The Intellectual Venturer by Michael Watts | 21 January 11
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The intellectual venturer By Michael Watts | 21 January 11 This article was taken from the February 2011 issue of Wired magazine. There has never been a company quite like Intellectual Ventures: It's a hybrid of think tank, private-equity firm, venture-capital investor, research and development lab and law firm. In a little over a decade since it was founded by two former Microsoft executives -- Nathan Myhrvold and Edward Jung (later joined by Peter Detkin, a former Intel 1 From www.wired.co.uk/magazine/archive/2011/02/features/intellectual-ventures 22 January 2011 intellectual-property lawyer) -- it has never brought a single product to market under its own name. As Jung likes to say, "Our best years are still ahead of us." The partners may have learned from Bill Gates that it's not enough to be technologically brilliant or ruthless in business -- you must also set out to change humanity. Thousands of inventions have poured out of IV, spanning computer software and hardware, user- interface design, semiconductors, biomedical devices, advanced medical procedures, digital imaging, nanotechnology, nuclear energy and advanced particle physics. They range in importance from modified red-blood cells that deliver cancer treatment, to temperature-controlled kegs for beer and wine. That one has Gates's name on the patent application. Among the headliners is the Salter Sink, a wave-powered pump that diffuses the energy of hurricanes by funnelling to colder depths the warm ocean-surface water that they feed on; it was developed with Stephen Salter, an engineering professor at Edinburgh University. A second invention, the Stratoshield, mimics the temperature-cooling effect of some volcanic eruptions by hosing sulphur-dioxide particles high into the stratosphere. Lowell Wood, an IV associate and retired nuclear weapons expert, calls it "doping the stratosphere". Another high-profile development is TerraPower, IV's practical design for a new kind of "travelling wave" nuclear reactor that can run largely on depleted uranium, the waste by- product of uranium enrichment, of which there are untold tonnes in the world. According to IV, existing stockpiles in the US represent an energy resource equivalent to electricity worth roughly £600 billion. IV's ideas are tested, where possible, in a plain, hangar-like space in Bellevue, Washington State, near Seattle. It has a blue-and beige linoleum floor that's partitioned into rooms of varying sizes. The space is personalised by quirky paraphernalia: a big model biplane hangs from the ceiling; a photo sequence of a corn kernel popping hangs on one wall; a mounted, Star Wars-type blunderbuss fashioned from a hand drill is proudly displayed on a shelf. There are whiteboards teeming with equations and, plastered everywhere, favourite quotes from scientists and inventors, especially Thomas Edison. The company's intellectual engine-room is a plain conference suite in the laboratory. This is where IV's famous "invention sessions" are held. What was once a series of feverish ruminations between Myhrvold and Jung (with a patent attorney to record ideas) is now a regular gathering of physicists, bioengineers, doctors, programmers, scientists, chemists and others, from prestigious institutions such as the Lawrence Livermore National Laboratory in California. "We wanted to solve the big problems that Microsoft alone could not solve," says Jung, explaining why, on July 1, 1999, he and Myhrvold left their lucrative jobs with Microsoft. A Korean-American, born and raised in upstate New York, Jung speaks softly in calm, measured paragraphs. "For example, I was interested in the problems of developed-world healthcare and how we're going to avoid healthcare systems becoming bankrupt. So, to get funding, Nathan and I began selling our brains." 2 From www.wired.co.uk/magazine/archive/2011/02/features/intellectual-ventures 22 January 2011 Jung, 47, now IV's chief technology officer, had a wide-ranging brief while at Microsoft - - he managed projects relating to web platforms, intelligent operating systems and artificial intelligence -- and has a strong background in biomedicine, notably protein- structure research. He's currently a strategic adviser to Harvard Medical School, the Fred Hutchinson Cancer Research Center and the Institute for Systems Biology. Myhrvold, 51, IV's most public face, is a graduate of Princeton who studied quantum theories with Stephen Hawking at Caius College, Cambridge, and then took a leave of absence to launch his own startup, Dynamical Systems Research. He never returned to Cambridge, instead selling Dynamical Systems to Microsoft in 1986 and becoming its chief technology officer. The day after announcing he was leaving Microsoft, Myhrvold recalls getting an email from Hawking, saying, "Shall I clean the office out for you?" Myhrvold laughs: "I did think about going back [to Cambridge]. It was a wonderful time, working for him. It's impossible to feel sorry for yourself if you work for