US state is at ‘crossroads’ for life sciences research, report finds

The US state of Massachusetts has a thriving life sciences industry but is at a crossroads, according to the Impact 2020 report from MassBio, the Massachusetts Biotechnology Council.

Prepared with health care strategy consulting firm Health Advances, the report conversed with life sciences stakeholders on the future of the industry. It found that while the Nasdaq Biotech Index was up 60% at the end of 2013 and 37 biotech initial public offerings (IPOs) occurred last year, there is concern about the cluster’s future, citing ongoing national conversation about health care costs and a shrinking pool of seed and early-stage funding options.

Impact 2020’s Advisory Board member Vicki Sato, Harvard Business School professor, said: “The greatest threat to the Massachusetts life sciences cluster is a diminished reward for innovation. If health care reform undermines that incentive, this entire cluster could disappear overnight.”