tech start-ups with high capital requirements, thus compensating for the lack of European capital. Through making a significant economic contribution, the fund aims to serve as a catalyst for new European technology champions.

③

D-CATALYST:

FREEDOM AND THE RENUNCIATION

OF BUREAUCRACY AS A

PREREQUISITE

FOR SUCCESS

→ To be able to operate successfully, D-CATALYST requires certain degrees of freedom, such as those that already apply to SPRIND. Establishing D-CATALYST under the umbrella of one of the existing public funding organizations would leverage synergy potential and save on overheads. The fund management team, made up of people with substantial founding and investment experience, must be allowed to make decisions on high-risk venture capital investments with a high level of entrepreneurial responsibility. A supervisory board will oversee fundamental decisions and ensure compliance with the strategic direction.

④ POSSIBLE SOURCE OF FUNDING: CARBON PRICE

Furthermore, there must be no political or ministerial influence or authorization with regard to investment decisions.

→D-CATALYST must be led by an excellent team with expert scientific, technical and financial knowledge in order to be able to make qualified, risk-conscious investment decisions. Deep-tech start-ups offer the opportunity to generate attractive returns, but investors and the supervisory board must be prepared to accept the usual depreciation of individual investments in the venture capital market. In order to attract the necessary experts, it is essential to waive the German Besserstellungsverbot, which stipulates that funding recipients may not remunerate their employees better than comparable employees of the funding body.

→ The carbon price is an excellent and targeted steering tool to incentivize the switch from fossil fuels to CO2-low technology. At the same time, innovations in the areas of energy and the environment must continue to be developed to ensure long-term international competitiveness.

→ Revenue from the CO2 price based on national fuel emissions trading and the reformed EU Emissions Trading System ETS I and, in future, ETS II will fundamentally benefit citizens. To achieve a long-term, optimal effect for society as a whole, a combined approach consisting of the previously planned immediate payments and new, futureoriented investments should be implemented. Investments in innovative growth companies in the area of green technologies would help to create new world market leaders from Europe and achieve carbon neutrality by 2045.

→ For this, we propose investing a quarter of the revenue generated from the carbon price in the D-CATALYST FUND and investing specifically in growth companies in order to achieve both economic and climate policy objectives. Other or additional sources of state funding for D-CATALYST are also possible, such as capital stock-based generational capital or special assets.

⑤ LEVERAGE EFFECT THROUGH PRIVATE INVESTMENT

→ The state capital stock from carbon price revenues and/or other instruments can be significantly expanded by opening up D-CATALYST to private capital. A professional and non-bureaucratic D-CATALYST with a critical mass of state funding will be able to attract private capital.

→ Especially in comparison to the USA, only a small proportion of traditional capital providers such as life insurers and pension funds have been involved in the venture capital asset class in Germany to date. However, initial models such as the Wachstumsfonds Deutschland (“German Growth Fund”) show that there is fundamental interest from these capital market players and that investments would be made if the fund were sufficiently large and flexible. Appropriate regulatory framework conditions are another important prerequisite for making D-CATALYST attractive to private investors.

→ Furthermore, experience of state-sponsored investments in early start-up financing rounds shows that they have a positive impression on private co-investors. This can be expected all the more from D-CATALYST, which, thanks to its scientific expertise and professional risk management, will be perceived as a quality investor in the field of deeptech disruptive innovations, and will thus generate a considerable amount of funding from private investment funds for individual financing rounds of its portfolio companies.

ONGOING VALIDATIONS

NEW WAYS OF THINKING, NEW WAYS OF DOING NEVER GIVE UP AND ALWAYS

QUESTION THE STATUS QUO BECAUSE THIS IS THE ONLY WAY TO CREATE DISRUPTIVE INNOVATIONS

BIOTECHNOLOGY AND

MANUFACTURING, INDUSTRIAL AND MATERIALS ENGINEERING ENERGY

CONSTRUCTION AND INFRASTRUCTURE

ACTIVE INFERENCE

↳ STANHOPE AI

AEVOLOOP

AKHETONICS: AN OPTICAL PROCESSOR

ALZHEIMER’S MEDICATION

ANALOG MEMRISTOR COMPONENTS

AQUAHARA

HARDWARE AND ELECTRONICS A B C AATEC MEDICAL

MONOLITHIC REINFORCEMENT

STEEL MAT

ACCELERATOR FUSION

ACCELERATOR-DRIVEN NEUTRON SOURCE

BIOSENSOR TECHNOLOGY / AN OPTICAL BIOSENSOR SYSTEM

CARBON ONE

CELLBRICKS

CERA COVER as a sustainable separator

↳ PROTON ACCUMULATOR

A molecular face mask against the next pandemic

Enabling machines and robots to think like humans

Recycling without losing quality: Building blocks for sustainable all-purpose plastics from plastic and biowaste

Radically reducing the energy requirements of data centers with purely optical processors

Stopping Alzheimer’s through breaking down misfolded proteins

Processing and storing the flood of data using analog memristors

Solar atmospheric water generator: Distillation through solar heat

Drastically reducing concrete requirements by rethinking the manufacturing process of reinforcement steel mats

A new path to nuclear fusion – safe energy for a green future

Drastically reducing nuclear waste radiation time

Highly sensitive optical biosensor systems for rapid on-site diagnostics in hospitals

Efficient catalysts for the synthesis of non-fossil base chemicals

Printing organs with bioink – 3D organ printing as the key to regenerative medicine

Using a new type of ceramic to operate lead batteries without lead

D

CHAPERONE THERAPY

E G

H I

CYFRACT

DEEP SCAN

YOUR ENERGY WHENEVER YOU NEED IT

↳ ENERA ENERGY GMBH

DNAZYME

DRIVEBLOCKS PLATFORM

A FREE 5G CAMPUS NETWORK IN SOFTWARE

EMROD

ESTABLISHMENT OF BACTERIOPHAGE THERAPY

EUDI WALLET

EUROPEAN RADIOPHARMACY TECHNOLOGY

EYE2AI

GAPLESS TEC

HYDROSIC

ILLUTHERM

INCARI AI

INTRABODIES

Correcting protein misfolding, restoring its function and preventing stress reactions

