Will New Business Models Enhance or Endanger Drug Discovery?
Summary
Opinion Xconomy National — The most successful biotechs of the past quarter century have been companies that established relatively large, cutting edge research programs, such as Biogen, Immunex, and Genentech.Their true reward: the ability to make ground-breaking scientific discoveries, publish and present their data in prestigious journals and conferences, and help turn them into breakthrough medicines for treating serious medical problems.For example, the deliberate introduction of foreign species in Australia, such as rabbits or cane toads, each produced serious environmental repercussions that did not resolve, and in fact worsened, the troubles that they were intended to remedy.Virtual companies Plexxikon and Calistoga Pharmaceuticals were bought last year for what now looks like chump change in light of Bristol-Myers staggering $2.5B acquisition of Inhibitex (who’s hepatitis C drug INX-189 is only in early phase II development).I have no doubt that the virtual biotech model is one that is capable of generating significant financial returns, and investing solely to make money is as American as baseball and apple pie.