Helping Biomanufacturers Overcome Resistance to Modern Automation

Automation has a long history of driving enhanced production. During the Industrial Revolution, manufacturers first harnessed automated machines to increase yields for materials like cotton and paper. Decades later, the rapid expansion of the automobile industry in the early 20th century saw automotive companies streamline assembly lines, reducing assembly time from 12 hours to about 1.5 hours per car.

Today, robotic process automation plays a pivotal role in the life sciences industry. AI-powered technologies like machine learning have rejuvenated automation, enabling data-driven machines to control and interact with each other autonomously. Many industries are moving towards this goal. While these benefits are something for which they strive, greater quality and consistency are even more critical in the strictly regulated biopharma sector. So why has biopharma and the wider pharmaceutical industry been slower to adopt fully automated technologies?

Complex and variable

The complexity and variability of bioprocessing are often cited as the main reason for the lag in uptake. However, success stories such as Moderna, which utilized automation and AI to develop an mRNA SARS-CoV-2 vaccine within a year, show it is achievable, without risking the quality and consistency that is so important to therapeutic manufacturing. Even with this compelling story, some firms opt for less-integrated options because they are simpler to deploy initially and align better to their current timelines, workforce, and budget.

The limited duration of patent protection is also a factor. Making major changes to a licensed facility can be challenging and time consuming. Once a facility is licensed to manufacture a biologics product, there likely won’t be multiple changes, and overhauling an entire factory can be cost prohibitive.

Additionally, there are different pressures on the biologics industry. For example, technology advancements are pivotal in reducing costs in the automotive industry. In the biopharmaceutical sector, the priority is on delivering products that maintain high quality, consistency, and reasonable pricing.

Because of the risk in changing a facility, automation is often considered in the design of new facilities. Modern biopharma facilities are constructed to be multipurpose, handling different products or production campaigns. Automation enables flexibility, allowing seamless transitions between different product lines without extensive manual reconfiguration. Automated systems can adapt quickly to different process parameters, making facilities more agile and future-proofing their operations.

Despite the advantages of automation, there are potential challenges to consider. Implementing fully automated systems can take time. Changeover times may present issues depending on how flexibly you’ve designed your systems and the facility to handle changes and multiple products. Legacy systems must be considered as many biopharma companies still rely on outdated, manual systems and integrating automation with these legacy systems can be expensive and technically challenging.

The data that automated systems generate needs to be integrated into existing data management and quality control systems. The transition from paper-based or manual tracking to automated digital systems can be slow and met with resistance.

Manufacturers may encounter difficulties when they adopt technology without clear objectives. However, aiming for continuous improvement of manufacturing processes is a clear and achievable objective. By consistently using technology to enhance processes and optimizing human and capital resources, manufacturers can achieve remarkable success.

AI and Machine Learning as Transformative BioTools

Nearly a century ago, Alexander Fleming discovered a penicillin-producing mold. Over the following decades, various microbes were used to make a range of therapeutics, from insulin to vaccines. Although gene-editing and other techniques can improve the production of microbe-based biologics, artificial intelligence (AI) could push these drugs even further.

“Artificial intelligence and machine learning play a crucial role as transformative tools in pharmaceutical research and microbial engineering,” according to Ayaz Belkozhayev, PhD, associate professor in the department of chemical and biochemical engineering at Satbayev University in Kazakhstan, and his colleagues. “These technologies enable the analysis of large datasets, the optimization of metabolic pathways, and the development of predictive models.”

Plus, Belkozhayev’s team points out that AI-based technologies can be used to develop efficient microbes that provide sustainable production of biotherapeutics. These biotherapeutics include ones that battle largely drug-resistant microbes, such as Acinetobacter baumannii, which can infect a person’s blood, lungs, wounds, and more.

