1. From image to knowledge
NSF I-Corps Final Presentation – Story of the Journey

2. From image to knowledge
PHI OPTICS, INC.
University of Illinois at Urbana-Champaign
Disruptive light microscopy technology:
accurate, nondestructive (label-free), fast, inexpensive
Hardware
+
Software
Image source:
PerkinElmer

3. From image to knowledge
PHI OPTICS, INC.
University of Illinois at Urbana-Champaign
Disruptive light microscopy technology:
accurate, nondestructive (label-free), fast, inexpensive
Hardware
+
Software
Image source:
PerkinElmer

4. From image to knowledge
The Team
Dr. Catalin Chiritescu, EL Tim Hoerr, BM Prof. Gabriel Popescu, PI
• Staff Scientist, UIUC Serra Ventures, CEO ECE Faculty, UIUC
• 10 years in Materials 25 years in Business 20 years in Optics

5. From image to knowledge
The Problem
Current technology:
• destructive (kills cells)
• inaccurate
• labor-intensive
• expensive
Phi Optics technology (QPI*):
• non-destructive
• accurate (quantitative, nanoscale)
• no preparation
• inexpensive
G. Popescu, Quantitative phase imaging of cells and tissues (McGraw-Hill, New York, 2011).

6. From image to knowledge
The Market
TAM: Light microscopy $3B
SAM: Life sciences
27%  $0.8B
$0.43B * “Microscopy: The Global
Market”, BCC Research,
August 2011

7. From image to knowledge
The Competition
• Lyncée Tec (Swiss): $$$, low-Q, no upgrade, fast
• Ovizio (France): $$$, low-Q, no upgrade, fast
• Phasics (France): $, low-Q, upgrade, fast
• IATIA (Australia): $$, low-Q, upgrade, slow
• Phi Optics (USA): $, high-Q, upgrade, fast

8. From image to knowledge
What we thought we knew…

9. Canvas 1.0
7. Key Partners 5. Key Activities
From image to knowledge 1. Value 4. Customer 2. Customer
Proposition Relationships Segments
Joint ventures with New tech Nanoscale Imaging Personal assistance Industries
OEM
Refine and improve Affordable Value Co-creation Nanotech
existing tech
Better Than
Buyer-supplier Customer contact Semiconductor
Competition
relations with for new
our equipment applications Easy To Integrate Life Sciences
providers Attract talent
Customers we
Where do
6. Key Resources 3. Channels focus first?
OEM companies
Human resources Trade shows Academia
Prototypes Website Industry R&D
Distributors of Medical Institutions
Patents
Scientific
Licensing/royalty Equipment
deals
9. Cost Structure 8. Revenue Streams
Co-development deals, royalties from OEM
FIXED: people, R&D facilities, manufacturing
Transaction revenues from direct sales
VARIABLE: marketing & sales
Post-sales customer support incl. software updates

10. From image to knowledge
What we learned…

11. 101 contacts
From image to knowledge

12. From image to knowledge
Customer Archetypes
• Manager instrument facility
• Seek new technology
• Large equipment budgets
• Potential earlyvangelists
• Many users, 1-2 instruments
Dr. Radu Moldovan Dr. Sung Chang
Manager Microscopy Suite Manager Imaging Facility
U. Colorado-Denver Amgen Inc.
• Principal investigator
•Develop new technology
•Limited equipment budgets
• Potential earlyvangelists, Kols
• Few users, one instrument
Prof. Audrey Eberlee
PI, EE Stanford University Dr. Richard Smith
Principal Scientist at Amgen
Inc.

13. 101 contacts
From image to knowledge

14. From image to knowledge
Customer Archetypes (OEM)
• Decision maker
• Seeks new technologies
• Manages long term projects and
large budgets
Scott Crowder • Potential earlyvangelists James Sharp
Manager • Many customers, many President
Business Development Carl Zeiss MicroImaging
instruments USA

15. From image to knowledge
The Split
• Hi-Q
Direct Sales Academia
• $$ R&D
• Our customers
• Direct sales and software updates
• Low-Q
Co-development OEM
• $/10
• Their customers
• Royalties/sub-licensing deals

16. From image to knowledge
Not the same business
done twice
But two different businesses

17. Parting of the canvases
From image to knowledge

18. From image to knowledge

19. From image to knowledge
Lessons Learned
• Features NOT Value Prop
• Startups NOT smaller version of big companies
• Listen to customers
• …

