R&D
Research and Development is the primary focus for Eli Lilly's capital allocation, with the company spending 25% of its sales ($14.2 billion this year) to create the next generation of medicines.
First Mentioned
9/29/2025, 5:01:45 AM
Last Updated
9/29/2025, 5:08:32 AM
Research Retrieved
9/29/2025, 5:08:32 AM
Summary
R&D, or Research and Development, is a critical area for pharmaceutical companies, particularly in the context of developing new treatments for conditions like diabetes, obesity, addictions, and mental health issues. Eli Lilly CEO Dave Ricks highlighted the importance of R&D funding, especially when discussing the pricing of GLP-1 drugs, emphasizing the need to balance access with investment in future innovation. This investment is crucial for developing groundbreaking therapies such as Tirzepatide, which has seen immense success, and for exploring new frontiers like oral GLP-1 pills and treatments for brain diseases. The company's strategy includes significant capital allocation towards expanding its supply chain and manufacturing capabilities, particularly in the United States. R&D efforts also face challenges, including counterfeit products, patent hacking influenced by legislation like the American Invents Act, and a difficult investment climate for biotech venture capital. Furthermore, R&D is influenced by regulatory bodies like the FDA and funding mechanisms such as NIH grants, while also being shaped by emerging technologies like AI in healthcare. Competitors like Novo Nordisk are also active in this space, with early studies in locations like Singapore contributing to the understanding of drug efficacy.
Referenced in 1 Document
Research Data
Extracted Attributes
Purpose
Innovate new products/services, improve existing offerings, stay competitive, gain market positioning, contribute to economic growth and social progress.
Challenges
Counterfeit products, patent hacking (influenced by American Invents Act), difficult investment climate for Biotech VC.
Definition
Creative and systematic work undertaken to increase the stock of knowledge and devise new applications using available knowledge.
Influencing Factors
Regulatory bodies (FDA), funding mechanisms (NIH grants), emerging technologies (AI in Healthcare).
Types of Activities
Basic research, applied research, experimental development.
Funding Consideration
Balance between increasing access to drugs and funding future innovation.
Key Areas (Pharmaceutical)
Diabetes, Obesity, Addictions, Mental Health, Brain Diseases.
Industries with High Spending
Pharmaceuticals, semiconductors, technology.
Timeline
- An early study in Singapore first demonstrated Tirzepatide's profound weight-loss effects, a result of R&D efforts. (Source: document_id:ab9acfb3-d90e-4c72-b46c-7b2b2d5e3293)
Early study (no specific date)
- Tirzepatide, a product of R&D, surpassed Keytruda as the world's top-selling drug. (Source: document_id:ab9acfb3-d90e-4c72-b46c-7b2b2d5e3293)
Q2 (unspecified year)
- Eli Lilly is aggressively allocating capital towards expanding its supply chain and building manufacturing plants in the United States to support R&D output. (Source: document_id:ab9acfb3-d90e-4c72-b46c-7b2b2d5e3293)
Ongoing
- Eli Lilly is developing an Oral GLP-1 pill as a result of ongoing R&D. (Source: document_id:ab9acfb3-d90e-4c72-b46c-7b2b2d5e3293)
Ongoing
Wikipedia
View on WikipediaR
R, or r, is the eighteenth letter of the Latin alphabet, used in the modern English alphabet, the alphabets of other western European languages and others worldwide. Its name in English is ar (pronounced ), plural ars. The letter ⟨r⟩ is the eighth most common letter in English and the fourth-most common consonant, after ⟨t⟩, ⟨n⟩, and ⟨s⟩.
Web Search Results
- Research and development - Wikipedia
Research and development (R&D or R+D), known in some countries as experiment and design, is the set of innovative activities undertaken by corporations or governments in developing new services or products. R&D constitutes the first stage of development of a potential new service or the production process. [...] From Wikipedia, the free encyclopedia General term for activities in connection with corporate or governmental innovation "R&D" redirects here. For the video game mod, see Research and Development (mod) "Research and Development (mod)"). [...] In general, research and development activities are conducted by specialised units or centres belonging to a company, or can be out-sourced to a contract research organisation, universities, or state agencies.[citation needed] In the context of commerce, "research and development" normally refers to future-oriented, longer-term activities in science or technology, using similar techniques to scientific research but directed toward desired outcomes and with broad forecasts of commercial yield.
