Nvidia-Backed Recursion, Ginkgo Bioworks Rally Following FDA's Decision To End Animal Testing

The agency lays out several approaches to replace animal testing, such as AI-based computational models of toxicity, cell lines, and organoid toxicity testing in a laboratory setting.

See More: FDA Grants Complete Approval To Bayer’s Drug For Certain Type Cancer With Mutation

Calling it a “win-win for public health and ethics,” commissioner Makary adds that drug manufacturers have performed animal testing of drugs longer than was necessary, especially those “drugs that have data in broad human use internationally.”

Analyst Rick Weissenstein of TD Cowen had a rather optimistic take on the announcement, stating to Axios that the initiative “combines deregulatory themes and cutting-edge technology,” in service of a broadly popular goal of reducing animal testing.

Weissenstein further adds that the FDA’s plans could help accelerate drug development with the use of AI and by leveraging computational models, resulting in lower costs and improved safety.

Despite its rally over the past week, shares of Recursion Pharmaceuticals don’t score too well on Benzinga’s Edge Stock Rankings, but what about Ginkgo Bioworks and Schrodinger? Sign up for Benzinga Edge Stock Rankings today for more such insights.

Read More: This Is What Whales Are Betting On Recursion Pharmaceuticals

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