Drug Discovery Services Market – Global Forecast to 2025 – ResearchAndMarkets.com

DUBLIN–(BUSINESS WIRE)–The “Drug Discovery Services Market By Type, By Drug Type, By Therapeutic Area, By Regions – Global Forecast up to 2025” report has been added to ResearchAndMarkets.com’s offering.

Global drug discovery services market will grow at a CAGR of 11.7% during the forecast period 2019-2025

Drug discovery refers to the process of identifying potential new medicines, and it involves a wide range of scientific disciplines, including biology, chemistry, and pharmacology. The process of drug discovery involves various methods such as identification of target molecule, candidate drug identification, characterization, screening, and assays for therapeutic efficacy. Once a candidate compound has shown its therapeutic value in these tests, it will begin the process of drug development prior to clinical trials.

In recent years, there is a lot of interest in biologics-based drug discovery. Biologics drug discovery includes developing new novel antibodies, recombinant proteins, hormones, vaccines, cell therapy, and gene therapy for treating cancer, neurological disorders, cardiovascular disorders, and many others.

The upsurge in the externalization of R&D activities, rising expenditure on R&D, expiration of patents boosting the demand for drug discovery, and introduction of advanced technologies are few of the factors driving the growth of the drug discovery services market.

Increasing patient base for various chronic & lifestyle diseases and growing advancements in innovative technologies will enhance the revenue of the drug discovery services market in the next five years.

North America accounted for the largest share of the global drug discovery services market in 2018 and will retain a high position during the forecast period. North America is followed by Europe, with a share of more than 25% of the global market in 2018.

In 2018, the medicinal chemistry services segment accounted for the largest share and is expected to grow at a high-double-digit CAGR during the forecast period. Increasing tendency of pharma companies to externalize discovery and development services, increasing number of drug discovery and development activities, and growing R&D expenditure are the key factors driving the growth of the medicinal chemistry services segment. The biology services segment is projected to grow at a high CAGR during the forecast period 2019-2025.

The small molecules segment occupied a significant share in 2018, and biologics is expected to grow at a high CAGR during the forecast period 2019-2025. The increasing use of small molecules drugs to treat chronic disease is leading to increased demand for these drugs.

Based on therapeutic areas, oncology dominated the market in 2018 and is expected to maintain its position throughout the forecast period. The high demand for cancer therapies due to the increasing number of cancer cases across the globe makes the segment a dominant shareholder in the coming years.

Based on geography, North America dominated the market in 2018 with a market share of over 40% and is expected to maintain this position throughout the forecast period. Increasing demand for personalized medicine, well-established healthcare sector, rising incidence of chronic disease, availability of advanced technologies, high healthcare expenditure, and rising growth of the biopharmaceutical market are few of the factors that make North America a dominant shareholder in the global drug discovery services market. Asia Pacific is projected to grow at the fastest rate during the forecast period 2019-2025.

Global Drug Discovery Services Market Research Competitive Analysis: The market is growing at a steady rate with a CAGR of 11.7% during the forecast period 2019-2025. The increasing burden of disease and the need for new therapeutic drugs have led to an increase in collaboration between companies for drug discovery services.

For instance, in September 2019, German-based Evotec entered into a multi-year drug discovery collaboration agreement with Japanese pharma company Takeda Pharmaceutical Company Limited. According to the collaboration terms, Evotec will leverage its technology platform to establish five drug discovery programs in the field of oncology, neuroscience, gastroenterology, and rare diseases, which Takeda will advance into clinical development.

East Midlands’ life sciences researchers and GSK entered into a strategic research collaboration for lung disease in February 2018, and the partnership is expected to accelerate discovery and development of innovative treatments for COPD and related airway diseases.

Market Dynamics

Drivers

• Upsurge in outsourcing of R&D activities
• Rising expenditure on research and development

Restraints

• High cost for discovery and development of the drug
• Strict regulations governing the drug development and ethical issues related to animal studies

Opportunities

• Advent of innovative technology
• Expiration of patent boosts demand for drug discovery

Key Competitive Facts:

• In 2019, Lundbeck acquired Abide Therapeutics for $250 million and takes control of Abide’s drug discovery platform focused on serine hydrolases, which is a diverse enzyme class that accounts for roughly 1% of all proteins in mammals.
• In May 2019, Amgen acquired Nuevolution for $167 million following their three-year collaboration, which is expected to boost the Amgen’s drug discovery platform.
  

Key Vendors:

• Charles River Laboratories
• GVK Biosciences
• Evotec SE
• Albany Molecular Research Inc.
• Domainex Ltd.
• Genscript Biotech Corporation
• Laboratory Corporation of America Holdings (LabCorp)
• Syngene International Ltd.
• Eurofins Scientific SE
• Pharmaceutical Product Development
• Jubilant Life Sciences
• WuXi AppTec Co., Ltd.

For more information about this report visit https://www.researchandmarkets.com/r/6zefto

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