Low-energy particle filtering from liquids using fluid forces

Development of a high-resolution X-ray system for the non-destructive, three-dimensional visualization of materials and structures

Innovative energy storage solution: Revolutionizing electricity storage with water and CO2

Next-generation gene scissors for biotechnological and therapeutic applications

A modular, scalable platform as the basis for autonomous driving

New mobile networks: free and open source on a broad hardware basis

Power beaming – wireless energy transmission for the transformation of global energy supply

Fighting antibiotic resistance with phages

The future of digital identity – concept for expanding the German eID with lightweight electronic proof of identity

Development of completely new radiotherapies with astatine

Enabling an augmented reality environment with the holodeck

Converting heat directly into electrical energy –thermionic energy conversion

Photocatalytic cell – direct use of sunlight for water electrolysis

Decarbonization of high-temperature processes: Direct heating with blue LED light

No-code platform – enabling programming without programming knowledge

Treating liver cancer from within the cell

MEDILENS

MICROFOLD

MICROBUBBLES: MICROPLASTIC

MIMOTYPE

MYRIAMEAT

NANOTRAPS TO CATCH VIRUSES

↳ CPTX

NANOGAMI

↳ TILIBIT

NEW ONSHORE WIND TURBINE

↳ BEVENTUM

LOW PRESSURE TURBINE

↳ FLUDEMA

OPEN 5G ROUTER

OLIMENT

↳ NECONA

OVID

PACEVAL

PELICAAN

PLANTS FOR PLANTS

↳ LIGNILABS GMBH

POLYMERACTIVE

POWER TO FOOD

Improving polymer optics through a disruptive manufacturing process and overcoming limitations of existing production technology

–

a construction kit for optics

A process for the production of microstructured surfaces

A macrosolution for the microplastic problem

Using the dynamics of proteins to modify and control light

Animal-free meat: Sustainable production of animal muscle meat from induced pluripotent stem cells

Capturing viruses on a nanoscale – a DNA origami trap to enclose and neutralize viruses

DNA-based biochips for a new generation of diagnostics

Taking energy generation to new heights with h igh-wind turbines

Using excess heat efficiently - a revolution in turbine design

A manufacturer-independent approach for a 5G multiservice router

The revolution in binder productionOliment, a CO2-neutral cement

Metamorphosis of psychiatry: Treating depression and anxiety disorders with psilocybin

Efficient processing of mathematical models: Drastic energy reduction for computers

Unmanned rescue and transportation missions by an eVTOL drone/aircraft and drone hybrid

Vaccinating plants against the challenges of the 21st century!

Giving plastic waste a second product life cycle and replacing activated carbon filters

Food from renewable energies: Decentralized, sustainable production of protein enriched with vitamins from electricity, air and water

PRECISION CRISPR-MEDICINE

AMR INFECTIONS

Destroying antimicrobial resistance genes: Resensitizing bacteria in order to be able to treat with existing antibiotics

REPAIRON IMMUNO:

NOVEL IPSC-BASED CELL DRUG PLATFORM

RULE MAPPING

↳ KNOWLEDGE TOOLS

A SWITCH TO TURN OFF TUMORS

↳ PLECTONIC

SCS – SOVEREIGN CLOUD STACK

THE SHAZAM FOR HEALTH

SMART CONTRAST

SMART MATERIALS FROM BIOPOLYMERS

SPARK

SPHEROSCAN

↳ FLUIDECT

SPINNAKER

STELLARATOR FUSION

POWER PLANT

↳ PROXIMA FUSION GMBH

SUPER-RESOLUTION

QUANTUM SENSING

↳ QUANTUM DIAMONDS GMBH

THEION

THIN-G

VAIONIC

WEATHERTEC

New form of cell therapy: Using canvas cells to support the fight against cancer

The digital revolution in the application of the law: The automation of legal procedures in the open standard

Immunotherapy for cancer –using DNA origami to switch off tumor cells

Establishment of an open and competitive cloud ecosystem based on European values

Disease detection through the evaluation of acoustic signals via speech biomarkers

Significantly reducing the standard dose of contrast agents in MRI through the use of software

Biopolymers made from hyaluronic acid: Enabling the industrial processing of biopolymers as a material

Making chemical processes more flexible with chemical looping – harnessing CO2!

The immediate and safe detection of harmful substances in liquids

Brain-inspired processors for neuromorphic processing for fast and efficient machine learning

Stellarator-based fusion power plant –safe energy for a green future

Quantum sensing: High-precision measurement of magnetic fields with quantum effects

Sulphur batteries: High energy densities without critical raw materials thanks to crystalline sulphur cathodes

A high-performance insulation material suitable for the mass market

The electrification of commercial transport using a layered axial flux motor

Promoting cloud formation through the targeted ionization of ambient air and enabling targeted rainfall

5G-VOSSS

Software components for a cloud-native virtualized open source software stack (VOSSS)

PEAKPROFILING

FROM MOZART TO DISEASE DETECTION WITH AI-ASSISTED VOICE ANALYSIS

THE INNOVATORS: VOICE BIOMARKERS

SPRIND AND PEAKPROFILING

THIS IS WHY WE ARE COMMITTED

Because we see enormous potential in voice analysis for the early detection of diseases. Because early diagnoses increase survival rates. In addition, telemedical diagnostics can also bridge geographical distances, especially in rural regions. PeakProfiling pursues a very promising technical approach that differs significantly from those usually adopted in the field.

WHAT IS BEING DONE

PeakProfiling analyzes voice recordings to diagnose illnesses such as depression, ADHD and dementia. SPRIND is supporting PeakProfiling with the validation of its algorithms.

THE DISRUPTIVE INNOVATIONA NEW SYMPTOM GENERATOR

The range of applications for the technology is broad and could in future be used to detect well over a hundred illnesses, including neurological, psychiatric and respiratory conditions. Early detection and diagnosis could thus prevent millions of deaths worldwide every year. One long-term option is to integrate the technology into smartphones –a decisive step towards revolutionizing healthcare.

