The global genomics market was valued at $13.5bn in 2016 and is anticipated to reach $28.4bn by 2024.
The global genomics market is witnessing lucrative growth owing to factor such as rise in prevalence of chronic diseases, changing lifestyle factors, growing geriatric population, technological advancements such as next-generation sequencing (NGS), and an increase in funding for research & development. The Human Genome Project (HGP), which was an international collaborative research program with a core objective to completely sequence the human gene has triggered the discovery of several new data points about the human genetics.
The project was initiated in 1990 with funding received from the U.S. government and several other international agencies. The HGP was declared successful in 2003, and the data generated through this project is the foundation of several modern discoveries about human DNA. The project to completely sequence a single human DNA was completed with an estimated cost of USD 2.7 billion. However, it is now possible to sequence the DNA at USD 5000 due to modern technology and continuous innovations in the field of genomic sequencing.
The growing prevalence of chronic diseases such as cancer, neurological, cardiovascular, and other autoimmune diseases, coupled with the rise in geriatric population is a global concern for governments, healthcare providers and other stakeholders. There are more than 80 to 100 autoimmune diseases, however research data is available for only 20-30 conditions. The U.S., National Institute of Health (NIH) based on 24 autoimmune conditions estimates that nearly 23.5 million Americans are suffering from autoimmune diseases. Due to the growing investment in research, the genomics market is expected to grow rapidly over the forecast period.
Moreover, genomic research to identify the genotypes leading to the various type of cancers across different regions is a prominent growth driver. As per the World Cancer Research Fund International, Denmark has the highest cancer age-standardized rate for male and female together with 338 people per 100,000 people diagnosed. Moreover, the age-standardized rate was 300 per 100,000 for nine countries including Denmark, Netherlands, U.S., Ireland, Belgium, France, Norway and Republic of Korea.
“Optimal Price Point (OPP) for Genomics Sequencing Products/Services”
Estimated Average medical imaging product cost – $ xx globally. However, with improving access and availability of options, OPP and range of acceptable Prices (RAP) are going to change. We at Ameri Research continuously track these prices with our proprietary pricing model.
The prices for whole genomic sequence vary based on the type of extraction process, instrument used, sample size, and several other parameters. However, the exosome sequencing prices are much lower than the whole genomic sequencing. For instance, the Illumina exosome sequencing pricing per sample which Includes oligonucleotides, IDT xGen library preparation, and 2X100 sequencing service, prices quoted by Yale Center for Genomic Analysis (YCGA) are as follows,
Genomics Market by “Product & Technology”
The genomics market by product is segmented as instruments/systems, consumables and service. In 2016, consumables accounted for the largest share of over 58% and this segment is expected to extend its dominance over the forecast period. The growing number of tests performed and declining prices of testing are expected to boost the usage of consumables significantly in future.
Based on technology, the genomics market is categorized as DNA sequencing, PCR, DNA microarray, and nucleic acid extraction and purification. The PCR technology accounted for the maximum share of over 48% in 2016, owing to technological advancements, increasing research activity in genomics and proteomics. However, the nucleic acid extraction and purification segment are expected to grow with a lucrative CAGR of over 10% from 2017 to 2024.
Genomics Market by “Application”
Based on application, the market is segmented as diagnostics, drug discovery, personalized medicine, academic research, agricultural research and others. In 2016, diagnostics segment accounted for over 37% due to rapid growth in the number of molecular diagnostic tests. These tests are used to identify the genes responsible for specific diseases to identify genetic variation across different regions. Over the next few years, the market growth is expected due to the growing demand for personalized medicine. In 2015, The U.S. government announced a personalized medicine initiative (PMI) with an initial funding of USD 130 million to NIH, and USD 70 million for National Cancer Institute to improve the efforts in cancer genomics research. These developments are anticipated to drive the market over the forecast period strongly.
In 2016, Europe was the leading region with a market share of nearly 42%. The high disease burden, and efforts to drive personalized medicine through the Public Health Genomics European Network (PHGEN) project are some of the crucial factors contributing to the large share of the region. Europe is followed by North America and Asia Pacific.
By 2024, North America is expected to be the fastest growing market due to high emphasis on diagnosis through molecular diagnostics and precision medicine. In U.S., the high investment in genomic research, the presence of advanced NGS technologies, and collaboration amongst various stakeholders such as government, academic centers and healthcare practitioners are anticipated to drive the future market expansion. Moreover, some of the biggest companies such as Illumina, Bio-Rad and Roche Diagnostics are rolling out several new products in this market to increase affordability and penetration of the genomics market.
Merger & Acquisition Insight
The M&A activities in the genomics market are continuously on the rise. The companies dealing with the development of PCR, DNA microarrays and nucleic acid extraction and purification are anticipated to grow rapidly over the next few years and therefore, therefore these players are suitable assets to for merger and acquisition. Some of the most notable transactions in the recent past include,
- In 2017, Thermo Fisher Scientific had acquired Core Informatics, which deals with cloud-based scientific platforms.
- In 2016, DNA Diagnostics Center had announced the acquisition of IDENTIGENE LLC, which deals with paternity testing and DNA testing services
- In 2016, Rubicon Genomics had announced a merger deal with Takara Bio USA for an all-stock deal valuation at USD 75 million. The merger is expected to complete by first quarter of 2017
Top Players & Company Share
Key players operating in the market include Illumina Inc., Pacific Biosciences, Agilent Technologies, GE Healthcare, Life Technologies, Thermo Fischer Scientific, Affymetrix, Inc., Qiagen, BGI, Roche Diagnostics, Bio-Rad Laboratories Inc., and Cepheid. The market is highly competitive in nature and each player has developed a niche target area to increase their profitability and improve investor returns. For instance, Illumina Inc., is a market leader in next-generation sequencing platforms, whereas Roche Diagnostics dominates the molecular diagnostic platforms.
Genomics Market by Product (Revenue, Million, 2014 – 2024)
Genomics Market by Technology, (Revenue, USD Million, 2014 – 2024)
- Personalized Medicine
- Drug Discovery and Development
- Academic Research
Genomics Market by Application (Revenue, USD Million, 2014 – 2024)
- DNA Sequencing
- DNA Microarray
- Nucleic Acid Extraction and Purification
Genomics Market Regional Outlook (Revenue, USD Million, 20124- 2024)
- North America
- Asia Pacific
- Latin America
- Middle East and Africa
- South Africa
- Saudi Arabia