1. Bio-IT Workshop: Positioning Your Firm. January 21, 2003 Understanding the Intersection Between Information Technology and the Life Sciences The Terrain Bob Royce VP Business Development

2. Bio-IT Workshop: Positioning Your Firm. January 21, 2003 I want to conquer death! I dont want to be sick!

3. Bio-IT Workshop: Positioning Your Firm. January 21, 2003 What is Bio-IT? Information Technology Life Sciences

4. Bio-IT Workshop: Positioning Your Firm. January 21, 2003 Biology is an information science Leroy Hood, Michigan Life Science Core Technology Alliance Inauguration In vivoIn silico

5. Bio-IT Workshop: Positioning Your Firm. January 21, 2003 the language of biology is sounding increasingly like the language of systems engineering 103 of 341 MIT engineering school faculty use the term bio to describe the nature of their research. Systems Biology at MIT: Its All Over the Place By Adrienne Burke, Genome Technology editor-in-chief CAMBRIDGE, Mass., Jan. 9 MIT President Chuck Vest

6. Bio-IT Workshop: Positioning Your Firm. January 21, 2003 Design Analysis Optimization/ Archive Hypothesis -> Experiment Scientific Process Information DNA Biological Function Genotype -> Phenotype Biological Information

7. Bio-IT Workshop: Positioning Your Firm. January 21, 2003 DNA: Where it all starts AdenineThymine GuanineCytosine The ultimate compression algorithm A 4 letter code, 3 billion letters long… … contains the recipe for building you and me

8. Bio-IT Workshop: Positioning Your Firm. January 21, 2003 Genomics to Proteomics Computational Chemistry and Protein Folding Homology Modeling Bioinformatics Sequence Analysis Chemical DBs, Combinatorial Chemistry, Docking studies

9. Bio-IT Workshop: Positioning Your Firm. January 21, 2003 From Genotype to Phenotype

10. Bio-IT Workshop: Positioning Your Firm. January 21, 2003 Complex, Deeply Nested Layers of Data

11. Bio-IT Workshop: Positioning Your Firm. January 21, 2003 All this Produces an Information Explosion

12. Bio-IT Workshop: Positioning Your Firm. January 21, 2003 Partnerships/ Collaborations Internal Public Data Domain Data Type Past StaticDynamic moderate control of data format high level of control of data format Future Present no direct control of data format …That must be managed in a both a Public and Private Context

13. Bio-IT Workshop: Positioning Your Firm. January 21, 2003

14. There does seem to be a disconnect between the value proposition and what is offered, In 50 percent of the interactions that I have with vendors, they say, We have a great technology that can help you…. Now tell me about drug discovery Rainer Fuchs, vice president of research informatics at Biogen Shawn Ramer, vice president of R&D informatics at Bristol-Myers Squibb

15. Bio-IT Workshop: Positioning Your Firm. January 21, 2003 Pharmaceutical R&D $800 M Fully Capitalized Cost to develop $350 M Sales Avg. per year Blockbusters (>$1B) Carry the rest...e.g. Lipitor

16. Bio-IT Workshop: Positioning Your Firm. January 21, 2003 Pharmaceutical R&D

17. Bio-IT Workshop: Positioning Your Firm. January 21, 2003 Conclusion Current focus is on applied technology… –Must understand the drug discovery process. Complexity of industry should not be underestimated –Pace of discovery and innovation is staggering –Partnerships and alliances are key Nobody has the right model…. –Everybody knows they need new ways to solve the problem –Fragmentation in solution space makes it difficult to get economies of scale for technology development But the goal is noble and the prize is large!