The way we speak conveys much more than just words: Do we sound euphoric or subdued? Do we have a cold or are we hoarse? Is it a child or an elderly person speaking? Our brain is capable of recognizing all of this effortlessly in seconds just from the way someone speaks. Founded by Dr. Jörg Langner and Claudio Hasler, the start-up PEAKPROFILING analyzes precisely this – the “how” of the voice, its “music” so to speak – and goes one step further: It not only detects conditions recognizable to the human ear, but also much more complex phenomena, especially illnesses. With these so-called “voice biomarkers”, the founders want to make a significant contribution to the (early) detection of illnesses.

THE STARTING POINT: FROM MOZART TO VOICE BIOMARKER

Jörg Langner, who holds a doctorate in quantitative musicology and has been a researcher at the Humboldt University in Berlin for many years, devoted himself to musical phenomena decades ago and, among other things, asked himself the “Mozart question”: “Why is Mozart so fascinating? There are many other outstanding composers, but his music has always captivated people in a special way. I was looking for a mathematical solution to answer such complex musical questions,” recalls Langner. Even before machine learning became a widespread topic, the passionate scientist and music fanatic realized that his research could also be projected onto singing and, ultimately, also speech. Langner subsequently devoted himself to researching the human voice in an industrial context: For over a decade, he conducted commercial contract research, including for DAX companies such as major German automotive

groups. During this time, he dealt with a range of topics, including recognizing fatigue and emotions based on voices. in 2017, he met Claudio Hasler, a former Google employee and high-ranking manager in the pharmaceutical industry at the time. Hasler saw enormous potential in this approach and joined forces with Langner. In 2018, the founded PeakProfiling GmbH. Other colleagues soon came on board, in particular experts in artificial intelligence, to combine Langner’s exceptional core technology with state-of-the-art AI processes.

The topic of voice biomarkers has also attracted growing interest from universities. To date, hundreds of medical studies have clearly shown that illness detection is fundamentally possible using voice recognition. There are now almost 500 studies on “voice biomarkers” on the PubMed medical portal alone. Voice biomarkers are particularly interesting because, compared to other digital biomarkers such as movement measurements, sleep tracking or pulse

measurement, they have been proven to deliver high rates of accuracy for a wide range of diseases in the laboratory and at the same time are accessible to almost everyone thanks to their ease of use over the telephone. Hasler specifies, “We see voice biomarkers as the spearhead of digital biomarkers, which will be supplemented by other markers in the future.”

Despite the positive scientific validation, the leap from the “laboratory” to a relevant application in medical practice is still pending. This is because things become much more complex when moving into practice – or as Hasler puts it, “Reality is multi-layered and complicated. There are numerous influencing variables that come into play when you take the step from the laboratory into medical practice. Comorbidities, the influence of medication, different recording devices, varying microphone distances, different speech tasks, languages and dialects, good or bad days of the patients or background noise pollution are just some of the most important factors that need to be considered. Mastering this complexity is a long process that represents the biggest challenge.”

FOCUS TODAY: MEDICAL DEVICE APPROVAL

PeakProfiling’s ambition is to master this complexity and be the first to make the leap from the laboratory to a breakthrough in practice. The team believes that this calls for a unique technological approach that combines musicological findings with artificial intelligence in what PeakProfiling has termed “Musicology AI”. Hasler explains, “We are in a field where very little training data is available. We estimate that 95% of academic studies work with N<100, in other words, less than 100 subjects. Conventional AI approaches can’t do much with this; they would need thousands or, even better, millions of data. The traditional approach is to specify which characteristics (“features”) in the signal should be examined for patterns using machine learning. The academic field uses a handful of toolboxes with the same, in our view limited, features. However, this approach is not yet able to solve the complex, practical problems in a way that can be generalized. In light of the success of

generative AI, such as ChatGPT, there is also a trend towards pre-training models with large, non-medical data sets and then adapting them to our medical issues in the final step. This also harbors a lot of potential for a breakthrough.”

PeakProfiling pursues both approaches, but with one decisive difference: In simple terms, musical knowledge is used as input to support the AI in its search for patterns. Technically speaking, “The classic ML approach involves using much more complex musicological features. In the field of generative AI, musical representations provide us with more efficient input.”

With support from SPRIND, PeakProfiling worked together with Charité and the Jülich Research Center on voice analysis tasks to detect depression that come much closer to the complexity of medical practice. Corresponding publications are under way. Particularly in the area of depression, voice biomarkers have the potential to provide huge added value in the future. “The provision of care for depression is notoriously strained even in Germany, not to mention less developed countries. The majority of people with symptoms have no diagnosis at all. Medical diagnosis is time-consuming and would be more accurate if it could be based on hard biomarkers. If treatment is initiated, close monitoring is crucial, but this is difficult to achieve due to limited resources. As a result, the majority of patients suffer a relapse. These are the points in the “patient journey” where the simple and regular measurement using voice biomarkers could provide valuable support for both patients and doctors.” PeakProfiling has come a long way. It expects to receive medical device status shortly, initially for ADHD, then for other diseases.

THE GREAT VISION OF THE FUTURE

In addition to specializing in individual illnesses such as depression, the software could also be used as a broad screening tool in the future. “We believe that in the future, it will be possible to detect many illnesses early on through the voice. According to our current estimates, there are around 100 illnesses (500 ICD codes)

for which voice biomarkers will be relevant. Scientific studies already cover a wide range of diseases, including neurological conditions such as Parkinson’s and Alzheimer’s, psychiatric illnesses such as depression or post-traumatic stress disorder, and respiratory diseases such as asthma or COPD, to name but a few,” explains Claudio Hasler.

The long-term expansion opportunities are therefore enormous. “Of course this is bold, but in the long term we believe that our voice biomarkers have the potential to deliver added value for up to 100 illnesses. For example, if you look at the ten illnesses that cause the most deaths, seven of them can be recognized with certainty in the voice and two others with a high probability. This could potentially prevent 27 million deaths per year worldwide, and we want to contribute to making this happen.”

But even here, the team wants to go further. When asked where such a development could lead, Hasler replies, “At some point in the future, we will probably see the dawn of general sound AI in our field that goes far beyond medical applications. This technology will be able to analyze, interpret and generate every kind of sound in the world, whether the sound of people, machines, instruments or environmental noise. We are convinced that musical principles will ultimately play a key role in this.”

