Former drug discovery researcher checking in:
I used to work at a company called Ligand Pharmaceuticals, a public company (NASDAQ: LGND) that has a handful of drugs on the market used to treat obscure forms of leukemia and rare skin lesions. As someone who worked in drug discovery, on a weekly basis, we came across numerous ‘leads’ in our screenings against all types of receptors.
Depending on who you talk to, about 1 in 10,000 to 1 in 50,000 will make it to the pharmacy shelf as a real drug after 10+ years and several $100 million dollars. All things being equal, no one compound is likely to exceed, and the longer it takes to fail in studies, the more it will cost you. Therefore, it only makes sense to go after the biggest target markets.
It’s not like we test a chemical compound and instantly know it’s a cure for some obscure disease but suppress that knowledge. We just don’t screen against receptors for obscure diseases to begin with because it’s a losing proposition from the beginning in most cases. All of Ligand’s drugs started out as potential candidates for big money targets like breast cancer, acne, psorasis, and other such conditions, but as you go through animal trials, you realize it treats a specific form of the disease better, so in a way you back into this specialty, rather than targeting it from the start.
We regularly found whole classes of compounds we couldn’t use that didn’t match any of the biological targets we were interested in at our company. That said, we then outlicensed them to other companies so we could still make money on them.
I don’t believe anyone is suppressing a true ‘cure’ for any disease. The Orphan Drug Act does encourage pharmaceutical companies to test for more obscure drugs by giving them a longer patent for those they develop. That said, however, I still think drugs that do come out in this category find their way there by serendipity rather than planning.
And I wouldn’t blame the pharmaceutical companies too much there. They get their money from venture capitalists and the public just like every other business. If someone came to you as an investor and said, you have two choices: you can fund a project with a 10% chance of success that if it succeeds makes $1 Billion/ yr or a 10% chance of success but will only make $250,000/ yr. which would you choose. Yep, you pick breat cancer over Wilson’s Disease every day of the week and twice on Sunday.