AI-based tools could also be applied to microbes that produce lipophilic compounds, such as modified antibodies or peptides. Nonetheless, Zhang Dawei, PhD, an investigator in synthetic biology and microbial manufacturing engineering at the Tianjin Institute of Industrial Biotechnology in China, and his colleagues explain that lipophilic compounds can accumulate in cell membranes during fermentation, which can decrease production or even kill the cells producing the biotherapeutic.

To address this membrane-capturing problem, scientists explore what Dawei’s group called “membrane engineering techniques to construct highly flexible cell membranes … to break through the upper limit of lipophilic compound production.” AI could play a key role in this process. As Dawei’s group notes: “With the continuous advancement of artificial intelligence technology in the field of biomedicine, computer-assisted scientific research will provide a more comprehensive blueprint for the construction process of highly flexible cell membranes.”

Nonetheless, AI alone will not make better microbes for producing biologics. As Belkozhayev’s team emphasizes, “Innovations in genetic engineering, synthetic biology, adaptive evolution, [machine learning], and high-throughput screening have led to substantial progress in optimizing microorganisms for the efficient production of complex biological and chemical compounds.”

So, as is often the case, no one thing is the solution to all of the challenges in making biotherapeutics from microbes. Still, AI will probably enhance this area of bioprocessing.

Sanofi Cuts Off Antibody Partner, Forcing 80% Headcount Reduction at IGM

After losing its powerhouse partner, IGM Biosciences closed “most” of its labs and offices and initiated a strategic review of potential strategic alternatives and options for the business.
Sanofi has turned its back on its partner IGM Biosciences, forcing the small California biotech to enact drastic strategic measures, including an 80% reduction in force.

IGM made the announcement in an SEC document on Thursday, noting that Sanofi had informed it of the decision to walk away on Monday. The contract will formally end 30 days after the notice. IGM did not provide a specific reason for the termination, only revealing in its filing that the companies “concluded that conducting further activities under the Agreement was not in the interests of either party.”

Losing a powerhouse partner is a big blow for IGM, which on Thursday also said it would lay off around 80% of its remaining employees “to preserve cash.” The biotech has also closed “most” of its laboratories and offices.

“The Company continues to evaluate potential strategic alternatives and reorganization options,” IGM wrote in its SEC document, though it did not specify what these options might be.

According to its annual report, IGM had 149 full-time employees at the end of 2024. In January, the biotech reduced its workforce by 100 employees, corresponding to 73% of its headcount, leaving it with 37 full-time staff. Thursday’s cuts would leave IGM with around 7 employees.

As of Dec. 31, 2024, IGM still had $183.8 million in cash, cash equivalents and marketable securities—enough to keep it afloat “for at least one year” after the issuance of the annual report.

Sanofi and IGM first partnered up in March 2022, when the pharma fronted $150 million to co-develop six IgM antibody agonists—three against cancer indications and three for immunology or inflammation targets, though the specific targets were not announced. Sanofi at the time also promised up to $940 million in milestones for each oncology target, and up to $1.065 billion such payments for each immunology/inflammation program. All told, the contract could surpass $6 billion in value.

But in April 2024, the partners readjusted the agreement, narrowing it to just the three immunology/inflammation targets. The original payment terms from the 2022 contract were retained, and IGM regained the global rights to all technologies related to the cancer work it did with Sanofi.

IGM joins the growing group of small- and medium-sized biotechs that have hit a rough patch in recent months. Also on Thursday, RallyBio let go of 40% of its employees following the underwhelming mid-stage performance of its former lead asset last month. And last week, Pliant Therapeutics similarly laid off around 45% of its workforce in a bid to extend its cash runway and support the late-stage development of its drug candidates.

Doubts About Job Market Turning Around Soon Easy To Understand

Biopharma professionals don’t have much hope for the biopharma job market turning around this year, based on a recent BioSpace LinkedIn poll. A whopping 74% of respondents predicted it won’t improve until 2026 or later, and 44% don’t expect a turnaround until at least 2027. It’s easy to understand the skepticism given that the positive signs people were looking for to spur hiring, including increased funding, haven’t materialized as layoffs continue.

