AI is transforming drug discovery across target ID, molecule design and trial optimization. Milestones include regulatory qualification of digital-twin controls and positive Phase 2a data, though 90-95% of candidates still fail.
AI drug discovery is moving from hype to proof in 2026, with multi-billion-dollar partnerships, new joint initiatives, and major investments accelerating AI-native biotech pipelines and data-driven deals.
Novo Nordisk partners with OpenAI to speed drug discovery, with pilots by 2026. AI is moving beyond hype into pharma R&D, reflected in major collaborations and new FDA guidance.
Bayer outlined its 2030 growth strategy at Pharma Media Day 2026, driven by AI partnerships, precision medicine, and a strengthened pipeline. The company aims for mid-single-digit growth from 2027 and 30% margins by 2030.
San Diego lab vacancy remains near record highs, with 31% of lab space sitting empty and asking rents falling for a 15th consecutive quarter to $5.55 per square foot. Leasing activity dropped to 223,000 square feet in the first quarter, while a handful of companies expanded or opened facilities in the market.
