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The Market for Lead Optimization Tools and Services: Applying the new "-omics" to enhance drug discovery

The process of creating a new drug is lengthy and complex. From discovery to development to market, there are numerous pitfalls. In this report, Kalorama focuses on one of the trickiest yet also most promising areas: the interface between discovery and development known as lead optimization.

The pressure is on: get better lead compounds faster and at less cost. The amount of money wasted on leads that fail is excessive. And the attrition rate to get a lead is huge. One estimate is that for every 100,000 compounds screened, about 100 hits are identified. Of these 100 hits, only one makes it to the lead compound stage. Between 40% and 60% of these lead compounds fail ADMET testing. Only 10% of IND submissions get approved. Over 72% of the costs for drug development are wasted on failures.

Three years ago, industry experts were saying that something radically different needs to happen, that the whole drug discovery process needs to be re-engineered. Today, the solutions are beginning to emerge: new assays, new computer models, better libraries, and high-throughput screening for ADMET characteristics. Early ADMET is now in the development stage, and improvements are coming rapidly from many directions. Researchers are now getting the tools to assess ADMET earlier in the discovery process.

The market for these tools and for lead optimization services is growing rapidly. This fact, in addition to overwhelming interest in the lead optimization areas of Kalorama Information’s May 2003 report Outsourcing in Drug Discovery, caused us to take a deeper look at this exciting area of research.


Study Objectives
This report was undertaken with the following objectives in mind:

  • Understand the role LeadOpt plays in drug discovery:
  • Survey and detail the technologies and tools used in LeadOpt
  • Explore the market for outsourced LeadOpt services
  • Describe the market for tools used in LeadOpt
  • Present customers’ approaches to LeadOpt: both biotech and pharma views
  • Profile leading suppliers of LeadOpt tools & services
  • Describe what to expect regarding the future of LeadOpt.

Report Structure
The report is organized into eight chapters. After an Executive Summary, Chapter 2 looks at the technologies applied to LeadOpt—ADMET and the various ‘-omics’ disciplines (genomics, proteomics, transcriptomics, metabolomics, toxicogenomics, etc.) and where they fit into the picture.

Chapters 3 and 4 look at the dual markets in LeadOpt, tools and services, respectively. Each chapter reviews the key players, products, and markets for that segment.

Chapter 5 explores how pharmas and biotechs approach LeadOpt. Based on in-depth interviews, this chapter provides valuable insights into how suppliers are selected and what companies need to do to attract this business. The future of LeadOpt is considered in Chapter 6. This identifies customer needs, opportunities, and what directions suppliers are likely to take to meet these needs.

Chapter 7 provides profiles of 40 companies serving the LeadOpt market: 20 tool suppliers and 20 service suppliers. They were selected to provide a cross-section of the types of company, products, and services being offered. A directory of over 100 companies involved in LeadOpt may be found in the Appendix.

