The company is able to clone these cells, package them in vials which can contain as many as 100,000 cells each. These vials are then frozen until researchers are ready to use them.

The research could determine whether the cloned stem cells can replace embryonic cells in medical studies. Using these types of cells from umbilical cords could neutralize any further debate.

There are 10,000 stem-cell researchers in the U.S., many of whom were supported by the some 4,400 research grants made this year by the National Institutes of Health.

The cells also could be used in testing drug compounds and in developing therapies related to regenerative medicine. BioE officials are further saying that analysts predict that by 2007, drug companies will spend $6 billion a year on cell-based biological systems like the cloned stem cells.

"We hope to become the leading supplier of stem cells," Haider said.

Some of the largest suppliers of stem cells — the University of Wisconsin is one — sell about 500 vials a year. Haider expects his company to easily surpass that in its first year...

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