ILLUTHERM

FAREWELL TO THE FURNESS

THE INNOVATORS: BLUE LIGHT INSTEAD OF FOSSIL FUELS

THIS IS WHY WE ARE COMMITTED

Electrifying and thus decarbonizing thermal industrial processes would represent a real milestone in energy transition. To make this happen, Illutherm has developed a platform technology based on low-cost LEDs. Heat transfer with blue and UV light can be used in many different areas and can significantly accelerate and improve the efficiency of thermal processes. The new-found flexibility enables green electricity to be used more intelligently and can help to act in a way that benefits the grid.

WHAT WE DO

Illutherm’s long-term goal is to replace fossil-fueled furnaces with highly scalable technology. Its initial focus is on ceramic sintering as well as lime and cement firing. SPRIND supports Illutherm in this vision. Together, we carried out a detailed evaluation of the LED-based heating technology using various approaches. SPRIND also supports the team with tasks relating to business building and fundraising.

THE DISRUPTIVE INNOVATION

Illutherm is developing a process in which heat can be generated on a large scale without an oven, using only direct lighting. This means that ceramics, for example, can be fired within seconds. The challenge: To develop a cost-effective light source with the ability to provide and control light with high energy density and short wavelengths.

Illutherm’s technology is highly scalable, speeds up the experiments that can be carried out by a factor of 100 and, depending on the material, can save up to 50% energy compared to conventional ovens.

SPRIND AND ILLUTHERM

During his doctorate, Lukas Porz was trying to change the properties of ceramics by heating them faster. The experiment failed and his ceramics remained unchanged. But Lukas Porz had a lightbulb moment. He discovered that he could heat ceramics in just a few seconds instead of firing them for hours in a kiln if he used blue light.

Kilns have a tradition going back thousands of years. Some are fueled with hydrogen, but most use fossil fuels such as coal and gas. These heating processes cause more than 10 percent of global CO2 emissions – a climate catastrophe. What’s more, the combustion process is inefficient in terms of energy. This is because not only ceramics, steel, cement or glass are heated in kilns, but also the entire environment, causing a lot a lot of energy to be lost in the process. If ceramic is irradiated with blue light, it absorbs the light and UV rays almost completely. The ceramic is heated within a few seconds, while everything else remains cold. The energy is therefore only used where it is actually needed and expensive insulation is no longer necessary. Radiant heat is already used in infrared ovens. However, blue light is absorbed much better than red light, which increases speed and efficiency by leaps and bounds.

In May 2022, Lukas Porz presented his idea for SPRIND together with his fellow studentMichael Scherer. Less than a year later, they founded ILLUTHERM GmbH together with industry veteran MiltiadisVlachos. The team now consists of

seven people and their visions have also grown: ILLUTHERM not only wants to revolutionize the firing process for ceramics, but also heat metals, glass and cement with blue light in order to reduce the high CO2 emissions in the industry.

LOTS OF TESTS TO FIND THE RIGHT TEMPERATURE

The biggest challenge was – and still is –the development of LED technology. The initial aim was to heat materials to 1000 degrees using blue LEDs. One year later, the ILLUTHERM prototype had already reached 1400 degrees. Fortunately, it doesn’t take long to test new applications: Insert the sample, press the button, wait ten seconds, allow to cool, remove, done. A test can be performed in less than a minute. The highly accelerated firing process means that many tests can be carried out in a short space of time.

The ILLUTHERM prototype is about the size of a microwave and can be transported with its components in the trunk of a car. It is suitable for heating small material parts. Such a device can be used, for example, to fire small ceramic parts such as dental implants, meaning that dentists could fire the implants directly in their surgery, saving valuable time.

In the long term, however, ILLUTHERM wants to focus on where it is most urgently needed: in the energy-intensive industry. Since the ILLUTHERM technology is scalable, it is also suitable for industrial heating processes.

And as the electricity for the blue LEDs can be obtained from renewable energy sources, the process is particularly climate-friendly. The speed of the process also makes it possible to adjust electricity consumption to the up-to-the-minute availability and price of green electricity. This makes expensive energy storage superfluous. Firing ceramics in a matter of seconds instead of the usual hours or even days is a groundbreaking advance in itself. But for ILLUTHERM, this is just the beginning. The goal is to use blue light instead of fossil fuels in the industrial sector.

THE POTENTIAL

With its networks, SPRIND will support ILLUTHERM in its further endeavours: ILLUTHERM’s technology has the potential to fundamentally change the energy-intensive industry and significantly reduce CO2 emissions. Instead of burning fossil fuels, materials such as ceramics, metal, glass and cement can be heated with blue light. This process is not just more efficient, but can also be powered by renewable energy. ILLUTHERM’s innovations therefore make an important contribution to climate protection.

“BLUE LIGHT INSTEAD OF FOSSIL FUELS.”

PROJECTS UPDATES

VIAHOLO FAR IN THE DISTANCE, YET SO CLOSE: AUGMENTED REALITY GLASSES

The vision: To enable lifelike video conferencing via the holodeck. The holodeck is a real room that a real person enters to meet and communicate “virtually” with one, two, three or 15 other real people – without everyone having to be in the same physical location. In the holodeck, other people and things are perceived in an extremely realistic way, both visually and acoustically. Contact feels “completely real”, unlike in an unstimulating, tiresome video conference.

The first generation of the holodeck was a static system. A screen was mounted on the ceiling above the user, which meant that they could only immerse themselves in augmented reality when directly under the screen, which was great for video meetings, but not compatible with everyday life on the go.

VIAHOLO therefore aims to make the holodeck mobile and was able to present the second generation at the end of 2023. A specially developed display is now integrated into the frame of the glasses, which makes the screen on the ceiling obsolete. The glasses are slim –much slimmer than other products on the market – but still not as slim or as lightweight as one would wish for everyday use.

This is why VIAHOLO is already hard at work on the third generation. Through the further development of the optics, VIAHOLO hopes to make its augmented reality glasses almost indistinguishable from conventional glasses. The holodeck can then become an everyday companion.

