Autologous and allogeneic cell therapies are establishing viable clinical pathways but cannot be manufactured cost-effectively at scale. Manufacturing natural killer (NK) cell therapies, and possibly T-cell therapies, using induced pluripotent stem cells (iPSCs) is understood to be significantly more cost-effective. Now those cost advantages have been quantified.
Specifically, the cost of goods per treatment can be reduced as much as 95% when manufacturing via iPSCs rather than using traditional autologous or allogenic production methods. By decoupling production from the patient, manufacturers can benefit from large-scale batch production, standardized processes, less labor, and a less complex infrastructure than either autologous or allogeneic production. Details are spelled out in a white paper by Cellistic, based on an intense cost-of-goods analysis of NK cell therapy manufacturing performed by Astrid Van Damme, PhD, head of project management at Cellistic, for her MBA thesis.
In it, Van Damme advocates creating a universal master cell bank that feeds multiple working cell banks. Those working cell banks, in turn, generate intermediate hematopoietic stem cells that are differentiated into the final therapeutic product. “This cascade creates an essentially inexhaustible, standardized source material for the entire commercial lifecycle of the product,” she asserts.
Cellistic’s internal review compared seven economic drivers for each of the three cell therapy manufacturing options. Notable advantages for an iPSC manufacturing strategy include:
- Commercial scale production
- Exponential scale-up or scale-out
- Industrial-scale reproducibility
- Use of standard cold-chain logistics
- Minimal patient interactions
- Reduced patient attrition
- Potentially global market reach
An iPSC manufacturing strategy for cell therapies drops the cost of goods sold to about $5,000 per dose, down from $115,000 per dose for autologous therapeutics and $40,000 per dose for allogeneic therapeutics, Van Damme reports.
Autologous and allogeneic manufacturing, in contrast, both have severe constraints that increase costs for manufacturers and payers alike. Materials and labor alone account for 50% to 70% of autologous cell therapies—roughly $80,000 to $150,000. That’s a huge driver for U.S. list prices that, for the oncology therapeutics Kymriah® and Carvykti®, are at or above an adoption-limiting $475,000 per dose. Even after factoring in regional pricing differences and payer discounts, the net per-dose costs to payers are still extremely high.
Compared to iPSC manufacturing at clinical scale (150 vials and 200 M cells per vial) and at commercial scale (450 vials with 400 M cells per vial), Van Damme indicates:
- Labor costs constituted about 13% of the costs of goods (vs. about 70% for autologous methods)
- Costs per vial drop approximately 40%
- Fixed costs were diluted by a factor of three
“Once a minimum threshold of operational maturity and throughput is achieved, iPSC-based manufacturing economics become comparatively robust to routine operational variability,” the paper concludes.
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