Next-Generation Sequencing in Drug Discovery Market Size is valued at US$ 1.3 Bn in 2024 and is predicted to reach US$ 7.5 Bn by the year 2034 at an 19.7% CAGR during the forecast period for 2025-2034.
Next-generation sequencing (NGS) in drug discovery refers to the application of high-throughput DNA and RNA sequencing technologies to identify genetic variations, elucidate disease mechanisms, and discover novel therapeutic targets. It facilitates biomarker identification, companion diagnostic development, and personalized medicine approaches, thereby accelerating and enhancing the efficiency, precision, and success rate of the drug development process.
The increasing incidence of diseases such as cancer, neurological disorders, and autoimmune diseases is a primary motivator for next-generation sequencing in drug discovery adoption. NGS facilitates high-throughput genomic analysis, allowing researchers to identify disease-causing mutations, molecular targets, and biomarkers more quickly and precisely. This is advancing the design of targeted therapy and personalized medicine strategies. As complex diseases increasingly require more accurate diagnosis and treatment strategies, the incorporation of NGS into drug discovery pipelines is rapidly becoming crucial for novel therapeutic strategies.
The adoption of next-generation sequencing in drug discovery is being significantly driven by increasing R&D investment by pharmaceutical companies. NGS allows for rapid and affordable genomic profiling, making it possible for researchers to determine genetic mutations, biomarkers, and therapeutic targets with unprecedented specificity.
As pharmaceutical firms are spending more budget on research and personalized medicine, NGS is being incorporated into early-stage drug development for target identification and validation. Its capacity for high-speed production of enormous quantities of data improves predictive models and shortens drug development timelines. Increasing dependence on NGS technologies is fueling innovation, enhancing the efficacy and safety of drugs, and enabling the development of precision therapeutics.
Some of the Key Players in the Next-Generation Sequencing in Drug Discovery Market:
The Next-generation sequencing in drug discovery market is segmented by by product type, technology, application, end-user, and workflow. By product type, the market is segmented into instruments, consumables, and software & services. By technology, the market is segmented into whole genome sequencing (WGS), whole exome sequencing (WES), targeted sequencing, chip-sequencing (ChIP-Seq), de novo sequencing.
By application, it includes drug target identification, pharmacogenomics, toxicogenomics, and clinical trial stratification. By end-user, the market comprises pharmaceutical and biotechnology companies, academic and research institutes, contract research organizations (CROs), and hospitals and clinics. Based on workflow, it is segmented into sample preparation, sequencing, data analysis, and data interpretation.
In 2024, the rising demand for its ability to deliver high-throughput, precise genomic data, accelerating target identification, biomarker discovery, and personalized medicine development, caused the instruments sector to hold the major market share. NGS allows researchers to study genetic differences and mechanisms of disease in a timely manner, increasing drug effectiveness and shortening time to development. Its use in oncology, rare diseases, and infectious disease research drives pharma innovation, and NGS becomes a necessity in contemporary drug development pipelines.
The next-generation sequencing in drug discovery market is dominated by whole genome sequencing (WGS) due to the increasing demand for personalized medicine & precision treatments, which drives NGS adoption for drug discovery. Sequencing technology advancements have cut costs and time drastically, allowing full genomic understanding. The increasing incidence of genetic diseases and cancer drives the demand for targeted drugs. Bioinformatics and AI integration further improve data analysis, allowing quicker identification of therapeutic targets.
North America leads the next-generation sequencing industry in drug discovery owing to its capacity for high-throughput genomic analysis, identification of novel therapeutic targets, and acceleration of biomarker development. In North America, the increasing investment in precision medicine, robust biotechnology infrastructure, and supportive regulatory environments is propelling adoption. Pharmaceutical firms increasingly use NGS to map disease mechanisms and tailor therapies, increasing R&D efficiency and compressing time-to-market. This technological progress considerably boosts the region's capability for drug development and innovation potential.
However, Europe is the second-largest region in the market for next-generation sequencing in drug discovery. This is due to high-throughput genomic analysis, which enables researchers to detect novel drug targets and biomarkers with higher accuracy. The increasing demand for personalized medicine, combined with government support and rising investment in genomics, is driving NGS adoption. Europe's robust biopharmaceutical pipeline and partnerships between research and academic institutions further fuel innovation, rendering NGS a vital instrument for boosting the efficacy of drugs, minimizing development time, and increasing patient benefits.
