Fuel Cells: Lilliputiuan Systems

Fuel cells on a chip? Sounds like snack food for computers. In truth, however, it may be a breakthrough in fuel cell based power systems.

Lilliputian Systems is yet another MIT sprung startup that has developed technology that, well, puts a fuel cell on a chip. Their focus has been on providing power for portable electronics, which gives you a sense of the size of the systems we're talking about. They are apparently concentrating on butane (prevalent and stable, though still a fossil fuel) as the fuel source.

They are backed to the tune of $40 million by some of the brand names of the VC community: Atlas Venture of Waltham, Mass., Kleiner Perkins Caufield & Byers of Menlo Park, Calif., and Boston's Rockport Capital Partners.

Unfortunately, this apparent promise isn't headed into the auto world. I asked CEO Ken Lazarus if there is any intent to push into the transportation market segment. His response is pretty black and white:

"I don't know much about the economic or other requirement for automotive fuel cells, so unfortunately I can't really comment on this. I believe there are companies looking at using SOFCs [solid oxide fuel cells] for automotive applications."

No question there's an investment opportunity given the explosion in portable electronics. And frankly, practicable applications for fuel cell technologies, particularly those using hydrogen as a fuel source are a minimum of 30 years off.