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http://en.wikipedia.org/wiki/Grey_goo
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Very cool link. Had never heard of this, but it's a scary idea.
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I'm a bit of a sci-fi fan. However, I think you are right to be uneasy -- if it scares Prince Charles, it scares me!
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In Britain, the Prince of Wales called upon the Royal Society to investigate the "enormous environmental and social risks" of nanotechnology in a planned report, leading to much delighted media commentary on grey goo. The Royal Society's report on nanoscience was released on 29 July 2004, and dismisses the idea as impossible.
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