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R. Lewis Dark: PCR Celebrates Its Twentieth Anniversary in 2005
IT'S BEEN A BUSY YEAR AND I HOPE NO ONE THINKS we've been remiss by
not mentioning a milestone anniversary until now. On the other hand, I
personally can't recall reading about this anniversary elsewhere in the
lab industry press during 2005. So maybe I am among the few to call
attention to the fact that, on March 28, 2005, a number of foundational
PCR (polymerase chain reaction) patents expired in the United States.
These patents have been held by Roche, which was bold in its original
decision to acquire these patents.
PCR was developed in 1985 by biochemist and surfer Kary Mullis,
Ph.D. while he worked for Cetus Corporation of Emeryville, California.
Cetus paid Mullis a $10,000 bonus for this invention. It was in 1998 that
Cetus, in collaboration with Perkin-Elmer Corporation, introduced the"DNA Thermal Cycler" to automate the PCR process.
By early 1989, Cetus had agreed to collaborate with Hoffman-
LaRoche to develop and commercialize IVD diagnostic products that
incorporated PCR technology. In 1991, Hoffman-LaRoche paid $300
million to Cetus and acquired the rights to PCR. Mullis was honored by
a Nobel Prize in Chemistry (for PCR) in 1993, just eight years after publication
of his work.
Today, with full hindsight, that bold decision to pay $300 million to
license PCR technology is widely viewed as a savvy business decision.
Roche has enjoyed substantial revenue from licensing fees and royalties paid
by companies and laboratories using this technology. Over 100 companies
and 600 laboratories worldwide have such arrangements with Roche.
Moreover, the expiration of the first PCR patents on March 28, 2005 may be characterized as"The King is Dead! Long Live the King!" That's because Roche states that"continuing patents and patent applications
number approximately 300 in the U.S. and approximately 900 outside the U.S." It has built this patent estate with an eye toward maintaining PCR licensing and royalty fees for some time into the future.
Because of the contribution that PCR has made in accelerating the genetic revolution—including the mapping of the human genome—I
certainly think it is appropriate to remind all laboratorians that PCR is officially 20 years old in 2005!
Innovative AP Reports Created by Path Group
Great example of responding to market,
clinicians like customized path reports
CEO SUMMARY: Too often local pathology groups fail to react
to intensified sales competition for the biopsy referrals of clinicians
in their community. In Torrance, California, the 30 pathologists
of Pathology, Inc. decided it was time to invest capital
and resources into developing their own flavor of"value-added"
pathology services. These custom-tailored pathology
reports are now pulling in new client accounts.
Quest Pays $934 Million
In Acquisition of LabOne
Quest Diagnostics came a' courting...
and LabOne decided to say"yes!"
CEO SUMMARY: In many ways, this acquisition would
appear to be the"same old story" of lab consolidation that
has marked the lab industry for almost 20 years. Yet,
beneath the surface is an unexpected dimension: a motive
to use the resources of both companies to better position
Quest Diagnostics Incorporated to compete in the rapidly evolving
national market for wellness services.
Picking Winners and Losers
For the Molecular Test Menu
EXPERIENCE TEACHES VALUABLE LESSONS AT BEAUMONT
CEO SUMMARY: In the 15 years it has operated a
molecular diagnostics testing program, Beaumont
Reference Laboratory (BRL) has learned important
lessons on how to evaluate which specific molecular
assays are ready for clinical introduction. It has also
learned effective ways to anticipate the clinical and
financial success of such assays. Part II of this two-part
series details some of the management strategies
and methods BRL uses to sustain its financially-viable
molecular testing program.
Proteomic Tests Poised
For Clinical Market
Potential for earlier detection,
higher sensitivity and specificity
CEO SUMMARY: Proteomics-based technology is developing
rapidly. The strategic collaboration announced last
month between Ciphergen Biosystems and Quest
Diagnostics Incorporated is potentially worth $25 million.
is an expensive bet that next-generation proteomics tests
soon to enter the clinical marketplace will provide high clinical
utility and give physicians new diagnostic tools.
INTELLIGENCE:
MORE CONSUMERS GET
EXPERTS TO CHALLENGE
ERRORS IN MED BILLS
"HIGH RISK" CONCERNS
AT AP LAB CONDO CO.?
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