Philips kicks off new spin-out programme

Research on display samples based on the electrowetting technology. (Picture courtesy Philips)

Liquavista will commercialise electrowetting display technology, which offers dramatically improved colour, video speed and viewability, while using less power than traditional displays. The technology is said to be very robust, being a novel application of well-known materials. Liquavista is aimed at mobile devices in particular, and will be applied to MP3 players, watches, cameras and mobile phones. In particular, it is expected to play a key role in driving the market for television on mobile phones.

The production processes are compatible with established liquid crystal display manufacturing infrastructure, enabling manufacturers to apply the technology quickly and with minimum capital investment.

The value of NVP’s investment in Liquavista was not disclosed, and neither were any of the terms of the deal.

NVP specialises in funding the creation of spin outs from corporate laboratories, enabling companies to capitalise on intellectual property that they chose not to deploy internally. The firm offers an end-to-end service, going inhouse to find suitable technologies, forming companies and developing and funding them internally, until they are ready to raise venture funding and become independent entities.

The agreement with Philips was sealed in January 2005, at which time it was announced that the electrowetting technology would be the subject of the first spin-out. It has taken until now to knock Liquavista into shape and to recruit the management team, including CEO Mark Gostick, who was involved in the formation of Cambridge Display Technology. Rob Hayes and Johan Feenstra, co inventors of electrowetting, are part of the Liquavista team also.

“From the first moment we saw the electrowetting prototypes we knew it was a compelling business opportunity,” said Rob Rosenberg of NVP. “We have worked with the Philips team since then to develop Liquavista as the company to drive it to market.”

NVP’s other deals include one with British Telecom’s research labs under which seven companies have been created since March 2003, and with Lucent. In total NVP has invested in over 40 companies that it has spun out of corporate labs.

“Philips is a very proud parent of Liquavista,” said Loek Nijman, Director of Philips Research Strategy and Business Development. “With this new initiative for our ideas, Philips is again continuing its tradition of open innovation. Liquavista will be able to focus on maximising the opportunity for its technology, delivering value to Philips shareholders as we remain a stakeholder in the new business.”