Yet another entry in our "going to the dogs" series, the New York Times article Start-Ups Work on Biotech Drugs for Pets covers the growing number of companies developing drugs for pets.
It’s a new example of pack behavior: Entrepreneurs with pedigrees from companies like Genentech and Amgen are now turning their attention to pets. They hope to develop innovative drugs for dogs and cats like those that have revolutionized the treatment of diseases like cancer and arthritis in people.
The reason for this rush to develop pet drugs? Pet humanization, of course:
The new companies say the time is right because people increasingly view pets as members of the family and are willing to spend thousands of dollars to treat a sick animal. Pets already can get chemotherapy, knee surgery and transplants.
Drug companies have long produced drugs or animals. According to the Animal Health Institute animal pharma is a $7+ billion plus industry.
Most of this revenue comes from drugs for farm animals. But going forward the expectation is pets will generate a growing share of industry revenue.
This is leading to increasing R&D spend, as shown by the Animal Health Institute chart below.