CytoReason Secures $80M from OurCrowd, NVIDIA, Pfizer, and Thermo Fisher Scientific to Scale Its AI Disease Models and Establish US Hub in Cambridge, Massachusetts
CytoReason, a leader in computational disease modeling, has secured $80 million in funding from OurCrowd, NVIDIA, Pfizer, and Thermo Fisher Scientific. The investment will be used to expand disease models, grow proprietary data, and establish a US hub in Cambridge, Massachusetts. CytoReason's technology provides molecular-level insights and AI tools to help pharma companies make data-driven R&D decisions, improving the probability of phase 2 success.
The company has partnerships with six of the world's top ten pharma companies and has published numerous scientific articles in prestigious journals. This funding round highlights the growing importance of AI and data modeling in pharmaceutical R&D, with investors recognizing CytoReason's potential to revolutionize drug development processes.
- Secured $80 million in funding from major industry players
- Partnerships with six of the world's top ten pharma companies
- Expansion into additional disease indications and CNS-related diseases
- Establishment of a new office in Cambridge, Massachusetts
- Published 20 peer-reviewed articles in 16 journals in 2023
- 10x acceleration for inference workloads using NVIDIA's AI platforms
- None.
Insights
The infusion of
CytoReason intends to utilize the funds to scale its disease modeling capabilities and expand its proprietary data. This strategic use of capital is likely to improve the company's competitive edge in the AI-driven healthcare space. Moreover, the establishment of a US hub in Cambridge could provide strategic advantages, including proximity to leading research institutions and potential collaborations.
For investors, it’s important to consider both the short-term and long-term implications. The expansion could accelerate revenue growth and market share capture in the short term. Long-term benefits might include sustained leadership in AI-driven R&D, which could attract further investments or acquisitions.
While the funding is a positive signal, investors should remain cautious of potential dilution of equity and the need for CytoReason to meet high expectations set by these influential backers. Monitoring the company's progress in effectively utilizing these funds will be crucial.
CytoReason's expanded disease models and increased proprietary data hold significant promise for advancing R&D in pharmaceutical contexts. By improving speed and accuracy in decision-making, CytoReason's technology could markedly reduce R&D timelines and enhance the probability of technical and regulatory success (PTRS). This is particularly valuable in therapeutic areas like immunology, oncology and CNS-related diseases where traditional R&D is time-consuming and costly.
The emphasis on predictive insights at the molecular level can lead to earlier identification of promising drug candidates and potential failures, effectively de-risking the drug development process. This could translate to cost savings for pharma companies and ultimately better outcomes for patients.
Retail investors should note that the real-world application and effectiveness of CytoReason’s models will be a key determinant of the company's success. Collaborations with major pharma companies provide strong validation, yet the ongoing performance and integration of these models into existing R&D workflows will be critical to watch.
Moreover, CytoReason's regular scientific publications in top-tier journals underpin the credibility and innovative potential of its technology. This academic validation can be a powerful indicator of the robustness and future applicability of their models.
The involvement of NVIDIA in funding CytoReason is indicative of the technological robustness and scalability of CytoReason's AI platforms. NVIDIA's expertise in accelerated computing and AI will likely enhance CytoReason’s computational capabilities, translating to faster and more accurate predictive models. This partnership highlights the significant role of advanced computing in revolutionizing healthcare R&D.
The reported 10x acceleration in inference workloads showcases the tangible benefits of integrating cutting-edge hardware with AI algorithms. For retail investors, this points to a strong technological foundation that could provide a competitive edge in the crowded AI healthcare space.
However, the sustainability of these technological advancements and their adaptability to diverse therapeutic areas remain crucial. Investors should keep an eye on how CytoReason scales its technology and continues to innovate in response to evolving industry needs.
New funding will expand CytoReason’s disease models and proprietary data, enabling R&D leaders at partner companies to make strategic decisions with greater speed and precision.