FABULENS SMALL LENSES, BIG IMPACT

The demand for cameras is growing. Until now, the production of camera lenses has been expensive, but this could soon change. In cooperation with mcd – modern camera designs GmbH, SPRIND subsidiary FabuLens is developing a new process for the production of cost-effective and high-precision imaging optics. The groundbreaking UV replication technology enables the simultaneous production of up to one thousand aspherical, monolithic polymer lenses in imaging quality in a single step. As part of this, the company is revolutionizing the previous injection molding process: It works at room temperature, enables more process parallelization and at the same time requires fewer machines. The company aims to reduce energy consumption by up to five percent of the previous level.

Over the past two years, the number of employees at FabuLens has grown to twelve and the infrastructure has been successfully expanded.

BEVENTUM

HARVESTING THE WIND – THE INLAND WIND TURBINES OF THE FUTURE

The higher wind turbines are, the more efficiently they work, because the wind blows more consistently and forcefully at higher altitudes. So why not simply build wind turbines higher up? The beventum team has been occupying itself with this question. Essentially, the answer is that nobody has dared to try. That is, until now. In the meantime, beventum has validated three highly promising concepts and now wants to attempt to build the world’s first high-altitude wind turbine together with engineering service provider GICON towards the end of 2024. The prototype, which is over 350 meters high, will be located in the municipality of Schipkau in Brandenburg.

In 2023, beventum GmbH successfully submitted the planning application for the first high-altitude wind turbine. The only step remaining now is an inspection by the Brandenburg State Environmental Agency before the foundation stone is expected to be laid in the third quarter of 2024.

But beventum, which now has more than ten employees, is not only aiming high, it also has other groundbreaking goals, too It wants nothing less than to solve the location problem for onshore wind power plants. As a second focus, the team is therefore developing medium-height systems that can be easily installed in spaces that are already in use, such as commercial parks and industrial estates. With around 70,000 industrial estates in Germany alone, it is roughly estimated that multiple power plants could be installed, which could be fed directly to consumers for their own supply.

In the segment of wind turbines under 50 m, beventum is preparing the commercialization of a maintenance-free and cost-effective turbine concept for use in commercial and industrial areas.

MICROBUBBLES A MACROSOLUTION FOR MICROPLASTICS

Roland Damann’s innovative idea is to use microscopic air bubbles to remove microplastics from bodies of water. A floating module generates microbubbles with a diameter of 10 to 50 micrometers, which form a mist-like cloud of bubbles.

The air bubbles attract microplastic particles and transport them to the surface, where they can be removed. No chemicals or maintenance is required, and the process has extremely low energy consumption. It specifically targets the finest impurities in the water, such as tire abrasion and extremely fine plastic particles.

In future, Damann wants to find ways and tools to identify microplastic hotspots. This has significantly expanded MicroBubbles’ fields of research, because it would not be productive to simply remove microplastics without the accompanying proof of cleaning performance. The company’s own center for microplastic analysis is making significant progress. The pilot plants continue to be indispensable for scaling up and integrating the technology into existing water management systems and support ongoing research and application work.

The development of a microplastics database to create a comprehensive microplastics map is another important step forward. Collaboration with the start-ups ZAITRUS in Bayreuth and CyFract in Munich also demonstrate the team’s tireless commitment to developing progressive solutions for pressing environmental problems. The second half of the project will focus on transferring the research findings into possible business cases and models. The initial focus is on the elimination of tire abrasion and the provision of microplastic detection and analysis services.

DIGITAL INFRASTRUCTURES AND OPEN SOURCE ECOSYSTEMS

We often only notice how critical a functioning infrastructure is to our lives when it stops working. Analog vulnerabilities are more quickly visible, but there are many examples in the digital sector too – the Heartbleed bug discovered in 2014, the massive Log4j vulnerability discovered in in 2021 and the xz-utils incident in 2024 to name but a few. These problems illustrate how far-reaching the dependencies are and how large-scale the impact of software infrastructure is on the economy, administration and society in general.

No innovation is possible without functioning infrastructure. This is because innovative digital technologies in particular are almost never built from scratch, but use existing software components or adapt existing code to develop new applications. The use of open digital basic technologies can greatly simplify new development and reduce costs, since it is possible to fall back on the multitude of modules and code libraries. Proper maintenance of the infrastructure can therefore increase innovation and development speed, which is particularly crucial for the development of disruptive technologies.

The Sovereign Tech Fund has been strengthening this invisible infrastructure as well as the entire open source ecosystem since 2022. Over 45 critical technologies are supported and many more have been identified so far through submitted applications and our own research. Totaling around EUR 18.5 million, the contracts finance relevant development work, important maintenance and sustainable improvements in open digital basic technologies, whose maintainers are often unpaid and overworked.

In addition, initiatives such as the bug resilience program, the Contribute Back Challenges and Fellowship for Maintainers are being set up and tested in order to pilot and evaluate further instruments. The aim is to strengthen digital sovereignty, in other words, the self-determined use of digital technologies and systems by individuals, companies and governments, and to work together with communities to find new ways to address the various needs and challenges in the open source ecosystem.

FLUIDECT ON THE TRAIL OF GERMS

FlulDect is well on the way to revolutionizing food analysis. Instead of the days and weeks it used to take, FlulDect can detect pathogens such as legionella or salmonella in liquids within seconds, making our drinking water and food safer.

But how does it work? The team feeds ten micrometer-sized, fluorescently labelled plastic beads made of polystyrene to the liquid samples in an analyzer the size of a shoebox. The beads are irradiated with light and therefore fluoresce. If pathogens accumulate on the plastic beads, the wavelength emitted by the beads shifts, changing the emitted color and making it easily measurable. This enables FluIDect to detect microbes in production plants cost-effectively, decentralized, in-line and without a laboratory. So quickly, in fact, that it can be used to react during the production process, for example of milk or milk substitute products, and not just when entire tanks are already contaminated.

At the end of 2023, FluIDect reported a major achievement: The company successfully completed a seed financing round worth millions. Venture capital firm bm-t from Thuringia, b.value from Dortmund and Sparkasse JenaSaale-Holzland invested in the start-up from Jena.

NANOGAMI

THE NEW INDUSTRIAL REVOLUTION IS NANO

Everyday diagnostics are set the change: In the future, people will no longer have to send tissue or fluid samples to a laboratory, but will be able to analyze them directly at the doctor’s surgery or even at home.

