October 17, 2017 (CAMBRIDGE, MA) – The Massachusetts Biotechnology Council
(MassBio) today released its annual 2017 Industry Snapshot report [hyperlink], which shows venture capital dollars continue to flow into Massachusetts biopharma companies at an astounding rate – highlighting the growth of cutting edge life sciences companies here. Venture investment in Massachusetts biopharma companies was $2.9 billion in 2016, up from $2.3 billion in 2015, and more than triple the $900 million in 2012, according to the data. Even more, 30% of all US-based biotech IPOs were from Massachusetts companies in 2016.
To meet increased demand from new and growing companies in the industry, Massachusetts biopharma employment grew 4.8% in 2016, adding over 3,000 new jobs. Many of these positions are supporting new research, as the data shows Massachusetts has more employees classified as Biotechnology R&D than any other state, and this segment grew by 9% in 2016. Massachusetts also continues to outpace other states in terms of NIH funding per capita and ranks second in total NIH dollars, only after California, with five of the top six NIH-funded independent hospitals located in the state.
“MassBio’s annual industry snapshot makes clear Massachusetts is the #1 biotech cluster in the world, home to the best universities, hospitals and biopharma companies, along with the brightest minds in the industry – but we didn’t get there by chance,” said Robert K. Coughlin, President & CEO of MassBio. “In order to remain on top, we must continue to foster a welcoming environment for life sciences companies to grow and move here. Governor Baker’s recent announcement of a 5-year, $500 million life sciences “2.0” initiative is evidence that the state remains committed to the industry. As long as government, industry and academia continue to work together, we will maintain our stature.”
Every year, the industry continues to innovate in Massachusetts, working to bring new, breakthrough cures and treatments to patients across the world. The report found:
- The Massachusetts drug development pipeline includes 20 candidates pending FDA approval, up from 13 the year before.
- Massachusetts researchers are currently researching and developing products for patients with over 380 different medical indications.
- In 2016, 25% of all drugs approved for orphan designation in the U.S. were from Massachusetts companies.
- Massachusetts companies received 18% of all Fast Track designations in the United States in 2016.
The 2017 Industry Snapshot was produced in partnership with EvaluatePharma®, the premier source for commercial analysis of the pharma and biotech sector. Snapshot statistics are compiled annually by MassBio from sources including EvaluatePharma®, National Institutes of Health, the U.S. Bureau of Labor Statistics, the Quarterly Census of Employment & Wages and others.
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MassBio is a not-for-profit organization founded in 1985 that represents and provides services and support for the Massachusetts life sciences industry. MassBio is committed to advancing Massachusetts' leadership in the life sciences to grow the industry, add value to the healthcare system and improve patient lives. Representing more than 1000+ biotechnology companies, academic institutions, research hospitals, and service organizations involved in life sciences and healthcare, MassBio works to advance policy and promote education, while providing member programs, events, industry information, and services.
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