Lilly(US:LLY) Di Yi Cai Jing·2025-11-09 05:04Core Viewpoint - Multinational pharmaceutical companies are reshaping their R&D models in China, focusing on open innovation to enhance efficiency and collaboration in drug development [1][3]. Group 1: Company Strategies - Eli Lilly has established its second innovation incubator in China, marking a significant step in its external innovation strategy [1]. - The company has three external innovation engines operational in China, including venture capital and innovation cooperation centers, indicating a comprehensive acceleration of its innovation strategy in the region [1]. - Other multinational companies, such as Roche, are also investing heavily in China, with Roche's accelerator involving over 10 early-stage R&D collaborations [1]. Group 2: Industry Trends - The average time for a new drug to move from the lab to patients is over 10 years, with oncology drugs costing around $2.3 billion to develop, highlighting the industry's long cycles and high costs [2]. - The success rate for oncology drugs from early development to approval is below 5%, emphasizing the challenges faced by pharmaceutical companies [2]. - The rise of local R&D capabilities in China is prompting multinational companies to engage more actively in early clinical research and collaborations with Chinese experts [3]. Group 3: Regional Development - The Zhangjiang area in Shanghai has become a leading hub for the biopharmaceutical industry, recognized for its complete industry chain, talent concentration, and innovative environment [4]. - Eli Lilly's strategic focus on China reflects the country's growing importance as a source of global innovation in the biopharmaceutical sector [4].