[Report] K-Bio Dreaming of Growth in the 'Most Innovative Space in the World'

Cambridge, USA 'Kendall Square'
20 Domestic Companies Move In Through Government Support

The Driving Force of Boston Bio Cluster Enabling Diverse Real-Time Networking

There is a place called the "most innovative space in the world." Located in Kendall Square in Cambridge near Boston, USA, within just 2.9㎢ (1 square mile), it houses headquarters or major hubs of cutting-edge IT and biotech companies such as Google, Facebook, Biogen, and Moderna, as well as venture capital (VC) firms, universities like Harvard and the Massachusetts Institute of Technology (MIT), hospitals, startup spaces, coffee shops, restaurants, and parks. Kendall Square is also considered the core of Boston, which is recognized as the world's largest bio cluster.

The marker stone of Kendall Square in Cambridge, Massachusetts, USA, inscribed with "The Most Innovative 1 Square Mile in the World"
Photo by Lee Chunhee

As the domestic pharmaceutical and biotech industries rapidly grow, the desire to expand overseas has increased, leading Korean companies to attempt establishing footholds in Boston, known as the world's top bio cluster. In response, the Ministry of Health and Welfare and the Korea Health Industry Development Institute have been running the "K-Blockbuster Project" since last year, facilitating and supporting the settlement of Korean companies in this area through the "C&D Incubation Center" initiative.

Currently, 20 diverse companies have settled here, ranging from traditional pharmaceutical firms such as Yuhan USA, Huons USA, Dong-A ST, and JW Pharmaceutical, to advanced biohealthcare companies involved in AI drug discovery or digital healthcare like Aribio, Voronoi, Standigm, Welt, and Hi. Kim Young-ok, Director of Planning at the Development Institute, remarked, "It seems there is no person or country involved in bio globally that hasn't passed through Boston," adding, "We have established a Korean base right in the heart of Boston."

On the 6th (local time), the C&D Center visited was like a playground prepared for Korean biohealthcare companies to thrive globally. The Cambridge Innovation Center (CIC), where the C&D Center is located, is considered the most central part of Kendall Square. Established in 1999 as a shared office and networking platform for companies, CIC leases two entire buildings right next to the Kendall Square landmark from MIT.

The Cambridge Innovation Center (CIC) building located in Cambridge, Boston, USA
Photo by Lee Chunhee

CIC is not a shared office specialized in the bio industry. In fact, Android Inc., which developed Google's mobile operating system (OS) Android, also started based here. Globally, about 25% of CIC's resident companies are life sciences-related, but at this CIC, nearly half of the resident companies are involved in life sciences, making it a relatively high proportion.

Korean companies that have set up offices at CIC with support from the Development Institute operate their branches in various ways, including hiring local staff directly or dispatching employees. Some companies have reported direct benefits. Ryu Eun-joo, CEO of Dong-A ST USA, which moved into the C&D Center earlier this year, said, "Managing projects of the locally acquired Neurobo Pharmaceuticals has become much faster and easier," adding, "We feel the changes in the global industry firsthand, meeting directly with local medical professionals, institutions, and venture capitalists (VCs), and access to both the U.S. and Europe has become much easier."

That evening, the Venture Cafe on the 5th floor of CIC hosted the "Korean Bio Innovation Night" event, attended by over 300 people. Participants freely enjoyed Korean foods such as japchae and dakgangjeong while engaging in diverse networking. Park Soon-man, head of the Development Institute's U.S. office, explained, "Many domestic bio and pharmaceutical companies applied to move in because they can establish a U.S. base cheaply and quickly," adding, "The Venture Cafe holds weekly events on various topics and shares event information, creating an excellent environment for CIC residents to network broadly and diversely."

The rent at CIC is not cheap at all. Although it offers an environment where one can start a business just by bringing a laptop, with extensive networking opportunities and even simple meals provided, the cost is $10,000 (about 13 million KRW) per desk per month. However, by utilizing the Development Institute's C&D Center project, the institute covers the full rent for shared office desks used by one person and supports up to 1.2 million KRW per month for other spaces. Regarding this project, Director Park emphasized, "The basic function of the U.S. office is to be a 'bridge,'" adding, "Our mission is to connect domestic companies wishing to enter the U.S. market with partners." Additionally, the Development Institute runs various bridging projects, such as connecting domestic companies seeking local investment with investors through networking.

Team Rowe (Time Rowe) CIC Founder and CEO
[Photo by Lee Chunhee]

Attempts to introduce such an environment domestically are also underway. Tim Rowe, founder and CEO of CIC, said, "We want to create CIC Korea," adding, "We are mainly looking at locations in Gangnam." Rowe personally visited Korea in February for this purpose. Director Park also said, "At that time, Rowe met many people during his visit, and I understand that after Tokyo, they plan to establish an office in Korea as well," emphasizing, "If CIC Korea is established, it will create a network with all CICs worldwide."

Large bio companies are also expected to support these movements. Jung Nam-jin, head of Samsung Biologics Bio Research Center, said, "Samsung Biologics plans to create a space like CIC at its second bio campus, which we are building to establish a bio cluster in Korea," adding, "Helping startups with new ideas and sharing our know-how to revitalize the domestic ecosystem is one of the roles Samsung Biologics must fulfill as a global company."

This content was produced with the assistance of AI translation services.