Image Credit: ESA/NASA Hubble Space Telescope
Researchers develop basic computing elements for bacteria <-- link. Synthetic biologists have been building bio computing elements for years now. Now, they've taken complete control of life's most basic lifeform - a bacterium. This 'solf' nanotechnology can solve two problems nanotechnologists have thought they can solve - energy and medical. If not the more important problems!
This is not the nanotechnology that can make anything atom by atom. Can it bootstrap to that nanomanufacturing? Well, it's been shown that dna-nanotechnology works better in a cellular environment. That's as far as I want to speculate in that direction.
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