Global biotechnology industry needs new paradigm for drug R&D

The global biotechnology industry rebounded strongly in 2013, with public companies achieving double-digit revenue growth and a sharp increase in funds raised.

However, much of the industry's growth was driven by a relatively small group of commercial-stage companies, increasing the urgency for the rest of the industry to achieve greater efficiency in their drug development efforts. These and other findings were released in Beyond borders: unlocking value, Ernst & Young’s (EY) 28th annual biotechnology industry report.

Glen Giovannetti, EY's global life sciences leader, says: "The biotechnology industry, particularly in the USA, is in the midst of a remarkable resurgence. Product successes have boosted revenues, drawn investors and motivated large companies to invest strongly in R&D. But the vast majority of firms continue to face a resource-constrained environment and heightened product scrutiny from payers and investors. More than ever, biotech companies of all sizes need to adopt strategies to capture more value from the discovery and development process."