Box 1. The cost of in-house versus outsourced research
From the following article
The power and pitfalls of outsourcing
Franz B Pichler & Susan J Turner
Nature Biotechnology 25, 1093 - 1096 (2007)
doi:10.1038/nbt1007-1093
Microarray technology is rapidly gaining status as a core research tool in both prokaryotic and eukaryotic biology. A range of well-developed technology platforms for array construction and analysis are now commercially available, as are CTPs offering microarray services. Although outsourcing might be the only option available to smaller research institutions, the establishment of in-house facilities is often considered an obvious strategic move for large institutions, but is it necessarily the best option? Once both capital and running costs are taken into account, outsourcing can appear as an attractive option.
For example, the capital costs of establishing an Affymetrix (Santa Clara, CA, USA) photolithographically synthesized oligonucleotide chip platform within an existing research facility are conservatively estimated at $275,000 (including major ancillary equipment). Although funding may be obtained for this one-off cost, depreciation, overhead and technical support, which is essential for effective operation, can amount to running costs of over $100,000 per annum. These running costs are typically passed on to the users of the facility. List prices for arrays and consumables range from around $280–$1,200 per sample but like most commercial providers Affymetrix offers a tiered pricing strategy for consumables based on purchase volume. CTPs are able to take advance of such bulk purchasing deals and are also able to spread annual operating costs over a large client base. As a result, CTPs are able to offer sample processing and analysis services for as little as $380 per sample.
