{ "docId": "019dd923-622c-750b-8b9a-101b5bfde4b8", "docSlug": "a70fecd99534", "documentTitle": "Berkeley Lights (BLI)", "authorId": "58_Scorpion_Capital", "authorName": "Scorpion Capital", "documentKindSlug": "research-note", "documentKindLabel": "Research note", "sourceTypeSlug": "short_seller", "sourceTypeLabel": "Short seller", "presentationDate": "2021-09-15 00:00:00", "orientation": "landscape", "aspectRatio": 1.2941177, "pageNumber": 75, "pageCount": 158, "prevPage": 74, "nextPage": 76, "slideType": "expose_contradiction", "function": "expose_contradiction", "density": "overcrowded", "nDataPoints": 0, "notes": "The slide uses a Q&A format to present expert testimony as evidence of product failure.", "elementsJson": [ "headline_text", "paragraph", "quote_block", "footnote" ], "metadataConfidence": 1, "imagePath": null, "slideHref": "/slides/019dd923-622c-750b-8b9a-101b5bfde4b8/75", "deckHref": "/decks/019dd923-622c-750b-8b9a-101b5bfde4b8", "deckJsonHref": "/decks/019dd923-622c-750b-8b9a-101b5bfde4b8.json", "deckAnchorHref": "/decks/019dd923-622c-750b-8b9a-101b5bfde4b8#slide-75", "components": [ { "bbox": null, "kind": "callout", "text": "They tried to combine a souped-up car with an economy car with a mom-and-pop van with a soccer mom van, and ultimately, it's too complicated. It's not repeatable and usable. It's a master of nothing.", "attrs": null, "subkind": null, "toolName": "Visual emphasis", "toolSlug": "visual-emphasis", "confidence": null, "componentId": "019dd953-2041-7259-a879-00e77e64a7d3", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.25, "w": 0.9, "x": 0.05, "y": 0.28 }, "kind": "paragraph", "text": "Q: “Did you ever compare notes with any other large pharma customers get a sense of their experience?” A: “I do have a couple of colleagues who had experience with this. Essentially, if I were to summarize, they wanted to build the machine to cover every single scenario this could ever be used within pharmaceutical drug discovery and development. That's where the catch is. It's too complicated with too many variables that are very hard to control. It's like trying to build a car; you've got to at least have a target market in your mind. They tried to combine a souped-up car with an economy car with a mom-and-pop van with a soccer mom van, and ultimately, it's too complicated. It's not repeatable and usable. It's a master of nothing.”", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "3488ffa6-b7bd-46f4-82b8-7945291bc5e7", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.05, "w": 0.9, "x": 0.05, "y": 0.55 }, "kind": "paragraph", "text": "Expert confirms that Bayer and Pfizer's experience was just as disastrous and suggests that both regretted the purchase; instrument delayed development vs. speeding it up - it's key selling point", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "3b96221f-a581-4dbf-979f-1c5cf917ad46", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.15, "w": 0.9, "x": 0.05, "y": 0.8 }, "kind": "paragraph", "text": "Q: “So, you're saying that if you used the traditional method, you would have done it 50% faster than using the Berkeley Lights?” A: “That is correct because of the number of troubleshooting steps needed. The promise of the machine was the compression of the characterization of the cell line. Typically, depending on the cell line, it's a year to two years of work, and that runs in parallel with the clinical development and so on.” Q: “And so, the promise of this machine was to cut that down substantially?” A: “Substantially, yes.” Q: “And in reality, it took twice as long?” A: “It took longer, spending the time troubleshooting and doing all the validation work on our end to stand behind the data. This is the question - at what point do you call it quits?”", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "909c51c1-5390-46da-9fdd-890c9179f194", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.05, "w": 0.9, "x": 0.05, "y": 0.22 }, "kind": "paragraph", "text": "Expert's contacts at other biotech/pharma companies have had a similar experience; machine is a hodge-podge with no clear target market or use case", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "f2ff0c8a-9a9c-4ab8-b7a5-2b5cd787dcf9", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.2, "w": 0.9, "x": 0.05, "y": 0.6 }, "kind": "paragraph", "text": "Q: “Bayer and Pfizer - was their feedback similar to your experience with the machine?” A: “Pretty much. They were just mentioning the expectation was far higher and it did not really meet any of those expectations and saying it would have made sense to stick with traditional assays, and we would not have wasted that much time; we would still be on track because the huge selling point was at that time, you could really cut down your interaction as far the characterization timeline by probably 1/3 or 1/4. In hindsight, if we would have had stuck the traditional methods, we would have actually cut the time by half.”", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "ffb4185a-b2d7-4108-989a-f38e4075644b", "frameworkName": null, "frameworkSlug": null }, { "bbox": null, "kind": "quote", "text": "“They tried to combine a souped-up car with an economy car with a mom-and-pop van with a soccer mom van, and ultimately, it's too complicated. It's not repeatable and usable. It's a master of nothing.” — Expert (Ex-manager)", "attrs": null, "subkind": null, "toolName": "Authority citation", "toolSlug": "authority-citation", "confidence": null, "componentId": "019dd953-2041-7259-a879-0662025f5f10", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.02, "w": 0.3, "x": 0.05, "y": 0.97 }, "kind": "source-note", "text": "Source: Scorpion Capital consultation calls with experts", "attrs": null, "subkind": null, "toolName": null, "toolSlug": null, "confidence": null, "componentId": "ab7142c4-4672-4a8b-8a79-ecd89c739546", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.15, "w": 0.9, "x": 0.05, "y": 0.05 }, "kind": "title", "text": "NOVARTIS cell and gene therapy (cont'd): Ex-manager states that Bayer, Pfizer, and others have also had a disastrous experience; suggests they regretted the purchase; machine is a hodge-podge with no clear target market or use case; delayed vs. speeded up development efforts.", "attrs": null, "subkind": "headline", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "904a10e9-5b7b-4ea5-a987-ec41b98db335", "frameworkName": null, "frameworkSlug": null } ], "metrics": [], "tools": [], "frameworks": [], "arcBeats": [ { "to": 75, "from": 17, "beatId": "dbc4e03f-819a-4342-92d6-d159c538f28f", "arcName": "Overcoming the Monster", "arcSlug": "overcoming-monster", "beatName": "Exposure of Contradictions", "beatSlug": null, "evidence": "The document exposes contradictions in Berkeley Lights' claims and actions, highlighting the company's struggles and poor market traction.", "position": 1, "confidence": 0.8, "parentBeatName": null, "parentBeatSlug": null }, { "to": 150, "from": 42, "beatId": "172d6e2f-be3f-4802-92e5-e7e412ccdabe", "arcName": "Overcoming the Monster", "arcSlug": "overcoming-monster", "beatName": "Testimonials from Customers and Former Employees", "beatSlug": null, "evidence": "The document presents testimonials from customers and former employees, providing first-hand accounts of the challenges and limitations of Berkeley Lights' product.", "position": 2, "confidence": 0.8, "parentBeatName": null, "parentBeatSlug": null } ], "loops": [], "imagePathAlt": null, "thumbSrc": null, "thumbSrcAlt": null, "locked": true }