This will be faster, cheaper, more detailed and more accurate. To enable this, the company Nanogami is developing innovative biochips. These contain highly complex, programmable nanostructures – billions of tiny DNA machines that perform specific tasks. However, Nanogami wants not only wants to use the nano-structures in biochips, but also in computer chips. If this works, Nanogami will be able to revolutionize other markets, such as data storage. Or the production of quantum computers. Or monitoring pollutants in the air. The potential of nano is gigantic.

Over the past two years, the team has come one step closer to its goal of creating novel biochips. The innovators are developing initial prototypes that will help to make existing DNA sequencing much more efficient. This should greatly reduce costs and enable a wider range of applications.

PLEODAT THE COGNITIVE DATABASE OF THE FUTURE

Pleodat is working on the development of the CortexEngine database of the future. Inspired by the human brain and working in a similar way, the Cortex IP informationplatform should be able to analyze a large number of inputs simultaneously. The system focuses on establishingrelationships between data in order to derive information and gain insights. SPRIND’s subsidiary, Pleodat, will systematically prepare the Cortex IP for commercial, comprehensive and scalable further development. The death of innovator Peter Palm in 2023 and current advances in the field of artificial intelligence have spurred a realignment process within the company.

Pleodat now has over 20 employees and is investigating how the Cortex IP can be integrated with AI applications to offer disruptive solutions.

HEALING DESTRUCTION: HOW ALZHEIMER’S DISEASE CAN BE DEFEATED

Alzheimer’s disease: A diagnosis that changes the lives of patients and their families forever. The process of destruction in the brain follows a perfidious and unstoppable path. Innocuous single proteins occur in the brain, including Abeta molecules. These clump together, lose their original function and damage the nerve cells and their connections, somehow becoming neurotoxic. Worse still, the toxic bundles (oligomers) reproduce in the brain at the expense of the monomers and cause the death of increasing numbers of nerve connections, socalled synapses, and neurons. The idea is to shift the balance between the “good” single protein and the “evil” toxic bundle. Innovator Dieter Willbold believes that this can be achieved by introducing an active ingredient that enters the brain, stabilizes the monomer structure and splits the oligomers into harmless monomers directly and without the intervention of the immune system. This could even allow damaged synapses to recover and become functional again. Together with his research spin-off Priavoid, Willbold investigated precisely this anti-prionic mechanism of action, which stops and prevents the spread and multiplication of oligomers, and subsequently developed the corresponding active ingredient. PRI-002 is what is known as an All-D-peptide that can be produced relatively cheaply and administered orally.

Three phase 1 clinical trials in healthy volunteers and patients, which focus on the safety and tolerability of the active PRI-002 compound, have already been successfully completed and have demonstrated very high safety and good tolerability.

Required preclinical studies were also successfully completed, yielding results that also indicate the very high level of safety and tolerability of PRI-002, even with a long treatment duration. In order to further substantiate the convincing and favourable safety profile and demonstrate efficacy, PRI-002 is now being tested in a placebo-controlled phase 2 trial involving a total of 270 patients in six European countries. The phase 2 trial, which is known as PRImus-AD study, was approved on October 30, 2023. The active ingredients has already been fully manufactured for the PRImusAD study and is currently being processed into test medication and dispensed to patients already enrolled in the study. The final results of the phase 2 trial are expected in 2026. The aim is to then move straight onto the corresponding phase 3 approval trial.

↳ AI STRATEGY FOR GERMANY

↳ VERSION # 1.4 11/02/2023

↳ WHEN DEVELOPING AI, GERMANY SHOULD FOCUS ON ITS COMPETENCIES AND CONSIDER BOTH THE NEEDS AND ASSETS OF THE COUNTRY’S LEADING INDUSTRIES, SOCIETY AND SCIENCE.

↳ ONLY THEN, AND ONLY WITH SWIFT ACTION, CAN A DECISIVE COMPETITIVE EDGE EMERGE DESPITE THE CURRENT SHORTFALLS.

↳ TO ACHIEVE THIS GOAL, SPRIND PROPOSES FOUR PARALLEL LINES OF ACTION:

SPRIND CHALLENGES FOR THE DEVELOPMENT OF APPLICATION-SPECIFIC AI

→ for the concrete use and further development of AI in the verticals

ENABLE SPRIND CHALLENGES FOR THE DEVELOPMENT OF DATA POOLS

PROMOTE OPEN-SOURCE LLMS

→ for the provision and curation of high-quality, unique data pools from business, administration, research and society

→ in line with the Sovereign Tech Fund model to build local, future champions

PROVISION OF COMPUTING CAPACITY

→ with parallel development of specialized hardware

This document describes a mission-focused approach that can be quickly put into action. SPRIND can be used as a tool for implementing challenges and providing project funding. SPRIND can be commissioned in-house.

PROJECTS GRADUATED

SPRIND CREATES PERSPECTIVES AND BLAZES A TRAIL.

FOR A SUCCESSFUL FUTURE ON ITS OWN TWO FEET.

WE HELP FOR AS LONG AS WE CAN AND AS LONG AS WE ARE NEEDED.

PROJECTS GRADUATED

THIS IS WHY WE ARE PARTICULARLY PROUD OF OUR SUCCESSFUL ALUMNI, WHO HAVE ALREADY TAKEN THIS IMPORTANT NEXT STEP.

PROJEKT → INNOVATION

SPINNCLOUD

Spin-off from Dresden University of Technology

EUROPEAN INNOVATION COUNCIL (EIC) GRANT

↓

EUR 2.5 MILLION

FLUIDECT

VARIOUS INVESTORS

SpiNNaker2 neuromorphic computer system

COMMISSION

SPRIND validation study: 2021

In 2021, SPRIND commissioned a validation study for SpiNNcloud, a spin-off from Dresden University of Technology. The company is developing the SpiNNaker2 neuromorphic computer system. For its expansion, it became the first Saxon deep tech start-up to receive funding of EUR 2.5 million from the European Innovation Council. This grant enables SpiNNaker2 to be extended to mobile applications such as human-machine interaction and tested in realistic industrial environments.

SPRIND validation study: 2022

AKHETONICS

PRIVATE INVESTORS

↓

EUR 2.3 MILLION

In 2022, SPRIND commissioned a validation study for FluIDect to further develop its SpheroScan sensor. This sensor examines liquid products for pathogens in real time and can be integrated into various food production processes. Following the validation study, the team raised several million euros from investors for further product development.