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Report Attribute |
Specifications |
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Market Size Value In 2024 |
USD 1.3 Bn |
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Revenue Forecast In 2034 |
USD 7.5 Bn |
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Growth Rate CAGR |
CAGR of 19.7% from 2025 to 2034 |
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Quantitative Units |
Representation of revenue in US$ Bn and CAGR from 2025 to 2034 |
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Historic Year |
2021 to 2024 |
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Forecast Year |
2025-2034 |
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Report Coverage |
The forecast of revenue, the position of the company, the competitive market structure, growth prospects, and trends |
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Segments Covered |
By Product Type, By Technology, By Application, By End-User, By Workflow |
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Regional Scope |
North America; Europe; Asia Pacific; Latin America; Middle East & Africa |
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Country Scope |
U.S.; Canada; Germany; The UK; France; Italy; Spain; Rest of Europe; China; Japan; India; South Korea; Southeast Asia; Rest of Asia Pacific; Brazil; Argentina; Mexico; Rest of Latin America; GCC Countries; South Africa; Rest of the Middle East and Africa |
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Competitive Landscape |
Illumina, Inc., Thermo Fisher Scientific Inc., Agilent Technologies, Inc., F. Hoffmann-La Roche Ltd. (Roche), QIAGEN N.V, BGI Genomics Co., Ltd., Bio-Rad Laboratories, Inc., Oxford Nanopore Technologies plc, Pacific Biosciences of California, Inc. (PacBio), PerkinElmer, Inc., Genapsys, Inc., Eurofins Scientific, Macrogen, Inc., Takara Bio Inc., and DNAnexus, Inc. |
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Customization Scope |
Free customization report with the procurement of the report, Modifications to the regional and segment scope. Geographic competitive landscape. |
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Pricing and Available Payment Methods |
Explore pricing alternatives that are customized to your particular study requirements. |
Chapter 1. Methodology and Scope
1.1. Research Methodology
1.2. Research Scope & Assumptions
Chapter 2. Executive Summary
Chapter 3. Global Next-Generation Sequencing in Drug Discovery Market Snapshot
Chapter 4. Global Next-Generation Sequencing in Drug Discovery Market Variables, Trends & Scope
4.1. Market Segmentation & Scope
4.2. Drivers
4.3. Challenges
4.4. Trends
4.5. Investment and Funding Analysis
4.6. Porter's Five Forces Analysis
4.7. Incremental Opportunity Analysis (US$ MN), 2025-2034
4.8. Competitive Landscape & Market Share Analysis, By Key Player (2024)
4.9. Use/impact of AI on Next-Generation Sequencing in Drug Discovery Market Industry Trends
4.10. Global Next-Generation Sequencing in Drug Discovery Market Penetration & Growth Prospect Mapping (US$ Mn), 2024-2034
Chapter 5. Next-Generation Sequencing in Drug Discovery Market Segmentation 1: By Product Type, Estimates & Trend Analysis
5.1. Market Share by Product Type, 2024 & 2034
5.2. Market Size Revenue (US$ Million) & Forecasts and Trend Analyses, 2021 to 2034 for the following Product Type:
5.2.1. Instruments
5.2.2. Consumables
5.2.3. Software & Services
Chapter 6. Next-Generation Sequencing in Drug Discovery Market Segmentation 2: By End-User, Estimates & Trend Analysis
6.1. Market Share by End-User, 2024 & 2034
6.2. Market Size Revenue (US$ Million) & Forecasts and Trend Analyses, 2021 to 2034 for the following End-User:
6.2.1. Pharmaceutical & Biotechnology Companies
