As China embraces AI, only 24% of US pharma execs bet on it for drug-making

The real story here is not that AI is failing in drug discovery, but that the industry is realistic about its limitations. While 72 percent of companies are scaling AI in R&D, only 24 percent of US pharma executives expect a significant improvement in drug success probability. This suggests that while AI can accelerate discovery, human expertise in clinical judgment remains critical. For Asian markets, this points to a need for continued investment in both AI capabilities and skilled human talent in biotech and pharma. The region's growing pharmaceutical sector, particularly in China, stands to benefit from AI-driven efficiency, but must also address the bottlenecks of human biology and clinical execution. Our view is that the US$26 billion in potential cost savings from AI-powered drug discovery is a strong incentive, but companies should focus on integrating AI as an accelerant rather than a standalone solution. The challenge for Asian companies will be to translate AI's speed into tangible profits and patient benefits, as noted by John Yung of Citi. This requires a nuanced approach that combines AI's data processing power with deep human biological and clinical understanding.