Biopharma professional Pierre Michel Baez Ortiz is among those feeling pessimistic about the job market turning around anytime soon. In a poll comment, he noted that Maryland hasn’t recovered from the crash after the pandemic-era money infusion ran out.

“Over three years and the region is unstable as hell,” he wrote. “There’s zero job security and some people in my network have been unemployed for more than a year, a few for several years. And now we have more big companies leaving Montgomery County.”

If the industry recovers, he added, it wouldn’t be for maybe two more years.

Biopharma professional Ricardo Azedo took a more positive tone in the poll comments, writing, “I want to be hopeful, so I’d cast my vote to ‘as soon as possible.’”

That said, just 27% of voters predicted the job market will turn around by the end of this year.

Reasons for Skepticism Easy To Find

It’s not hard to spot what might be fueling people’s skepticism. In addition to factors such as venture capital funding dropping 20% year over year in the first quarter, massive Department of Health and Human Services layoffs and looming pharma tariffs, consider:

  • Late last month, the U.S. Bureau of Labor Statistics reported that the number of job openings was little changed in March and dropped by 901,000 over the year.
  • In April, job postings live on the BioSpace website were up just 1% month over month and down 8% year over year.
  • Although the number of biopharma professionals laid off in April dropped 22% year over year, according to BioSpace tallies, the 1,357 people affected was the second-highest monthly total of 2025. (Note: Figures exclude contract development and manufacturing organizations, contract research organizations, tools and services businesses and medical device firms.)

In what’s sure to be unwelcome news, May’s layoffs have already surpassed April’s with Teva Pharmaceuticals cutting 2,893 employees worldwide. Add Bristol Myers Squibb’s layoffs of 516 people in Lawrenceville, New Jersey, and you’re at about 3,400 people out of work between just two companies. That’s especially significant given that just over 4,000 biopharma employees were laid off over the entire first quarter.

Those layoff numbers likely wouldn’t surprise Ira Leiderman, healthcare managing director at investment banking firm Cassel Salpeter & Co. During an interview for a recent BioSpace article, he noted that companies are “leaning down.”

“People need to husband their cash, manage their expenditures, and unfortunately, it’s costing people their jobs and their livelihoods,” he said.

Leiderman doesn’t see hiring rising in the near term and theorized that mid-level and senior-level people could leave the country and head to Europe, leading to some brain drain. He also noted that biopharma professionals might change industries.

For those who need jobs now, and especially for those who’ve needed them for several months or longer, leaving the U.S. or biopharma itself to gain employment is understandable. As Leiderman said, “People have to pay their bills, right? They’ve got to make a mortgage payment. They’ve got to put food on the table for their kids. You’ve got to live the dream, but you’ve got to also be realistic at some point.”

Doctors say AI model can predict ‘biological age’ from a selfie — and want to use it to guide cancer treatment

A new artificial intelligence (AI) model can predict a person’s biological age — the state of their body and how they’re aging — from a selfie.

The model, dubbed FaceAge, estimates how old a person looks compared to their chronological age, or the amount of time that’s passed since their birth. FaceAge’s makers say their tool could help doctors decide on the best course of treatment for diseases like cancer. But one outside expert told Live Science that before it is used that way, follow-up data needs to show it actually improves treatment outcomes or quality of life.

When a doctor is treating a cancer patient, “one of the first things they do is they try to assess how well the individual is doing,” Hugo Aerts, director of the AI in Medicine Program at Mass General Brigham, said in a news briefing on May 7. “This is often a very subjective assessment, but it can influence a lot of future decisions” about their treatment, including how aggressive or intense their treatment plan should be, he added. For example, doctors may decide a patient who looks younger and more fit for their age may tolerate an aggressive treatment better and eventually live longer than a patient who looks older and more frail, even if the two have the same chronological age.

FaceAge could make that decision easier by turning doctors’ subjective estimates into a quantitative measure, the study authors wrote in the new study published May 8 in the journal Lancet Digital Health. By quantifying biological age, the model could offer another data point in helping doctors decide which treatment to recommend.

