Revolutionizing Pharma: The Impact of Agentic AI on Drug Development and Costs

2025-10-13 · MIT Tech Review AI · Original

In the face of recent economic challenges, the pharmaceutical sector is navigating significant obstacles, including rising raw material costs and ongoing supply chain issues that are tightening profit margins. Companies are under increasing pressure, particularly from the U.S. government, to manage and reduce drug prices. Compounding these challenges, a wave of patents is set to expire, which could further impact the market dynamics. However, agentic AI is emerging as a transformative force within the industry. This advanced technology has the potential to streamline drug development processes, optimize supply chains, and enhance decision-making capabilities. By harnessing the power of AI, pharmaceutical companies can not only mitigate current pressures but also innovate and adapt to ever-evolving market demands. As the industry grapples with these changes, the integration of agentic AI could be the key to unlocking new efficiencies and maintaining competitiveness in a rapidly shifting landscape.