The number of deals made within the pharmaceutical industry fell in 2006 for the second year in a row. Should that be taken as an indication that the industry is turning away from deal making? Far from it, according to PharmaVentures#8217; new report lt;igt;The Pharmaceutical Deals of 2006 #8211; Lessons for 2007lt;/igt;. In this report, a team of experts analyses deal making trends for 2006 in eight indication and interest areas (CNS; anticancer; drug delivery; cardiovascular; metabolics and gastrointestinal; respiratory; infectious diseases; and inflammation and musculoskeletal); all eight saw a fall in the number of deals, although this was offset by a significant leap their value. The trends identified are placed in the context of several years of alliances and partnerships, and the experts reflect on what they reveal about the changing landscape of the industry, and highlight the key drivers which will continue to direct deal making strategies through 2007.