Aerts and his colleagues trained the model on more than 58,000 photos of people ages 60 years and older who were assumed to be of average health for their age at the time the photo was taken. In this training set, the researchers had the model estimate chronological ages and assumed that the people’s biological ages were similar, though the scientists noted that this assumption is not true in every case.

The team then used FaceAge to predict the ages of more than 6,000 people with cancer. Cancer patients looked about five years older, on average, than their chronological ages, the team found. FaceAge’s estimates also correlated with survival after treatment: The older a person looked, regardless of their chronological age, the lower their chances of living longer. By contrast, chronological age was not a good predictor of survival in cancer patients, the team found.

FaceAge isn’t ready for hospitals or physicians’ offices yet. For one, the dataset used to train the model was pulled from IMDb and Wikipedia — which may not represent the general population, and may also not account for factors like plastic surgery, lifestyle differences, or images that have been digitally retouched. Further studies with larger and more representative training sets are needed to understand how those factors impact FaceAge estimations, the authors said.

And the researchers are still improving the algorithm with additional training data and testing its efficacy for other conditions besides cancer. They’re also investigating what factors the model draws on to make its predictions. But once it’s finalized, FaceAge could, for example, help doctors tailor the intensity of cancer treatments like radiation and chemotherapy to specific patients, study co-author Dr. Ray Mak, a radiation oncologist at Mass General Brigham, said during the briefing. A clinical trial for cancer patients, comparing FaceAge to more traditional measures of a patient’s frailty, is starting soon, Mak added.

Ethical guidelines surrounding how FaceAge information can be used, such as whether health insurance or life insurance providers could access FaceAge estimates to make coverage decisions, should be established before rolling out the model, the researchers said. “It is for sure something that needs attention, to assure that these technologies are used only for the benefit of the patient,” Aerts said in the briefing.

Doctors would also need to carefully consider when and how they use FaceAge in clinical settings, said Nicola White, a palliative care researcher at University College London who was not involved in the study. “When you’re dealing with people, it’s very different to dealing with statistics,” White told Live Science. A long-term study assessing whether involving FaceAge in treatment decisions improved patients’ quality of life is needed, she said.

The researchers noted the AI tool wouldn’t be making calls about treatment on its own. “It’s not a replacement for clinician judgement,” Mak said. But FaceAge could become part of a physician’s toolkit for personalizing a treatment plan, “like having another vital sign data point.”

Researchers make disturbing discovery after analyzing athletes’ bodies: ‘We’re only just beginning’

The dangers of microplastics are not yet fully understood, but what we do know is that they are everywhere and may be harmful to your health. According to Triathlete, advanced sports dietitian Taryn Richardson believes athletes may be more exposed to these microscopic threats than most.

What’s happening?

While exposure to microplastics is unavoidable no matter who you are, they surround athletes almost by necessity. Athletes eat plastic-wrapped nutrition bars and drink from plastic water bottles, as they’re lightweight and easily handled mid-training or during competition. They wear lightweight, elastic, breathable gear made from plastic materials. They spend plenty of time out in open air and in the water.

Adding to this is the fact that when athletes sweat, their pores open up, making it even easier for microplastics to enter their bodies. This all adds up to a potentially significant health risk that Richardson believes may continue to grow as we learn more about microplastics.

“It’s going to get bigger from here,” Richardson told Triathlete. “We’ve only just been able to quantify [microplastics] in human blood. We’re only just beginning.”

Why is understanding microplastics important?

Microplastics are tiny plastic particles one nanometer to five millimeters in size that are either intentionally manufactured or created as larger plastic products break down. They can be found just about anywhere you can imagine: the ocean, the air, the land, our food — even our blood.

In 2022, microplastics were measured in human blood for the first time ever, raising many serious questions about their impact on our health. We know that some plastics contain toxic chemicals and that clogged arteries are potentially deadly, so it follows that microplastics might be seriously dangerous. The science is not entirely clear on this yet, but studies have made some unsettling connections between microplastics and serious illnesses.

