Can New Funding Models Support Next-Generation Medicines?

The American Association of Pharmaceutical Scientists (AAPS) will begin its 2025 PharmSci 360 conference in San Antonio, Texas, with a focus on how financing decisions influence the future of therapeutic development, particularly as new modalities and emerging technologies gain ground in the bio/pharmaceutical arena. The event, to be held on November 9–12, is expected to draw thousands of researchers and industry professionals who are exploring the scientific and operational factors shaping future therapies (1).

Richard Thakor, PhD, associate professor of finance at the Carlson School of Management, University of Minnesota, will deliver the opening plenary on November 9. His session will examine the economics driving innovative therapeutic development, with a focus on the rising complexity and cost of manufacturing advanced modalities. His talk will also explore how these developments relate to improving access to medicines in lower-resource regions.

This keynote continues a discussion that began during the 2025 National Biotechnology Conference, where Andrew Lo, PhD, an economist from MIT Sloan School of Management, addressed similar financing challenges and risk-sharing models. That presentation remains available online through AAPS Science 360 for attendees seeking continuity leading into the upcoming discussion (1).

“Many of the attendees are either involved in developing therapeutics using new modalities or planning to move into this burgeoning sector,” said Mei He, PhD, chair of the 2025 PharmSci 360 Scientific Programming Committee, in a company press release (1). Dr. He gave a preview of the program sessions in an interview with the Pharmaceutical Technology® Group ahead of the conference (2).

“This session will offer insights into the economics driving this critical area in a time of rapid and evolving changes," Dr. He stated in the release (1).

How will investment strategies influence new therapeutic modalities?

Bio/pharmaceutical companies are expanding pipelines that include cell therapies, gene editing technologies, and targeted biologics, each carrying unique development and scale-up demands. Financing approaches can directly influence research direction, regulatory timelines, and the resilience of supply chains (3,4). AAPS stated in the release that sessions like the opening keynote aim to help drug developers better assess funding risks tied to these modalities (1).

Dr. Thakor is also scheduled to join the executive session, “Molecule to Milestone: IND-Enabling Strategy for Pharma Leaders,” on November 10, in which panelists will discuss how to align scientific milestones with realistic business strategies.

How is AI transforming drug development economics?

Industry analysts note that the rapid adoption of artificial intelligence (AI) across discovery, manufacturing optimization, and quality control could shift cost structures (5). PharmSci 360 will also feature multiple sessions on responsible integration of AI and digital tools, reflecting growing investment in automation and data-driven decision-making. These discussions support a broader conference theme: ensuring that technological progress remains economically viable (1).

How can industry support global access to emerging technologies?

AAPS’s programming emphasizes the importance of equitable access alongside innovation. Key sessions will address the challenges of delivering advanced therapeutics to developing countries, where economic barriers often delay treatment availability (6). Understanding financing mechanisms could help ensure that therapeutics derived from new technologies reach more patients worldwide (7).

Both the opening and closing plenary speeches will feature renowned scientists, which is intended to foster high-level discourse on research philosophy, scientific trends, and future directions, Dr. He noted in her interview. The conference is further expanding engagement with hot-topic sessions and spotlight speakers and encourages greater inclusivity and participation from top experts (2).

References

1. AAPS. AAPS PharmSci 360 Opening Session Examines Drug Development Financing. Press Release. Nov. 6, 2025.
2. Mirasol, F. 2025 AAPS PharmSci 360 to Showcase Essential AI Integration and Emerging Technologies. BioPharmInternational.com. Nov. 5, 2025.
3. Grand View Research. Cell & Gene Therapy Clinical Trials: Current Dynamics & Pipeline Outlook. Market Research Report. 2025.
4. Labcorp. Cell & Gene Therapy Answers: The Evolving Cell & Gene Therapy Landscape. labcorp.com, Aug. 5, 2021.
5. Huanbutta, K.; Burapapadh, K.; Kraisit, P.; et al. Artificial Intelligence-Driven Pharmaceutical Industry: A Paradigm Shift in Drug Discovery, Formulation Development, Manufacturing, Quality Control, and Post-Market Surveillance. Eur. J. Pharm. Sci. 2024, 203, 106938. DOI: 10.1016/j.ejps.2024.106938
6. AAPS. Full Schedule. aaps2025.eventscribe.net/agenda (accessed Nov. 7, 2025).
7. Kang, S-K.; Lee, B.; Gupta, R.; et al. Research and Development Financing Models for New Biopharmaceuticals in the United States. Health Affairs Scholar 2025, 3 (8), qxaf161. DOI: 10.1093/haschl/qxaf161