$167 Billion Invested in Biotech R&D is Underserved by AI, Offering Huge Opportunity for New On-Premises AI Infrastructure Platform from KALA BIO, Inc. (Nasdaq: KALA)
$KALA AI Platforms Will Enable Biotechs to Leverage Institutional-Grade AI Without Surrendering Control of Key Intellectual Property
Clinical-Stage Biopharmaceutical Company Building a Dedicated, On-Premises AI Infrastructure Platform for the Biotechnology Industry.
Initiative to be a Dedicated AI Infrastructure Partner for the Biotech Industry with On-Premises AI Systems Where Proprietary Data Never Leaves Client Control.
Platform-as-a-Service Model to Generate Recurring Revenue by Licensing AI Capabilities Where Top 20 Pharma Companies Invested $167 Billion in 2024.
KALA to Serve as First Deployment Client, Applying Researgency to its Proprietary MSC-S Biological Datasets and KPI-012 Clinical Program.
Exclusive Worldwide License on Researgency Platform for 12-Month Term with Renewal Options; Platform Architecture designed for Multi-Client Deployment.
On-Premises, Data-Sovereign Architecture to Differentiate Researgency from Centralized AI Platforms will Enable Biotechs to Leverage Institutional-Grade AI Without Surrendering Control of their Most Valuable Intellectual Property.
$10.6 Million of Company Debt Settled in January.
KALA BIO, Inc. (Nasdaq: KALA) is a clinical-stage biopharmaceutical company building a dedicated, on-premises AI infrastructure platform for the biotechnology industry. The KALA dual strategy combines a proprietary biologics pipeline, including its mesenchymal stem cell secretome (MSC-S) platform and FDA Orphan Drug and Fast Track designated product candidates, with a scalable AI platform-as-a-service business designed to deploy secure, purpose-built AI systems directly within biotech and pharmaceutical client environments.
Through its exclusive license for the Researgency AI research platform, KALA intends to serve as the dedicated AI infrastructure partner for the biotechnology industry, enabling companies of all sizes to unlock the value of their proprietary biological data without ever surrendering control of it.
Strategic Initiative to Deploy and Continue to Develop an On-Premises AI Infrastructure Platform for the Biotech Industry
On March 4th KALA announced a strategic initiative to build a biotechnology industry dedicated, on-premises artificial intelligence infrastructure platform, designed to be deployed directly within biotech and pharmaceutical client environments, enabling companies across the life sciences sector to unlock additional potential of their proprietary biological data without ever surrendering control of it.
KALA also announced that it has entered into a Platform Development and Exclusive License Agreement with 2624465 Ontario Inc., operating as Younet AI, for a proprietary AI research platform, internally designated “Researgency,” designed to deploy custom, secure, large language models (“LLMs”) purpose-built for biomedical research and data science applications. The Agreement provides KALA with initial platform access during a 12-month initial term and the option, in the sole discretion of KALA, to extend the Agreement for successive 12-month renewal terms.
The biotechnology industry faces a fundamental structural problem: thousands of small and mid-cap biotech companies are generating enormous volumes of proprietary biological data, from preclinical studies, clinical trials, genomic sequencing, protein interaction mapping, and secretome analysis, but the vast majority of these companies lack the internal resources, infrastructure, or specialized talent to deploy advanced AI capabilities against that data. At the same time, these companies are rightly unwilling to surrender their most sensitive intellectual property, the biological data, trade secrets, and clinical datasets that represent years of investment and form the core of their competitive advantage, to centralized, third-party cloud platforms.
KALA intends to solve this problem. The KALA vision is to serve as a dedicated AI infrastructure partner for the biotechnology industry, deploying the Researgency platform directly within each client’s own secure environment, on their own servers, under their own control. In this model, KALA would provide the AI platform, the purpose-built biomedical agents, and the ongoing optimization, while the client would retain full ownership and custody of their data at all times. No proprietary information would ever leave the client’s infrastructure. No biological data would be shared with public AI services.
KALA believes this on-premises, data-sovereign approach represents a fundamentally different model from the centralized AI platforms currently operating in the life sciences space. While established AI drug discovery companies, including well-funded, publicly traded platforms with billion-dollar market capitalizations, typically require clients to upload proprietary data to centralized cloud environments, the KALA architecture is designed from inception to go to the client, not the other way around. This distinction is critical in an industry where intellectual property, trade secrets, and regulatory-sensitive data represent the most valuable assets a company possesses.
The Market Opportunity: $167+ Billion R&D Ecosystem Underserved by AI
The global AI drug discovery market is projected to grow at a compound annual growth rate approximately 25%,1 driven by AI’s demonstrated ability to compress traditional drug development timelines, which historically average 10 to 15 years and cost up to $2.6 billion per approved drug,2 to potentially as little as 12 to 18 months for preclinical candidate nomination, while reducing costs by an estimated 30 to 40 percent.3 Dozens of AI-designed drug candidates are currently in clinical trials globally, up from only three in 2016,4 with the first AI-discovered drug approvals anticipated in the near term.
The world’s twenty largest pharmaceutical companies collectively invested approximately $167 billion in research and development in 2024,5 yet the pharmaceutical industry’s combined investment in AI-driven drug discovery was estimated at approximately $4 billion in 2025, expected to grow to approximately $25 billion by 2030.6 KALA believes this represents one of the largest technology adoption gaps in any major industry.
More importantly, KALA believes the addressable market for on-premises, secure, purpose-built AI infrastructure, specifically designed for small and mid-cap biotech companies that cannot afford to build in-house AI capabilities and are unwilling to send proprietary data to centralized platforms, is substantially underserved. There are over 3,200 biotechnology companies in the United States alone,7 the majority of which are generating biological data that could benefit from AI-driven analysis but lack a viable, secure path to deploying it. KALA believes this segment represents a significant near-term revenue opportunity for a platform specifically architected to serve their needs.
KALA believes the current AI drug discovery landscape is dominated by centralized platform models that require biotech companies to upload proprietary data to third-party cloud environments. While these platforms have demonstrated the power of AI in drug discovery, they present significant barriers for the thousands of biotech companies whose proprietary biological data, trade secrets, and regulatory-sensitive information represent their most valuable assets.
As its own first deployment client, KALA intends to apply AI-driven analytical tools through the Researgency platform.
$10.6 Million of Debt Settled
On January 5th KALA announced the successful completion of its loan settlement with Oxford Finance, LLC, marking a transformational milestone for the Company. The completion of the settlement resolves critical debt obligations.
Recently, KALA completed a $2 million payment obligation to Oxford. Effective immediately upon this payment, KALA settled the Oxford debt obligations of approximately $10.6 million as of December 26, 2025. As a direct result of this $2 million payment, all of the KALA obligations under both the Settlement Agreement and the underlying Loan Agreement have been fully satisfied and discharged.
For more information on KALA visit www.kalarx.com
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