$ 7.9 Bn
Category Intelligence on DNA Sequencing covers the following
Supply Market Dynamics
The overall next-generation sequencing (NGS) market is growing at a double-digit growth rate owing to increasing applications areas of the NGS clinical segment and the rising number of government genomics projects
NGS service providers enter into strategic partnerships with contract research organizations (CRO)/academics, pharma/biotech, and diagnostic firms to expand their NGS capabilities. Also, collaboration with NGS data analysis firms such as IT firms is on the rise to provide fully integrated NGS service
Government funding for computational genomics encourages advancements in the NGS data analysis sector. For instance, NHGRI, through its Computational Genomics and Data Science Program, funds Genome analysis tools and software resources and data management resources
Even though clinical application is growing, the usage of sequencing for research purposes is still dominating the market making academics and research institutions a major end-user
NGS services are used along the entire chain from early discovery to clinical trials through predictive biomarkers and patient stratification studies
Hospitals and clinics are the fastest-growing end-user segment as clinical NGS shows a great promise to develop in the future
Non-clinical segment is also poised to grow with pharmaceutical companies encouraging strategic partnerships with NGS service providers for bringing in patient-specific treatment regimes
Increasing Demand for Clinical NGS
The NGS application spectrum is broadening to hospitals and clinics with NGS being performed for diagnosis, treatment and even prevention of diseases. The demand for NGS-based companion diagnostics tools for cancer and infectious diseases is driving the services segment.
Next-generation sequencing is seeing huge adoption owing to its lower cost, faster speed, and greater accuracy compared to conventional technologies. Also, the technique requires significantly lesser DNA
Moreover, NGS is finding immense use in drug discovery applications and is an effective replacement for traditional technologies.
Preference for Outsourcing
Diversified NGS Platforms
Lack of Skilled Labor
Surging Cost of NGS Reagents
Data Accuracy and Standardization
The COVID-19 crisis has triggered the adoption of NGS technology in the diagnosis of infections owing to its optimal accuracy and efficiency. The Food and Drug Administration (FDA) has granted an emergency use approval to Ilumina Inc. for its COVIDSeq test - the first COVID-19 diagnostic kit based on NGS.
The benefit of leveraging an NGS test is that the approach offers information about the presence of the virus as well as its genomic sequence in a sample. This genomic data can be beneficial for research purposes as well thus boding well for the DNA sequencing market size.
NGS is outsourced at an approximate rate of 60–65% in 2017. It is mainly driven by high-cost infrastructure and the expertise requirement for NGS services
Downsizing by pharma/biotech firms, decreasing research and development funding, and focus on core competencies are the key factors driving outsourcing
Though the supplier fee for an outsourced service is high, reduction in fixed costs over the long term is far beneficial
Drug discovery and development is still one of the prime areas to be outsourced among the non-clinical application segments. However, clinical application would see a vast increase in outsourcing rate in the upcoming years
Pharma and biotech companies are the largest end-user segment that outsources the NGS services to reduce the overall fixed cost and improve the operational efficiency for NGS services
Outsourcing enables access to best-in-class technologies through the latest array of sequencers, such as oxford nanopore and also integrated services along with data interpretation and storage
Changing regulatory scenario, CRO dynamics, risk sharing models, technologies are the key areas impacting early phase trial conduct in the next-generation sequencing market. Buyers have to ensure suppliers have regional regulatory expertise, therapeutic, operational capability and innovative technologies to handle the complex trials. Upon assurance, a full-service strategic partnership could be formed.
Changing regulatory scenarios, CRO dynamics, risk-sharing models, technologies are the key areas impacting early-phase trials conducted in the next-generation sequencing market. Buyers have to ensure suppliers have regional regulatory expertise, therapeutic, operational capability and innovative technologies to handle the complex trials. Upon assurance, a full-service strategic partnership could be formed.
The field of medicine is witnessing numerous tech advancements that are flourishing at a breakneck speed and have triggered the development of personalized drugs and medicine. NGS finds huge applications in personalized medicine, a trend setting high hopes for market players.
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