Navigating the VC and Biotech Landscape

A discussion with Brian Gormley, The Wall Street Journal

The biotech VC market is shifting – fast. While oncology and inflammation research are attracting record-breaking investment, other areas like gene therapy, CRISPR, and certain early-stage innovations are facing a funding squeeze. The gap between the ‘haves’ and ‘have nots’ has never been wider, leaving many biotech founders struggling to secure capital.

For companies looking to break through, a strong communications strategy is more critical than ever. In a competitive funding landscape, PR professionals play a crucial role in helping biotech startups and established players tell compelling stories that attract investor interest, differentiate them from competitors, and align them with broader industry trends.

As part of Brands2Life’s ongoing ‘Meet the Media’ series, we spoke with Brian Gormley, a veteran journalist at The Wall Street Journal who specializes in venture capital (VC) and healthcare. With decades of experience covering the evolving VC and private equity (PE) landscape, Brian shared valuable insights into where the money is flowing, why certain sectors are cooling off, and how PR professionals can sharpen their messaging to engage both investors and media in an increasingly competitive market.

Biotech and Healthtech: The ‘Haves’ and ‘Have Nots’

According to Brian, the biotech sector is increasingly divided between companies that can raise capital with ease and those struggling to secure funding. While overall investment remains strong, money is being concentrated in fewer, more established players, particularly in high-priority areas like oncology and inflammation research.

“Right now, VCs are doubling down on sectors with clear clinical success and regulatory pathways,” Brian explained. “Oncology, inflammation, and certain immunotherapies are seeing major funding rounds, while riskier areas like CRISPR, gene editing, and gene therapy are facing more hurdles.”

This shift is largely due to a more risk-averse funding climate, where investors prioritize later-stage companies and repeat entrepreneurs over first-time founders working in emerging science.

How PR Can Bridge the Gap

For biotech companies navigating this divide, communications teams can make the difference between being overlooked and standing out by:

1. Telling a compelling investment story – Investors need to see not just the science, but the broader commercial opportunity. PR professionals must help companies translate complex biotech breakthroughs into narratives that demonstrate market potential, patient impact, and regulatory feasibility.
2. Aligning with industry trends – Given that funding is flowing toward oncology and inflammation, biotech companies in other sectors must work harder to show how their innovations fit into the evolving landscape. PR teams can position their clients as part of a larger industry movement, rather than just another startup seeking funding.
3. Building credibility through media – With VCs increasingly backing repeat entrepreneurs, first-time founders face steeper challenges. Securing thought leadership placements, media coverage, and industry recognition can help establish credibility and de-risk investment in emerging companies.

The Shifting Landscape of VC Funding

Beyond sector-specific trends, Brian highlighted a broader shift in biotech VC funding: fewer deals, but bigger investments for the ones that do close.

“Fewer startups are getting funded, but the ones that do are raising huge rounds—often exceeding $100 million,” he noted. Repeat entrepreneurs with a strong track record are the biggest beneficiaries of this trend, while first-time founders face more scrutiny and fewer opportunities.

How PR Can Help Companies Navigate This Change

For biotech companies looking to break into this increasingly selective market, a strong media presence and a compelling brand story can tip the scales in their favor by.

1. Positioning executives as industry leaders – Thought leadership in top-tier media can help first-time founders build credibility, which is increasingly important in a funding environment that favors repeat entrepreneurs.
2. Highlighting traction and momentum – Investors are looking for signals of success. PR teams can emphasize key milestones—such as partnerships, clinical trial progress, and regulatory wins—to create a sense of momentum and urgency.
3. Conducting Strategic media outreach – With fewer deals happening, biotech companies can’t afford to be passive. PR teams must proactively engage with journalists who shape industry narratives, ensuring their clients are part of the broader VC and biotech conversation.

Final Thoughts: PR as a Competitive Advantage

Our conversation with Brian reinforced a key theme we see day-to-day in the work we do with our clients: in an increasingly competitive funding environment, PR and strategic communications are no longer optional—they are a business necessity.

With funding consolidating around fewer companies and certain sectors cooling off, biotech startups must go beyond the science and craft a compelling, investment-worthy narrative. The ability to clearly articulate value, align with industry trends, and secure high-impact media coverage can make all the difference in securing capital and driving long-term success.

As PR professionals, understanding these funding patterns allows us to position companies effectively, secure media attention, and navigate the complexities of the venture capital landscape.

We’re grateful to Brian for sharing his insights and look forward to continuing these valuable discussions in our other upcoming Meet the Media sessions!