According to a recent survey by Arthur D. Little and the Karlsruhe Institute of Technology (“Impact of Digital Health on the Pharmaceutical Industry”, 2014), by 2020, the business model of the Pharmaceutical Industry will be reshaped by Digital Health. Personalized Medicine will be increasingly driven by these novel Digital Health solutions. These developments transform existing value chains and create new ones. Digital Health solutions, therefore, will be the key driving force for advancing Personalized Medicine and the reconfiguration of the pharma value chain towards a Health Economy 4.0 approach.
At present, the Digital Health sector is largely dominated by US companies, including big players like Google, Apple, Amazon and IBM Health complemented by a rapidly growing and well-funded start-up sector. A recent study performed by RockHealth confirms a growing interest investors have in this emerging sector, and indicates that “Digital health funding in 2014 exceeded $4.1 billion, a total greater than that of the past three years combined. The $4.1 billion total represents a growth of 124 percent over last year’s investment total.”
What challenges are to overcome
The most relevant value chain challenges are:
· Data gathering and exchange: access to broad and complete data in real time
· Big Data Analytics & Machine Learning: actionable insights from massive data sets
· Regulatory compliance of novel data storage and mining solutions
How can European pharma companies keep the pace?
The EU Horizon 2020-project PERMIDES supports European biopharma companies to become more digital. Thereby Europe can build on active innovation milieus in Personalized Medicine and ICT as represented in the PERMIDES cross-sectoral consortium and other differentiating factors like public health care systems, clinical biobanks, and national health registries (especially in the Nordic countries). PERMIDES will strengthen industrial leadership in the EU and Associated Countries by making biopharma SMEs in the field of Personalized Medicine more competitive through a better integration of state-of-the-art IT solutions in their processes and products. Currently, this sector is lagging in the knowledge and integration of solutions that constitute digital enterprises. Advancing biopharma companies into digital enterprises holds considerable innovation potential, and this is what the PERMIDES activities will unleash.
Find out more about the funding opportunities for biopharma SMEs at : http://permides.eu/