The Business of Genes
Let’s go back in time a little.
It’s 1950. A girl is born in a hospital — one of the very best in the world — in London. The family is absolutely elated. You can see smiles everywhere. The room is flooded with gifts, bouquets & lots of champagne. Friends & family are already teasing around with potential names for the girl.
A few meters away, you can see the surgeon navigating through blood & DNA reports. And what she reads makes her heart sink. The girl is diagnosed with a rare genetic disorder, that will slowly kill her in the next few months. There is no treatment available. The family is devastated & there’s not much they can do but grieve.
«« Zoom forward 73 years »»
It’s 2023. A girl is born in the same hospital. Diagnosed with the same rare genetic disorder. Yet, the surgeons are busy with other deliveries. No sweat. The family members are busy giving their little baby girl soft pecks on her cheeks. No one panics.
WHY? What the hell happened in the last 73 years?
Humans developed the ability to edit the genome. Or more specifically, edit the sequencing of the DNA. And this, is going to change life as we know it.
What’s the fuss over DNA?
I’ve never paid much attention to DNA. I know it has some biological importance. I have learnt from Bollywood movies that through DNA tests you can find out a person’s real parents.
Turns out, this tiny little molecule found in each cell of your body is EXTREMELY important. It contains genetic information that gets passed on by parents to their kids. It contains information about your height and how stinky your breath is going to be. It is nature’s way of storing & transmitting information. Pretty neat I’d say.
DNA [also] contains information of the genetic diseases you’ve inherited. And, this has gotten folks inside the boardrooms of pharma companies pretty excited.
Business Idea 1: Diagnostics
Board Member 1: Well….what if we could…help people in diagnosing rare inherited diseases? Or help them find out how deep their family tree runs? Heck, we could even charge couples to diagnose if they’re at a risk of having children with inherited diseases. BIG BIG MARKET GUYS.
Business Idea 2: Customized Medicine
Board Member 2: That’s a good idea but I’ve got something else. What if…using the genetic information in the DNA we’re able to figure out which medications work best for which individual. We can customize medication. We can cure people faster. More effectively. Avoid nasty side-effects. Sounds like a plan to me - what do you think?
Business Idea 3: GENE EDITING
Board Member 3: Good ideas. No doubt. But forget about diagnostics or the ability to customize medicines for a particular person. What if we can edit the sequencing of the DNA itself? GODDAYUM! That could change everything. Imagine a kid born with a genetic disorder — you could edit his DNA and the disorder is gone. You could create super humans. We could sell this to the military & ramp up our defense business. This is an absolute goldmine and the potential is unlimited. We’re going to make a lot of money folks!
[Board member 1 & 2 nod in agreement]
What can we do about this?
Well, this isn’t a science blog. We’re interested in the concept of wealth creation. And it pays to keep close attention to disruptive technologies.
Gene editing. DNA sequencing. Synthetic Biology. Whatever you want to call it. The fact is, humans now have the ability to play GOD. They can alter DNA of human beings, of animals, of microorganisms. Practically almost everything.
A lot of companies [listed & unlisted] are building some really interesting products around Genomics. The global market size of genomics is $28.1 BILLION growing at a CAGR of 16.4% to touch $95 BILLION by 2030, which I think is a conservative estimate.
India has barely scratched the surface. Genomics is a relatively new concept in India with huge potential. 1.4 BILLION people with an absolute treasure of gene diversity. Several companies are already making strides in this area.
Mukesh Ambani — Asia’s richest man understands the potential of this market & is set to launch a genome sequencing kit for INR 12,000 which will help identify a person’s likelihood to develop cancer, heart problems & inherited genetic disorders among other diseases.
As an investor, you should be on the lookout for innovations & developments in this space. You can invest in Global ETFs that track companies in the field of Genomics.
As a human being though, I am both excited & scared as this technology advances. We have a tool in our hands that is extremely powerful. Unpredictable. With unlimited possibilities. And if we’ve learnt anything from history — it’s that humans are not the most efficient users of disruptive technologies.
Maybe it’s genetic & we can edit that out?