Download - Eff deck 03 12 13
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Ethical Filament Foundation
Investing in the future of socially sound 3D materials sourcing
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Objective
• The objective of the EFF is to benefit the world’s 15 million waste pickers who are among the lowest income groups globally, by encouraging the use of ethically sourced recycled materials to meet the rising worldwide demand for 3D printing materials.
• We propose to do this by establishing an ethical filament product standard and associated certification process that ensures the quality of the materials and the ethical sourcing of this material
• Materials that meet these requirements will be able to be branded as such for marketing purposes and to signal the quality and ethical values of the materials to production companies and consumers
• The Ethical Filament Foundation has been established and is embarking on a live proof-of-concept stage over the next 18 months
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Value Creation
Waste picker’s earnings($0.15/kg)
Typical value creation for filament from recycled plastic
Processed plastic (shredded)($3/kg)
Filament product($30/kg)
The unifying idea
• A unique offering with filament sourced directly from waste picker groups in developing countries
• Filament is produced ethically on a ‘fair trade’ basis, from recycled waste• Enabling the waste pickers to receive more income from the waste they collect
Valu
e ($
/kg)
Material sourced from waste pickers currently makes up 0.5% of cost of filament
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Background: 3D Printing
• 3D Printing (or additive manufacturing) is a process of converting a digitally designed or scanned object into a tangible three dimensional solid
• Unlike traditional manufacturing, it is an additive process whereby objects are built from the ground up, layer by layer, with no or very limited material waste
• Main end markets are currently healthcare (e.g. about 90% of hearing aids are 3D printed), automotive, industrial (e.g. aerospace) and consumer
• 3D Printing is already a $2bn industry and growing rapidly
• The four segments of the market are: – Systems (the printers)– Parts– Software– Materials
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In Pictures – some examples
Unique designsSpare parts
And typical filament used…
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The 3D Printing Market• 3D Printing is a substantial industry already and
set to grow significantly over the new few years
• Total market size estimated to $5bn by 2016
• Materials use expected to double to $1bn+ over next three years
• 3D printing is critical in a range of manufacturing and production environments already
Revenues USD (mn)
2009 2010 2011 2012 2013E
2014E
2015E
2016E
2014-16 CAGR
Systems 332 410 538 618 741 889 1,067 1,281 20%
Materials 218 266 327 423 528 660 825 1,032 25%
Products total
550 676 865 1,040 1,269 1,550 1,893 2,312 22%
Direct parts
184 260 412 624 780 975 1,218 1,523 25%
Service & parts
336 392 440 540 675 844 1,055 1,319 25%
Services total
50 652 852 1,164 1,455 1,818 2,273 2,841 25%
TOTAL 1,070 1,327 1,717 2,204 2,724 3,368 4,166 5,154 24%
Revenues by end market (2012) % USD (mn)
Consumer products 21.8 480
Motor vehicles 18.6 410
Medical/Dental 16.4 361
Industrial machines 13.4 295
Aerospace 10.2 225
Academic 6.8 150
Government/Military 5.2 114
Architectural 3.9 86
Other 3.6 79
Total 100 2,200
Source: Credit Suisse
Source: Wohlers Associates
“…[3D printing] is going to revolutionize design and manufacturing in the 21st century.”
Elon Musk, CEO Tesla, Chairman Space X
“A revolution [that] will change the world as much as the personal computer did”
Chris Anderson (Wired)
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EFF initial focus: The Consumer Market• The consumer market is moving from
early adopters to the main stream
• Access to 3D printing either through inexpensive printers (<$500) or via high-street businesses
• The 70,000 printers to be sold this year are a tiny fraction of the addressable market and should double in three years 1)
• Materials still dominated by plastics, but metals and other materials growing fast
2008 2009 2010 2011 2012 2013E0
10,000
20,000
30,000
40,000
50,000
60,000
70,000
Uni
ts
Source: Wohlers, Credit Suisse
The two primary concerns about the viability of wide-scale use of low-cost 3-D printing are (1)
print quality and thus the suitability for market applications and (2) the ease of use..
