Jacob Kimmel

Is that human?

I don't know.

It depends on how you actually quantify these things.

So then if you're going to go ask the leaders of some of the traditional pharmaceutical firms, like are you trying to build a general model?

I think some of them have in-house like AI innovation teams that are working on this.

They're really smart people there.

But I think as a general trend, I think you can think about some of the modern pharmas a bit like venture capital firms where they've over time externalized a lot of their R&D.

And so they often have divisions of external innovation, which you can kind of think of as like the corp dev version of venture capital.

They work with the biotech ecosystem to have a number of smaller, nimble firms explore really pioneer ideas, like the types of things we're working on.

And then eventually partner with them once they have assets that are later downstream.

And so I think the industry has sort of bifurcated where smaller biotechs like ours take on most of the early discovery.

The stat I'm going to get a little bit wrong from memory, but it's something like 70% of molecules approved in a given year come from originally small biotechs rather than large pharmas.

Even though you look at the actual like dollars of R&D spend on the balance sheet and it's like largely in big pharma.

Another level of disintermediation.

Another disintermediation.

And part of the reason for that difference in cost is they're running most of the trials.

Most people partner with pharma to run trials where a lot of the costs are incurred.

So it's not just that like, oh, all large farmers are horribly inefficient or anything like that.

Yeah.

And so I think some of them would tell you, like, these ideas are really exciting.