Isomorphic Labs inks multi-target research collaboration with Novartis

"Isomorphic Labs and Novartis hold a shared purpose to reimagine medicine to improve and extend people's lives," said Demis Hassabis, CEO and founder of Isomorphic Labs. "We are delighted to embark upon this integrated way of working, bringing Isomorphic's state-of-the-art AI and technology platform, including the next-generation AlphaFold model, and access to massive computing power to Novartis, an established leader in the creation of innovative medicines."

"Cutting-edge AI technologies such as AlphaFold hold the potential to transform how we discover new drugs and accelerate our ability to deliver life-changing medicines for patients," said Fiona Marshall, President of Biomedical Research at Novartis. "This collaboration harnesses our companies' unique strengths, from AI and data science to medicinal chemistry and deep disease area expertise, to realize new possibilities in AI-driven drug discovery. We are thrilled to explore uncharted frontiers together with the Isomorphic team."

Isomorphic Labs operates autonomously within Alphabet, with its own dedicated resources and exclusive focus on the application of AI to drug discovery. The company is reimagining the entire drug discovery process from first principles with an AI-first approach, working to build powerful new predictive and generative models of biological phenomena to anticipate how drugs will perform and design novel molecules.

Under the terms of the agreement, Isomorphic Labs will receive an upfront payment of $37.5 million from Novartis, in addition to Novartis funding of select research costs. Isomorphic Labs is eligible to receive up to $1.2 billion in performance-based milestone payments, excluding the upfront payment and any subsequent tiered royalties from mid-single up to low double-digit royalties on net sales.