  • Executive Summary
    • Understanding Drug Discovery
    • Role Of Lead Optimization
    • Leadopt Service Suppliers
    • Leadopt Tools Suppliers
    • Report Objectives & Structure
    • Summary Of Major Findings
      • Significance Of Leadopt
      • Role Of In Vitro Admet
      • Role Of "-Omics" In Leadopt
      • Leadopt Tool Markets
      • Leadopt Service Markets
      • Leadopt Suppliers
      • Future Of Leadopt
        • Table Market Summary For Leadopt Tools & Services 2003
        • Table Market Leaders In Leadopt Tools & Services 2003
        • Table Markets For Leadopt Tools & Services 2007
  • Admet, Sar, And "-Omics"
    • Understanding Adme
    • Toxicity
    • Structure Activity Relationships (Sar)
    • All About "-Omics"
      • Table "-Omics" Definitions
      • Genomics
      • Metabolomics
      • Pharmacogenomics
      • Proteomics
      • Toxicogenomics
  • Markets For Lead Optimization Tools
    • In Vitro Assays
      • In Vitro Assays And Systems
      • In Vitro Assay Market Size & Growth
        • Table Market Size & Growth For In Vitro Assays 2003-2007
    • In Silico Approaches
      • Examples Of In Silico Products
      • In Silico Market Size & Growth
        • Table Market Size & Growth For In-Silico Tools 2003-2007
    • In Vivo Models
      • Examples Of In Vivo Products
      • In Vivo Market Size & Growth
        • Table Market Size & Growth For In-Vivo Models 2003-2007
    • Compound Synthesis
      • Traditional Synthesis Methods
      • Microwave Assisted Synthesis
      • Compound Synthesis Market Size & Growth
        • Table Market Size & Growth For Compound Synthesis 2003-2007
        • Table Lead Optimization Tools Market Summary 2003-2007
  • Markets For Lead Optimization Services
    • Admet Services
      • Description
        • Table Characteristics Of Traditional Vs. Early Admet
      • Market Segments
      • Admet Tests Performed
      • Admet Services Market Size & Growth
        • Table Market Size And Growth For Admet Services 2002-2007
    • In Silico Services
      • In Silico Services Market Size & Growth
        • Table Market Size And Growth For In-Silico Services 2002-2007
    • In Vivo Animal Testing
      • In Vivo Service Market Size & Growth
        • Table Market Size And Growth For In Vivo Services 2002-2007
    • Compound Synthesis Services
      • Compound Synthesis Service Market Size & Growth
        • Table Market Size And Growth For Compound Synthesis 2002-2007
        • Table Summary Of Total Leadopt Service Markets And Growth 2003-2007
        • Table Percentage Of Lead Optimization Services Outsourced 2003-2007
  • Customers For Lead Optimization
    • Big Pharma Approaches To Leadopt
    • Biotechs' Approaches To Leadopt
      • Biotech Service Suppliers
      • Biotech Performers
      • Biotech Customers
      • Others
    • Supplier Selection
  • Future Of Lead Optimization
    • Changes In The Market
    • What Customers Want
    • Hot Product Opportunities
      • In-Vitro Assays
      • In-Silico Approaches
      • In-Vivo Methods
      • Compound Synthesis
  • Suppliers
    • Service Suppliers
      • Broad-Based Services
      • Drug Discovery Services
      • Adme And Specialty Services
    • Service Provider Profiles
      • Table Summary Of Top Suppliers Of Leadopt Services
      • Absorption Systems
      • Albany Molecular Research Inc.
      • Amedis Pharmaceuticals
      • Argenta Discovery Ltd.
      • Arqule
      • Biofocus Plc
      • Cerep
      • Comgenex
      • Curagen
      • Discovery Partners International
      • Entelos, Inc.
      • Evotec Oai
      • Gene Logic
      • Inpharmatica
      • In Vitro Technologies
      • Millennium
      • Nikem Research
      • Noab Biodiscoveries
      • Pharmacopeia
      • Quintiles Transnational
    • Tools Suppliers
      • In-Vitro Systems
      • In-Vitro Assays
      • In-Silico Approaches
      • In-Vivo Models
      • Compound Synthesis
        • Table Summary Of Top Suppliers Of Leadopt Tools
    • Amersham Biosciences
      • Company Focus
      • Financials
      • Leadopt Products
    • Beckman Coulter
      • Cellomics Alliance
      • Financials
      • Drug Discovery Products
    • Biacore Ab
      • Company Focus:
      • Financials
      • Leadopt Products
    • Bio-Rad Laboratories
      • Company Structure & Focus
      • Financials
      • Informatics Product
    • Charles River Laboratories
      • Company Focus
      • Charles River Proteomic Services (Crps)
      • Financials
      • Metabolism & Pharmacokinetics
    • Deltagen
      • Company Focus
      • Financials: From Rapid Growth To Bankruptcy
      • Dd Products
    • Exonhit Therapeutics
      • Company Focus
      • Financials
      • Discovery And Leadopt Products
    • Genolife
      • Company Focus
      • Genotoxicity Products & Services
    • Iconix Pharmaceuticals
      • Company Focus:
      • Drugmatrix For Toxicogenomics
      • Iconix Therapeutic Products
    • Invitrogen / Panvera
      • Invitrogen's Strategy & Focus
      • Financials
      • Panvera History, Focus, Products
    • Lion Bioscience Ag
      • Company Focus
      • Financials
      • Drug Discovery Software
    • Mdl Information Systems
      • Company History & Focus
      • Information Systems Product Line
      • Products For Leadopt
    • Personal Chemistry
      • Company Focus
      • Financials
      • Coherent Synthesis
      • Products & Services
    • Phase-1 Molecular Toxicology, Inc.
      • Company Focus
      • Products & Services
      • Customers & Alliances
    • Pion
      • Company Focus
      • Pion And Pampa
      • Products For Adme
    • Promega
      • Company Focus
      • Cell Research Products
    • Simulations Plus
      • Company History & Focus
      • Financials
      • Adme Software
    • Tecan U.S.
      • Tecan Group History & Focus
      • Financials
      • Automated Admet Systems
    • Tripos
      • Company Focus
      • Financials
      • Discovery Software And Research
    • Xceleron
      • Company History & Focus
      • Technologies And Applications
      • Microdosing Strategies & Services
        • Table Summary Of Other Suppliers - Part 1
        • Table Summary Of Other Suppliers - Part 2
  • Company Directory

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