More recently, he has directed a team at the J. Craig Venter Institute that works towards creating a partially synthetic bacterium, Mycoplasma laboratorium. In 2003 the same group synthetically assembled the genome of a virus, Phi X 174 bacteriophage. Currently, Smith is scientific Director of privately held Synthetic Genomics, which was founded in 2005 by Craig Venter to continue this work. Currently, Synthetic Genomics is working to produce biofuels on an industrial-scale using recombinant algae and other microorganisms.