Solving drug discovery with AI: Stop searching and start creating

AI’s Breakthrough in Drug Discovery: Unlocking New Cures Faster at Web Summit Vancouver 2026

At Web Summit Vancouver 2026, Mr. Handol Kim, Co-Founder and CEO of Variational AI, addressed the critical challenge of drug discovery. He highlighted the application of generative AI to accelerate the development of small molecule drugs, which are typically administered as pills. This innovative approach aims to tackle one of humanity’s most pressing health problems.

Mr. Kim explained that a significant hurdle in drug development is the high failure rate, with 65% of drugs failing before human trials and only a 10% success rate once in clinical trials. This process costs hundreds of millions of dollars per program, leading to billions wasted annually by pharmaceutical companies and leaving countless patients untreated. This situation, he emphasized, is unacceptable.

The difficulty stems from the vastness of “chemical space,” which encompasses an estimated 10^60 potential drug-like molecules. Current scientific methods have only explored a minuscule fraction of these structures. Traditional drug discovery primarily involves the “exploitation” of known molecules, where scientists modify existing compounds, making the process lengthy and inefficient.

Variational AI seeks to revolutionize this by increasing “exploration” before exploitation. By exploring a broader range of molecular space, the subsequent exploitation phase becomes faster, cheaper, and more efficient. The conventional design, make, test, and analyze cycles, which can take weeks to months and are repeated hundreds of times, are a major contributor to the high costs and failures.

Variational AI’s generative AI platform achieves over 100 times greater efficiency than traditional methods. The molecules generated by their system are superior in potency and selectivity, possessing all the desired properties of an effective drug. Instead of synthesizing hundreds of molecules, researchers can now focus on tens, drastically reducing the time from years to potentially less than a year.

The technology functions similarly to image generation models like Midjourney, but instead of text prompts creating images, Variational AI uses the “language of chemistry” to generate novel molecular structures. This not only speeds up the process and improves accuracy but also creates entirely new, patentable molecules, which is crucial for drug development.

The company’s traction is evident through a $349 million collaboration with Merck MSD, announced in September. Variational AI is currently managing seven concurrent programs with a lean team of 18 employees, demonstrating the power of generative AI to disrupt the industry. Their bookings are projected to increase tenfold from 2024 to 2025.

Mr. Kim also mentioned that Variational AI is currently raising $20 million in Series A funding. The company’s core mission is to empower chemists in drug companies, enabling them to develop better drugs faster. This ultimately aims to provide quicker access to life-changing medicines for patients suffering from diseases like cancer, diabetes, and neurodegenerative conditions.

The ultimate goal extends beyond merely extending survival, as seen with some blockbuster drugs. Variational AI is driven by the vision of finding “magical molecules” with unprecedented properties that can lead to cures, fundamentally changing the status quo in healthcare and offering hope for a healthier future.