The Bullish Case for Cancer Biotech

How Science and Investment Are Conquering Cancer

75%

Executives Optimistic About 2025

$295B

Projected Market by 2033

28

FDA Approvals in 2025

12

Immunotherapy Drugs Approved

The New Era of Cancer Treatment

Imagine a world where a cancer treatment can be precisely tailored to your unique genetic makeup, where your own immune cells are engineered to hunt down and destroy cancer, and where artificial intelligence helps design drugs in months rather than years. This isn't science fiction—it's the current reality of cancer biotechnology, and it's generating unprecedented excitement among scientists and investors alike.

Cancer Statistics

In 2025, the American Cancer Society estimates there will be 2,041,910 new cancer cases and 618,120 cancer deaths in the United States alone 1 . Globally, the numbers are even more staggering—9.7 million cancer deaths were recorded in 2022 1 .

Executive Optimism

A survey by Deloitte's US Center for Health Solutions reveals that 75% of global life sciences executives feel optimistic about 2025 3 , fueled by strong growth expectations and exciting technological innovations.

Market Growth Projection

The cancer drugs market, valued at $128.4 billion in 2021, is projected to reach $169.6 billion by the end of 2025 and accelerate to $295.79 billion by 2033 8 . This explosive growth isn't just about traditional chemotherapy—it's being driven by groundbreaking advances in precision medicine, immunotherapy, and artificial intelligence.

Precision Medicine: The Right Treatment for the Right Patient

Precision medicine represents a fundamental shift in cancer care—away from one-size-fits-all treatments and toward therapies customized to an individual's unique genetic makeup, proteins, environment, and lifestyle. The completion of the Human Genome Project in 2003 paved the way for this approach, but recent technological advances have truly unlocked its potential 1 .

AI-Driven Diagnostics

Artificial intelligence is supercharging cancer diagnosis in ways that were unimaginable just a decade ago. Researchers from the University of California, San Diego recently developed DeepHRD, a deep-learning tool that detects homologous recombination deficiency (HRD) in tumors using standard biopsy slides 1 .

This condition makes cancers vulnerable to certain targeted treatments, and DeepHRD detects them with three times more accuracy than current genomic tests while having a negligible failure rate compared to the 20-30% failure rates of existing tests 1 .

AI Diagnostic Tools
  • Prov-GigaPath: Revolutionizing cancer detection imaging
  • Owkin's models: Advanced AI for pathology
  • CHIEF: Improving cancer detection
  • HistoPathXplorer: Identifying tissue biomarkers
  • Paige Prostate Detect: Prostate biopsy interpretation
  • MSI-SEER: Identifies microsatellite instability-high regions

Beyond the "Undruggable" Targets

Perhaps the most exciting development in precision medicine is the progress against previously "undruggable" targets like RAS mutations, which are common in multiple tumor types including pancreatic cancer 6 . Dr. Lillian Siu of Princess Margaret Cancer Centre explains that we're entering "a new era for drugging the undruggable with the next generation of mutant-specific molecules" 6 .

First-Generation Inhibitors
  • Sotorasib
  • Adagrasib
Next-Generation Targets
  • KRASG12D inhibitors
  • KRASG12V inhibitors
  • Pan-KRAS inhibitors
  • Pan-RAS inhibitors
One retrospective study conducted at multiple cancer centers evaluated patients with breast, lung, and pancreatic cancer who had undergone precision medicine interventions. The results showed significantly improved overall survival compared to patients who received only standard therapies, along with better quality of life 1 .

The Immunotherapy Revolution: Harnessing the Body's Defenses

Immunotherapy has been one of the most transformative advances in cancer treatment, often described as providing "moonshot strides" in patient outcomes 1 . The fundamental premise is simple yet powerful: instead of directly attacking cancer with toxic chemicals, empower the body's own immune system to recognize and eliminate cancer cells.

Expanding Arsenal of Immunotherapies

Of the 28 FDA approvals announced so far in 2025, 12 are immunotherapy drugs 1 , underscoring the field's rapid expansion and clinical importance.

Immune Checkpoint Inhibitors

Drugs that block the "brakes" on the immune system. The KEYNOTE-689 trial reported a 34% lower risk of disease recurrence for head and neck cancer patients who receive perioperative pembrolizumab along with standard therapy 1 .

Bispecific Antibodies

These innovative therapies bind simultaneously to cancer cells and immune cells, helping the immune system mount a direct attack on the tumor. On July 2, 2025, a bispecific antibody called Lynozyfic was approved for treating relapsed or refractory multiple myeloma 1 .

