A Google parent-owned startup is poised to begin clinical trials of its first artificial intelligence-designed drug by year-end, marking a significant milestone in pharmaceutical development as major tech companies increasingly invest in AI-powered healthcare solutions.
What Happened: Isomorphic Labs, an Alphabet Inc. GOOGL subsidiary, is targeting major disease areas including oncology, cardiovascular conditions, and neurodegeneration, founder Demis Hassabis told Financial Times, speaking at the World Economic Forum in Davos.
The company has already secured partnerships with Eli Lilly and Co. LLY and Novartis AG NVS for six drug development programs.
“It usually takes an average of five to 10 years to discover one drug. And maybe we could accelerate that 10 times, which would be an incredible revolution in human health,” said Hassabis, who recently received the Nobel Prize in Chemistry.
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Why It Matters: The announcement comes as Oracle Corp. ORCL unveiled plans for an AI-driven cancer vaccine system capable of delivering personalized treatments within 48 hours. The initiative is part of a $500 billion AI infrastructure project called Stargate, developed in partnership with OpenAI and SoftBank Group.
Investment in AI-powered drug discovery has gained momentum, with ARK Invest CEO Cathie Wood projecting a $400 billion market opportunity in biologics over the next five years. The sector has attracted significant attention from investors, though companies like Crispr Therapeutics AG and Intellia Therapeutics Inc. have shown considerable market volatility.
Isomorphic Labs, spun out from Google DeepMind in 2021, represents a growing trend of tech giants leveraging AI to streamline the traditionally lengthy and expensive drug development process.
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