Drug discovery is a high-cost, high-risk endeavor that is under growing pressure from a market increasingly defined by first-mover advantage. Since the 1950s, the cost of developing new pharmaceuticals has roughly doubled every nine years—a phenomenon known as Eroom’s Law . Today, bringing a new drug to market takes an average of 10-15 years and costs anywhere from $1 billion to $2.5 billion , with failure rates upward of 90%.

AI has become the pharmaceutical industry’s biggest bet on bringing success rates up and timelines down. The faster drug companies can identify, test, and optimize new chemical compounds, the lower the risk of costly failures later in development. “The main cost in drug discovery is still the clinical phase, so trying to reduce risk and increase your success rates there is obviously hugely beneficial,” says Paul Belcher, director of protein research strategy at global life sciences company Cytiva.

“AI is one approach that drug companies hope will not only save time and compress timelines, but enable better quality candidates to reach the clinic.” Early use of AI in drug discovery shows potential, but also highlights the need for robust and authentic data, as well as integration in lab systems. AI brings efficiency to the lab One of the most promising early-stage applications of AI in drug discovery is in hit identification. This involves screening libraries of molecular entities against a disease-related target, such as a protein, to find molecules that bind to it.

A successful hit gives researchers a starting point for further testing and refinement, with the aim of eventually developing a viable drug. Belcher has seen a shift from empirical screening to predictive design: Instead of physically screening libraries, drug companies are now using AI to design drug candidates from scratch and predict how they will interact with disease targets before committing anything to research and development (R&D). This means companies are no longer limited by how much they can physically screen to identify starting points.

“AI does away with that,” says Belcher. “And it can help eliminate low-quality candidates before you have to physically test them, saving time and resources.” What AI can’t do yet is reliably predict kinetics or developability of new compounds, says Belcher. This means every AI-generated candidate still needs to be validated in the lab.

Traditional screening workflows were built to identify hits at scale, not to profile large numbers of complex candidates in detail. This is placing more pressure on lab teams, who now have to test, characterize, and purify a growing volume of more diverse, AI-generated compounds. “The current techniques used in hit identification can screen hundreds of thousands, sometimes millions of compounds, using binary or threshold-based techniques producing low-fidelity data—yes-or-no responses,” Belcher explains.

“AI can increase the number of hits you get and potentially give you better quality hits as well. That increases demand for higher-throughput, information-rich technologies to then validate and characterize those hits.” Models need complete, quality data As AI has accelerated demand for data-rich lab systems, it has also highlighted a fundamental need for better, more complete data.