Antibody-Drug Conjugates (ADCs)

Often described as "guided missiles," ADCs link a cancer-killing drug to an antibody that recognizes cancer-associated proteins, selectively destroying cancer cells while sparing healthy ones. Recent approvals include Emrelis for non-small cell lung cancer and Datroway for EGFR-mutated NSCLC and certain breast cancers 1 .

Cellular Therapies

CAR T-cell therapies continue to expand beyond blood cancers into solid tumors, while tumor-infiltrating lymphocyte (TIL) therapies are gaining traction. In 2025, Stanford treated its first patient with Tecelra, the first FDA-approved engineered T-cell receptor therapy for metastatic synovial sarcoma 1 .

The Next Frontier: Cancer Vaccines

According to Dr. Vinod Balachandran of Memorial Sloan Kettering Cancer Center, cancer vaccines represent one of the most promising frontiers in immunotherapy 6 . "There has already been early proof of concept that vaccines may help the immune system fight cancers that typically harbor very few mutations, such as pancreatic cancer and glioblastoma, as well as highly mutated cancers like melanoma," he explains 6 .

Most current efforts focus on the adjuvant space, where vaccines are used after primary cancer removal to prevent recurrence, but research is also exploring vaccines for primary prevention in high-risk populations.

The Bullish Market: By the Numbers

The optimism among life sciences executives is firmly grounded in market realities. The global cancer drugs market demonstrates robust growth across all regions and therapeutic categories, with particular strength in innovative treatment modalities.

Global Cancer Drugs Market Projection
Region 2021 Market Size 2025 Projected 2033 Projected
Global $128.4B $169.6B $295.79B
North America $46.1B $60.1B $102.3B
Europe $35.8B $47.6B $84.7B
Asia Pacific $28.6B $40.4B $77.9B

Source: Cognitive Market Research 8

Market Share by Drug Type (2024)
Targeted Therapies: Largest share due to high efficacy and reduced side effects
Immunotherapies: Fastest growing segment
Chemotherapy: Declining share
Hormonal Therapy: Stable share

Source: Towards Healthcare Insights 4

Regional Market Analysis

North America continues to dominate the global cancer drug manufacturing market, thanks to its advanced healthcare infrastructure, strong presence of leading pharmaceutical companies, and significant investments in oncology research 4 . However, the Asia Pacific region is expected to grow at the most significant compound annual growth rate during the forecast period, reflecting both increasing healthcare investment and rising cancer incidence in the region 4 .

6.87%

CAGR North America (2025-2033)

7.46%

CAGR Europe (2025-2033)

8.56%

CAGR Asia Pacific (2025-2033)

First Half 2025 FDA Approvals: Innovation in Action

The pace of regulatory approvals provides a real-time barometer of innovation in cancer therapeutics. The first half of 2025 saw remarkable progress, with the FDA's Center for Drug Evaluation and Research approving 16 novel drugs, half of which were cancer treatments .

Selected FDA Novel Cancer Drug Approvals - First Half 2025
Drug Name Approval Date Approved Indication Innovation Highlight
Datroway January 17, 2025 HR-positive, HER2-negative breast cancer Antibody-drug conjugate for patients with prior endocrine-based therapy
Gomekli February 11, 2025 Neurofibromatosis type 1 with symptomatic plexiform neurofibromas First non-surgical treatment option for this rare condition
Avmapki Fakzynja Co-Pack May 8, 2025 KRAS-mutated recurrent low-grade serous ovarian cancer First treatment specifically for KRAS-mutated ovarian cancer
Emrelis May 14, 2025 Non-squamous NSCLC with c-Met protein overexpression Targets specific protein overexpression in lung cancer
Ibtrozi June 11, 2025 ROS1-positive non-small cell lung cancer Addresses specific genetic driver in lung cancer

Source: CrownBio

Key Trend

These approvals demonstrate the pharmaceutical industry's increasing ability to develop treatments for increasingly specific patient subgroups, including those with rare cancers and particular genetic mutations. The approval of Avmapki Fakzynja Co-Pack for KRAS-mutated ovarian cancer is particularly noteworthy as it represents the first treatment specifically for this challenging mutation in ovarian cancer .

In the Lab: An Integrated Approach to Biomarker Discovery

While new treatments grab headlines, much of the progress in cancer biotechnology happens long before human trials—in the sophisticated preclinical models that allow researchers to predict which treatments will work. One of the most crucial experiments currently shaping cancer drug development involves an integrated, multi-stage approach to biomarker discovery and validation.

