Tempus AI and Recursion Pharmaceuticals Extended Partnership
The companies have updated their data licensing agreement with a new three-year financial commitment.
Updated on Sept. 21, 2026 in Biotech
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Tempus AI and Recursion Pharmaceuticals have extended their data partnership through November 2029. The deal replaces previous discretionary license fees with $42 million in committed payments over three years.
Why it matters
The collaboration aims to advance precision medicine by leveraging advanced foundation models. Both companies are focused on using these tools to accelerate drug discovery and patient-specific treatments.
The deal grants Chicago-based Tempus AI a non-exclusive worldwide license to Recursion's RNA sequencing model, known as TxFM. The agreement replaces $84 million in discretionary fees with $42 million in committed payments over a three-year period.
The players
Tempus AI
Headquartered in Chicago, this technology company provides artificial intelligence-enabled precision medicine solutions.
Recursion Pharmaceuticals
This clinical-stage biotechnology company uses machine learning to industrialize drug discovery processes.
The details
Tempus AI has amended its original 2023 master agreement with Recursion Pharmaceuticals to secure broader access to the RNA-focused foundation model. This structural change ensures a more predictable financial outlook for the collaboration while integrating new sequencing capabilities into Tempus AI technology platforms.
Timeline
The partnership was originally established in 2023.
The extended agreement term concludes in November 2029.
The Tech Race
The licensing of the TxFM RNA sequencing model marks a shift toward industrializing biology through standardized foundation models rather than bespoke research tools. This move positions both companies to capture greater market share by scaling precision medicine capabilities through shared infrastructure.
This agreement signals a shift toward more consistent technological development for precision medicine, which may lead to faster diagnostic tools for patients. Users and medical developers can expect improved data integration capabilities as the companies unify their foundation model approaches.
The takeaway
The transition to committed payment structures indicates that both firms prioritize long-term stability over variable project-based funding. This strategy likely accelerates the deployment of AI-driven research platforms in the competitive precision medicine sector.
Further reading
Learn more about the latest industry developments in the Biotech section.
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