From Algorithm to Medicine: AI in the Discovery and Development of New Drugs
Abstract
1. Introduction
- Virtual screening of new entities, new molecules or other already known, identifying the drug candidates with the highest success rate.
- De novo design of chemical structures with the desired pharmacological properties [7].
2. Materials and Methods
3. Drug Development Cycle: Traditional Versus AI-Driven Methods
3.1. Discovery and Development
3.2. Preclinical Research
3.3. Clinical Research
- Phase I: Evaluation of safety, tolerability, and pharmacokinetics in about 20 to 100 healthy volunteers/patients. In this phase, AI assists by adjusting initial doses and predictions of responses, in order to minimize risk [1].
- Phase II: evaluation of efficacy in a larger number of subjects (100 to 300) with the disease under study. AI techniques can support the selection and recruitment of ideal patients and, using genetic and clinical data, assist in designing trials that are tailored to each situation. They can also virtually simulate compounds and their potential interactions [2,3,10].
- Phase III: involves a larger number of patients. It is at this stage that the submission of the regulation is determined. Failures in this step result in significant financial losses, but the use of AI to optimize protocols and predict risks allows for a substantial reduction in these losses [6,13].
3.4. Post-Marketing
4. Fundamentals of the Different Artificial Intelligence Approaches and Drug Research
4.1. Artificial Intelligence with Supervision
4.2. Unsupervised Artificial Intelligence
4.3. Artificial Intelligence Techniques
4.3.1. Supervised Models
- A.
- Support Vector Machines (SVM)—a classification model that allows you to outline the best plan between two different groups. It is a technique that works with little data, but that manages to clearly separate the groups.
- B.
- Artificial Neural Networks (ANN)—inspired by the human brain, this model can learn from data. The most common techniques are
- i.
- Multi-layer Perceptron (MLP) classifies and predicts values according to the data.
- ii.
- Convolutional Neural Networks (CNN) analyze images and molecular structures.
- iii.
- Recurrent Neural Networks (RNN) analyze data in series and permit the generation of new molecules based on the chemical sequence.
- C.
- “Random Forest” (RF)—permits the evaluation and prediction of the toxicity of a compound according to its chemical characteristics. It is simple and helps to avoid the common mistakes of the traditional method.
- D.
- Logistic Regression—permits classification of the data into two groups and calculates the probability of an event, according to the variables.
4.3.2. Unsupervised Models
- A.
- “K-means” and “clustering”—assess molecular clustering and identify disease subtypes.
- B.
- Principal Component Analysis (PCA)—can reduce the size of the compounds and visualize the chemical space.
- C.
- Self-Organizing Maps (SOM)—projects large molecular datasets onto 2D maps.
4.3.3. Deep Learning Models
- A.
- CNN—used in visual or structural representations.
- B.
- RNN—generates molecules based on representations.
- C.
- Transformers—inspired by natural language processing and used to represent mole.
4.3.4. Generative Models
- A.
- Variational autoencoders (VAE) is a model that compresses and reconstructs the data to create the molecule. It is important to create molecules with a structure similar to known drugs.
- B.
- Generative Adversarial Networks (GAN) are an advanced DL model that works in two parts: the Generator, which creates false data that mimics the real one, and the Discriminator, which has the function of evaluating whether the data is true or false [16,19]. This approach allows the creation of innovative molecules with the desired pharmacological properties and increases the diversity of existing compounds. It is successfully applied in de novo molecular design, allowing the creation of chemical structures that meet the criteria of solubility, bioactivity, and toxicity (Figure 4) [34]. Additionally, it enhances the efficiency of chemical space exploration and accelerates the development of drug candidates.
- C.
- Reinforcement learning (RL) is a technique in which the AI learns by trial and error, that is, the AI makes decisions according to the result and receives a reward if it is right or is punished if it is wrong. In this way, it is possible to optimize the molecules and their processing. These methods enable the continuous generation and optimization of compounds, as well as the simulation of experimental cycles.
