Externalisation of R/D projects in the pharmaceutical industry
For a number of years, pharmaceutical companies have been departing from a tradition of strict vertical integration to have economies of scale , looking to external sources for at least some of their novel technology and products e.g NCEs, NDDS, reformulation etc.
these may be through the means of
co development of drug molecules
acquisition( pfizer & wyeth , merck & schering plough, genetech & roche)
Pharmaceutical companies increased their external R&D alliances nearly six-fold on average. A large and growing proportion of pharmaceutical companies' R&D alliances are formed with biotechnology firms which have proprietary technology, due to financial and innovative pressures. Far from being temporary, this resort to external sources of technology in the pharmaceutical industry follows the trends of the wider industrial world towards functional specialization. Thus, biotechnology companies are increasingly taking on the role of suppliers of innovation. THATS WHY THERE ARE ON THE TARGET OF MANY BIG PHARMACEUTICAL COMPANIES.
Hidden benefits( of collaboration )can come in the form of innovations derived from preparing and organising the collaborative R&D alliance, the potential for improvement exposed in applying existing expertise to a new situation, the dynamic network generated by the collaborative R&D alliance itself, and the stimulating challenge of competition to parts of the organisation that are normally shielded from it.
in india itself many companies are going for theae sorts of alliance e.g
ranbaxy & GSK
merck & eli lily with piramal
astrazeneca with torrent
glenmark with elilily, merck &
CADILA & ELI LILY
there are academic -indusrry alliance
lupin & CSIR
ADVINUS & MERCK, DNDI
NIPER & BMS
LICENSING has changed the landscape of indian pharma as many indian pharma are going for these for R/D(outlicensing) , marketing(inlicesing) with a large no of companies are going for these strategies.
should that be the signal of end of completely in house developed drug (integrated drug discovery model)!!!!!!!!!!!!!!!!!!!!!!