Ultima Genomics is a California-based DNA-sequencing technology company offering low-cost, high-speed genome sequencing.
What was the gap you identified in the healthcare market that led you to start Ultima Genomics?
My identification of a gap in the healthcare market traces back to my time leading a group developing diagnostics tools for semiconductor chips at a leading a semi equipment company, where we produced vast amounts of information for inspecting and enabling the manufacturing of increasingly complex computer chips. This exposure, combined with being surrounded by healthcare professionals, highlighted a stark contrast in the amount of information available in healthcare diagnostics compared to the semiconductor industry = the former was so anecdotal and limited. The realization that DNA is the source code for all biological functions, combined with the potential to apply Moore's law dynamics from the computer industry to biotech, led to the founding of Ultima Genomics. We aim to significantly increase the amount of genomic data available, facilitating advances in diagnostics, drug development, and treatment.
Given that patients’ health information is so often haphazard, which areas of research stand to benefit the most from advancements in genomics?
Ultima’s focus spans both direct applications like enabling better testing for individuals and research applications aimed at understanding biology and developing new drugs.
Accelerating the field of genomics through lower-cost sequencing and genomic data will be transformational to many areas of research. The first area we anticipate immediate impact is in oncology. In the oncology field, lower-cost sequencing has enabled the adoption of an application called liquid biopsy, which involves sequencing deeply in order to read circulating tumor DNA in blood. This has been transformational for oncology research by allowing more frequent monitoring and earlier detection of cancer as well as accelerating drug discovery and development. Oncology is just the tip of the iceberg. Virtually all diseases have a DNA signature in the blood, and monitoring circulating DNA can help provide a comprehensive snapshot of an individual's health and improve disease diagnosis. The second area we anticipate an immediate impact on is population health. Sequencing at greater breadth across the whole genome and in large populations can connect data that allows for the discovery of correlations between genomes and various health conditions. This approach has profound implications for understanding inherited diseases and advancing personalized medicine. Due to the high costs of sequencing, the number of genomes sequenced to date remains relatively small and biased compared to the global population and diversity. The third area we anticipate impact is the ability to analyze biological systems more comprehensively. Using sequencing to better understand cellular biology through AI and large-scale cell studies opens up new avenues for drug development and a deeper understanding of fundamental biological processes.
As a smaller start-up in the genomics space, how can you effectively compete with giants like Illumina?
Genomics is not a static industry with one form of competition. Illumina is an extremely well-established company setting a high standard in sequencing technology. We differentiate ourselves by not just offering incremental improvements but enabling our customers to do things they could not before, like affordable whole-genome sequencing or sequencing at much greater depth for lower cost. This capability is not about reducing costs for its own sake but about expanding diagnostic capabilities and adding value. When we launched the $100 genome eighteen months ago, the market price was $600. The market responded rapidly announcing a drop to $200. Our strategic long-term partners like Regeneron are exposed to our technology and believe in our roadmap to push past the $100 genome. We also have a fundamental advantage in our identification of rare base substitutions which is critical in applications like liquid biopsy in oncology.
You recently raised $600 million in investment. What questions or concerns are potential investors expressing to you?
No one thinking long-term has any doubt about the genomic market’s potential. Investor sentiment remains overwhelmingly positive because genomic data is currently at a stage comparable to the early days of computers in the 1970s. People had no notion of how great the potential benefits would be but the exponential growth in applications was enormous. Clear use cases, such as germline sequencing, disease detection, and improving cellular biology understanding, underscore the transformative impact of genomic sequencing on healthcare and science. The cost will have to be reduced by many orders of magnitude, which is exactly what happened in the computer industry, but DNA is the source code for biology, the frontier of science, and the support for advancing genomic sequencing technology continues to grow.
With the UG100 significantly lowering the cost of genome sequencing, what are your production expectations for this technology in the next three years?
The UG100 is designed as a centralized, high-capacity solution capable of processing a large number of genomes annually. Our focus is on scalability and efficiency, aiming to deploy dozens of units to the leading centers that can significantly impact genomic research and clinical applications and that represent the largest sequencers in the world. These systems are central to our strategy of making whole-genome sequencing more accessible and affordable, supporting the expansion of genomic data analysis in various fields. As we scale up, our emphasis remains on enhancing the capacity and capabilities of our technology to meet growing demands and drive further innovations in genomics.
You have suggested that we are on the cusp of a biological revolution. When do you foresee this tipping point in genomics happening, and what will it require?
It is hard to pinpoint a single event that will mark this transition; it is more about a series of developments and the culmination of various innovations. For instance, the AI revolution creating large data sets is extremely meaningful for biology. The medicine of 20 years from now will be data-driven and everyone will be regularly sequenced. For example, we recently have witnessed the approval of the first gene therapy for a human illness, sickle cell anemia, and which treats patients by essentially fixing their DNA. This is only one example of the many that will follow due to advancements in genomics.
This evolution is not instantaneous but part of an exponential growth curve, with key milestones like the widespread adoption of genomic sequencing for tumors and the emerging focus on early cancer detection through screening.
