This episode analyzes how Artificial Intelligence (AI) is transforming drug discovery, focusing on two distinct strategies: first-in-class (novel mechanisms) and best-in-class (improved existing treatments). It compares both approaches' scientific, clinical, and regulatory pathways, highlighting AI's role in accelerating target identification, compound design, and preclinical development. Through SWOT analyses and case studies in areas like oncology and rare diseases, the text illustrates AI's potential to reduce costs, shorten timelines, and improve success rates, ultimately impacting market dynamics and return on investment for pharmaceutical companies. The document concludes with recommendations for effectively integrating AI into drug discovery pipelines to maximize its impact. Produced by Dr. Jake Chen.