Paper waste sludge (PWS) is merely a waste of paper industry. PWS contains a large content of pulp cellulose but almost cannot find any valuable application. Without appropriate treatment, PWS cannot be disposed to the environment because it can be bio-dicomposed and fermented that makes ordor smell and organic polution. In our solution, PWS is hydrolyzed with a small amount of acid, then fermented to form thick layers of bacterial cellulose (BC). BC can be collected easily from the fermentation mixture. This is a valuable materials that can be applied for many applications, such as in bio-material synthesis, medical, water treatment processes, packaging, fashion, etc. Some well-known superior properties of BC are biodegradable, good mechanically durable, high biocompatible, non-toxic, etc. To illustrate a potential usage of BC from PWS, we partially hydrolyzed it to obtain nano crystal cellulose (CNC), which is currently known as the most advanced bio-material in the world. CNC is stronger than steel, lighter than wood, transparent film formable, biodegrable, non-toxic, etc. Basic analysis confirmed the feasibility. Although Biomass is in early stage, we already have customers like Anbinh paper industry and Mitsui Chemicals Qroup.