CytoReason is a tech company transforming biopharma’s decision-making from trial and error to data-driven, using computational disease models for predictive asset insights. Therapeutic area leaders, research teams, and scientists of all levels rely on CytoReason’s technology to increase the speed and accuracy of R&D decisions (Photo: Business Wire)
CytoReason will use this investment to expand the application of its models into additional indications, grow its proprietary molecular and clinical data, and establish an office in
Reduced R&D timelines and improved probability of technical and regulatory success (PTRS) are top priorities across life sciences companies. Speed, safety, and accuracy are critical when making asset-related R&D decisions. CytoReason provides therapeutic area leaders with molecular-level insights and valuable AI tools to make data-driven decisions, helping them improve the probability of phase 2 success and optimize their R&D portfolio.
Since the company announced the expansion of its Pfizer partnership in 2022, CytoReason has added three major pharma partnerships, expanded its coverage of disease models to central nervous system (CNS)-related diseases, and partnered with leading data organizations.
CytoReason’s technology and scientific breakthroughs are regularly published in top-tier journals such as Nature, Cell, and Gut. In 2023 alone, CytoReason’s scientists published 20 peer-reviewed articles in 16 journals, demonstrating the scientific throughput of the company’s team and technology.
Six of the world’s top ten pharma companies use CytoReason’s technology to make data-driven decisions in immunology, inflammation, immuno-oncology, metabolism, and other therapeutic areas.
David Harel, Co-founder and CEO of CytoReason, said: “CytoReason is grateful for this infusion of new capital from industry technology powerhouses such as NVIDIA, Pfizer, and Thermo Fisher. The world understands that data alone is not enough, and that the future of data-driven insights is in data modeling. CytoReason is at the forefront of this revolution in pharma R&D.”
Kimberly Powell, Vice President and General Manager, Healthcare at NVIDIA, said: “Over the last year, CytoReason has strengthened its platforms using NVIDIA’s latest accelerated computing and AI platforms, achieving more than 10x acceleration for inference workloads. Our continued collaboration with CytoReason will help enable more life sciences companies to benefit from CytoReason’s predictive clinical insights.”
Mikael Dolsten, Chief Scientific Officer and President, Worldwide Research, Development and Medical at Pfizer, said: “The rapid expansion of new technologies, like artificial intelligence, holds tremendous potential to help transform what is possible in human health. Our collaboration with CytoReason leverages its cutting-edge immunology multiomics platform to augment Pfizer’s own R&D capabilities and generate invaluable insights into new drug development pathways for patients. We’re pleased to see the company’s recent growth and look forward to our continued work together.”
Bhooshi De Silva, Head of Strategic Capital at Thermo Fisher Scientific, commented on the strategic investment: "Our investment in CytoReason underscores the significant potential of computational disease models to revolutionize data usage in pharma R&D. By combining Thermo Fisher’s vast data repositories and proven life sciences expertise with CytoReason’s AI technology, we aim to push the boundaries of what is possible in personalized healthcare.”
Jon Medved, CEO of OurCrowd said: "We're thrilled to see yet another Israeli company leading the way in healthcare's AI revolution. CytoReason’s strategic partnership with NVIDIA only emphasizes this point. I’m convinced that the involvement of leading asset managers and critical strategic partners in this funding round will further propel CytoReason's journey."
CytoReason is excited to use this new funding to accelerate its growth and further cement its position in the market. This will enable more pharma and biotech companies to increase the speed and accuracy of asset development across therapeutic areas to benefit more patients worldwide.
Bank Hapoalim provided structured financing through its Tech Sector, Business Banking Division. Nomura International Plc and Locust Walk advised the company in the transaction.
About CytoReason
CytoReason is a tech company transforming biopharma’s decision-making from trial and error to data-driven, using computational disease models for predictive asset insights. Therapeutic area leaders, research teams, and scientists of all levels rely on CytoReason’s technology to increase the speed and accuracy of R&D decisions. For example, scientists can prioritize potential targets and indications, and stratify patient populations. Program leaders can compare drugs across multiple diseases or multiple drugs within a single disease. C-level executives can gain valuable insights by comparing their R&D portfolios to treatment alternatives. Learn more at www.cytoreason.com.
View source version on businesswire.com: https://www.businesswire.com/news/home/20240717912688/en/
CytoReason Media Contact
Zeev Ben Shachar
zeev.benshachar@cytoreason.com
Source: CytoReason
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