20. From image to knowledge

21. Canvas 1.0
7. Key Partners 5. Key Activities 1. Value 4. Customer 2. Customer
Proposition Relationships Segments
Joint ventures with New tech Nanoscale Imaging Personal assistance Industries
OEM
Refine and improve Affordable Value Co-creation Nanotech
existing tech
Better Than
Buyer-supplier Semiconductor
Customer contact for Competition
relations with
new applications Life Sciences
our equipment Easy To Integrate
providers Attract talent
Customers
6. Key Resources 3. Channels OEM companies
Human resources Trade shows Academia
Prototypes Website Industry R&D
Patents Distributors of Medical Institutions
Scientific Equipment
Licensing/royalty
deals
9. Cost Structure 8. Revenue Streams
Co-development deals, royalties from OEM
FIXED: people, R&D facilities, manufacturing
Transaction revenues from direct sales
VARIABLE: marketing & sales
Post-sales customer support incl. software updates

22. Canvas 2.0
7. Key Partners 5. Key Activities 1. Value 4. Customer 2. Customer
Proposition Relationships Segments
Joint ventures with Nanoscale Imaging Personal assistance
OEM Hardware/software
Affordable Value Co-creation
development Nanotech
Better Than Online Customer
Buyer-supplier Semiconductor
Search for new Competition Communities
relations with
applications
our component Easy To Integrate
vendors Life Sciences
Attract talent - academia
Label-free imaging of
- bio-pharma R&D
live cells, quickly,
6. Key Resources accurately, 3. Channels
inexpensively Website “inform” and
Human resources Optical Instruments
connect
OEM
Prototypes
Direct Sales
Patents Distributors of
Scientific Equipment Medical Institutions
Licensing/royalty
deals OEM Distributors
9. Cost Structure 8. Revenue Streams
Co-development deals, royalties from OEM
FIXED: people, R&D facilities, manufacturing
Transaction revenues from direct sales
VARIABLE: marketing & sales
Post-sales customer support incl. software updates

23. Canvas 3.0
7. Key Partners 5. Key Activities 1. Value 4. Customer 2. Customer
Proposition Relationships Segments
Joint ventures with Nanoscale Imaging Personal assistance
OEM Hardware/software
Affordable Value Co-creation
development Nanotech
Better Than Online Customer
Buyer-supplier Semiconductor
Search for new Competition Communities
relations with
applications
our component Easy To Integrate
vendors Live Cells and Tissues
Attract talent - academia
Label-free, non-
UIUC OTM for - bio-pharma R&D
invasive
licensing rights imaging, quickly, acc 3. Channels
6. Key Resources
urately, inexpensively Website “inform” and
Human resources Optical Instruments
connect
OEM
Prototypes
Direct Sales
Patents Distributors of
Scientific Equipment Medical Institutions
Licensing/royalty
deals OEM Distributors
9. Cost Structure 8. Revenue Streams
Co-development deals, royalties from OEM
FIXED: people, R&D facilities, manufacturing
Transaction revenues from direct sales
VARIABLE: marketing & sales
Post-sales customer support incl. software updates

24. Canvas 4.0
7. Key Partners 5. Key Activities 1. Value 4. Customer 2. Customer
Proposition Relationships Segments
Joint ventures with Nanoscale Imaging Personal assistance
OEM Hardware/software
Affordable Value co-creation
development Nanotech
Better Than Online Customer
Buyer-supplier Semiconductor
Search for new Competition Communities
relations with
applications
our component Easy To Integrate
vendors Live Cells and Tissues
Attract talent - academia
UIUC OTM for - bio-pharma R&D
ACCURATE and TIME-
licensing rights , COST-EFFICIENT
6. Key Resources 3. Channels
imaging Website “inform” and
Human resources Optical Instruments
connect
OEM
Prototypes
Direct Sales
Patents Distributors of
Scientific Equipment Medical Institutions
Licensing/royalty
deals OEM Distributors
9. Cost Structure 8. Revenue Streams
Co-development deals, royalties from OEM
FIXED: people, R&D facilities, manufacturing
Transaction revenues from direct sales
VARIABLE: marketing & sales
Post-sales customer support incl. software updates

25. Canvas 5.1
7. Key Partners 5. Key Activities 1. Value 4. Customer 2. Customer
Proposition Relationships Segments
Nanoscale Imaging Feasibility tests
Hardware/software Earned media
Affordable
development Trade-shows Nanotech
Better Than Workshops
Buyer-supplier Semiconductor
Search for new Competition
relations with Online communities
applications
our component Easy To Integrate Technology updates
vendors Live Cells and Tissues
Attract talent Value co-creation - academia
- bio-pharma R&D
UIUC OTM for ACCURATE and TIME- Referrals
licensing rights , COST-EFFICIENT
6. Key Resources 3. Channels
imaging Website “inform” and
Human resources
connect
Prototypes
Direct Sales
Patents
Medical Institutions
9. Cost Structure 8. Revenue Streams
FIXED: people, R&D facilities, manufacturing
Transaction revenues from direct sales
VARIABLE: marketing & sales
Post-sales customer support incl. software updates

