Greetings. Around a year ago, during my initial encounter with Alice Globus, the Chief Financial Officer of Nanotronics, our conversation revolved around the influence of her astrobiology background on her financial interests. However, in our recent dialogue, we delved into a different topic: the development of energy-efficient compound electronics.
Nanotronics, based in Brooklyn, utilizes cutting-edge imaging, robotics, and artificial intelligence to streamline processes, reduce waste, and automate manufacturing operations. The company caters to Fortune 500 clients engaged in diverse projects spanning genomics, therapeutics, electric vehicles, and aerospace, with backing from Peter Thiel.
CFO of Nanotronics Alice Globus
Nanotronics’ Innovation
Our discussion touched upon Globus’s focus on CubeFabs, the company’s AI-enabled chip shop. Nanotronics envisions these “highly compact” services as increasingly feasible alternatives to traditional large corporations, adaptable for deployment in various global regions.
The core of the service involves pre-assembled components housed in containers for convenient international shipment. These components are assembled around a central single-service cube, akin to an office space, linked to four adjacent nanofactories, each accommodating two pristine semiconductor manufacturing chambers. Nanotronics anticipates the potential construction of a second CubeFab within a decade, commencing with significant acreage. The CubeFab’s layout mimics a field of grass, with costs ranging from \(20 million to \)100 million based on size.
Globus indicated that Nanotronics is actively evaluating suitable locations for implementing the CubeFab concept. “We are in discussions with various communities to finalize that decision,” she confirmed.
Focus on Energy Efficiency
In contrast to OpenAI cofounder Sam Altman’s initiative to raise funds up to $7 trillion for AI chips, CubeFabs are designed to manufacture compound semiconductors crucial for data center operations, as reported by Fortune. These chips offer a solution to the scarcity of AI chips necessary for training advanced language models.
Globus highlighted the significance of different chip variants, particularly emphasizing the role of Nanotronics’ cards in enhancing power switches within data centers. By improving energy efficiency in the facility’s switches, the heat generated by these components can be reduced significantly.
CubeFabs leverage chromium oxide, a material five times more efficient and dynamic than silicon, requiring fewer resources for production. Globus emphasized, “As the demand for AI continues to surge globally, leading to increased energy consumption and operational costs, Nanotronics plays a pivotal role in enhancing energy efficiency for our clients, boosting productivity, reducing energy consumption, and ultimately lowering costs.”
Globus clarified that Nanotronics does not perceive itself as a direct competitor to other semiconductor manufacturers. “We are not in the business of manufacturing devices,” she stated. “Instead, we acquire chip design licenses and collaborate with traditional silicon clients to establish manufacturing facilities. From research and development to production, we offer comprehensive services.”
Globus believes that CubeFabs present a promising avenue for Nanotronics due to the growing awareness among businesses regarding operational efficiencies achievable through AI integration. Following extensive research by numerous major corporations on AI utilization in 2023—many in collaboration with reputable consulting firms—2024 is poised to witness the implementation of these strategic plans.
Estrada, Sheryl
[email protected]
Upcoming Event: Fortune’s CFO Collaborative
Fortune’s CFO Collaborative is an exclusive assembly of CEOs from prominent companies, invited to participate in both physical and virtual meetings for in-depth discussions on contemporary issues.
The forthcoming session will focus on “Evaluating the Value Proposition of GenAI.” This private dining discourse, scheduled for February 28 in Houston and conducted in partnership with Workday and Deloitte, will explore how businesses can optimize their operations amidst the AI Revolution, addressing the requisite administrative and organizational transformations. Join Geoff Colvin, Fortune’s senior editor-at-large, and Niccolo de Masi, president of The Futurum Group, a global technology consultancy firm engaging top CIOs from Houston and other key cities, for an insightful conversation.
Limited space is available for this invitation-only event. For further details, kindly reach out via email to [email protected].
Executive Appointments
Bradley T. Camden has been swiftly appointed as EVP and CFO of Kemper Corporation (NYSE: KMPR). Camden, who previously served as Interim CFO since September 2023, joined Kemper in 2020 as SVP and manager.
Prior to his tenure at Kemper, Camden accumulated 15 years of experience at Northern Trust Asset Management, holding various finance management roles, including leading the long-term fixed income division.
In 2024, Ronald Ballschmiede, CFO of Sterling Infrastructure, Inc. (NasdaqGS: STRL), is set to retire. Ballschmiede intends to continue serving as CFO during a transitional period until his successor is appointed.
Noteworthy Insight
A recent CompTIA report on technology trends reveals that two-thirds of tech professionals actively seeking employment acknowledge the potential impact of AI on the workforce. The report indicates a prevalent use of AI-powered tools in job searches, with varying levels of interest across different age groups. While Baby Boomers exhibit the least enthusiasm for AI, teenagers display the highest affinity. However, 30% of respondents express some apprehension when interfacing with automated credential systems vis-à-vis human evaluators.
In-Depth Analysis
A recent article by Kylie Robison in Fortune sheds light on the startup journey of “Sierra Systems,” founded by ex-Salesforce Co-CEO Bret Taylor and Google veteran Clay Bavor. The company, which originated from a casual meal discussion, has now expanded to 30 employees and operates from an office in San Francisco’s SoMa district. Sierra Systems’ AI ‘agents’ engage with hundreds of thousands of customers monthly, including notable brands like Weight Watchers, SiriusXM, Sonos, and OluKai.
Industry Insights
Tyler Renaghan, Vice President of Groceries at Upside, shared insights on the potential impact of reduced food prices on cost stabilization in a Fortune opinion piece. Renaghan, boasting 15 years of experience in food retail and e-commerce, collaborates with retailers to bolster their market presence.