Elsevier Mechatronics June
2013
Consumer printer shipments
2012 Material Sales to End Customers ($420mn) 2)
Photo-polymer
Laser-sintered polymers
Metals
Other
1) & 2) Source: Credit Suisse, Sep 2013
A number of established vendors have transitioned away from machines aimed at hackers and makers into the prosumer domain, where machines and associated services are now being marketed at a business-to-business level
53% of users stated their primary purpose for ownership was related in some way to their livelihood
Econolyst White Paper
A recent survey by Statistical Studies of Peer Production showed object quality the number one area for improvement in 3D printing
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Sourcing the Materials
• Current materials (the filament) is sourced mainly from virgin (new) plastic
• Using recycled materials for filament production would reduce the need to produce new raw material – estimated to be 1.5 million kilos for consumer use alone in 2014
• There are 15 million waste pickers globally who recycle and sell plastic
• Employing waste pickers can create a reliable source of local supply of sustainable materials
• Working with waste picker organisations is most efficient route to signing up suppliers
• Inconsistent quality is a major issue for 3D producers
• A high-quality, globally consistent production standard requires a certification process that specifies grading of various materials for use in 3D printing
• A clear brand – à la Fair Trade – with recognised economic, environmental and social standards, will build awareness and demand for ethical filaments
• Actions to facilitate and encourage recycling for 3D printing such as reduction of label use and printing directly on bottle.
Input materials Quality & ‘recylability’
Empowering waste pickers by providing fair incomes and higher value jobs
Improve ease of recycling for use in 3d printing and achieve consistent, documented quality for end users
Dual aims:&
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The Value Chain
Raw materials collection or production
Materials standards and processing requirements
Processing raw materials for filament production
Production of 3D printing materials
Establishing 3D printer operation
Incentivising and training waste pickers to recycle materials
R&D for recycling different materials for 3D printing
Distribution of processed materials
Distribution of printer ready materials
3D printing
Branding and marketing of materials
Lobbying industry and governments
Sales to end-users
Production
Business development EFF directly involved
Outside EFF scope
Potential future role for EFF
Collection and sharing of 3D print designs
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The Foundation
1. Create and brand an ethical filament production standard and a certification process that guarantees the quality and ethical value of any certified filament to a third party consumer. Certification is process independent and only focuses on the quality of the final product and the social benefit generated in the process.
2. Advertise and market the Ethical Filament Standard and certification process. 3. Promote the concept of recycling to produce Ethical 3D Printing Filament that is sold to improve the
livelihoods of waste pickers and their communities worldwide.4. Sponsor research and development to improve the process for waste recycling at the grass root
level for use in 3D printing. All such research will be released to the Public Domain for use on an unrestricted basis by social benefit organisations.
5. Create an information repository to make public domain information regarding current research easily available to individuals or organizations.
6. Release research to the public domain for use on an unrestricted basis by social benefit organisations.
The Ethical Filament Foundation aims to:
Our Vision:• We believe there is an opportunity to create an environmentally friendly and ethically
produced filament alternative to meet the needs of the rapidly growing 3D Printing market• We also believe that by doing this we can open up a new market for value added products
that can be produced by waste picker groups in low income countries
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The Next Steps
• Establish the Foundation that will be the guardian and promoter of the ethical filaments brand and production process
• Generate initial industry awareness and buy-in
• Establish partnerships with 2-3 industry partners to conduct a proof-of-concept
• Enlist support and expertise from leading academic institutions
• Engage with investors and funders to raise finance for a proof-of-concept to fund:– Launching the brand and promoting the concept– Materials research to develop an acceptable standard of ethical
recycled filament for the consumer market– Building a working model for entire value chain with a minimum
production output and distribution of 500kg of filament per month– Development of a Blue-print for global roll-out– Basis for funding of the ongoing operation
Key developments next 18 months:
Started
Started http://ethicalfilament.org
Ongoing 3D Print Show London, Amsterdam event, misc. press coverage *
started ProtoPrint in India, Others in discussion
Started Michigan Tech, ICTP Trieste
* http://techcrunch.com/2013/11/07/ethical-additive-manufacturing/