Drug delivery has seen plenty of acquisitions—but they represent two basic philosophical approaches, represented most recently by Johnson & Johnson 's purchase of Alza Corp. (the we-need-to-develop-our-own-products point of view) [See Deal] and Inhale Therapeutic System Inc.'s acquisition of two privately-held firms (the we-can-grow-as-a-service-business perspective).
According to the first view, by the mid-1990s, Alza had simply run out of growth opportunities in drug delivery. The...