31 January 2025 – In a significant realignment of its neuroscience portfolio, Johnson & Johnson (J&J) has made the decision to terminate three clinical-stage neuroscience programs, signaling a renewed focus on core therapeutic areas. The most notable casualty of this shift is seltorexant, a dual orexin 2 receptor antagonist originally being developed as a treatment for Alzheimer’s-related sleep disturbances.

Seltorexant Case

Seltorexant had been positioned as a novel intervention for sleep-wake disturbances in Alzheimer’s disease patients—a population grappling with symptoms that significantly impact both cognitive decline and caregiver burden. Despite initial promise and alignment with the sleep-modulation strategy, J&J has opted to discontinue the program. This move underscores the complex challenges inherent in translating sleep regulation concepts into effective therapies for Alzheimer’s, leaving patients and families without a plausible near-term alternative.

Other Neuroscience Cuts

While specifics on the other two shuttered programs haven’t been fully disclosed, all were situated within the neuroscience domain. The strategic retreat suggests that J&J is recalibrating its R&D focus toward areas with more predictable timelines or therapeutic potential—possibly deprioritizing high-risk neurological areas with historically lower success rates.

Strategic Reorientation

This decision comes at a critical moment as biopharma companies grapple with escalating R&D costs, increasingly complex regulatory expectations, and a demand for precision-targeted pipelines. By stepping away from these neuroscience efforts, J&J appears set on reinforcing its investment in higher-probability domains, potentially including oncology, immunology, or cardiovascular disease—areas where pipelines may generate nearer-term returns or strategic partnerships.

In parallel with these program cancellations, J&J’s workforce and operational bandwidth tied to neuroscience are expected to be redeployed toward projects that align more closely with the company’s prioritized therapeutic directions.

As the year unfolds, J&J’s shift raises questions about the future of sleep-related treatments in Alzheimer’s and the overall state of late-stage neuroscience investment. Will other industry players pick up the mantle for seltorexant-like interventions? Or will this mark a broader retrenchment from high-risk neurology R&D?