TESTIMONY

U.S. House of Representatives’ Committee on Science
Environment, Technology, and Standards Subcommittee Hearing

“Fiscal Year 2005 NIST Budget: Views from Industry”

Full written testimony, as submitted by
Thomas A. Cellucci, PhD, MBA: President of Zyvex Corporation

Washington, DC (April 28, 2004)
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Mr. Chairman, I would like to thank you and members of this distinguished Committee for inviting me here today. I applaud Chairman Boehlert, Representative Ehlers, and Representative Udall, and all the members of the Science Committee who have taken the time to confront the challenges that will ensure our nation’s future. We wouldn’t be gathered here today, if not for your efforts.

I’m Tom Cellucci, President of Zyvex Corporation. Thank you for giving me the honor of sharing my views on the impact of NIST on our nation.

As president of one of the world’s leading nanotechnology companies, I have the rare opportunity and privilege to play a role in shaping this emerging field.
Zyvex’s vision is to become the leading worldwide supplier of tools, products, and services that enable adaptable, affordable, and atomically precise manufacturing. Jim Von Ehr founded Zyvex in 1997 and we now employ over 50 people. We introduced ten new products in 2003, and are on target to introduce an estimated twelve additional products and double our revenues in 2004.

I’ve had the honor and distinct privilege of meeting with several respected members of Congress about how NIST has enabled this new nanotechnology revolution. I’m especially grateful for the vision of President Bush, Senator George Allen, Senator Ron Wyden and Representatives Boehlert, Ehlers and Gordon in passing the “21st Century Nanotechnology Research & Development Bill” into law in December 2003. [Our founder] Jim Von Ehr was present when he signed it.

As members of the Science Committee know, we’ve made great strides by passing this Bill. However, much work still needs to be done to ensure that it will be the United States who continues as the world leader in science, technology, and business.

NIST
It’s no surprise that America leads the world in technological innovation. Much of our leadership position and the jobs generated for Americans can be directly attributable to NIST. NIST fulfills a vital role in bringing the promise of nanotechnology to the American people. NIST is responsible for developing the measurements, standards, and data critical to private industry’s development of products for a potential market that is estimated to exceed a trillion dollars in the next decade.

NIST brings about this innovation because NIST is committed to maximizing innovative technologies to our national economy through its labs, its Advanced Technology Program, and by working with the private sector to spur innovation and entrepreneurship.

Through NIST’s measurements and standards laboratories, they are helping the private sector to create more high-quality, high-paying jobs.
Their commitment allows us to live in the best country in the world.

NIST and Industry Standards
NIST works with organizations in the private sector to develop consensus standards, which are needed by United States’ industry for delivering, and improving products and services sold throughout the world.

NIST’s weights and measurements services are the basis for ensuring the efficiency and fairness of more than 5 trillion dollars in sales — roughly half of the U.S. economy. Industry standards are critical in emerging fields such as nanotechnology. Right now, one of the key issues facing the nanotechnology arena is the need for standards for nanoscale materials and tools. The NIST labs provide the accuracy, reliability and international recognition for the measurements and measurement-related operations that make up approximately 3 percent of the U.S. gross domestic product.

In a marketplace that is increasingly global in nature, we know that 80 percent of all global merchandise trade is being influenced by testing and other measurement-related requirements of regulations and standards. More and more, U.S. companies cannot deal in this marketplace without NIST. For example, if NIST had not been involved, U.S. manufacturers of in vitro devices (IVD) wouldn’t been able to meet new European Union regulations We now have more than 60% of a $7 billion market.

NIST’s commitment to developing the best standards through its scientists and engineers, in tandem with industry leaders, is paramount for U.S. businesses to rapidly deploy these new novel nanotechnology products and services in this global economy.

NIST Labs
As someone who possesses approximately twenty years experience as a senior executive and Director of high technology firms, I can relay many instances where the assistance of NIST Laboratories was invoked.

To put it simply, there is no test and measurement body on earth that has the credibility, experience, technical depth, and the thoroughness of NIST laboratories. Many of the divisions I was responsible for relied on NIST traceable standards and information on emerging trends for tighter tolerances and higher resolution requirements for industry. Companies like Newport Corporation, a leading manufacturer of laser/electro-optic equipment; Coherent, Inc., the leader in industrial and scientific lasers; Etec, Inc., a worldwide leader in MEMS test and measurement equipment; and Edmund Industrial Optics, a global leader in the optics industry relied on NIST traceable standards and insights on new trends for tighter tolerances and resolution requirements for industry. All relied on NIST expertise.

