Utsav Dhiman
By Utsav Dhiman
Alumnus and Former Research Officer, University of Essex, United Kingdom
In the spring of 2024, headlines buzzed with news of a tiny London startup quietly achieving unicorn status, joining a rare league of companies valued at over a billion dollars. Yet this is not the latest social media platform or fintech disruptor. It is a biotechnology firm, barely a decade old, that developed an AI-driven tool for ultra-rapid vaccine design, outpacing the global pharmaceutical giants. For many, this marked more than a business milestone: it signaled a tectonic shift. Biotech startups are no longer niche players tinkering at the edges of academia. They are new-gen unicorns having an ability to attract billions in investment, capturing national ambitions, and perhaps most crucially, redefining how we address medicine, agriculture, and even the climate crisis. Additionally, how can we forget the surge of biotech in the Space sector as well.
What is driving this surge? Why are investors and countries alike scrambling to lead in biotechnology? And what does it mean for our collective future?
The Biotech Boom: What’s Fueling It?
The present boom in biotechnology is powered by an unprecedented convergence of breakthroughs across science and technology. Once, the image of a biotech lab conjured thoughts of white coats, slow progress, and years of trial and error. Today’s reality is closer to the fast-paced world of big tech, thanks to the advances in gene editing (CRISPR), synthetic biology, machine learning, and high-throughput sequencing.
Genome sequencing, which was once a billion dollars and a decade-long pursuit, is now a straightforward, affordable, and a lightning-fast enterprise. Cloud computing and automation have slashed the time and cost needed to analyze massive datasets. Meanwhile, the COVID-19 pandemic served as an accelerator, transforming obscure companies into household names overnight. Messenger RNA (mRNA) vaccines developed by startups like BioNTech and Moderna not only saved millions of lives but also showcased how nimble, innovative firms could outpace established industry leaders in times of crisis.
Artificial intelligence, which was long associated with finance or e-commerce, now powers drug discovery, protein engineering, and diagnostics. Algorithms can sift through mountains of biomedical data, predicting which molecules might become tomorrow’s medicines or which genetic tweaks could yield drought-resistant crops. The pace is relentless, and it is reshaping not only what biotech companies do, but how quickly they can do it. Basically, speed is the new game like any other innovation sector.
Who’s Betting Big? Investors, Governments, and the Global Race
Behind every unicorn is a herd of believers, venture capitalists, sovereign wealth funds, and governments all eager for a piece of the future. In 2023 alone, global venture funding for biotech and life sciences startups topped $80 billion, a figure once thought unthinkable outside Silicon Valley or any other flourishing IT hubs. Major investment houses are doubling down. Some, like Sequoia and Andreessen Horowitz, are building specialist teams to hunt for the next biotech breakout. Others, like Temasek of Singapore or China’s state-backed funds, see biotech as a pillar of national economic security. The IPO boom since 2021 was led by firms in genomics, cell therapy, and digital health, facilitated the strengthening of biotech’s place as a core research and development theme for private and public investors.
But the competition is not just financial, the countries like United States, European Union, UK, China, India and Singapore are all racing to become biotech powerhouses. The US leans on its universities and venture ecosystems; China invests heavily in scale and speed, building entire innovation zones for biotech; the UK champions its unique data assets and research culture; India came up as a surprise over the last decade by setting-up biotech innovation zones; Singapore, a relative newcomer, is betting on a blend of regulatory flexibility and strategic partnerships.
Public-private partnerships are on the rise, with governments establishing accelerators, offering grants, and even providing direct equity investment. The pandemic-era was a great example of public-private partnerships where “Operation Warp Speed” in the US, the UK’s “Vaccine Taskforce” and India’s “Vaccine Maitri” showed just how quickly policy and industry could work together to deliver scientific breakthroughs at scale. All the enterprises under these three programs, collectively delivered vaccine doses twice the global population in just 2 years.
What Sets Biotech Startups Apart?
Biotech startups are not ordinary tech companies. Their products are not apps but molecules, cells, and living systems. Their timelines stretch years, sometimes decades, and their paths are strewn with scientific and regulatory hurdles that would terrify the average coder. Yet it is a precise blend of deep science, high risk, and transformative potential that sets them apart. Unlike the rapid, iterative cycles of software, biotech ventures demand patient capital. Developing a new therapeutic, for instance, requires basic research, preclinical testing, clinical trials, regulatory approval, and large-scale manufacturing where each phase bringing technical and financial risks.
Intellectual property is a lifeline. Patents and data exclusivity can make or break a startup, attracting investment and partnerships but also fierce competition and litigation. Regulation is both a barrier and a badge of honor; those who clear the hurdles earn a credibility that translates directly to valuation. And while the challenges are steep, the rewards can be equally outsized. The “winner-takes-most” dynamics mean that a single breakthrough, like a new cancer therapy or a revolutionary diagnostic platform can create companies worth billions and shape entire industries.
