Herb Boyer and Stanley Cohen were both working on separate, but as it turned out, complementary fields. Boyer, of the University of California at San Francisco was beavering away with enzymes that his lab had recently isolated that were able to precisely cut DNA sequences. Cohen, from Stanford University was busy with plasmids, free floating homes of DNA in bacteria. He had been extracting them from cells and then placing them in others to work out how they made bacteria resistant to antibiotics.
They scientific pair met at a conference in Hawaii in 1972. They realised their work had much in common and so they started a fruitful collaboration, developing recombinant DNA technology. Both realised the potential advantages of genetic engineering.
Boyer and Cohen showed that it was possible to directly shunt genes around from one organism to another. First of all Cohen had previously shown that E. coli could take up a plasmid that conferred resistance to an antibiotic called tetracycline. Then with his new partner they were able to precisely cut this plasmid and splice in another antibiotic resistant gene. This one was resistant to kanamycin. This plasmid vector was then taken up by E.coli which then expressed both antibiotic resistant genes - as did subsequent generations of bacteria.