(Reuters) – In a strategic move, Nvidia has invested $50 million to accelerate the training of Recursion, a leading biotech firm’s artificial intelligence models for drug discovery. This collaboration aims to enhance the efficacy and efficiency of Recursion’s AI models, which Nvidia may potentially license out to other biotech firms, the companies announced on Wednesday.
Following the news, Recursion shares experienced a significant surge of approximately 167% during premarket trading.
Powered by Nvidia’s cloud platform, Recursion will train its AI models using its vast biological and chemical datasets that exceed 23,000 terabytes. By leveraging Nvidia’s cutting-edge technology, the company could license these AI models to biotech firms through its generative AI cloud service for drug discovery, known as BioNeMo.
Although the specific details regarding Nvidia’s potential stake in Recursion were not disclosed, both companies expressed optimism about the future of their collaboration. Recursion has previously joined forces with renowned drugmakers such as Bayer and Roche. The company plans to utilize Nvidia’s software to support its existing pipeline as well as its current and future partners.
Recursion, a biopharma company that recently went public in 2021, operates the Recursion OS platform. This platform facilitates drugmakers’ access to the extensive datasets necessary for designing and developing therapeutics.
Using AI technology, Recursion is currently conducting human trials for five novel drugs, including one that is in mid-stage trials for treating a specific type of neurovascular disease caused by malformation of small blood vessels in the brain. The company is at the forefront of utilizing AI in drug discovery.
Aside from Nvidia’s investment, Recursion has also garnered support from other notable backers, including Abu Dhabi sovereign investor Mubadala and UK-based investment firm Baillie Gifford & Co. Additionally, Recursion recently made headlines for its acquisition of two AI-driven drug discovery companies, a move that cost $87.5 million.
The collaboration between Nvidia and Recursion signals a significant advancement in the integration of artificial intelligence and biotech. With their combined expertise and resources, these two industry leaders are poised to revolutionize the drug discovery landscape.
Reported by Chavi Mehta in Bengaluru and Stephen Nellis in San Francisco, with additional reporting by Mariam Sunny in Bengaluru. Edited by Shilpi Majumdar.
Credit: The Star : Tech Feed