If you mentioned to your potential customers that NIST was either consulted, used, or the originator of certain data you presented, you could rest assured that it was never questioned and provided your firm with instant credibility of one’s products, services, and/or processes.

I’m often invited to give keynote speeches and advice to universities such as MIT and Harvard, and trade organizations such as the NanoBusiness Alliance and SEMATECH. Many times, I find myself directing them towards the NIST labs to retrieve materials and information in order to assist them in identifying technical trends and needs.

As I previously mentioned, there is no entity that I know of, that has technical depth, practical industrial experience, and vision in helping United States industry look at new trends in test and measurement.

Zyvex’s NIST-ATP
I was never a big supporter of government spending on R&D funding — for any industry. I subscribed to the philosophy (and still do today) that private industry’s role is to bring about innovation based on market drivers. Yet September 11th had a powerful effect on the way I think about the urgency of innovation. It’s all too apparent to me, that leading technology holds the key to our fight on terrorism at home and abroad. As you’re acutely aware, American lives are at stake and we need to do everything humanly possible to protect the lives of our American soldiers, first-responders, and citizens.

There are over 2,700 law enforcement officers who have been spared either death or disabling injury as a result of NIST-developed standards for bullet resistant vests. Intelligent machines influenced by NIST’s real-time control system, a concept for controlling automation, have helped to keep U.S. troops out of harm’s way by clearing land mines. The military and other users have saved millions of dollars thanks to NIST’s contributions to the testing of antennas used for communications to and from satellites.

Zyvex’s NIST-ATP has allowed us to develop instrumentation that DARPA has identified as being critical to our armed forces and laboratories. I’m very proud of this and all the Zyvex employees who are so diligently working on this project.

Through our assembly and manufacturing technology we have been able to develop a very inexpensive Mini-SEM prototype that will, for the first time, allow soldiers and scientists to use this kind of microscope on samples in the field — instead of having to take the sample to the microscope in a lab. Detecting biohazards in minutes rather than hours will not only save time — it will save lives.

While some mistakenly characterize the NIST-ATP as corporate welfare, I’m here to tell you that Zyvex is a real-world example of a small business that is leveraging this program to commercialize nanotechnology — today. We are today creating new markets and new jobs.

As anyone who knows me will attest, I’m known for profitably growing companies, not wasting money. NIST is our business partner, not simply an organization that gives us money. We jointly share the cost and responsibility of bringing this new technology to the marketplace.

Thanks to our ATP, we’ve hired fifteen new employees in 2003; and plan to hire, at least, another twenty-five new employees in 2004. We support researchers at universities in Texas, Colorado, Michigan, Massachusetts, California, Virginia, and New York. We’re developing a new manufacturing technology that will drive innovation in the silicon micromachine domain. The impact of parallel microassembly on the broader economy will be in the billions of dollars and will ultimately create thousands of high value manufacturing jobs — here in America.

I’ve grown increasingly wary as I travel all over the world and see how aggressive countries such as China, Taiwan, Japan, and the European Community are funding initiatives very similar to NIST. I ask myself — what type of legacy will we be leaving to our future scientists and engineers if we decrease NIST’s budget? I also ask myself — what kind of economic opportunities will our children have if the United States loses its industrial competitiveness to other countries?

Many people will argue that with the War, these cuts are necessary. I ask how can we continue to fight a war on terrorism without developing the critical technology that is needed in the next decade? We’re not only at war with terrorism, we are in the midst of a significant world-wide battle for technical prowess to sustain and increase our technological leadership in the world — the greatest economic battle of our lifetime.

Anything but increasing NIST funding is surrendering our economic prosperity and giving up on our promise to our children — a promise for a higher quality of life.

Once again, I’d like to commend you and your colleagues — for your courage, your patriotism, and your vision.

Mr. Chairman and members of this committee — I want to personally thank you for your time and for this honor.

For the oral testimony, click here.

Contact Information

For more information regarding Zyvex, contact Katharine Green, Director of Corporate Communications, at kgreen@zyvex.com or by phone at 972.235.7881 (ext. 220).

 

 

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