Company: SNY
Filing Date: 2025-02-13
Form Type: 20-F
Source: 0001121404-25-000010
Chunk: 34

Company: Sanofi
Filing Date: 2025-02-13
Form: 20-F
Chunk 34
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 investments in such markets may also be adversely affected. For example, the BIOSECURE Act in the United States, which would prohibit federal agencies from entering into certain contracts with or expenditures related to companies that have specified commercial connections with “biotechnology companies of concern” (the identification criteria for which have not been determined, and the list of which has not been defined and could be very extensive, including companies in China), has been proposed in the US Congress, and, if enacted, could restrict our ability to contract or collaborate with such biotechnology companies. This, in turn, could materially and adversely affect our or our collaboration partners’ ability to manufacture or supply marketed products and product candidates, or to advance our or our collaboration partners’ preclinical research, which could materially and adversely affect our business and future prospects. We may fail to develop or take advantage of digitalization and prioritizing data as an organizational asset We have undertaken several digital initiatives, such as the implementation of artificial intelligence (AI) across our business. For example, in research and development, we have built multiple AI programs to reduce research times through improved predictive modelling. We are also seeking to automate time-consuming activities, enabling research and development teams to scale and accelerate research processes and improve potential target identification in therapeutic areas such as immunology, oncology and neurology. In manufacturing and supply, we have developed an in-house AI-enabled yield optimization solution that delivers higher yield levels and optimizes usage of raw materials. Our success in these efforts will depend on many factors including data availability; entering into successful partnerships and alliances with technology companies (such as the AI collaboration with Formation Bio and OpenAI announced in May 2024, aimed at building AI-powered software to accelerate drug development ); a profound transformation of our organization; a cultural change among our employees, and the development of relevant skills; our ability to adopt AI agents; attracting and retaining employees with appropriate skills and mindsets in a tight labor market; and successfully innovating across a variety of technology fields, while seeking to comply with evolving external regulations. In recent years, we have accelerated our digital transformation, including in the ways we engage and interact with our stakeholders. However, there is no guarantee that our efforts towards digital transformation will succeed. More generally, we may fail to capture the benefits of AI, digitalization and valuing data as an enterprise asset at an appropriate cost and/or in a timely manner, and/or enter into appropriate partnerships. Competitors, including new entrants such as tech companies, may outpace us in this fast-moving area.