FRONTEO Signs Phase 2 Agreement with Daiichi Sankyo on Toxicity Information Analysis Using the Drug Discovery AI Factory

Tokyo, Japan, 18 August 2025 - FRONTEO, Inc. announced that it has signed an agreement with Daiichi Sankyo Co., Ltd. (“Daiichi Sankyo”) for analysis services leveraging FRONTEO’s AI drug discovery support platform, Drug Discovery AI Factory (“DDAIF”)¹. The agreement covers analysis of Daiichi Sankyo’s toxicology study databases and the text content of toxicology study reports.

This new contract follows validation of the “Text Analysis of Toxicology Study Reports” initiative launched with Daiichi Sankyo in November 2024². Building on those results, the partners will further utilize DDAIF to derive insights from toxicology study databases and report text.
Results from the above initiative were presented by Daiichi Sankyo’s research team at the 52nd Annual Meeting of the Japanese Society of Toxicology, held July 2–4, 2025³.

Scope of the new initiative
To more effectively utilize Daiichi Sankyo’s existing toxicology study database and report text, FRONTEO will deploy DDAIF to:

• Assess the feasibility of automatically linking numerical data in the toxicology database with the corresponding toxicological judgments described in the study reports; and
• Support construction of an enhanced database and provide consulting toward its regular updates.

Background and challenges in using toxicology study information
In April 2025, the U.S. Food and Drug Administration (FDA) signaled a policy direction aimed at replacing animal testing in pharmaceutical R&D with approaches such as AI and cultured-cell assays, with goals that include animal welfare and reductions in cost and timelines. Globally, the “3Rs” of animal experimentation—Replacement, Reduction, and Refinement—have become an international trend. The EU and Japan likewise seek greater use of legacy toxicology data and the introduction of new technologies.

AI-based analysis of toxicology data enables comprehensive, less biased evaluation. DDAIF, powered by FRONTEO’s proprietary, domain-specialized AI KIBIT, can scientifically and systematically uncover previously unreported relationships beyond existing literature. By extracting new insights from toxicology study reports, DDAIF is expected to support toxicity prediction for novel compounds.

Looking ahead, FRONTEO will continue advancing and deploying DDAIF, which combines the natural language processing capabilities of KIBIT with FRONTEO’s proprietary analytical methodologies. Through these efforts, FRONTEO aims to contribute to R&D for innovative medicines and therapies, progress in medical and pharmaceutical research, growth of the pharmaceutical industry, and improvements in the quality of healthcare and patients’ quality of life (QOL).

■Notes

1. DDAIF: An AI-driven drug discovery support service provided by FRONTEO’s drug discovery experts, who apply the company’s proprietary domain-specialized AI KIBIT (natural language processing) and analytical methods to generate target and indication hypotheses and supporting evidence.
2. Press release dated November 12, 2024: “FRONTEO and Daiichi Sankyo sign agreement on optimization and analysis of toxicity information using the Drug Discovery AI Factory.” https://www.fronteo.com/news/pr/20241112
3. Press release dated July 8, 2025: “Daiichi Sankyo presents on utilization of toxicology study databases using FRONTEO’s NLP AI technology.” https://www.fronteo.com/news/pr/20250708

About FRONTEO Drug Discovery AI Factory (DDAIF)
Website: AI Drug Discovery Support Platform “Drug Discovery AI Factory” - FRONTEO LifeScience AI

FRONTEO Drug Discovery AI Factory (DDAIF) is an AI drug discovery support service that combines KIBIT, an AI specialized in natural language processing (patented in Japan and the U.S.), with the expertise of FRONTEO's drug discovery researchers and AI engineers. By analyzing disease-related gene networks and building hypotheses about target candidates, DDAIF provides powerful support for researchers' decision-making in drug development.
This service has already been adopted by several major pharmaceutical companies and has a proven track record.

■About FRONTEO, Inc. https://www.fronteo.com/en/

FRONTEO provides its proprietary specialized AI “KIBIT” to support expert judgment across domains confronting social challenges. Its unique natural language processing technology (patented in Japan, the U.S., and Europe) enables fast, high precision analysis without reliance on training data volume or computational power. Additionally, patented technology that maps (visualizes structure) analyzed information allows KIBIT to directly influence expert insights, and in recent years, KIBIT has been applied in hypothesis generation and target discovery for drug development.

To achieve the philosophy of "providing solutions that do not overlook risks and opportunities buried in records and realizing fairness in the information society," FRONTEO is promoting the social implementation of KIBIT's unique technology and AI solutions in the following areas: life science AI, risk management (business intelligence and compliance support, economic security, and legal tech AI), and DX (business intelligence and professional support)

Founded in August 2003, FRONTEO was listed on the Tokyo Stock Exchange Mothers Market (now the Growth Market) on June 26, 2007. The company has offices in Japan, the United States, and South Korea. As of March 31, 2025, FRONTEO’s capital stands at 899,176,000 yen.

*The technology used in Drug Discovery AI Factory is protected by 21 patents held by FRONTEO in Japan, South Korea, the U.S., and Europe.
**FRONTEO, KIBIT, and Drug Discovery AI Factory are trademarks or registered trademarks of FRONTEO in Japan, Europe, the U.S., and South Korea.