Biotechnology in Japan

Main figures

In 2002, the total biotech sales in the world are estimated at 35 Mds$. The market is expected to be around 300 Mds$ in 2010 (the size of the pharmaceutical industry in 2002).

4,500 companies in the world in 2002. (France: 250 companies, 5,000 employees)

USA: 1,400 companies, 170,000 employees. 300 public companies (mainly NASDAQ). Main biotech areas: SF (Berkeley), San Diego, MIT, NIH (Washington D.C.), Atlanta, Austin, N.Y.C.... Sales = 18Mds$, half made by the top 10 companies.

Amgene = 60 Mds$ of capital.

Financing: 15-20 Mds$ of private capital are expected to be invested in biotech in 2002.

Very good ROI in biotech/pharma. Pfizer: 30Mds$ in sales, 10Mds$ in gain

500 products are in clinical phase. Half of them against cancer.

50% of approved drugs are biotech in 2002.

No French company has a molecule. Hopes with Nicox (Sophia-Antipolis)?

General features

• The scope of the drugs developped by biotech companies is usually much narrower than pharma's blockbusters, even though some drugs are bigger than 1Mds$ in sale (interferons against cancer...).
• Most drugs must be injected => requires a medical environment
• Many drugs against orphan diseases (strong legal protection during 5 years)
• Commercialization of a new drug is expensive => products are often co-developped with big pharmas (Phase 3 and commercialization)
• Need for local production facilities because many drugs are sensitive to long travels
• Big biotechs are selling drugs => need to fill the pipeline => small biotechs are bought by big biotechs
• There is no generic for biotech drugs, because FDA checks the molecule and the process which is usually high-tech.
• The market is new in Europe, but 20 years old in USA. Recent difficulties are considered cyclic in the USA