Please support this claim with some links to those "facts." (I do not believe them accurate.) I own about 25 or 30 stocks that I classify as "early stage drug developers" but some are more like new drug delivery systems, pegalation, transdermal patches, etc. than new drugs themselves. I.e. there is no clear boundary - why I say 25 or 30 stocks. AFAIK, only one gets a significant fraction of its R&D funds from the US government (NIH or its subdivisions) That one is Starpharma, (ADR sphry) based in Australia but has a US branch, working (and selling products already) on Non-medical applications of dendrimers (precision branched nano-particles). Their main product in late stage development is VitaGel - a vaginal cream whose nano particles attach to many STD agents to make them incapable of entering the body. Because many women in third world countries have little choice or control about unprotected sex, The WHO is also funding VitaGel development. (Woman can apply its hours prior to sex and male need not know she has.) Starpharma has basically paid nothing for the development of VitaGel, due to it great promise for stopping the advance of AIDs, herpes, and other STD with free WHO distribution of it when approved. They have no debt as lot of their R&D expenses also comes from "big Pharma." E.g. just yesterday Lily agreed to fund and later commercializes drug products using Starpharma's dendrimers. They can act as magic bullets delivering the drug to specific tissue only. (The drug is attached to some of the dendrimer branches and others have "bonding structures" attached that fit (lock and key like) to specific receptor sites on the target cells.) Lily joins about a dozen other large companies with joint development contracts, including the world's largest maker of condoms, who wants to be the unique supplier of dendrimer coated condoms. StarPharma is unique in its funding as they hold ALL of the IP (patents, etc) on dendrimers. I have already almost tripled my relative large investment in SPHRY, but expect it to at least triple again when VitaGel is approved. VitaGel is just the start of medical applications of dendrimers.