26. Canvas 5.2
7. Key Partners 5. Key Activities 1. Value 4. Customer 2. Customer
Proposition Relationships Segments
Joint ventures with Nanoscale Imaging Feasibility tests
OEM Hardware/software
Affordable
development Trade-shows Nanotech
Better Than Workshops
Buyer-supplier Semiconductor
Search for new Competition
relations with
applications
our component Easy To Integrate Technology updates
vendors
Attract talent Value co-creation
UIUC OTM for
licensing rights TIME-, COST-
6. Key Resources EFFICIENT imaging 3. Channels
Human resources Website “inform” and OEM of Optical
connect Instruments (Carl
Prototypes Zeiss GmbH, Bio-Rad
OEM Distribution Labs)
Patents
Licensing/royalty Medical Institutions
deals
9. Cost Structure 8. Revenue Streams
FIXED: people, R&D facilities, manufacturing Co-development deals, royalties from OEM
VARIABLE: marketing & sales

27. Canvas 6.1
7. Key Partners 5. Key Activities 1. Value 4. Customer 2. Customer
Proposition Relationships Segments
Nanoscale Imaging Feasibility tests
Hardware/software Earned media
Affordable
development Trade-shows Nanotech
Better Than Workshops
Buyer-supplier Semiconductor
Search for new Competition
relations with Online communities
applications
our component Easy To Integrate Technology updates
vendors Live Cells and Tissues
Attract talent Value co-creation - academia
- bio-pharma R&D
UIUC OTM for ACCURATE and TIME- Referrals
licensing rights , COST-EFFICIENT
6. Key Resources 3. Channels
imaging Website “inform” and
Human resources
connect
Prototypes
Direct Sales
Patents
Medical Institutions
9. Cost Structure 8. Revenue Streams
FIXED: Facilities Software add-ons
VARIABLE: People, manufacturing, marketing & sales Transaction revenues from direct sales
Post-sales customer support incl. software updates

28. Canvas 6.2
7. Key Partners 5. Key Activities 1. Value 4. Customer 2. Customer
Proposition Relationships Segments
Joint ventures with Nanoscale Imaging Feasibility tests
OEM Hardware/software
Affordable
development Trade-shows Nanotech
Better Than Workshops
Buyer-supplier Semiconductor
Search for new Competition
relations with
applications
our component Easy To Integrate Technology updates
vendors
Attract talent Value co-creation
UIUC OTM for
licensing rights TIME-, COST-
6. Key Resources EFFICIENT imaging 3. Channels OEM of Optical
Human resources Website “inform” and Industry R&D(Carl
Instruments
connect Zeiss GmbH, Bio-Rad
Prototypes Labs)
OEM Distribution
Patents
Medical Institutions
Licensing/royalty
deals
9. Cost Structure 8. Revenue Streams
FIXED: Facilities Co-development agreements
VARIABLE: People, manufacturing, marketing & sales Royalties and sub-licensing deals

29. Canvas 7.1
7. Key Partners 5. Key Activities 1. Value 4. Customer 2. Customer
Proposition Relationships Segments
Earlyvangelists Nanoscale Imaging Feasibility tests
Hardware/software Earned media
Funding sources Affordable
development Trade-shows Nanotech
Better Than Workshops
Buyer-supplier Semiconductor
Search for new Competition
relations with Online communities
applications
our component Easy To Integrate Technology updates
vendors Live Cells and Tissues
Attract talent Value co-creation - academia
- bio-pharma R&D
UIUC OTM for ACCURATE and TIME- Referrals
licensing rights , COST-EFFICIENT
6. Key Resources 3. Channels
imaging Website “inform” and
Human resources
connect
Prototypes
Direct Sales
Patents
Funding sources Medical Institutions
9. Cost Structure 8. Revenue Streams
FIXED: Facilities Software add-ons
VARIABLE: People, manufacturing, marketing & sales Transaction revenues from direct sales
Post-sales customer support incl. software updates

30. Canvas 7.2
7. Key Partners 5. Key Activities 1. Value 4. Customer 2. Customer
Proposition Relationships Segments
Joint ventures with Feasibility tests
OEM (Carl Zeiss Nanoscale Imaging
GmbH, Bio-Rad Labs) Hardware/software Affordable
development Trade-shows Nanotech
Better Than Workshops
Buyer-supplier Semiconductor
Search for new Competition
relations with
applications
our component Easy To Integrate Technology updates
vendors
Attract talent Value co-creation
UIUC OTM for
licensing rights TIME-, COST-
6. Key Resources EFFICIENT imaging 3. Channels OEM of Optical
Human resources Website “inform” and Industry R&D(Carl
Instruments
connect Zeiss GmbH, Bio-Rad
Prototypes Labs)
OEM Distribution
Patents
Medical Institutions
Licensing/royalty
deals
9. Cost Structure 8. Revenue Streams
FIXED: Facilities Co-development agreements
VARIABLE: People, manufacturing, marketing & sales Royalties and sub-licensing deals