SPRIND validation study: 2022

In 2022, SPRIND commissioned a validation study for Akhetonics to further develop its SpheroScan sensor. Subsequently, the team was awarded EUR 2.3 million from private investors for the development of a first full-scale prototype.

THE AIM IS FOR TEAMS TO ACHIEVE SOLID FURTHER FUNDING WITH ITS OWN RESOURCES - THIS IS THE ONLY WAY THAT DISRUPTIVE INNOVATIONS CAN DEVELOP AND ESTABLISH THEMSELVES IN THE LONG TERM.

CELLCIRCLE UG

→ Process for the direct recycling of Li-ion batteries

PROJECT PARTNERS OF THE FRAUNHOFER ReUse PROJECT

DRIVEBLOCKS GMBH

PRIVATE INVESTORS

↓

EUR 2.2 MILLION

RELIOS.VISION GMBH

SPRIND validation study: 2022

In 2022, SPRIND provided support to CellCircle to further develop its process for the direct recycling of Li-ion batteries. The start-up is now a partner in the Fraunhofer ReUse project, which is funded by the European Union’s Horizon Europe Research and Innovation Program.

→ Modular platform for autonomous driving

SPRIND validation study: 2022

In 2022, SPRIND commissioned a validation study for Driveblocks to develop a modular platform for autonomous driving. The team then raised EUR 2.2 million from private investors to further develop the core technology, the Mapless Autonomy Platform.

→ Research into SmartContrast, AI software that minimizes the contrast agent in MRI scans

PART OF THE WOMEN TechEU funding program

DEVERITEC / LAST MILE SEMICONDUCTOR

SPRIND validation study: 2022

relios.vision received support from SPRIND in 2022. The goal: Further research into SmartContrast, a type of AI software that minimizes the contrast agent required in MRI scans Following the validation study, relios.vision was accepted into the European Innovation Council’s Women TechEU funding program.

→ An application-specific microcontroller for a new wireless standard

EUROPEAN INNOVATION COUNCIL (EIC) GRANT

↓

EUR 2.5 MILLION

SPRIND validation study: 2022

in 2022, SPRIND commissioned a validation study for Last Mile Semiconductor to develop an application-specific microcontroller for a new wireless standard. The start-up subsequently received EUR 2.5 million in funding from the European Innovation Council.

STANHOPE AI

VARIOUS INVESTORS

↓

GBP 2.3 MILLION

YELLOW SIC GROUP

→ Using neuroscientific research to teach machines to make human-like decisions

SPRIND validation study: 2023

In 2023, SPRIND commissioned a validation study for Stanhope AI. The company uses neuroscientific research to teach machines to make human-like decisions. Following the validation study, the team was awarded GBP 2.3 million from investors to further develop its “agentic AI”.

→ Photocatalytic cell that electrolyzes hydrogen directly from sunlight and water

SPRIND validation study: 2023

PRIVATE INVESTORS

↓ EUR 3.5 MILLION

FOCUSED ENERGY

PLT collaborative partner

Yellow Sic is developing a photocatalytic cell that electrolyzes hydrogen directly from sunlight and water. The company received support from SPRIND in 2023.

Following the validation study, the start-up completed a financing round and gained EUR 3.5 million from private investors. The first pilot plant for hydrogen production is due to open at the beginning of 2025.

→ Technology development for a laser-driven fusion power plant

SERIES A FINANCING ROUND

↓

USD 11 MILLION

MARVEL FUSION

Kooperationspartner der PLT

Focused Energy is a collaborative partner of PLT Wasserstofferzeugung – a subsidiary of SPRIND – and, in addition to further funding in 2023, was able to complete a financing round of around USD eleven million to advance the technological development of a laser-driven fusion power plant. The laser technology for this is being developed in collaboration with PLT.

→ Theoretical and experimental activities to develop a new concept for fusion energy

SERIES A FINANCING ROUND

↓

USD 39 MILLION

Kooperationspartner der PLT

Marvel Fusion is also collaborating with PLT. The team raised USD 39 million in its Series A financing round. It aims to use this funding to advance its theoretical and experimental activities to develop a new concept for fusion energy. The laser technology for this is being developed in collaboration with PLT.

QUANTUM DIAMONDS

VARIOUS INVESTORS

↓

EUR 7 MILLION

THEION

→ Further development of nanoscale imaging

SPRIND validation study: 2023

In 2023, SPRIND commissioned a validation study for Quantum Diamonds, a start-up specializing in quantum sensor technology. The Munich-based team was then able to secure EUR seven million from investors to further develop its nanoscale imaging and can now expand its funding with its first pilot customers.

→ Further development of a lithium-sulfur battery

STRATEGIC INVESTMENT OF A GREENTECH COMPANY

CELLBRICKS

SPRIND validation study: 2023

In 2023, SPRIND commissioned a validation study for Theion to further develop a lithium-sulfur battery. A greentech company subsequently made a strategic investment to collaboration on the commercialization of the technology.

→ Printing fully functional organs

VARIOUS INVESTORS AFTER SEED ROUND

C1 GREEN CHEMICALS AG

VARIOUS INVESTORS

↓

EUR 13 MILLION

SPRIND validation study: 2023

In 2023, SPRIND commissioned a validation study for Cellbricks. The start-up has the long-term goal of printing fully functional organs. After the validation study, the team attracted funding from several investors in a seed round.

→ Catalysis for large-scale methanol synthesis

(+ FUNDING FROM FEDERAL MINISTRY FOR DIGITAL AND TRANSPORT AFFAIRS, BMDV)

ARX

SPRIND validation study: 2022

SEED ROUND

↓

EUR 9 MILLION

Through support provided by SPRIND in 2022, C1 Green Chemical was able to work on the further development of its catalysis for large-scale methanol synthesis Following the validation study, it attracted EUR 13 million from investors for the market launch of the technology. The Leuna100 project is also being funded with over EUR ten million by the Federal Ministry for Digital and Transport (BMDV).