A recent review of almost 3,000 studies determined that microplastics can potentially contribute to everything from respiratory illness to neurodegenerative diseases to cancer and more. While we don’t truly know the extent of these connections, nor the long-term effects of microplastics in the body, this information it’s alarming to say the least. It’s also critical to know if we want to make informed decisions about our health.

What’s being done about plastic pollution?

Our plastic problem is an overwhelming one, but some brilliant people out there are working to find solutions — such as the Oak Ridge National Laboratory researchers who recently developed a more effective plastic recycling process that creates less emissions and uses less energy or the scientists who figured out how to convert plastic into asphalt.

Immune Response in Advanced Ovarian Cancer Weakened by Phospholipids in Ascites

Research, headed by teams at Trinity College Dublin and University College Dublin, has uncovered how lipid-rich fluid in the abdomen, known as ascites, plays a central role in weakening the body’s immune response in advanced ovarian cancer.

The scientists explored how ascites disrupt immune cell function, with a particular focus on natural killer (NK) cells and T cells, which are key players in the body’s ability to eliminate tumors. By analyzing the contents of ascites fluid from ovarian cancer patients, they identified a group of fat molecules called phospholipids as key drivers of this immune dysfunction, suggesting that the lipids suppress the tumor-killing properties of natural killer (NK) cells.

The findings offer new insights into immune suppression in ovarian cancer and open promising avenues for future immunotherapy strategies. “We found that these lipids interfere with NK cell metabolism and suppress their ability to kill cancer cells,” said Karen Slattery, PhD, Research Fellow at the Trinity Translational Medicine Institute. “Crucially, we also discovered that blocking the uptake of these phospholipids into NK cells using a specific receptor blocker can restore their anti-tumor activity, which offers a compelling new target for therapeutic intervention.”

Slattery is first author of the team’s published paper in Science Immunology, titled “Uptake of lipids from ascites drives NK cell metabolic dysfunction in ovarian cancer.” In their paper the team reported, “… we identify polar lipids as central mediators of lymphocyte immunosuppression in ascites …These lipids caused dysregulation of NK cell lipid metabolism homeostasis and impaired cytotoxic function.”

“High-grade serous ovarian cancer (HGSOC) is an unmet clinical need, with limited treatment options and a 5-year survival rate of just 28%,” the authors wrote. “More than 70% of patients already have metastatic disease at diagnosis.”

Many patients develop large volumes of ascites, which promotes metastasis and is associated with poor therapeutic response and survival. This ascites fluid not only supports the spread of cancer throughout the abdominal cavity but also significantly impairs the body’s immune defenses, although the underlying mechanisms remain poorly understood, the team continued. “Understanding the impact of ascites on the immune system is critical for developing effective immunotherapies for patients with metastatic ovarian cancer.”

Natural killer cells are antitumor lymphocytes that have several advantages as targets for immunotherapy, Slattery and colleagues suggested. “Unlike T cells, they are not tumor antigen specific and pose lower risks of graft versus-host disease or cytokine storms in cell therapy … Critically, NK cells defend against metastasis, and their infiltration into tumors correlates with a better prognosis in metastatic cancers.”

However, NK cells can become dysfunctional in patients with cancer, the authors commented. “Despite the potential of NK cells as prospective immunotherapy targets, a better understanding of the mechanisms driving NK cell dysfunction in cancer is needed to overcome immunosuppressive factors.”

For their newly reported study the scientists examined blood, tumor, and ascites samples from patients with advanced HGSOC. They found that immune cell function was suppressed across cancer sites within individual patients, and in particular, the ascites microenvironment inhibited NK cells’ tumor killing abilities.
The team found that removing NK cells from ascites rescued their antitumor function, while depleting lipids from ascites lifted immune suppression. “Removing lipids from ascites abrogated the suppression of the immune system by ascites,” they further reported. Their studies showed that NK cells took up large amounts of lipids from ascites, which caused a lipid overload that disrupted plasma membrane remodeling. The investigators speculated that disruptions to the plasma membrane could impair NK cells’ tumor cell targeting abilities, thus restricting their antitumor activity.

