AI is Emerging as Growth Driver for Life-Sciences Industry

Dow Jones
Sep 30

0908 GMT - Investors are dialing up their bets on the life-sciences industry as AI-related demand emerges as a growth driver for lab-tools makers and other companies in the drug supply chain, RBC Capital Markets analysts say. Recent comments from company executives suggest the AI demand is moving from theoretical to evidenced, according to RBC. Traditional pharma companies and AI-native drug discovery startups are investing at a scale that will require a jump in biological data generation, the analysts say. "The demand signal differs by position in the value chain: research and labs now, with instruments first and consumables a few quarters after, preclinical [contract research organizations] picking up volume as new assets progress faster through the research phase, and then [contract drug manufacturing organizations] and bioprocessing companies last," they add.

 

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