Challenges for VC investors:

a whole lot of cleantech companies also look like science projects:  The nanotech sector has historically been full of a lot of interesting science projects that were way too far from commercialization. I'm not sure that's changed much.

Comparison of nanotech investment bubbles with Cleantech...

The ultimate problem for VC-backed nanotech companies is that most of them were technologies without products. Kind of like if Google had created its breakthrough search algorithms in 1985. Cleantech companies, on the other hand, almost always have a clear vision of their products and market opportunity. Their problem is getting the technology to work. It's obviously a more fundamental risk, but also should give VCs better guidance when it comes to follow-on financings or cutting bait.

"When you look at the technology companies (not the project companies) in the cleantech space, then you will notice that the vast majority of them are novel materials companies. The vast majority of these novel material technologies are nanotech-based. In other words: Cleantech is the market for which Nanotech has been waiting"

see also:  Clean-tech and environmentally conscious investing

Examples of nanotech in practice:

Nano-what? How It Will Change Almost Everything

The most exciting technology you've never heard of is all around us working its tiny wonders

Interior Design Magazine · January 22, 2008

Think small — very, very small — a billionth of a meter small. That's a nanometer. A human hair is about 100,000 nanometers wide; a six-foot tall person measures two billion nanometers. Infinitesimal, minuscule, microscopic—words are inadequate, and proportional analogies are almost meaningless at this level, yet nanometers are the building blocks of new technologies—nanotechnologies—that are perhaps the most exciting advancement you've never heard of. Experts predict growth into a $3 trillion industry by 2014 that will revolutionize the way we design, engineer and make everything. Obviously numbers like these are driving a lot of research, so, what is this tiny behemoth?

Nanotechnology is the manipulation of matter at the molecular or atomic scale. Working at that size changes the nature of compounds, from gas and liquids into solids, for example, and from fragile to sturdy or vice versa, plus a thousand other things. According to an article in NRDC's Onearth magazine, it "may someday enable scientists to build objects from the atom up, leading to entirely new replacement parts for failing bodies and minds. It may enable engineers to make things that never existed before, creating nanosize "carpenters" that can be programmed to construct anything, atom by atom—including themselves. Or it may make things disappear, with nanowires that get draped around an object in a way that makes the whole package invisible to the naked eye."

Sounds futuristic and otherworldly, and though nanotechnology is still in its infancy, the science has been with us for a while. Nano-Tex, for example, is the brand name of a nanotechnology-based textile enhancement first used in the apparel industry that repels liquids, resists wrinkles, dries fast and breathes. It works because, unlike topically applied chemicals, nanoparticles form a molecular bond with the fabric. Eddie Bauer was the first retailer to use Nano-Tex on pants and then in 2003 on a bestselling shirt. It's also found a market in home textiles and commercial applications such as sports arena seating and in health care facilities.

The ability of nanotechnology to create high-tech fabrics that maximize performance, eliminate toxins and offer extended durability has an obvious connection to green design principles. In fact, there are countless such links, many of which are detailed in "Nanotechnology for Green Building, " a report that presents a well-researched review of current and future nanotechnology applications for environmental performance improvements in buildings. Published by the Green Technology Forum, the report highlights existing nanomaterials available and in use right now.

Of those materials, coatings are farthest along in terms of development, according to Dr. George Elvin, the report's author and GTF's director, as he points to the multidimensional advances in the application of nanotechnology.

• Medical facilities are using antimicrobial nanocoatings on fabrics to cut down on transmission of diseases.
• Nanocoated pipes prevent dirt build up. Exterior coatings prevent heat loss in the winter and sweating during the summer months.
• At a recent renovation of a California art museum, a nanocoating of the interior of the ductwork greatly reduced friction, which reduced the energy requirements of the HVAC system.
• Self-cleaning windows have a nanocoating that causes water to sheet off the surface without streaking, which not only cuts down on maintenance costs but also greatly reduces the use of cleansers, many of which contain harmful chemicals.
• Thermal nanoinsulation of machinery used in textile production not only reduces energy use but also provides corrosion protection.
• Photochromic windows can change from opaque to transparent with the flip of a switch.
• Painting or spraying a nanocoating on a wall will raise its R-value without having to tear into it to add fiberglass, and no one will even know the coating is there.

The GTF report also looks to future nanoproducts in development, some enticingly close to market viability, such as windows and skylights that can become a source of light, moisture and fungus resistant gypsum wallboard, and wood engineered to reduce rot. As the science progresses, more and more building products will begin to incorporate nanotechnology to reduce their environmental impact. Concrete, for example, is held together by cement; however by tweaking the nature of the materials at the molecular level, it may be possible to cut the percentage of cement in half—and its CO₂ emissions. Another intriguing nano-application is a de-polluting coating that can be applied to a surface—a highway or a building, for example—and absorb pollutants from the atmosphere, breaking them down into benign elements.

Lighting is another huge area of development and promise, especially LEDs and organic LEDs (OLEDs), which have a thin film layer of organic material that are activated by electricity. OLEDs are currently being used in display applications such as cell phones but are coming to the architectural lighting market and, according to Elvin, will change the way we light our buildings. Many manufacturers are heavily invested in OLED nano-enhanced lighting research.

Microban is one of many companies manufacturing products—bath and kitchen fixtures, flooring, HVAC equipment, to name just a few of the 450 it produces—with antimicrobial protection is built-in. It doesn't, however, promote its use of nanotechnology, which Elvin says from a marketer's perspective is understandable. "Most of us don't care about the science, we just want it to work. The companies that are developing these technologies don't see a lot a leverage in promoting nanotechnology itself, it's all about the performance, but nanotechnology is pretty dramatically improving the performance in a lot of areas."

Nanotechnology does, however, come with a downside or two. Cost is an issue, especially for newly developed products. Photochromic and self-cleaning windows, for example, are significantly more expensive than their traditional counterparts. (As in all things green, it's best to look at the life cycle impact rather than relying simply on price for purchasing decisions.) Those products that have been on the market for a while, such as the stain-resistant fabrics, are generally price-competitive. As designers write more stringent performance specifications, it's likely the nano-enhanced products will be able to meet them more readily than traditional products. That will move the market forward and bring prices down. In fact, Elvin estimates that by 2016, at least 20 percent of all building materials will be nano-enhanced—and that, he says, is very conservative. "As the demand for sustainable buildings and environmentally responsible materials grows, nanotechnology will meet the requirements that traditional materials cannot."

Another big concern about nanotechnology is safety. The Onearth article suggests that, "When an industry grows this quickly, there may be neither the time nor the inclination to ask some tough questions about possible risks. First of all, there are the health and environmental hazards. Would nanotechnology bring unacceptable risks to workers making these materials or consumers who use the final products? Would it affect air or water quality near where the nanomaterials are dispersed? Very little is known about nanotoxicology, which might be very different from the toxicology of the same materials at normal scale."

It's the scale that has researchers worried, according to Elvin. "We're talking about much smaller particle sizes that can get into lungs and the bloodstream more easily. There's not any evidence that nanoparticles are more dangerous than similar materials at a larger scale, but there is uncertainty." Nanotechnology holds the promise of delivering a wondrous future, mystical and slightly Twilight Zone-ish. It certainly bears watching, one nano—okay, one billion nanos—at a time.

See also:

• nanotechnology and energy ...Potential methods of generating energy with nanotechnology are nearly bound...
• Business Clusters ... Grenoble...
• New diesel engines ......
• Renewable and alternative energy ...     see also:  ...
• Technology ... 533 views | Related:...
• global trends ... The integration—or ...
• solar energy ...Additional big news for solar power comes in the form of plastic solar cell...