8-K

                                  UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                    FORM 8-K

                                 CURRENT REPORT
     Pursuant to Section 13 or 15(d) of The Securities Exchange Act of 1934

        Date of Report (Date of earliest event reported): October 9, 2007

                           ARIAD Pharmaceuticals, Inc.
             (Exact name of registrant as specified in its charter)


          Delaware                      0-21696                  22-3106987
(State or other jurisdiction          (Commission             (I.R.S. Employer
      of incorporation)               File Number)           Identification No.)


              26 Landsdowne Street, Cambridge, Massachusetts 02139
               (Address of principal executive offices) (Zip Code)


       Registrant's telephone number, including area code: (617) 494-0400


                                 Not Applicable
          (Former name or former address, if changed since last report)


Check the appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing obligation of the registrant under any of the
following provisions (see General Instruction A.2. below):

|_|  Written communications pursuant to Rule 425 under the Securities Act (17
     CFR 230.425)

|_|  Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
     240.14a-12)

|_|  Pre-commencement communications pursuant to Rule 14d-2(b) under the
     Exchange Act (17 CFR 240.14d-2(b))

|_|  Pre-commencement communications pursuant to Rule 13e-4(c) under the
     Exchange Act (17 CFR 240.13e-4(c))



ITEM 1.01 Entry into a Material Definitive Agreement

On October 9, 2007, ARIAD Pharmaceuticals, Inc. (the "Registrant"), along with
its 80%-owned subsidiary, ARIAD Gene Therapeutics, Inc. (together, the
"Company"), entered into a non-exclusive license agreement with ICON Medical
Corp. ("ICON"), an emerging cardiovascular medical device company, to develop
and commercialize drug-eluting stents that deliver ARIAD's novel mTOR inhibitor,
deforolimus (the "Products"), to prevent restenosis of injured vessels following
interventions in which stents are used in conjunction with balloon angioplasty.
Under the license agreement, the Company granted to ICON a non-exclusive,
worldwide, royalty-bearing license, under its patents and technology, to
develop, manufacture and sell the Products. The term of the license agreement
extends to the later to occur of the expiration of the Company's patents related
to the rights granted to ICON under the license agreement or fifteen years after
the first commercial sale of a Product. ICON is required under the license
agreement to use commercially reasonable efforts to develop the Products. The
license agreement provides that the Company will receive an equity stake in ICON
pursuant to a Stock Purchase Agreement, up to $27 million in payments based on
achievement of certain clinical, regulatory and commercial milestones for two
products and royalties on worldwide sales of all Products. The Company is
required to use commercially reasonable efforts to supply deforolimus to ICON
for use in the development, manufacture and sale of the Products.

The license agreement may be terminated by either party for breach after a cure
period of up to 90 days, in the case of bankruptcy by either party, by ICON upon
30 days prior written notice if ICON determines, in its reasonable business
judgment, that it is not in its business interest to continue development of any
Product, or by the Company upon 30 days' prior written notice, if it determines
that it is not in its business interest to continue development and regulatory
approval efforts with respect to deforolimus.

A copy of the press releaseannouncing the collaboration, dated October 11, 2007,
is filed herewith as Exhibit 99.1 and the information contained therein is
incorporated by reference into this Item 1.01 of this Current Report on Form
8-K.

ITEM 9.01 Financial Statements and Exhibits.

(d)  The following exhibits are filed with this report

     Exhibit
     Number             Description
     ------             -----------
     99.1               Press release dated October 11, 2007


                                       2


                                   SIGNATURES

     Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.

                                       ARIAD Pharmaceuticals, Inc.


                                       By: /s/ Edward M. Fitzgerald
                                           -------------------------------------
                                           Edward M. Fitzgerald
                                           Senior Vice President, Finance and
                                           Corporate Operations, Chief Financial
                                           Officer


Date: October 15, 2007

                                       3


                                  EXHIBIT INDEX
                                  -------------

Exhibit
Number            Description
- ------            -----------
99.1              Press release dated October 11, 2007

                                       4

EX-99.1

                                                                    Exhibit 99.1

         ARIAD Announces Collaboration with ICON Medical to Develop and
                 Commercialize Novel Deforolimus-Eluting Stents

