Improving clinical trials: the most expensive part of drug development
According to the Tufts Center for the Study of Drug Development, the cost of developing one drug, from preclinical testing to market approval, is at an estimated $2.6B, with clinical trials being the most expensive part. The Phesi database reveals that patient recruitment difficulties are responsible for 57% of failed Phase II trials and 54% of failed Phase III trials.
Startups developing patient recruitment & clinical trial software are helping to simplify and optimize the testing process of new drugs, vaccines, and medical devices by providing decentralized clinical trials execution. In 2021 alone, these startups raised $1.2B, up from $597M, in 2019 before the pandemic started.
It’s possible to avoid substantial costs in clinical trials by relying on mobile tech. Researchers can collect data more effectively, improve patient compliance, ensure greater diversity in the participants, and improve engagement among clinical staff and volunteers. While tools, like telehealth and other platforms, provide direct communications between researchers and patients.
It’s important to mention that decentralized clinical trials are far from becoming the norm. “(We’re) not saying that the entire pharma industry has now adopted the set of decentralized trials,” explained Derk Arts, Founder and CEO of Castor, “But just looking for solutions to solve this problem with a pandemic, everyone hopes that some of it will stick after. We just need to work very hard to make sure that we keep all of this innovation after the pandemic is under control.” (Read the full interview here).
📱Phone vibration tool detects how well blood will clot. This test can determine how well blood will clot using only a single drop of blood and a smartphone vibration motor and camera. Many patients have to be tested frequently (either at a clinic laboratory or use a costly at-home testing system) to make sure their blood is in the correct range. It is not made for commercial use yet, but it is a valid proof of concept that patients might soon be able to use an at-home lab test for this purpose.
🍄 Psilocybin therapy eases depression for up to a year. The substantial antidepressant effects of psilocybin-assisted therapy, alongside supportive psychotherapy, may last at least a year for some patients, research finds.
🇺🇸 Kallyope, a biotech company focused on identifying and developing therapeutics involving the gut-brain axis, raised $236M in Series D.
🇺🇸 Ro Health raised $150M at a $7B valuation. Alongside the funding news, Ro announced the launch of its own digital skincare clinic, Ro Derm, designed to provide customized dermatology telehealth visits and treatments.
🇺🇸 Equip Health, a virtual evidence-based eating disorder treatment, raised $58M in Series B. Equip’s care model is rooted in Family-Based Treatment – which recognizes eating disorders as brain disorders that require comprehensive support to fully heal – and is built by a powerful combination of clinical and lived experience.
Other notable deals from around the globe:
🇩🇪Ada Health, a digital health company that helps to diagnose symptoms and offer treatment advice using an AI-enabled platform, raised $30M in an extension to its Series B (reached $120M in total).
🇬🇧 Qumata, an insurance technology company based in London and Hong Kong, raised $13M more in its extended Series A (reached $23M in total).
🇩🇪Climedo Health, digital platform for decentralized clinical trials, raised €5M in Seed.
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