The experiments in addition demonstrated that NK cells in ascites upregulated the lipid transporter receptor SCARB1/SR-B1. Inhibiting lipid uptake through SR-B1 restored NK cells’ tumor killing abilities in vitro. “Blocking the uptake of lipids through SR-B1 restored the activation and antitumor functions of NK cell in ascites, highlighting SR-B1 as a potential NK cell immunotherapy target,” they stated.

The studies also pointed to the polar lipid PC(36:1) as a contributor to NK cell dysfunction in ovarian cancer, with data suggesting “… that uptake of PC(36:1), and likely other certain lipid species from ascites, results in perturbed plasma membrane order, which could disrupt their capacity to polarize toward target cells, resulting in reduced tumor killing.” The team concluded that, collectively, “… these data show that uptake of polar lipids such as PC(36:1) through SR-B1 restricts NK cell functions in ascites and that SR-B1 represents a potential immunotherapy target for boosting NK cell antitumor responses in advanced ovarian cancer.”

Slattery commented, “This work adds a critical piece to the puzzle of why ovarian cancer is so aggressive and has such poor outcomes. While the immune system is naturally equipped to detect and destroy cancer cells, this function is switched off in many individuals with ovarian cancer, and we now know that this is in part due to the fat-rich environment created by ascites.”

Prof. Lydia Lynch, PhD, formerly based in Trinity and now in Princeton University, is the senior author of the research article. She further commented, “This study marks a significant advancement in ovarian cancer research, identifying a new mechanism underpinning immune failure and laying the foundation for new therapies that could restore immune function in these patients. By targeting the fat-induced suppression of immune cells, future treatments could empower the body’s own immune defenses to fight back and in doing so, improve outcomes for ovarian cancer patients.”

How Bacteria Synthesize an “Organic Dishwashing Liquid” to Degrade Oil

The marine bacterium Alcanivorax borkumensis feeds on oil, multiplying rapidly in the wake of oil spills and thereby accelerating the elimination of the pollution, in many cases. It does this by producing an “organic dishwashing liquid,” which it uses to attach itself to oil droplets.

Researchers in Germany have discovered the mechanism by which this organic liquid is synthesized. Published in Nature Chemical Biology, the research findings, “Biosurfactant biosynthesis by Alcanivorax borkumensis and its role in oil biodegradation” could allow the breeding of more efficient strains of oil-degrading bacteria, according to the scientists.

Loosely translated into English, the Latin name of the bacterium is “alkane eaters from Borkum” as alkanes are chains of hydrocarbons that exist in petroleum in large quantities. A. borkumensis feeds on energy-rich chains which occur naturally in the sea—and on non-naturally-occurring chains like those dispersed in oil spills. In many cases the bacteria multiply rapidly, thereby accelerating the pollution-clearing process.

Oil and water don’t mix

Because oil and water don’t mix, in order to eat its favorite food, the A. borkumensis requires a chemical aid. It makes it for itself, producing a kind of natural dishwashing liquid. This “detergent” is a compound consisting of the amino acid glycine and a sugar-fatty acid compound.

“The molecules have a water-soluble part and a fat-soluble part,” explains Peter Dörmann, PhD, who is a biochemist at the University of Bonn’s IMBIO institute (Institute of Molecular Physiology and Biotechnology of Plants). “The bacteria settle on the surface of the oil droplets, where they form a biofilm.”

The mechanism by which the alkane eater synthesizes this detergent was not understood until a working group led by Karl-Erich Jaeger, PhD, of Forschungszentrum Jülich and the Heinrich Heine University Düsseldorf, studied the bacterium’s genome.

