Recent advances in engineering, informatics and chemistry have propelled biotechnology from obscure academic laboratories into the economic mainstream. Genetic engineering and biotechnology companies have developed sophisticated technologies for custom gene synthesis which are used for developing new drug and agricultural products. Investors with a long-term view of the economy may do well by taking positions in some lesser known companies in this fast-growing industry.
In the early years of biotechnology research, laborious cloning that took many weeks was required to isolate a single gene. Many researchers around the world freely shared their discoveries in a spirit of cooperation to develop the fledgling sciences comprising biotechnology. Today, genetic engineering is big business and new discoveries are closely guarded secrets. A growing number of companies specialize in narrow scientific niches to supply the biotech industry with basic research and raw materials.
Leading Custom Gene Synthesis Companies and Biotech Equipment Manufacturers
With advances in technology, companies that provide gene synthesis service on a contract basis for larger product development companies have grown while prices for their products have fallen. Leading companies in the gene synthesis market include Geneart, a subsidiary of Life Technologies, Blue Heron, GenScript, and Bioserve. Demand for synthetic genes is fueling rapid growth in the new field of "synthetic biology."
Some laboratories and biotech companies perform their own in-house gene synthesis in order to protect their proprietary gene sequences and other intellectual property from outside scrutiny. While these companies do not need outside custom gene synthesis providers, they are large purchasers of sophisticated biotechnology laboratory tools. Manufacturers of gene synthesizing equipment and oligonucleotide synthesizers include BioAutomation and Varian, Inc.
DNA Synthesis Reagents and Codon Optimization
Several companies supply reagents that are used in streamlining DNA synthesis and genetic engineering processes. Novici Biotech has invented a product that reduces errors during DNA synthesis, increasing the cost effectiveness of synthetic gene production. Sigma Aldrich and Bio-Rad each produce equipment and reagents for biological research that are commonly used in synthetic biology laboratories.
The genes used in protein products for industrial, medical or agricultural use must be optimally structured for high efficiency protein production in a process called codon optimization. Companies including DNA 2.0, GenScript, and Sino Biological, Inc. use mathematical algorithms to predict optimal codon configuration. Novici Biotech has developed an empirical codon optimization method that does not rely on informatics based prediction to find the best gene sequence for a targeted application.
The rapidly evolving field of biotechnology is changing the way traditional pharmaceutical and agricultural companies approach new product development. Advances in technology and reductions in costs for gene synthesis, codon optimization and basic genetic research are leading the old industries into new and more efficient ways of providing new drugs and food products to the marketplace.
Reference:
Nature Biotechnology 27, 1091-1094 (2009), The Changing Economics of DNA Synthesis
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