Ophthalmology has long been a bright spot for venture investors given the potential market size, health care burden, and high unmet medical need associated with many eye diseases. Based on a recent analysis by Start-Up magazine, there is no sign that trend is diminishing. Using Elsevier's Strategic Transactions database, Start-Up found that private backers have poured nearly $1.8 billion into 58 ophthalmology start-ups since 1999, with the money split nearly 50/50 in terms of device and drug investments. This trend is likely to accelerate as a number of new acquirers emerge to play in what was once a niche area.

Spurred by the commercial success of Lucentis, start-ups developing new therapeutics for AMD tap into a growing understanding of the pathogenesis of the disease. In this issue, we profile five emerging AMD drug developers: Acucela, Iconic Therapeutics, MacuCLEAR, Ophthotech, Optherion and Sirion Therapeutics.

Recent research advances and relaxation of government restrictions have opened the stem cell field to product possibilities. Companies developing these potentially revolutionary products must also come up with workable business models. In this issue we profile five emerging contenders: Amorcyte, California Stem Cell, Cardio3 BioSciences, CellDesign and Fate Therapeutics.

Investments in emerging pharmaceutical and biotech companies continued to decline in June, with around 10 companies raising just $214.5 million in private fundraising, just over half of what was raised in April. Significantly, confidence in the US market has fallen dramatically with only seven companies representing the US in Scrip’s study. In April, it had appeared that US investors were able to shrug off the subprime fiasco and weather the current financial storm, but it now appears that confidence has again waned. Indeed, unlike April, in which US companies accounted for 99% of all private fundraising conducted, in June this figure fell to 70%.