         Agreement Further Highlights Therapeutic Value of ARIAD's Novel
                                 mTOR Inhibitor

     CAMBRIDGE, Mass.--(BUSINESS WIRE)--Oct. 11, 2007--ARIAD Pharmaceuticals,
Inc. (NASDAQ: ARIA) today announced that it has entered into a non-exclusive
license agreement with ICON Medical Corp., an emerging cardiovascular medical
device company, to develop and commercialize drug-eluting stents that deliver
ARIAD's novel mTOR inhibitor, deforolimus, to prevent restenosis of injured
vessels following interventions in which stents are used in conjunction with
balloon angioplasty. Inhibitors of mTOR block the wound-healing response to
arterial injury that leads to restenosis.

     As part of the agreement, ARIAD will receive an equity stake in ICON, up to
$27 million in payments based on achievement of certain clinical, regulatory and
commercial milestones for two products and royalties on worldwide sales of all
ICON medical devices delivering deforolimus. ICON will be responsible for the
development and commercialization of these medical devices, and ARIAD will
supply deforolimus to ICON for use in these devices. Additional terms were not
disclosed.

     ARIAD has retained the right to enter into one additional non-exclusive
license agreement, in addition to the licenses granted to ICON and Medinol Ltd.,
to develop and commercialize medical devices delivering deforolimus for use in
vascular disease.

     "ICON is one of the most innovative and promising medical device companies
with broadly applicable technologies," said Harvey J. Berger, M.D., chairman and
chief executive officer of ARIAD. "ICON's design and manufacturing capabilities
have led to highly differentiated stent platforms and bioabsorbable polymer
formulations that should enable its deforolimus-eluting stents to provide
substantial benefit to patients with coronary and peripheral vascular disease.
This agreement further enables ARIAD to focus on developing deforolimus in
multiple cancer indications with our partner, Merck & Co., while maximizing the
drug's potential non-oncology applications."

     The proprietary metal alloy (Nuloy(TM)) developed by ICON permits the
manufacture of stents with extremely thin struts, yet without sacrificing radial
strength. The Nuloy coronary stent system can be readily delivered to target
vessels and positioned in difficult-to-reach vascular lesions, without
compromising radiopacity (density) or durability of the stent. The Nuloy
bare-metal stent has successfully completed its first-in-humans clinical trial.
This platform will form the basis for ICON's initial deforolimus-eluting stent
for use in coronary arteries.

     "We are delighted with the opportunity to work together with the ARIAD
team. Having access to a well-characterized and broadly studied drug for use in
drug-eluting stents should allow ICON to move ahead expeditiously in the
development of our portfolio of innovative cardiovascular products for coronary
and peripheral vascular disease," said Jay Yadav, M.D., chairman of ICON.
President and chief executive officer of ICON, Jack Merritt added, "The
combination of the Nuloy stent platform and deforolimus should provide
interventional cardiologists with breakthrough treatment options in this growing
patient population."

     About Restenosis and Drug-eluting Stents

     Restenosis is a reblockage of an artery at the same site where a treatment,
such as balloon angioplasty and/or a stenting procedure, has been implemented
weeks to months earlier. In patients who have undergone balloon angioplasty and
stent placement, restenosis within and around the stent occurs frequently,
depending on the stent design and underlying disease. The main reason for such
reblockage is the overgrowth of tissue (similar to scar tissue) that may cause
narrowing of the vessel and further constriction. Stents that release a drug,
such as an mTOR inhibitor (e.g., sirolimus) or a mitotic inhibitor (e.g.,
paclitaxel), have been shown to reduce the extent of tissue overgrowth, lower
the incidence of restenosis and result in improved clinical outcomes for many
patients.

     About Deforolimus

     ARIAD's lead product candidate, deforolimus, is a novel small-molecule
inhibitor of the protein mTOR, a "master switch" in cancer cells. Blocking mTOR
creates a starvation-like effect in cancer cells by interfering with cell
growth, division, metabolism, and angiogenesis. Multiple Phase 1 and 2 clinical
trials of deforolimus in solid tumors and hematologic cancers have completed
patient enrollment. The ongoing global Phase 3 SUCCEED trial of oral deforolimus
in metastatic soft-tissue and bone sarcomas is based on a Special Protocol
Assessment agreed upon by the U.S. Food and Drug Administration. ARIAD has a
global partnership with Merck & Co., Inc. to develop and commercialize
deforolimus in cancer. Blocking mTOR also impedes the wound-healing response to
arterial injury that leads to restenosis. ARIAD is collaborating with Medinol
Ltd. and ICON Medical Corp. to develop deforolimus-eluting stents to prevent
restenosis of injured vessels following interventions in which stents are used
in conjunction with balloon angioplasty.