→ Further development of a system for autonomous robot control

SPRIND validation study: 2024

In early 2024, SPRIND commissioned ARX Robotics with a validation study for the further development of a system for autonomous robot control. The team aims to use the concept to play its part in Europe’s technological sovereignty. In June 2024, the team gained seed funding of EUR 9 million.

SPRIND CHALLENGES

CIRCULAR BIOMANUFACTURING

Production of the plastic PMMA (Plexiglas) from potato starch, residues from biodiesel production and sugar beet pulp.

COMPLETION OF SERIES A FINANCING ROUND

SERIES A FINANCING ROUND

↓ EUR 20 MILLION

AMPHI STAR

SEED ROUND

↓ EUR 6 MILLION C3 INSEMPRA

CHALLENGE start: 2023

The CIRCULAR BIOMANUFACTURING CHALLENGE started at the end of 2023. C3 Biotechnologies aims to produce the plastic PMMA (Plexiglas) from potato starch, residues from biodiesel production and sugar beet pulp. During the challenge, the team completed a Series A financing round.

Polyester and polyamides from plant residues, used cooking oil or PET waste

CHALLENGE start: 2023

Insempra is also part of the Circular Biomanufacturing challenge. The BioTreasure team produces materials such as polyester and polyamides from plant residues, used cooking oil or PET waste. It completed a series A financing round for USD 20 million.

→ Various biosurfactants from food industry waste

CHALLENGE start: 2023

Another challenge team, AmphiStar, produces various biosurfactants from food industry waste. In the course of the challenge, the team has already raised EUR six million in a seed round.

SPRIND CHALLENGES ○ LONG DURATION ENERGY STORAGE

REVERION

→ A system that can go from storing energy to supplying it in less than a minute

PROFIT IN THE FORM OF CONVERTIBLE LOANS

↓

USD 8.5 MILLION

ORE ENERGY

SEED ROUND

↓

EUR 10 MILLION

SPRIND CHALLENGE START: 2022

Reverion is working on a system that can go from storing energy to supplying it in less than a minute. It is based on a ceramic fuel cell that works at very high temperatures. The team acquired EUR 8.5 million in the form of convertible loans.

→ Development of an iron-air battery that provides 100 hours of power

SPRIND CHALLENGE START: 2022

The LDES team Ore Energy is developing an iron-air battery that provides 100 hours of power. A total of EUR ten million has already been raised in a seed round.

SPRIND CHALLENGES ○ CARBON-TO-VALUE

CARBO CULTURE

→ To do this, the company sequesters carbon from waste biomass in the form of biochar

SERIES A FINANCING ROUND

↓

EUR 18 MILLION

SPRIND CHALLENGE START: 2022

The CARBON-TO-VALUE CHALLENGE started in mid-2022.

The Carbo Culture team sequesters carbon from waste biomass in the form of biochar. This can be used in concrete to reduce the ecological footprint and as a heat conductor. In the course of the challenge, Carbo Culture acquired USD 18 million in a series A financing round.

SPRIND CHALLENGES ○ NEW COMPUTING CONCEPTS

SEMRON

→ Development of new types of computer chips

→ Currently preparing initial test chip production

SERIES A FINANCING ROUND

↓

EUR 7 MILLION

CHALLENGE completed

Semron develops innovative computer chips and is currently preparing initial test chip production. The company received EUR 7 million in a financing round following the SPRIND NEW COMPUTING CONCEPTS challenge.

A LOOK TOWARDS THE FUTURE

Two years ago, we predicted that the SPRIND Act would finally give us the freedom to act in the way that is right for our task: quickly, non-bureaucratically, results-oriented and in the spirit of trust. On December 30, 2023, the time had finally come and our Freedom Act came into force. We developed the new funding tools in 2024 and have already implemented them. Some of the results can already be found here in TAT-SACHEN.

WHAT FUTURE DO WE SEE AND WANT?

THE ERA OF ENTREPRENEURSHIP 2.0!

In the era of entrepreneurship during the 19th century, many things seem to have been done right when it came to translating scientific findings into products, industries and social innovations. Beautiful houses were also been built.

WHAT DO WE NEED FOR THE ERA OF ENTREPRENEURSHIP 2.0?

Much of what SPRIND has learned and made possible must now be disseminated. Universities and non-university research institutions also suffer from laws like the Besserstellungsverbot, which prevents funding recipients from paying their employees more than the equivalent federal employee, and excessive bureaucracy. Science funding can also switch to a “SPRIND mode”. We can immediately improve IP transfer, the new tools such as start-up factories and DATI can ensure a wide-reaching spin-off boom and SPRIND can ensure even more disruptive innovations. Instead of funding programs, challenges that are quick and accessible to all can bring new momentum to state innovation funding. Innovative public procurement can create markets that do not yet exist.

Better follow-up financing for the scale-ups – in other words, the start-ups that now want to become big and need considerable funding to do so – must ensure that we not only invent new industries here, but also keep them. For example, we need an equity-linked pension and a functioning European stock exchange that provides liquidity for financing the growth of new companies. And with success comes the interest of citizens to participate in this new prosperity. We also need to radically rethink education. We must give educational institutions the time, role models and resources to implement a new “operating system” that is fit for the 21st century.

Publisher

SPRIND

BUNDESAGENTUR FÜR SPRUNGINNOVATIONEN

Lagerhofstraße 4 04103 Leipzig, Germany info@sprind.org www.sprind.org

Management

BERIT DANNENBERG

RAFAEL LAGUNA DE LA VERA

Chairman of the Supervisory Board

DR. (H.C.) PETER LEIBINGER

Commercial register Leipzig District Court (HRB 36977)

Editor

ELKE JENSEN

Editor and author

VERENA BÖTTCHER

Copy

SPRIND TEAMS

Photography

MATTIA BALSAMINI

TILLMANN FRANZEN

FELIX ADLER

Design

MEIRÉ UND MEIRÉ

Art direction

Meiré und Meiré

Lithography

max-color, Berlin

Printing

Druckhaus Sportflieger

Sportfliegerstraße 7 12487 Berlin, Germany

Editorial deadline September 2024

Reprinting only with permission. All articles within this publication are protected by copyright. Any use requires the consent of the publisher.

DISRUPTIVE INNOVATION IS THE FEDERAL AGENCY FOR DISRUPTIVE