The State of the Life Sciences
New Health Economy
The U.S. Life Sciences industry has been under many different pressures: in the forms of cost, government regulations, and operational barriers. These challenges are called the New Health Economy, which also includes hospital consolidation (intended for efficiency gains), changing demands and expectations of patients, and increasing calls for price reforms. This has pushed many industry towards collaboration amongst one another as well as a more consumer-facing industry.
Emphasis on personalized treatments that can benefit individuals – flexible and interactive.
Costs are rising as geographic clusters form in expensive areas like the Bay Area and Boston.
Inventions, insurance rates, pandemics – all of these can drastically change the future of the industry.
Companies can range from inventing a VR program to cure lazy eye to writing an app that gives the user a daily incentive to exercise/take medicine/rest regularly through lotteries to sequencing your genome for diseases, but as mentioned in the above, they are often companies that focus on individualized medicines made possible through data analytics and relating technologies.
Pharmas are focusing on using enterprise analytics and data sciences to influence their business decisions like much of the non-pharma biotech companies. As medical records are made electronic, the imaging become progressively higher quality and genome information becomes widely available, these companies take in the large data sets to help with drug development.
Currently, some physicians feel that the industry is pressuring them to leave their current practices for larger groups or the hospital system. The shift in our healthcare and insurance system is producing a lot of unnecessary paper work for private practices, so that they have to employ and spend a large amount of resources to combat this problem if they do not conform and merge into these bigger systems.