The global demand for drug discovery services market isexpected to rise at a 14.5% CAGR to acquire a valuation of US$ 50.9 Bn by the
end of forecast period 2022-232. The global drug discovery services
market size was valued at US$ 15.5 Bn in 2021 and is projected to reach a
valuation of US$ 32 Bn by 2026
The global drug research services industry is booming as aresult of increased funding for research and innovation in a multitude of
segments. The drug discoveryprocess is a significant part of the pharmaceutical sector. The study on drug discovery services market findsthat the efforts of researchers towards the development of new drug prototypes
have popularized outsourcing ofdrug discovery services. Moreover, growing spending on research and thedevelopment of novel medications for the treatment of deadly diseases and
disorders has stimulated the demand for drug discovery platform. Pharmaceutical and biopharmaceuticalbusinesses are opting for seamlessly engaged and multifunctional solution
providers for drug discoveryresearch, from the developing phase to the late testing stages. Emerging trends in drug discovery services market portendsthat pharmaceutical companies opt for outsourcing as a key choice to offset the
shortage of in-house manpower required for new product development, as
pharmaceutical businesses face great pressure to reduce overhead costs.
Restrictive laws regulating drug research and animal testingare projected to limit drugdistribution to some extent. Drug discovery service organizationsare facing restrictions due to a limitation of trained employees. The use of
animals in pharmaceutical research is governed by strict laws. Mice, rats,
fish, amphibians, and reptiles are the most common animals utilized in
scientific studies. Considerations over the ethical use of animal
experimentation have prompted countries to enact animal safety and use
statutes, which raises a number of impediments to the future of drug discovery services market.
The drugdiscovery trends indicate that Biologics, such as proteins,peptides, and monoclonal antibodies, account for more than half of the
therapeutic possibilities in the initial cycle. In 2022, biologics are
estimated to make up for approximately half of the income earned by the top 100
pharmaceutical drugs. As per the globalmarket study on drug discovery services, they provide the drug discoveryservices market with highest growth potential through the forecast period.
Despite the fact that small-molecule pharmaceuticalcompanies monopolize the global pharmaceutical market, players working with
biologics, biosimilars, and large-molecule drugs are tapping into the drug discovery services marketopportunities primarily to introduce new biologic-based treatmentsand rising revenue from current biologics.
All-in-all, the drugdiscovery services market is expected to reach a valuation of US$32 Bn by 2026.
- Key Takeaways
- The drug discovery services market is divided into two types--chemistry and
biology services. In 2020, the chemistry drug discovery services category held the greatest proportion of the market. - Small molecules are expected to occupy the largest share of revenue when
compared to biologics. Drug discovery statistics specify that small molecules are expected to generate more than US$ 10,800 million in revenue by the end of 2026. - The oncology category is predicted to have the leading position, owing to the
increasing number of cancer patients around the world. - In comparison to other innovative drug discovery services, Hit-To-Lead identification is expected to acquire the most traction.
- As the most revenue generating phase, several CROs are already delivering
Hit-to-lead identification services to pharmaceutical corporations.
“The Asia Pacific drug discovery services market growthis anticipated to be the highest during the projected duration, owing to
expansions happening in the pharmaceutical and biopharmaceutical industry. A
high proportion of contract research organizations (CROs), government incentives,
high research and development in pharmaceutical industry, and the involvement
of less restrictive standards for drug discovery programs (particularly in
terms of using animals for research) across several APAC countries are some
drivers sustaining the healthy growth of the drug discovery services market.”, opines a seasoned FMI analyst.
Competitive Landscape
The COVID-19 pandemic highlighted the importance ofoutsourcing drug discovery services for companies and research groups in North
America. These companies are now working together with the government to
facilitate the drug discoveryprocess.
- Existencia, a business using artificial intelligence in drug discovery, announced a collaboration with Diamond Light Source and Scripps Research on March 31, 2020, to identify
COVID-19 antiviral treatments. - Samsung Biologics, a South Korean pharmaceutical business, has signed a long-term
partnership with Eli Lilly and Company to develop bamlanivimab, an
investigational COVID-19 virus-neutralizing antibody.
Genesis Therapeutics and Genentech announced a multi-target drug discovery AI partnershipin November 2020. Genesis' graph machine learning and drug discovery skills
will be used in this cooperation to identify novel drug candidates for
therapeutic targets in a variety of illness domains.
Key Segment
- By Process:
- Target Selection
- Target Validation
- Hit-to-Lead Identification
- Lead Optimization
- Candidate Validation
- By Type:
- Chemistry Services
- Biology Services
- By Drug Type:
- Small Molecules Drugs
- Biologics Drugs
- By Therapeutic Area:
- Neurology
- Infectious and Immune System Diseases
- Digestive System Diseases
- Oncology
- Other Therapeutic Area
- By End User:
- Pharmaceutical & Biotechnology Companies
- Academic Institutes
- Manufacturing
- Other End Users
- By Region:
- North America
- Latin America
- Europe
- Asia Pacific
- Middle East and Africa
Information Source: https://www.futuremarketinsights.com/reports/drug-discovery-services-market
