[BioUSA] Big Pharma Lines Up in Korea... 'Market Cap No.1' Lilly Also Interested

"We are looking for roles that Lilly Gateway Labs can play in Asia, including Korea."

Aliza Apple, COO of Eli Lilly Gateway Labs, is giving a lecture at the Korean Pavilion set up at the 2024 BIO International Convention (BIO USA) held on the morning of the 4th (local time) in San Diego, California, USA.
[Photo by Chunhee Lee]

Aliza Apple, Chief Operating Officer (COO) of Lilly Gateway Labs, Eli Lilly's open innovation space, expressed deep interest in Korea during an open stage lecture held on the morning of the 4th (local time) at the Korea Pavilion set up at the 2024 BIO International Convention (BIO USA) in San Diego, California, USA.

Lilly is a company that has become the global pharmaceutical and biotech industry leader in market capitalization by developing the glucagon-like peptide (GLP)-1 class drug Zepbound, which leads the obesity treatment market. Apple COO emphasized this growth by stating, "More than 50% of the over 20 drugs launched in recent years were supplied externally," adding, "This is an area where Lilly has actively invested and a major focus for us."

Lilly Gateway Labs, an open innovation space of Eli Lilly located in the southern part of San Francisco, California, USA
[Photo by Lilly Gateway Labs]

Gateway Labs is a global shared office operated by Catalyze360, Lilly's open innovation team that has driven such innovation. Currently, two facilities are operated in South San Francisco. Over 400 researchers from 20 companies are conducting various research and development (R&D) activities. There are plans to establish facilities in Boston this August and in San Diego early next year, each capable of housing about 20 companies.

Apple COO described Gateway Labs' goal as "creating a cocoon," emphasizing, "What differentiates us from other incubators is that early-stage companies can actually grow and thrive." By providing turnkey facilities that meet all common needs companies may have, they aim to create a space where companies can grow freely.

One of Gateway Labs' greatest advantages is direct access to the industrial ecosystem created by Lilly. Apple COO explained, "Resident companies can request help from experts within Lilly's pool," adding, "It also connects them with other companies in similar industries and enhances their purchasing power." Over the past five years, more than 20 companies located in San Francisco have had over 200 interactions with Lilly experts, with seven of these leading to actual collaborations with Lilly.

Resident companies also receive direct financial support. The 20 or so companies based in San Francisco have attracted a total investment of $1 billion (approximately 1.375 trillion KRW), including $62 million (about 85.3 billion KRW) received from Lilly over the past four years.

The Cambridge Innovation Center (CIC) building located in Cambridge, Boston, USA
Photo by Lee Chunhee

This is not the first time a global big pharma open innovation program has shown direct interest in Korea. Recently, Johnson & Johnson (J&J) launched the Korean branch of its startup incubation program JLABS, and the Cambridge Innovation Center (CIC), recognized globally as a leading shared office driving innovation, announced the establishment of its Korean center. The global pharmaceutical and biotech industry is showing high interest in Korea's technological capabilities and gathering here.

Apple COO's decision to visit the Korea Pavilion at BIO USA from early morning and deliver a lecture is interpreted as seeing more opportunities in Korea. Lee Seung-gyu, Vice Chairman of the Korea Bio Association, said, "The world is looking for Korean technology," adding, "There are not many places globally where big pharma can adopt technology, but they see Korea's technological capabilities and come to us."

Regarding areas open for collaboration, Apple COO stated, "We are open to everything," mentioning, "We are looking at all possibilities, not limited to the five major areas Lilly focuses on?neuroscience, diabetes, oncology, gene therapy, immunology?or specific indications."