4 Biopharma Trends to Watch out in 2024

Shots: 

2023 had been a great year for the biopharma industry despite several imposed restrictions from the IRA and inflation 

With several swaying factors impacting the biopharma industry, including social, economic, regulatory and others, some of the noteworthy trends that emerged in 2024 and are shaping the ways biopharma companies operate 

The article explores four key trends that are more likely to be at the forefront in 2024 

In retrospect to the trends and factors that influenced the pharmaceutical industry in 2023, PharmaShots brings an intriguing analysis of key trends that are predominant and shaping the biopharma industry in 2024. When it comes to highlighting and analyzing trends in an industry, it is necessary to explore the nuances and aspects that directly or inadvertently are embedded in the industry. But before we immerse ourselves in this conducive article, let’s gain some perspectives on a few themes, factors, and forces that shape the existing biopharma industry.  

Increasing Restrictions from the IRA 

The Inflation Reduction Act (IRA) permits the Secretary of the Department of Health and Human Services (HHS). Despite the restrictions from the IRA and stringent anti-trust law, 2023 had been a great year for the biopharma companies. Last year, CMS announced a list of the 10 drugs from Medicare Part D that will be subjected to negotiations under IRA. IRA’s drug pricing reforms are often criticized by biopharma companies and other stakeholders. In the long run, restrictions from the IRA are more likely to impact the businesses of biopharma companies.  

 

Table above depicts CMS notified 10 drugs with generic names, companies, and revenue generated in 2023 

Potential Collaborations with Generative AI 

Recently Moderna and Open AI collaborated to advance mRNA medicines. Such collaborations with Generative AI companies are more likely to be seen in 2024 and the near future. The global generative AI in drug discovery market size in 2022 was valued at $126.07BM and is expected to register around $1417.83M by 2032 at a CAGR of 27.38 percent from 2023 to 2032. Intelligent automation is indeed playing an important role in drug discovery and several other operations ranging from clinical trial operations to procurement and supply chain management among others. In 2024, the use of Generative AI in the biopharma industry and potential collaborations are more likely to be seen especially when it comes to leading biopharma companies. 

Gene Editing 

The CRISPR-based technology is envisioned to grow significantly in the coming years. The global genome editing market is expected to grow from $3.90B to $14.5B in 2035, registering a CAGR of 12.6 percent from 2023 to 2035. When it comes to preventing diseases like HIV and cancer, gene editing holds a promising foothold. On December 8th, 2023, the US FDA approved Casgevy from Vertex Pharmaceuticals and CRISPER therapeutics for Sickle cell disease setting a major milestone by being the first approved drug that uses CRISPR gene-editing technology.  

Dependence on Real World Evidence 

Real-world evidence provides greater insights into drug efficacy in real-world settings. Processed and analyzed real-world data gathered from EHRs, electronic case report forms, and claims reports all come under the purview of real-world evidence and provide better information and perspective than traditional randomized control trials. The global real-world evidence solutions market in 2024 is estimated to be around $2B and is envisioned to reach $4.5B at a CAGR of 16.9 percent at a CAGR of 2024 to 2029.     

Conclusion & Perspectives 

Innovations and technological advances play crucial roles in shaping the biopharma industry. With innovations come trends and practices that gradually infuse the operations, services, and marketing strategies. Though the trends discussed above are not exhaustive but mere reflections of current approaches predominantly seen in the biopharma industry. 

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