Fairway Medical Technologies Inc. of Houston has received $3.8 million in federal funding to conduct Phase II research on optoacoustic breast and prostate cancer diagnostic methods. The NIH’s National Cancer Institute has awarded the company $2.7 million to develop its laser-ultrasound-nanotechnology system for animal tests and a $1.1 million Small Business Innovation Research grant for the development of a commercial prostate cancer early-detection system. The laser-based technology is used with gold nanorods bound to antibodies to allow higher contrast and definition. It has the potential to detect tumors as small as 2 mm and can differentiate between benign and malignant tumors. Seno Medical Instruments of San Antonio has purchased Fairway Medical’s optoacoustic technology and will introduce it as a real-time breast cancer detection and diagnosis method. The company will help fund the system’s initial commercialization steps.