     About ICON Medical

     ICON Medical Corp., an emerging cardiovascular medical device company, is
engaged in the development of an innovative new stent material, Nuloy(TM), to be
used as a platform for both bare-metal and drug-eluting stents. The Nuloy
material has inherent properties which allow for extremely thin struts, almost
50% thinner than the most advanced commercial coronary stent available. Nuloy
allows ICON to manufacture stents with increased strength, radiopacity and
deliverability, and decreased elastic recoil compared with that in existing
stent materials. The ICON Nuloy stent material allows for dramatic improvements
in crossing profile and deliverability, without compromise to radiopacity and
durability of the stent.

     ICON is also developing a bioabsorbable stent platform based on its
Micro-Electro-Mechanical Systems (MEMS) technology for use in peripheral
vessels. The MEMS technology allows ICON to enhance mechanical functionality and
drug delivery by way of multi-layer tailoring construction of the stent and by
incorporating microstructures, which deliver drug directly to the site of injury
deep within the medial vessel wall. This controlled delivery of drug followed by
stent absorption may result in improved outcomes and re-intervention options in
superficial femoral arteries.

     About ARIAD

     ARIAD is engaged in the discovery and development of breakthrough medicines
to treat cancer by regulating cell signaling with small molecules. ARIAD is
developing a comprehensive approach to patients with cancer that addresses the
greatest medical need - aggressive and advanced-stage cancers for which current
treatments are inadequate. ARIAD has a global partnership with Merck & Co., Inc.
to develop and commercialize deforolimus, ARIAD's lead cancer product candidate.
Medinol Ltd. and ICON Medical Corp. are also developing deforolimus-eluting
stents to prevent restenosis of injured vessels following interventions in which
stents are used in conjunction with balloon angioplasty. ARIAD has an exclusive
license to pioneering technology and patents related to certain NF-(kappa)B
treatment methods, and the discovery and development of drugs to regulate
NF-(kappa)B cell-signaling activity, which may be useful in treating certain
diseases. Additional information about ARIAD can be found on the web at
http://www.ariad.com.

     This press release contains "forward-looking statements," including
statements related to the potential payment of clinical, regulatory and
commercial milestones and product royalties. Forward-looking statements are
based on management's expectations and are subject to certain factors, risks and
uncertainties that may cause actual results, outcome of events, timing and
performance to differ materially from those expressed or implied by such
statements. These risks and uncertainties include, but are not limited to, the
costs associated with our research, development, manufacturing and other
activities, the conduct and results of pre-clinical and clinical studies of our
product candidates, difficulties or delays in obtaining regulatory approvals to
market products resulting from our development efforts, our reliance on
strategic partners and licensees, and other key parties for the successful
development, manufacturing and commercialization of products, the adequacy of
our capital resources and the availability of additional funding, patent
protection and third-party intellectual property claims relating to our and any
partner's product candidates, the timing, scope, cost and outcome of legal and
patent office proceedings concerning our NF-(kappa)B patent portfolio, the
potential acquisition of or other strategic transaction regarding the minority
stockholders' interests in our 80%-owned subsidiary, ARIAD Gene Therapeutics,
Inc., future capital needs, key employees, markets, economic conditions, prices,
reimbursement rates, competition and other factors detailed in the Company's
public filings with the U.S. Securities and Exchange Commission. The information
contained in this document is believed to be current as of the date of original
issue. The Company does not intend to update any of the forward-looking
statements after the date of this document to conform these statements to actual
results or to changes in the Company's expectations, except as required by law.


     CONTACT: ARIAD
              Edward M. Fitzgerald, 617-621-2345
              or
              ICON
              Jack Merritt, 404-920-2062
              or
              Pure Communications
              Sondra Newman, 617-877-5687