The Experimental Procedure

This integrated approach proceeds through three systematic stages, each providing different insights while building upon the previous one:

1. PDX-Derived Cell Line Screening

Researchers begin with cell lines derived from patient-derived xenografts (PDXs). These are not traditional cell lines—they originate from actual patient tumors that have been implanted in mice, preserving more of the original tumor's characteristics. In this initial high-throughput phase, scientists expose these cells to various drug candidates and look for correlations between genetic mutations and drug responses. This large-scale screening allows researchers to generate initial hypotheses about which biomarkers might indicate sensitivity or resistance to specific treatments .

2. Organoid Validation

Promising biomarker hypotheses then move to organoid testing. Organoids are three-dimensional miniature tumors grown from patient samples that faithfully recapitulate the phenotypic and genetic features of the original tumor. As noted by CrownBio, "Organoids can be used to assess mechanisms of resistance and model the development of tumors" . During this phase, researchers use multiomics approaches—including genomics, transcriptomics, and proteomics—to identify robust biomarker signatures and refine their understanding of how these biomarkers function in a more complex, three-dimensional environment that better mimics human tumors .

3. PDX Model Confirmation

The final preclinical stage uses complete PDX models, created by implanting patient tumor tissue directly into immunodeficient mice. These models preserve key genetic and phenotypic characteristics of patient tumors, including aspects of the tumor microenvironment. According to CrownBio, "PDX models are the most clinically relevant preclinical models," which is why they're considered the gold standard of preclinical research . In this stage, researchers validate biomarker hypotheses in a system that most closely mirrors human biology before advancing to clinical trials. The unique attributes of PDX models give researchers a deeper understanding of biomarker distribution within heterogeneous tumor environments .

Results and Impact

This integrated approach significantly improves the efficiency of drug development. By systematically progressing through these model systems, researchers can more reliably identify patients who will benefit from specific treatments, design more effective clinical trials, and ultimately reduce the alarming 95% attrition rate that has long plagued novel drug discovery . The methodology represents a fundamental improvement over traditional single-model approaches by leveraging the complementary strengths of each system: the scalability of cell lines, the tumor biology preservation of organoids, and the clinical relevance of PDX models.

The Scientist's Toolkit: Essential Research Reagents
Research Tool Function in Cancer Research Application in Drug Development
PDX-Derived Cell Lines Initial high-throughput drug screening; biomarker hypothesis generation Efficiently test drug candidates against diverse genetic backgrounds
Organoids 3D tumor models that preserve original tumor architecture Drug response prediction; therapy personalization; resistance mechanism studies
Patient-Derived Xenografts (PDX) Gold standard preclinical models preserving tumor microenvironment Clinical trial simulation; biomarker validation; treatment efficacy assessment
CRISPR-Cas9 Precise gene editing technology Target validation; functional genomics; gene therapy development
Single-Cell Sequencing Analysis of individual cells within tumors Understanding tumor heterogeneity; identifying rare cell populations
Circulating Tumor DNA (ctDNA) Non-invasive cancer monitoring via blood samples Treatment response monitoring; early relapse detection; minimal residual disease assessment

Sources: CrownBio , ZAGENO 3 , AACR 6

Conclusion: The Future Is Targeted and Personal

The overwhelming bullish sentiment surrounding cancer drugs and biotechnology is firmly grounded in tangible scientific progress. From AI-powered diagnostics that can detect cancer characteristics with unprecedented accuracy, to immunotherapies that harness the body's own defenses, to targeted treatments for previously "undruggable" mutations, the field is experiencing a renaissance of innovation.

Dr. John Dick, a senior scientist at Princess Margaret Cancer Centre, captures the excitement of this moment: "In blood cancers, one of the issues is that in some ways the easy things have been done, and now it's time to tackle the more challenging problems" 6 . The same could be said for cancer treatment broadly—the low-hanging fruit has been picked, and researchers are now solving problems that seemed insurmountable just a decade ago.

As these scientific advances continue to accelerate, and as regulatory agencies like the FDA create expedited pathways for promising therapies 4 , the convergence of scientific innovation and investment opportunity appears likely to continue. The result will be better outcomes for patients, new markets for biotechnology companies, and continued excitement among investors who recognize that supporting cancer biotechnology represents both a compelling financial opportunity and a chance to contribute to one of humanity's most important medical journeys.

References