Stephen Hawking." Myhrvold has expressed his gratitude by helping to persuade Gates to fund Microsoft Research Cambridge. "I figured that that was a good thing to do." Myhrvold has two master's degrees from UCLA: one in mathematics, geophysics and space physics, plus another in mathematical economics at an advanced level, as well as a PhD in theoretical and mathematical physics from Princeton. His hobbies include collecting dinosaur fossils and studying volcanoes, and his extraordinary modernist house on Lake Washington is now a destination on Seattle celebrity tours. Myhrvold is someone you would invite to a dinner party and beg to hog the conversation, with the corollary that, as a trained French chef and winner of a world barbecue championship, he could also cook the meal, photograph the food (he's a prize-winning photographer) and critique it (his sous vide techniques have been featured in the New York Times, and he was once chief gastronomic officer for the Zagat restaurant guides). In March, in the US, he will publish a six-volume, 2,400-page series entitled Modernist Cuisine: The Art and Science of Cooking, written with Chris Young and Maxime Bilet, two former chefs from Heston Blumenthal's restaurant The Fat Duck. For several years, the authors have been working on food experiments and recipes with a 20-strong team at a kitchen within the lab. The Modernist Cuisine series will cost $625 (£400). IV calls it a revolution in molecular gastronomy whose impact on what we eat will be akin to the convulsive effect of Impressionism on French art. The volumes describe a culinary world of water baths, homogenisers, hydrocolloids and emulsifiers, and are "destined", according to IV literature, "to reinvent cooking". "Here's a terrible story," says Myhrvold, sitting in the invention room. "We had a bunch of energy sessions a couple of years ago and one of the problems was blow-out containment of undersea wells. I kid you not." Myhrvold has a high, almost strangled voice when he gets excited, and a vivid, theatrical manner. "And we decided not to do it because we were advised by industry consultants that it was a solved problem. I'm ashamed to admit it, but we said, 'OK, if it's solved and no one gives a shit, we'll go on to 3 From www.wired.co.uk/magazine/archive/2011/02/features/intellectual-ventures 22 January 2011 something else.'" His fair, cherubic curls are greying, but he remains irrepressibly boyish and infectious in his enthusiasm for solving problems. "I'm not suggesting that we could have fixed the whole BP thing, but I looked up the details of the BP spill and the blow-out preventer they used was patented in 1922, by [James Abercrombie and] Harry Cameron, who started a company called Cameron Ironworks to make these things. The design has changed hardly at all since 1922! And we're now drilling in 5km of water, which we certainly weren't back in 1922. Clearly, more innovations want to be applied." He shrugs. "They probably will now." Myhrvold has an instinct for controversy. In particular, IV's silver-bullet technologies for geoengineering the Earth have been disparaged by climate experts and environmentalists. Myhrvold has been criticised for his views on climate change quoted in Super Freakonomics, the 2009 bestseller, which have been damned as oversimplifying Earth- system science by saying that it will be possible to regulate the global climate by "artificially recreating the conditions from the aftermath of a volcanic eruption", and that one sulphur-aerosol project using stockpiled sulphur in Canada could "solve the whole global warming problem for the northern hemisphere". Undaunted, IV is pressing ahead with plans to rethink energy generation. TerraPower LLC, Myhrvold's nuclear power-research company, was launched in 2007, but scientists have been talking about travelling-wave reactors since the 50s. Its TWR technology uses depleted uranium, fuelled with about ten per cent of enriched U-235 material, to cause fission. The resultant travelling wave then burns through the depleted uranium fuel (U-238) and converts this into plutonium-239. The thermal energy generated from this reaction is then absorbed and carried away to be converted to electricity via steam turbines. IV's computer simulations and engineering studies maintain that TWR reactors could generate a billion watts of electricity continuously for up to 100 years -- without the need for refuelling. The problem lies in building a fully functional prototype reactor, he says, which is not only incredibly expensive but also politically sensitive. Right now, IV is talking to representatives from various nations, including Russia, Japan and France, about building a plant by 2020. "It's very hard to imagine it being built in America," Myhrvold says. He describes the US as having grown "scared" of nuclear power. "We would argue that our scheme is the first credible one that could solve this key problem of the 21st century: how do we generate energy for a newly rich world -- and do so in a carbon-neutral way?" " Coal and natural gas don't work because of the carbon thing.