“In our research we identified a gene cluster which we believed could play a role in production of the molecule,” says Jaeger. In fact, when the genes of this cluster were switched off, the bacteria were impaired in their ability to attach to oil droplets. “As a result they absorbed less oil, and grew much more slowly,” adds Lars Blank, PhD, of RWTH Aachen University.

Potential biotech applications

One of Dörmann’s doctoral students, Jiaxin Cui, succeeded in elaborating the synthetic pathway by which A. borkumensis produces the detergent. Three enzymes are involved in this process, in which the molecule is assembled step by step. The three genes contain the instructions for building these biocatalysts, without which the bonding process cannot efficiently proceed.

“We successfully transferred the genes involved to a different bacterium, which then produced the detergent as well,” Cui explains.

Bacteria like A. borkumensis are important for degrading oil pollution, so these findings are of significant interest, possibly leading to the development of new, more effective strains.

“This natural detergent could have biotech applications as well, such as for microbial production of key chemical compounds from hydrocarbons,” points out Dörmann, who is a member of the University of Bonn Transdisciplinary Research Area (TRA) “Sustainable Futures.”

Amid Layoffs, Delays, FDA Turns to AI for Speedy Reviews

The FDA expects to fully integrate its AI approach by June 30, though its different centers have been instructed to start the rollout immediately.

In a bid to support regulatory review, the FDA expects to deploy artificial intelligence across all of its centers by the end of June, the agency announced Thursday.

The announcement comes as the FDA completes its pilot scientific review using a generative AI model. “I was blown away by the success of our first AI-assisted scientific review pilot,” Commissioner Marty Makary said in a statement on Thursday, though the agency did not provide specific details about the project.

Using AI to support its scientific reviewers could help the FDA avert delays in the regulatory process that have started cropping up in recent weeks. Last month, for instance, the FDA missed its target decision dates for Novavax’s COVID-19 vaccine and Stealth BioTherapeutics’ Barth Syndrome drug. The regulator has also yet to release its verdict on GSK’s chronic obstructive pulmonary disease bid for Nucala. Its target action date for that was May 7.

Layoffs at the agency could be to blame. Health and Human Services Secretary Robert F. Kennedy Jr. has enacted a sweeping reorganization of the department, a drastic move that put 3,500 jobs at the FDA on the chopping block. While it is yet unclear how extensively the FDA’s review staff were affected by these layoffs, several former officials and analysts have flagged the possibility that the cuts could lead to regulatory roadblocks and delays.

The move to incorporate generative AI into its review process is a “historic first” for the FDA, the agency claimed on Thursday, one that Makary says will “reduce the amount of non-productive busywork that has historically consumed much of the review process.”

The FDA is moving quickly with its AI rollout “to reflect the urgency of this effort,” as per its Thursday release. All FDA centers have been instructed to start implementing the AI approach immediately, building toward full integration by June 30.

And the FDA isn’t stopping at just integrating AI into decision making. The agency on Thursday also laid out plans to deepen its generative AI capabilities across all centers, with the idea of tailoring AI models to the needs of the relevant center.

In line with its AI push, the FDA recently named Jeremy Walsh as its first-ever head of AI and IT at the agency. Walsh, who made the announcement last week in a LinkedIn post, was previously chief technologist at the tech services and consulting firm Booz Allen Hamilton.

Rest Up, Biopharma. Trump’s Drug Pricing Policy Is Coming on Monday

With President Donald Trump expected to deliver a drug pricing order on Monday that Big Pharma and patient groups alike have railed against, the industry’s tumultuous ride is far from over.

The biopharma world has been waiting with bated breath to see what President Donald Trump will do with the Inflation Reduction Act. Next week, we may finally know, as Trump teased in the Oval Office on Monday that a major drug pricing initiative is coming next week.

The IRA has been extremely maligned by the industry, particularly the “pill penalty,” referring to the IRA’s longer period of protection from price negotiations for biologics than for small molecules. The industry contends this penalizes innovation, and Trump has actually shown support for equalizing the two drug classes. At the time, BMO heralded the order as long-overdue “good news from DC.”

