Although there is hope that biotech markets are improving, the life science sector still feels like it’s very much in the doldrums. Biotech is traditionally the canary in the coal mine for economic downturns and often the last to recover. Nevertheless, the industry is not going anywhere and there are many reasons to be optimistic about its long-term potential.

In a 2006 Harvard Business Review article, Gary Pisano contended that the biotech industry struggled to establish itself as a genuine, value-generating business sector. Despite attracting more than $300 billion in capital, and the extraordinary commercial success of companies such as Amgen and Genentech, most biotechnology firms had earned no profit.