Michigan Entrepreneurs A Showcase of Entrepreneurship: Start-ups by U of M StudentsOctober 21, 2002 7PMMichigan Union Anderson Room D

3430 E. Jefferson Ave. #140Detroit, MI 48207313.205.3489www.mobius-microsystems.commanagement@mobius-microsystems.com

Michael S. McCorquodaleDoctoral Fellow, University of Michigan EECSCEO and Co-Founder, Mobius Microsystems

Overview

• About Mobius Microsystems• Technology• How University Research is

Commercialized• University Resources• Michigan Entrepreneurial Activity• Philosophy of Emerging Business• Advice

About Mobius Microsystems

Mobius is a microsystems company that is commercializing microsystems technologies from The University of Michigan

Mobius is an industrial partner with The Wireless Integrated Microsystems Engineering Research Center at The University of Michigan

The company was founded by University of Michigan Doctoral Fellow, Michael S. McCorquodale and his Research Advisor, Dr. Richard B. Brown, with the help of Michigan MBA students Jeff Wilkins and Wade Rushing and veteran entrepreneur Jim Vincke

Mobius’ Technology

Integrated ImplementationBoard Level Implementation

• Variety of Substrates• Isolation Concerns Between Digital, Analog, RF• Macroscopic Mechanical Devices

Si-CMOSDigital

InP-HBTRF

MechanicalQuartz

Sensor

Si-BiCMOSAnalog

How?

Mobius’ Technology

Integrated ImplementationBoard Level Implementation

• CMOS and SOI CMOS Substrates• Novel Analog, RF, and Digital Design• MEMS Technology

Mobius’ Initial Technology

• Completely on-chip implementation of the clock generator requiring no external components

• High-performance enabled by MEMS technology to overcome the mediocre performance of other on-chip implementations

• MEMS circuitry that is completely compatible with standard CMOS manufacturing

• Tunable operating frequency, which reduces power consumption and increases flexibility, unlike current fixed-frequency technology

• Considerably lower power consumption as compared to existing high performance clock generation technology

• Lower cost as compared to alternative clock generation technologies

Mobius’ Digital Monolithic Clock (DMC) Technology

Mobius Business Model

Manufactured and Packaged SoC

SoC Design

Semiconductor Intellectual Property (SIP)

IP used in research

system-on-chip (SoC) design

MobiusDMC IP

Commercializing University Research

Fundraisingor

OtherFinancing

FundamentalResearch

IP CleanResearch

Grant

Disclosureto

University

Publish

NonProvisional

PatentApplication

BusinessPlanning

andDevelopment

License

Rollout:Sell or

ContinueDevelopment

ProvisionalPatent

Application

LicenseOption?

University Resources

Essential Courses• ES 515/517

New Venture Creation IResearching & Writing the Business Plan

• EECS 498Patent Law for Engineers

Other Courses to Consider• FIN 623/624

Venture Capital and Private Equity• IOE 422

Entrepreneurship

University Resources

Zell Lurie Entrepreneurial Institute• Preparation for business plan

competitions• MBA Internship Program• Business development support• Dare to Dream Grant Program• Prior Hale, Michigan Innovators

Technology Management Office• Business development support• Grants: GAP, OVPR, MUCI, ETCF• Licensing

Michigan Entrepreneurial Activity

Where is it?• BioTech and Engineering predominantly

How active?• Not very, but getting much better

Why?• Good question

Who will start the next great enterprise?• Plenty of resources now available!

Philosophy onEmerging Business

Why start a technology company anyway?• Money? Prestige?• Independence?• Fun? Creation?Why I believe you should start a company• To create with others• To build something greater than you can be as an

individual• To change people’s lives for the better with technology• To contribute to the spirit of American enterprise• To contribute to the local and national economy• To create jobs for people• Basically, to change the world: The only real reason

Advice: Humorous Observations

• Intellectual Property• Circumstance: You have 50 patents covering your technology• Reality: You don’t know how to write a patent

• Experience• Circumstance: You are a serial entrepreneur• Reality: You can’t finish what you start

• Effort• Circumstance: You think things will be easy• Reality: Nothing worth doing is easy

• Motivation• Circumstance: You expect to get rich• Reality: The best companies (and people) have altruistic goals

Advice: Dispelling Myths

Financing• Myth: VC is the only way to fund a company• Truth: SBIR, STTR, Debt, Angel, Revenue, Grants, Competitions,

etc. are all availableVenture Capital• Myth: You need VC to start a company• Truth: You need customers to start a companyPeople• Myth: You need a professional management team• Truth: You need a team of “bankable” peopleRaising Money• Myth: You can raise money by shopping your plan• Truth: All VC and PE is raised by relationshipsMarket Opportunity• Myth: You understand your opportunity from analyst reports• Truth: Unless you have spoken to potential customers, you don’t

understand anything

Advice: Takeaways

Most Important• People, people, people!Most Important Characteristic of the People• Vision!Most Frustrating Hurdles• The Bozos: Most people are risk adverse and will tell you

that you can’t do it. These people are idiots. Ignore them.Listen and Observe• Listen to other entrepreneurs, talk to investors, watch

other start-ups, read about new technologies, follow market trends.

Build Relationships• Get to know everyone in your field and in the start-up

community here, across the country, and around the world.

QuestionsWelcome

3430 E. Jefferson Ave. #140Detroit, MI 48207313.205.3489www.mobius-microsystems.commanagement@mobius-microsystems.com

Michael S. McCorquodaleDoctoral Fellow, University of Michigan EECSCEO and Co-Founder, Mobius Microsystems