But now, the analyst firm is asking: “Can we catch a break?”

That’s because BMO predicts that Trump’s anticipated executive order will direct Health and Human Services to use international drug prices in the negotiations that are already scheduled to happen under the IRA.

Trump has for weeks suggested that he may revive the Most Favored Nations (MFN) rule proposed during his first term in an attempt to bring down costs by linking drug prices in the U.S. to international rates. “We’re being ripped off, as you know, very badly being ripped off compared to the rest of the world,” Trump said of drug prices at the White House this week.

BMO Capital Markets reported that Trump may try to mash the two policies together—the IRA and the MFN. He could use international drug prices as the benchmark for negotiating drug prices under the IRA.

The Centers for Medicare and Medicaid Services has already selected the next round of drugs to undergo negotiations. In a Wednesday note, Leerink Partners flagged many of the companies with drugs subject to the next round of negotiations as specifically being impacted, plus Regeneron, Sanofi and many more. A MFN rule “has potential implications for the entire biopharmaceutical sector,” the firm wrote to investors.

Leerink suggested that Trump could also pursue MFN through a Medicare demonstration or work with Congress to advance legislation to put the rule into place via Medicare. A new law would be a heavy lift, and Trump will likely face legal challenges if he were to push it through, just as he did during his first term.

Indeed, drugmakers are unlikely to let the issue go without a fight. On its Q4 2024 earnings call this week, Takeda warned of the potential impact to industry. “From an industry perspective, if MFN were applied within the Medicaid setting . . . that would be an industry impact over 10 years of up to 1 trillion dollars,” argued Julie Kim, president of Takeda’s U.S. unit. “It would fundamentally be a significant challenge for the overall industry, Takeda included.”

Kim’s comments echoed those of Novartis CEO Vas Narasimhan. Speaking on his company’s Q1 2025 earnings call last week, Narasimhan said the MFN rule “would be devastating to the industry.”

This sentiment was backed up by a new report from No Patient Left Behind arguing that these nations are getting a free ride on U.S. innovation, with value assessments used in countries like Canada and Germany undervaluing innovative medicines by as much as 90%. Indeed, some executives of European pharmas have been pushing for price increases there to incentivize innovation.

“We’re not going to litigate the benefits and drawbacks of the U.S. approach to paying for pharmaceuticals, but generally we believe that countries outside the U.S. pay too little for innovative medicines vs. the U.S. paying too much,” BMO said.

But while Trump failed in the past to push the MFN rule through, the BMO group thinks that this time around, the policy could stick.

And of course, at this point, we don’t even know for sure what the proposal will be. White House Press Secretary Karoline Leavitt foreshadowed the executive order again on Wednesday. “The President will make a big and historic announcement on Monday. Until then, everyone can keep guessing!”

Barrage of Assaults

In addition to the pending drug pricing policy, BMO noted the nomination of wellness influencer, vaccine skeptic and Robert F. Kennedy Jr. ally Casey Means as Surgeon General.

“Experience is paramount; she is not a licensed medical doctor,” the BMO group stated in an investor note early Friday morning. While Means would not have authority over drug approvals directly, she could influence public health, BMO said.

Outside of drug pricing and the Surgeon General, the FDA continues to be in upheaval, with reports this week that an approval for GSK’s Nucala has been delayed. This follows missed target decision dates last month for Novavax’s COVID-19 vaccine and Stealth BioTherapeutics’ Barth Syndrome drug. The loss of some 3,500 FDA staffers could be to blame, former officials and analysts have speculated.

And there is, of course, the continued speculation over tariffs. Trump also hinted on Monday that a proposal could come in the next two weeks.

“Thankfully it’s Friday, as we’re all exhausted with the assault of seemingly bad news for the sector,” BMO wrote.

So rest up over the weekend, biopharma folks. Come Monday, we’re likely in for another tense week.

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