The pharmaceutical sector is accelerating into an enterprise-scale AI future, according to a new report from health tech investor Define Ventures.

Based on interviews and surveys with more than 40 pharma and tech leaders — including 16 of the top 20 pharmaceutical companies — the report reveals that AI has moved from isolated pilots to a strategic imperative, with urgency mounting amid rising costs, tighter margins, and shifting regulations.

Around 85% of surveyed leaders said they are increasing their AI investment — with 70% viewing it as an immediate priority. Among top 20 companies, that figure jumps to 85%.

Lynne Chou O’Keefe, managing partner and founder at Define Ventures, said: “Pharma’s AI future will be defined in the next 12 to 24 months. What we’re seeing is a decisive acceleration to enterprise execution — with leaders embedding AI into core workflows to drive speed, efficiency, and real ROI.”

The report suggests a significant cultural shift in how pharma thinks about building versus buying. While the sector has historically preferred to build its own AI tools, only 30% of companies now intend to stick with that approach. A further 40% favour a hybrid strategy, and another 30% now prioritise external-first solutions.

But satisfaction with outside partners remains mixed: only 35% reported a positive experience. The message is clear — expectations are high, and solutions must integrate seamlessly into tightly regulated environments.

Tech giants are also becoming more deeply embedded. AWS, NVIDIA, Oracle Life Sciences and others are no longer just infrastructure providers; they’re actively shaping how pharma companies build, buy, and scale AI solutions.

Define’s report also highlights the areas where pharma is focusing most heavily. With AI now seen as a route to improving productivity and protecting margins, the top use cases include:

• automating medical writing (94% said it was a priority),

• reducing discovery costs,

• streamlining R&D workflows, and

• improving data infrastructure.

Despite wider budget constraints, pharma is outpacing other healthcare sectors when it comes to AI readiness. Around 80% now have formal governance structures for AI, and enterprise-level funding is replacing fragmented, department-level efforts.

Define, which manages $800 million in health tech investments, believes the coming year will be critical. “This moment is a generational opportunity for startups,” said Chou O’Keefe. “But they’ll need to scale, integrate seamlessly, and speak pharma’s language.”