Sector News

A Must-Read Overview of the US Biotechnology Industry

January 5, 2016
Life sciences

The biotechnology industry 

According to the Biology Technology Organization, biotechnology is simply “technology based on biology – biotechnology harnesses cellular and biomolecular processes to develop technologies and products.” These technologies and products include food technology, genetic research, healthcare, and environmental technology.

Graph 1

The above graph shows the breakdown of total revenues that biotechnology companies (IBB) earn in the various disciplines. Biopharmaceuticals are drugs developed from biological sources and used to treat animal and human diseases. They account for about a third of total revenues, or $150 billion, earned by the biotechnology sector in 2014.

Biotech seeds, or genetically modified food, is the cross discipline between biotechnology and agriculture. Industrial biotechnology includes all other applications of biotechnology in sectors like chemicals, biofuels, feedstock, and energy.

Biopharmaceuticals

Biopharmaceutical companies such as Amgen (AMGN), Biogen (BIIB), Regeneron Pharmaceuticals (REGN), and Celgene (CELG) differ from pharmaceutical companies based on a drug’s development process. Traditionally, pharmaceutical companies have manufactured small molecule compounds that contain various chemicals. The drugs are termed “small molecule” since the molecule is small enough for the body to absorb its constituents in pill form.

Biopharmaceutical drug manufacturing involves programming live cells to produce large molecule drugs on a mass scale. The manufacturing process of biopharmaceutical drugs is more complex and capital-intensive than small molecule drugs. So these companies take longer than pharmaceutical companies to generate positive cash flows. Biopharmaceutical drugs have historically had higher commercial success rates than traditional pharmaceutical drugs.

By Margaret Patrick

Source: Market Realist

Related News

June 13, 2021

Making drug-resistant bacteria susceptible to antibiotics

Life sciences

Antibiotic resistance remains one of the biggest public health challenges. New drugs are still needed to tackle tough-to-treat bacteria. But finding new therapeutics to kill off pathogenic bacteria has been difficult.

June 13, 2021

Vexed by vectors: How COVID-19 vaccine and cell and gene players are tackling the viral vector bottleneck

Life sciences

Viral vectors are engineered viruses used to deliver gene therapies, gene-modified cell therapies and certain vaccines. And their shortage is already upon us, thanks to manufacturing approaches that simply haven’t kept pace with the advance of cell and gene therapies.

June 13, 2021

Beigene expands into cancer cell therapy with Shoreline pact

Life sciences

Beigene, a fast-growing drugmaker based in Cambridge, Massachusetts and Beijing, will partner with Shoreline Biosciences to develop cell therapies for cancer, expanding its research beyond the small molecule and antibody drugs.

Send this to a friend