Drug Discovery Services Market Will Touch USD 54.2 Billion by 2030
The drug discovery services market was valued around USD 21 billion in 2023, which will touch USD 54.2 billion by 2030, powering at a rate of 14.7% by the end of this decade.
The growing R&D expenditure of the pharma and biopharma sectors, growing demand for initiatives for orphan drug and rare disease research, outsourcing analytical testing services, and expensive nature of the in-house drug advance process are all opening novel revenue streams in the industry.
The hit-to-lead identification category dominates the industry with a share of 35%, in 2023. The iterative procedure of lead identification, also called by the name of hit-to-lead, is an important stage in initial drug research.
Outsourcing these services assists pharma companies in attaining higher economies of scale and efficiency. The expansion of pioneering in-silico techniques to advance the lead identification process, for example CADD and structure-based drug designs, also supports the expansion of the category.
The small-molecule drugs category has a considerable share. Small molecules are important in the making of new treatments for patients at a global level, and such pharmaceuticals make up half the sales of specialty drugs, a fact that can also be observed in the present approval trends.
Moreover, the growing investments, chiefly in cancer research, are another factor reassuring the expansion of small-molecule drugs. They are more reasonable, simpler to produce, and can be together with intracellular targets, therefore making them perfect for oral administration, chiefly for treating chronic disorders. The continuing research projects to investigate and create new therapies for diverse indications are, thus, will have a significant influence on the growth of the industry.
The biologics drugs category will be the most opportunistic in the years ton come. Many life-saving medications, including the ones for treating cancer, cardiovascular ailments, and diabetes, are created by the biologics industry recently. The market will develop in the near future because of the rising occurrence of numerous chronic ailments and growing consciousness of the obtainability of several biologic medications.
North America drug discovery services market is leading with the share of 55%, in 2023. More than a few CMOs and CROs in the region support top biopharma and pharma firms, which helps the industry expansion for drug development services. Additionally, most newly produced medicines are patented by the U.S. Fundamentally, the growing senior populace and snowballing occurrence of many chronic ailments in the U.S. are powering the expansion of the industry.
It is because of the increasing demand for outsourcing analytical testing services all over the world, the demand for drug discovery services is on the rise, and this will continue to grow even further in the future.
SOURCE: P&S Intelligence
