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ELRIG Series: Managing freedom-to-operate (FTO) risks in drug discovery startups

For startups in the drug discovery space, innovation is only part of the equation. Equally critical, but often overlooked, is ensuring that the path to market is clear of third-party intellectual property (IP) barriers. This concept, known as Freedom-to-Operate (FTO), refers to the ability to develop, manufacture, and commercialize a product without infringing on the valid patent rights of others. Failing to address FTO early can expose startups to costly litigation, stalled development, and investor hesitation.