Introduction to Axial Ventures

At Axial, we partner with visionary founders and inventors, investing in early-stage life sciences companies that often start as mere concepts. Our commitment lies in supporting those exceptional inventors driven to create lasting businesses. If you or someone you know has an innovative idea or venture in life sciences, we would love to connect and potentially invest in your vision. Reach out to us at [email protected].

The Legacy of John Stuelpnagel

John Stuelpnagel, a biochemist by training, co-founded Illumina in 1998 and served as its inaugural CEO. Following his MBA at UCLA, he began his career at CW Group, the firm founded by Larry Bock. While working in venture capital, he discovered a groundbreaking invention from David Walt's lab at Tufts University: the integration of microwell arrays with beads linked to distinct DNA sequences, facilitating the detection of single nucleotide polymorphisms (SNPs). Stuelpnagel played a pivotal role in developing Illumina's BeadArray platform, which quickly became a benchmark for genome-wide association studies (GWAS) and positioned the company to lead in next-generation sequencing. This success was partly achieved through the acquisition of Solexa and by outpacing competitors like Roche and Thermo.

Stuelpnagel continues to influence the field as chairman of several companies, including 10X Genomics, Inscripta, and Element Biosciences, while also serving on the boards of Encoded Therapeutics and Adaptive Biotechnologies. His partnership with Bryan Roberts at Venrock—where Illumina marked Roberts' first venture capital investment—stands as a premier example of the synergy between investors and founders, with Stuelpnagel managing weekly meetings while Roberts focuses on board discussions.

1. “We are in the midst of a revolutionary era in biology. This century will see us gain mastery over life, impacting all facets of our existence.”
2. Roberts reflects on Stuelpnagel's foresight: “He realized that for Illumina to thrive, it would require a substantial supply of oligonucleotides. Early on, he identified and acquired innovative oligonucleotide synthesis technology, which significantly reduced the cost of oligonucleotides and dramatically increased availability. Imagine if Illumina became successful but could only sell a limited number of devices due to insufficient oligonucleotide supply.”

Illumina's business model evolved rapidly in its formative years, largely due to the exceptional quality of its founding team and their strategic thinking. It serves as a classic example in life sciences of how to commoditize essential components.

3. “Companies often feel uneasy about Illumina, concerned about the potential competition.” This model keeps Illumina in pursuit of new suppliers and applications to enhance demand for their sequencing devices and related products.
4. “Historically, genomics has been somewhat passive. Our research is constrained by the cohorts we assemble. The next significant biological breakthroughs will emerge from actively manipulating cellular systems to observe generated phenotypes.” With the decreasing costs of sequencing, driven by companies like Illumina, the next challenge is developing tools that modify biological systems, linking genomics to observable traits.
5. “I believe that gene editing is on the cusp of a transformation similar to what DNA sequencing experienced before next-generation sequencing emerged. Researchers need a shift that enables gene editing to be as effective and informative as possible. I am confident that Inscripta will facilitate this change.” Realizing the vision of connecting genes to their corresponding phenotypes requires making gene editing as accessible as sequencing.
6. “Currently, we approach gene edits one at a time, reminiscent of the early days of DNA analysis technology in the 1990s, prior to the dominance of genomic technologies. That level of scalability revolutionized discovery, and I anticipate a similar shift in gene editing. Single edits may yield insights, but our predictive capabilities are limited by our biological knowledge, confining us to small areas of complexity. We need genomic-scale tools for gene editing.”
7. “I perceive the same potential in gene writing today as I did in gene reading.”
8. “The ability to read and write genes in a synergistic manner will be vital for accelerating discovery. We are creating new organisms through gene editing and subsequently testing their phenotypes using genomic datasets. This represents a fusion of traditional genomics with the emerging field of gene writing.” John is actively pursuing this vision through Inscripta.