Meet the New Unicorns: Case Studies
Biotech unicorns now span continents and specializations. In the US, companies like Ginkgo Bioworks have become synonymous with synthetic biology by engineering microbes to make everything from food flavorings to vaccine ingredients. Their cell programming platform, powered by robotics and AI, has attracted partnerships from Big Pharma to agri-food giants. Across the Atlantic, the UK’s Oxford Nanopore Technologies achieved unicorn status with its pocket-sized DNA sequencers, making real-time genomics accessible in the field, the clinic, and even in space. Their technology helped track COVID-19 variants globally and is now being deployed for everything from food safety to conservation biology. In Asia, China’s BeiGene has become a global player, leveraging its scale and rapid development capabilities to launch a suite of cancer therapies, while also listing on US, Hong Kong, and Shanghai stock exchanges. Exsure, an Indian startup focused on reducing the side effects of cancer drugs using a patented exosome-based drug delivery platform.
Beyond healthcare, unicorns are redefining food and the environment. California’s Perfect Day uses engineered microbes to create animal-free dairy proteins, producing real cheese and ice cream without cows. Singapore’s TurtleTree Labs is making headlines with cell-based milk, a potential game-changer for both nutrition and sustainability. A new breed of climate-tech unicorns is also emerging. Companies like Carbon Clean (UK) and Lanzatech (US) use engineered microbes to capture industrial carbon emissions and convert them into fuels and chemicals, linking biotech directly to the race against climate change.
What unites these companies is a combination of scientific excellence, savvy business strategy, and the ability to attract global investment and partnerships. As Dr. Emily Leproust, CEO of Twist Bioscience, recently put it, “In biotech, success is not about moving fast and breaking things. It’s about moving smart and solving problems that matter for everyone.”
Biotech for the Planet: Beyond Medicine
While medicine remains the heart of biotechnology, its reach now extends far beyond the hospital and pharmacy. Biotech startups are increasingly seen as key players in tackling some of humanity’s most pressing challenges: food security, climate resilience, and environmental restoration.
Gene-edited crops that resist drought and disease are being rolled out across continents, promising higher yields and less dependence on pesticides. Microbial fertilizers and soil enhancers offer hope for sustainable agriculture, restoring degraded lands while boosting productivity.
Meanwhile, engineered bacteria and fungi are being deployed to clean up oil spills, break down plastics, and detoxify polluted rivers. Biotech is also at the forefront of alternative protein production by cultivating meat, fish, and dairy in bioreactors rather than on farms, slashing the carbon footprint of food. This shift from “health for humans” to “health for the planet” is attracting a new wave of investors and entrepreneurs, eager to build companies that are both profitable and planet-positive.
Risks, Hype, and Hurdles
Of course, the path to unicorn status is littered with risks where some risks are common with every startup while others unique to biotech. Scientific uncertainty is the first hurdle, even the most promising discoveries can falter in the lab, clinic, trials, or market. The infamous case of Theranos, a startup that promised revolutionary blood testing but collapsed under the weight of unproven claims and serves as a cautionary tale about hype outpacing reality.
Regulatory delays can stall products for years, while safety and ethical concerns can spark public backlash. Gene editing, for instance, raises complex questions about consent, privacy, and unintended consequences. Market volatility is another risk where biotech valuations can swing wildly with clinical trial results, regulatory decisions, or shifting investor sentiment.
The patience required is immense. Unlike the viral rise of consumer apps, biotech innovation can take a decade or more to reach the market. Investors and founders alike must be prepared for the long haul.
The UK in the Global Race
Within this global race, the UK holds a unique position. The so-called “Golden Triangle” of London, Cambridge, and Oxford is a powerhouse of academic research, spinouts, and venture-backed startups. Access to the NHS’s vast troves of anonymized health data gives UK firms an edge in developing and testing new diagnostics and treatments.
The government has moved to bolster this ecosystem, with new funding schemes, infrastructure investment, and visa reforms aimed at attracting global talent. UK-based biotech firms secured over £4.5 billion in venture capital in 2023, more than double the figure from five years earlier. Yet challenges remain, like translating scientific leadership into commercial scale, navigating post-Brexit regulatory realities, and ensuring that the benefits of innovation are widely shared.
The Road Ahead: What Will Shape the Next Decade?
Looking ahead, the next decade promises even greater convergence, artificial intelligence will design new proteins, robotics will automate everything from lab work to manufacturing, and decentralized science platforms “DeSci” will open new avenues for funding and collaboration. New business models are emerging, from “bioplatform” companies that offer tools and data for others to build on, to mission-driven firms tackling specific global challenges. Regulation will need to keep pace, balancing safety, speed, and global cooperation. Diversity and inclusivity, long-awaited spots for the sector, are rising up the agenda as investors and founders recognize that breakthrough ideas can come from anywhere and should benefit everyone.
Conclusion: The Real Unicorn, is it Impact or Valuation?
In the end, the race for biotech unicorns is about more than billion-dollar valuations or the latest headlines. The real measure of success lies in impact on patients, communities, and the planet. Today’s startups are solving problems that were once considered impossible. As they do, they are reshaping not only the business landscape but the very possibilities of life itself.
For investors, nations, and the public alike, the message is clear, the next unicorn is not just an economic prize, but it may well be the key to a healthier, more sustainable future for all.
