The Biotech Industry is facing a Patent Cliff and True Disruption – Biotech Part 3 of 6 | Pharmaceutics_R&D |

In February of 2011, Pfizer announced the closing of its R&D center in Sandwich, Kent, United Kingdom.  That center of excellence was a core part of the company’s drug development program.  It employed 2,400 people, covered 80 acres and became known as the “the home of Viagra.”  While Viagra was home grown and not venture backed, the closure of the Pfizer campus signaled a paradigm shift migrating big pharma, in-house R&D to satellite / outsourced drug discovery.  Many of these companies are virtual and have a lean management, contractors doing much of the work and VCs playing a critical role forming and managing these companies.  R&D spending for the pharmaceutical industry fell to $61bn in 2011, down from $68bn in 2010, down again from $70bn in 2009 and 2008 annually (...) -  by Andrew Romans, The Founders Club, 19 December 2012