Life sciences: the challenge of moving from ‘egosystems’ to competitive ecosystems
The sector generates 1.5 trillion euros of added value in the EU and is growing steadily, but we need to move towards a cultural paradigm focused on collaboration and integration
The life sciences sector is a driving force behind the socio-economic fabric of welfare systems at national, European and international levels. According to European Commission data, it generates 1.5 trillion euros in added value within the EU, equivalent to 9.4 per cent of GDP. This sector creates high-value jobs and accounts for 13.6 per cent of employment in the European Union. Overall, over the last ten years, the life sciences have recorded steady annual growth of between 4 per cent and 7 per cent in their value added.
The need for a common strategy
When we talk about Life Sciences, we are referring to a sector that brings together the public and private sectors, starting with research and core expertise which then lead to innovations, patents, businesses and technologies of global significance capable of addressing global public health challenges. It is no coincidence that Europe has been at the forefront of the most promising scientific and pharmaceutical discoveries for decades, including in the field of biotechnology.
With its Life Sciences Strategy, launched in 2025, Europe has decided to strengthen its capacity for innovation and promote growth in this strategic sector. The need to boost global competitiveness now calls for a common strategy, which must involve all EU Member States, fostering synergies between regional innovation ecosystems, attracting capital to the region, an increase in patents and innovative start-ups, and a reduction in the time taken for innovations – from medical devices to medicines – to reach the market.
China and the US as competitors
In terms of biotech patents, Europe ranks second to the United States; a position it risks losing to China, a major new competitor in the global life sciences sector, capable of shifting expertise and capital away from traditional centres of interest. Between 2012 and 2022, R&D expenditure by life sciences companies across Europe doubled, demonstrating the dynamism and importance of this sector. However, the transition from innovation to commercialisation remains a critical challenge for the EU as a whole, partly due to competition from the United States, where 60 per cent of biotech venture capital is concentrated: a fundamental gap to which Europe has decided to respond with new dedicated instruments and funds.
A cultural shift is needed
But resources alone are not enough; we need to move towards a cultural paradigm geared towards collaboration and integration. In this regard, the European Strategy identifies clusters as key players in fostering synergies: this is where the value of regional and national technology clusters lies, and hence the ALISEI Cluster Plan for the next two years, which is geared towards strengthening regional, national and European collaborative networks in support of research, innovation and our industrial base.
