Here's the press release for us to chew on:
Affymetrix signs gene chip collaborations
NEW YORK, Dec. 2 (Reuters) - Affymetrix Inc chief executive Stephen Fodor said on Tuesday that separate new agreements with Amersham Pharmacia Biotech and Molecular Dynamics Inc (Nasdaq:MDYN) would help expand use of the company's GeneChip technology.
Fodor said under a three-year, non-exclusive arrangement, Amersham Pharmacia Biotech will sell Affymetrix GeneChip probe arrays, reagents, systems and software in worldwide markets.
Speaking at the BancAmerica Robertson Stephens annual medical conference here, Fodor said the deal would ''accelerate our commercial strategy and will get the technology out to many, many people's hands.''
Fodor said the agreement with Amersham, a joint venture of the life sciences divisions of Amersham International Plc (AHM.L) and Pharmacia & Upjohn Inc (NYSE:PNU), will save Affymetrix the expense of expanding its own sales force.
Affymetrix currently sells its products mostly to research institutes and pharmaceutical and biotechnology companies that are developing therapies based on knowledge gleaned from human genomics research.
Its GeneChip, genes mounted on a chip, allows analysis of how genes direct production of their distinctive proteins -- thereby helping to identify possible drug targets and likely candidate drugs. The chips can also be used to test for resistance and reactions to drugs.
Fodor said Affymetrix expects to have at least $100 million in revenues in 1997 from its GeneChips, with a potential annual market of $500 million to $1 billion.
Fodor said that the company is currently making 80,000 chips per year, and by building two new manufacturing facilities will be able to increase the annual output to 400,000 by the end of 1998.
Affymetrix said it also entered into a collaboration with Molecular Dynamics to create unified standards in the gene chip sector. ''Instead of having two incompatible systems out there, we're trying to put together a unified front,'' said Fodor.
Their Genetic Analysis Technology Consortium will allow customers to use technology interchangeably, he said.
Other gene chip companies will likely join the consortium in the future, said Fodor. |
