Bad Vibes at the Biotech Industry’s Major Conference

Before crypto winter, before the bear market, biotech was already taking a hit. A key stock index for the sector had fallen more than 60% from its February 2021 peak, while IPOs have ground to a halt – and now people are starting to get nervous.  

At the industry’s first in-person gathering since the start of the pandemic, there was growing unease among the more than 10,000 industry executives, scientists and investors in San Diego. The worry is that the slump they’ve been dealing with for more than a year will be worsened by what’s happening in other parts of the economy. One biotech executive likened it to going from a Category 3 hurricane to a Category 5. 

The biggest concern — shared over and over at the conference — is that capital dries up and early stage startups don’t make it, waiting for a next round of funding or an IPO that never comes.