4.3.5. Bayesian Models
4.3.6. Molecular Representations and Techniques of QSAR/QSPR
4.4. Identification and Evaluation of Therapeutic Targets with Artificial Intelligence
4.5. Design of New Compounds
4.6. Artificial Intelligence Screening and Optimization
4.7. Emerging AI Technologies: Large Predictive and Language Models
5. Cycle: Design, Make, Test, Analyze
- Design: generation of new compounds through GAN and VAE.
- Make: prioritization of compounds with better synthetic viability, based on certain chemical parameters.
- Test: computer simulations of molecular interactions and evaluation of pharmacological properties.
- Analyze: analysis of the experimental results, with adjustments to the models to achieve the desired characteristics.
5.1. Absorption, Distribution, Metabolization, Excretion and Toxicity
5.2. Patient Selection and Challenges
5.3. Advantages of AI in Pharmaceutical Research Versus Data Challenges and Solutions
6. Application of Artificial Intelligence in Managing Specific Pathologies
6.1. Alzheimer’s Disease
6.2. Cancer
6.3. Diabetes Mellitus
6.4. Bacterial Infections
6.5. Obsessive–Compulsive Disorder
7. Ethical, Regulatory Implementation and Societal Challenges
7.1. Ethical Challenges
7.1.1. Algorithm Bias and Health Equity
7.1.2. Data Privacy and Informed Consent
7.1.3. Socio-Economic Impact
7.2. Regulatory Challenges and Implementation Frameworks
7.2.1. Algorithmic Explainability Challenge
7.2.2. Current Regulatory Frameworks and Solutions
7.3. Path Forward
8. Discussion and Future Perspectives
8.1. Achievements and Critical Gaps
8.2. Future Technological Directions
- Integrated Multi-Stage Platforms: future AI systems will likely integrate multiple functions—molecular generation, property prediction, synthetic route planning, and formulation optimization—into unified platforms that optimize across the entire development pipeline rather than individual stages in isolation. Such platforms will need to balance computational efficiency with mechanistic interpretability to satisfy both scientific and regulatory requirements [68,69].
- Physics-Informed Machine Learning: hybrid approaches that combine data-driven learning with physics-based simulations and mechanistic biological models offer potential to improve generalization beyond training data while maintaining interpretability. This includes incorporating quantum mechanical calculations, molecular dynamics simulations, and systems biology models into AI workflows [68].
- Active Learning and Experimental Design: AI systems that actively propose experiments to maximize information gain represent an evolution from passive prediction to active experimental design. Such systems could dramatically reduce the number of experiments required to identify successful drug candidates, particularly valuable for expensive in vivo studies and clinical trials [69,70].
- Multimodal Data Integration: future AI applications will increasingly integrate diverse data types—genomic, proteomic, metabolomic, clinical, imaging, and real-world evidence—to achieve a more comprehensive understanding of disease mechanisms and drug responses. This holistic approach is particularly critical for complex diseases and personalized medicine applications [54,55,70].
- Explainable AI for Regulatory Acceptance: Development of intrinsically interpretable AI architectures, alongside post-hoc explanation methods, will be essential for regulatory acceptance. Future AI systems must not only predict outcomes but also provide mechanistic rationale that domain experts can evaluate and regulators can scrutinize [71,72].
8.3. Emerging Application Frontiers
8.3.1. Precision Medicine and Therapeutic Personalization
8.3.2. Expanding Therapeutic Modalities
- -
- Drug Repurposing at Scale: Systematic, AI-driven exploration of existing drugs for new indications could rapidly expand therapeutic options, particularly for rare diseases and emerging health threats. The COVID-19 pandemic demonstrated both the potential and limitations of this approach, highlighting the need for improved prediction of off-target effects and clinical outcome modeling [19,23].
- -
- Combination Therapy Optimization: AI methods for predicting synergistic drug combinations could address complex diseases requiring polypharmacy, such as cancer, infectious diseases, and metabolic disorders. However, the combinatorial explosion of possible drug pairs and the scarcity of combination therapy data represent significant challenges requiring innovative experimental and computational strategies [56,69].
- -
- -
- Global Health and Neglected Diseases: AI offers opportunities to accelerate drug discovery for diseases disproportionately affecting low- and middle-income countries, where traditional pharmaceutical development models have failed due to limited commercial incentives. However, realizing this potential requires deliberate efforts to address data scarcity, infrastructure limitations, and capacity building in these regions [23].