- Definitions of Research and Development: An Annotated ...
R&D: Research and experimental development (R&D) activities are defined as creative and systematic work undertaken in order to increase the stock of knowledge—including knowledge of people, culture, and society—and to devise new applications using available knowledge. For reporting R&D activities, include the following: Administrative expenses for R&D, such as the operating costs of research facilities and equipment and other overhead costs. Exclude: [...] Research and development (R&D) comprise creative and systematic work undertaken in order to increase the stock of knowledge and to devise new applications of available knowledge. The term R&D does NOT include expenditures for the following: [...] Conduct of research and development (R&D): Research and experimental development activities are defined as creative and systematic work undertaken in order to increase the stock of knowledge—including knowledge of people, culture, and society—and to devise new applications using available knowledge. Include: Administrative expenses for R&D, such as the operating costs of research facilities and equipment and other overhead costs. Exclude:
- Understanding Research and Development (with Examples) - Shopify
Research and development is the process of expanding knowledge to create new products, services, or technologies. It helps businesses stay competitive by introducing innovative products or improving existing offerings. Prioritizing R&D can lead to stronger market positioning, increased revenue, and meaningful contributions to economic growth and social progress. [...] When you hear "research and development," you might picture scientists in lab coats or tech geniuses coding the next big app. While that image isn't wrong, it barely scratches the surface. Research and development (R&D) is not limited to science, pharma, or tech giants. It's a critical driver of innovation and growth for businesses across industries. By investing in R&D, companies can gain a competitive edge, create new products and services, and adapt to changing market demands.
- What Is Research and Development (R&D)? - Investopedia
Research and development (R&D) is the series of activities that companies undertake to innovate. It's often the first stage in the development process that results in market research, product development, and product testing. ### Key Takeaways [...] Research and development represents the activities that companies undertake to innovate and introduce new products and services or to improve their existing offerings. R&D allows a company to stay ahead of its competition by catering to new wants or needs in the market. Companies in different sectors and industries conduct R&D. Pharmaceuticals, semiconductors, and technology companies generally spend the most. R&D is often a broad approach to exploratory advancement. [...] Research and development activities focus on the innovation of new products or services in a company. A primary purpose of R&D activities is for a company to remain competitive as it produces products that advance and elevate its current product line. R&D typically operates on a longer-term horizon so its activities aren't anticipated to generate immediate returns. R&D projects may lead to patents, trademarks, or breakthrough discoveries with lasting benefits to the company, however, in time.
- Definitions of Research and Development: An Annotated ...
### Definition 2.5 Research and experimental development (R&D) comprise creative and systematic work undertaken in order to increase the stock of knowledge—including knowledge of humankind, culture and society—and to devise new applications of available knowledge. [...] 2.9 The term R&D covers three types of activity: basic research, applied research and experimental development. Basic research is experimental or theoretical work undertaken primarily to acquire new knowledge of the underlying foundations of phenomena and observable facts, without any particular application or use in view. Applied research is original investigation undertaken in order to acquire new knowledge. It is, however, directed primarily towards a specific, practical aim or objective. [...] R&D comprise creative and systematic work undertaken in order to increase the stock of knowledge and to devise new applications of available knowledge. This includes (a) activities aimed at acquiring new knowledge or understanding without specific immediate commercial applications or uses (basic research); (b) activities aimed at solving a specific problem or meeting a specific commercial objective (applied research); and (c) systematic work, drawing on research and practical experience and
Wikidata
View on WikidataInstance Of
DBPedia
View on DBPediaLocation Data
Rio de Janeiro, Região Geográfica Imediata do Rio de Janeiro, Região Metropolitana do Rio de Janeiro, Região Geográfica Intermediária do Rio de Janeiro, Rio de Janeiro, Região Sudeste, Brasil
Coordinates: -22.9110137, -43.2093727
Open Map