Major breakthrough in cancer treatment? Pharmaceutical companies invest billions of dollars, competing to bet on targeted radiotherapy

Major breakthrough in cancer treatment, pharmaceutical giants are betting on direct radiation therapy for tumors.

Large pharmaceutical companies like Pfizer, AstraZeneca, and Eli Lilly have invested approximately $10 billion in acquiring or partnering with manufacturers of radiopharmaceuticals.

The core of this treatment method is to precisely deliver radiation to cancer cells using drugs, where radioactive substances are combined with targeting molecules that can accurately locate cancer cells, directly treating the tumor with radiation. In theory, radiopharmaceuticals can be used to treat various types of cancer, as long as specific molecules or proteins (targeting molecules) that exist only on cancer cells can be identified to avoid harming healthy cells in other parts of the body.

Radiopharmaceutical technology is still in its early stages, but it has tremendous market potential. Guggenheim Securities analyst Michael Schmidt pointed out that any company with a business in oncology may need to enter this field to ensure they are not left behind in the future.

If this technology is limited to treating a few cancers, such as prostate cancer and neuroendocrine tumors, market revenue could reach $5 billion. If it proves effective for more cancers, revenue could reach hundreds of billions of dollars. However, these drugs may be used to treat multiple cancers, making it difficult to estimate the total size of this market.

Pharmaceutical Giants Investing Heavily in New Cancer Technologies

Proving the scientific and commercial feasibility of this radiopharmaceutical technology has taken a long time, with the first batch of radiopharmaceuticals approved in the early 2000s, but major pharmaceutical companies have only recently shown interest in it.

Swiss pharmaceutical giant Novartis is a pioneer in this field, having launched Lutathera for treating pancreatic and gastrointestinal cancers and Pluvicto for treating prostate cancer, with more drugs in development. It is estimated that by 2027, sales of these two drugs will reach approximately $4 billion.

Novartis' success in the field of radiopharmaceuticals has sparked industry interest, prompting companies like Eli Lilly and Pfizer to join the competition. Lilly acquired Point Biopharma for $1.4 billion, emphasizing manufacturing capability as a key factor in screening partners to ensure drug production is not dependent on outsourcing.

Similarly, when Pfizer acquired RayzeBio for $4.1 billion, manufacturing capability was also a key consideration. These companies are all working to ensure supply chain and in-house production capabilities to control their future fate.

High Manufacturing Difficulty and Logistics Complexity

However, radiopharmaceuticals face two major challenges, namely high manufacturing difficulty and high logistics complexity. Due to the rapid decay of radioactive substances, precise logistics and strict time management are required for the manufacturing and distribution of drugs to ensure they reach patients before the radiation intensity decreases. Patients need to receive treatment within a few days after drug production.

Novartis has invested over $300 million to expand production facilities in the United States to ensure drugs like Pluvicto can be delivered quickly to patients. Each dose of the drug is equipped with a GPS tracker to ensure timely delivery. Novartis also transports drugs by car to destinations within a nine-hour drive from the factory to reduce risks from unexpected situations like weather Doctors and patients can also feel the complexity of this process when receiving these medications. For example, medical institutions need to upgrade their licenses to use Lutathera and Pluvicto for patients. Patients need to make appointments in advance because once these medications are prepared, they will start to decay with a very short shelf life.

A real-life example is prostate cancer patient Coy, a retired firefighter, who has to drive over an hour through northern New York to Bassett Hospital for Pluvicto treatment. So far, Coy has not encountered any issues, but he is concerned that between now and January next year, there may be a snowstorm affecting his journey to the hospital. After treatment, Coy also needs to take some precautions when he returns home, such as staying away from his wife to prevent her from being exposed to radiation. He also drinks more water to help his body eliminate excess radiation.

Despite these minor inconveniences lasting a few days, Coy doesn't mind because he has undergone various prostate cancer treatments for nearly a decade, with cancer spreading to his bones. Earlier this year, after receiving a Pluvicto treatment, blood tests showed a significant decrease in his cancer levels.

Looking ahead, although radioactive drug technology is still in its early stages, major pharmaceutical companies are not willing to wait and are eager to participate in the competition of radioactive drugs. Stories like Coy's make them believe that this work will eventually pay off