8.4. Computational Sustainability and Resource Considerations
8.5. Regulatory Evolution and Governance
- AI-Specific Regulatory Guidance: Regulatory agencies must develop clear standards for validating AI-generated predictions, documenting training datasets, assessing algorithmic bias, and monitoring post-deployment performance. International harmonization of these standards will be critical for global drug development [2,72,80].
- International Collaboration and Data Sharing: Realizing AI’s full potential requires international consortia that enables data sharing while preserving privacy, competitive interests, and intellectual property. Models such as federated learning, which enables training on distributed datasets without centralizing sensitive data, show promise but require further technical development and policy frameworks [80].
8.6. Education and Workforce Development
- Interdisciplinary training programs that deeply integrate AI, pharmaceutical sciences, and clinical training.
- Continuing education for current pharmaceutical professionals to develop AI literacy.
- Ethical training that prepares researchers to recognize and address bias, privacy, and equity concerns.
- Industry-academic partnerships that provide hands-on experience with real-world drug development challenges.
8.7. Synthesis and Path Forward
Supplementary Materials
Author Contributions
Funding
Institutional Review Board Statement
Informed Consent Statement
Data Availability Statement
Conflicts of Interest
Abbreviations
| ADMET | Absorption, Distribution, Metabolization, Excretion and Toxicity |
| AI | Artificial Intelligence |
| ANN | Artificial Neural Networks |
| CNN | Convolutional Neural Networks |
| DL | Deep Learning |
| DMTA | Design–Make–Test–Analyze |
| DNN | Deep Neural Networks |
| EMA | European Medicines Agency |
| FDA | U. S. Food and Drug Administration |
| GAN | Generative Adversarial Networks |
| ICH | International Council for Harmonisation |
| ML | Machine Learning |
| PCA | Principal Component Analysis |
| QSAR | Quantitative Structure–Activity Relationships |
| QSPR | Quantitative Structure–Property Relationships |
| RF | Random Forest |
| RL | Reinforcement Learning |
| RNN | Recurrent Neural Networks |
| SMILES | Simplified Molecular Input Line Entry System |
| SVM | Support Vector Machines |
| VAE | Variational Autoencoders |
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| Traditional Method | AI-Driven Methods | |
|---|---|---|
| Development Cycle | It takes 10 to 20 years, between discovery and commercialization. | Time can be reduced from 12 to 30 months in some cases. |
| Failure Rates | High rate, especially in complex diseases. | Algorithms help in predicting efficacy and toxicity Increased success. |
| Costs | High costs. | Cost reduction through virtual screening and less dependence on clinical trials and laboratories. |
| Clinical Trials | Manual, slow and low-efficiency process. Testing with multiple molecules and poorly viable candidates. | Automatic selection of compounds and patients based on genetic and clinical data. |
| Advantages of AI models | ||
| Supervised | Unsupervised | |
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© 2026 by the authors. Licensee MDPI, Basel, Switzerland. This article is an open access article distributed under the terms and conditions of the Creative Commons Attribution (CC BY) license.
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Lopes, A.B.; Rodrigues, C.F.; Silva, F.A.M. From Algorithm to Medicine: AI in the Discovery and Development of New Drugs. AI 2026, 7, 26. https://doi.org/10.3390/ai7010026
Lopes AB, Rodrigues CF, Silva FAM. From Algorithm to Medicine: AI in the Discovery and Development of New Drugs. AI. 2026; 7(1):26. https://doi.org/10.3390/ai7010026
Chicago/Turabian StyleLopes, Ana Beatriz, Célia Fortuna Rodrigues, and Francisco A. M. Silva. 2026. "From Algorithm to Medicine: AI in the Discovery and Development of New Drugs" AI 7, no. 1: 26. https://doi.org/10.3390/ai7010026
APA StyleLopes, A. B., Rodrigues, C. F., & Silva, F. A. M. (2026). From Algorithm to Medicine: AI in the Discovery and Development of New Drugs. AI, 7(1), 26. https://doi.org/10.3390/ai7010026

