- Biopharma R&D funding reached $102 billion in 2024, marking a significant increase from $71 billion in 2023.
- Clinical trial starts stabilized at 5,318 in 2024, returning to pre-pandemic levels.
- 65 novel active substances were launched globally, including breakthroughs in schizophrenia and rare neurological diseases.
The latest IQVIA Institute report reveals significant advancements in biopharmaceutical research and development (R&D) throughout 2024. The year recorded an impressive $102 billion in funding, marking a 10-year high and a substantial increase from the $71 billion seen in 2023, excluding pandemic-related peaks.
Clinical trial activity demonstrated robust recovery, with the number of trials initiated in 2024 totaling 5,318, closely mirroring the pre-pandemic count of 5,316 observed in 2019. This stabilization in trial starts reflects a return to normalcy after the volatility introduced by the COVID-19 pandemic.
A total of 65 novel active substances were launched globally in 2024, though this represents a decrease from 80 in 2023, it remains above pre-pandemic levels. Among these were pioneering treatments including the first new mechanism of action for schizophrenia in over 30 years, and the first therapy for metabolic dysfunction-associated steatohepatitis (MASH).
The report also highlights improvements in clinical development productivity, notably the increase in Phase III trial success rates. However, it notes a decline in success for Phase I and Phase II trials. Moreover, inter-trial intervals improved significantly, reducing to 17 months from the 32-month peak observed in 2022 amid the pandemic.
Amidst rising economic and geopolitical challenges, companies have adopted productivity enablers such as decision frameworks, clinical technologies, and artificial intelligence to enhance R&D processes. These measures are vital for navigating a complex global landscape and are instrumental in driving forward the life sciences innovation ecosystem.
IQVIA (IQV, Financial) continues to leverage its comprehensive data and analytics capabilities to support these developments, underscoring its commitment to advancing human health and improving patient outcomes worldwide.