6.2.2. Academic & Research Institutes
6.2.3. Contract Research Organizations (CROs)
6.2.4. Hospitals & Clinics
Chapter 7. Next-Generation Sequencing in Drug Discovery Market Segmentation 3: By Application, Estimates & Trend Analysis
7.1. Market Share by Application, 2024 & 2034
7.2. Market Size Revenue (US$ Million) & Forecasts and Trend Analyses, 2021 to 2034 for the following Application:
7.2.1. Drug Target Identification
7.2.2. Pharmacogenomics
7.2.3. Toxicogenomic
7.2.4. Clinical Trial Stratification
Chapter 8. Next-Generation Sequencing in Drug Discovery Market Segmentation 4: By Workflow, Estimates & Trend Analysis
8.1. Market Share by Workflow, 2024 & 2034
8.2. Market Size Revenue (US$ Million) & Forecasts and Trend Analyses, 2021 to 2034 for the following Workflow:
8.2.1. Sample Preparation
8.2.2. Sequencing
8.2.3. Data Analysis
8.2.4. Data Interpretation
Chapter 9. Next-Generation Sequencing in Drug Discovery Market Segmentation 5: By Technology, Estimates & Trend Analysis
9.1. Market Share by Technology, 2024 & 2034
9.2. Market Size Revenue (US$ Million) & Forecasts and Trend Analyses, 2021 to 2034 for the following Technology:
9.2.1. Whole Genome Sequencing (WGS)
9.2.2. Whole Exome Sequencing (WES)
9.2.3. Targeted Sequencing
9.2.4. Chip-Sequencing (ChIP-Seq)
9.2.5. De Novo Sequencing
Chapter 10. Next-Generation Sequencing in Drug Discovery Market Segmentation 6: Regional Estimates & Trend Analysis
10.1. Global Next-Generation Sequencing in Drug Discovery Market, Regional Snapshot 2024 & 2034
10.2. North America
10.2.1. North America Next-Generation Sequencing in Drug Discovery Market Revenue (US$ Million) Estimates and Forecasts by Country, 2021-2034
10.2.1.1. US
10.2.1.2. Canada
10.2.2. North America Next-Generation Sequencing in Drug Discovery Market Revenue (US$ Million) Estimates and Forecasts by Product Type, 2021-2034
10.2.3. North America Next-Generation Sequencing in Drug Discovery Market Revenue (US$ Million) Estimates and Forecasts by End-User, 2021-2034
10.2.4. North America Next-Generation Sequencing in Drug Discovery Market Revenue (US$ Million) Estimates and Forecasts by Application, 2021-2034
10.2.5. North America Next-Generation Sequencing in Drug Discovery Market Revenue (US$ Million) Estimates and Forecasts by Workflow, 2021-2034
10.2.6. North America Next-Generation Sequencing in Drug Discovery Market Revenue (US$ Million) Estimates and Forecasts by Technology, 2021-2034
10.3. Europe
10.3.1. Europe Next-Generation Sequencing in Drug Discovery Market Revenue (US$ Million) Estimates and Forecasts by Country, 2021-2034
10.3.1.1. Germany
10.3.1.2. U.K.
10.3.1.3. France
10.3.1.4. Italy
10.3.1.5. Spain
10.3.1.6. Rest of Europe
10.3.2. Europe Next-Generation Sequencing in Drug Discovery Market Revenue (US$ Million) Estimates and Forecasts by Product Type, 2021-2034
10.3.3. Europe Next-Generation Sequencing in Drug Discovery Market Revenue (US$ Million) Estimates and Forecasts by End-User, 2021-2034
10.3.4. Europe Next-Generation Sequencing in Drug Discovery Market Revenue (US$ Million) Estimates and Forecasts by Application, 2021-2034
10.3.5. Europe Next-Generation Sequencing in Drug Discovery Market Revenue (US$ Million) Estimates and Forecasts by Workflow, 2021-2034
10.3.6. Europe Next-Generation Sequencing in Drug Discovery Market Revenue (US$ Million) Estimates and Forecasts by Technology, 2021-2034
10.4. Asia Pacific
10.4.1. Asia Pacific Next-Generation Sequencing in Drug Discovery Market Revenue (US$ Million) Estimates and Forecasts by Country, 2021-2034
10.4.1.1. India
10.4.1.2. China
10.4.1.3. Japan
10.4.1.4. Australia
10.4.1.5. South Korea
10.4.1.6. Hong Kong
10.4.1.7. Southeast Asia
10.4.1.8. Rest of Asia Pacific
10.4.2. Asia Pacific Next-Generation Sequencing in Drug Discovery Market Revenue (US$ Million) Estimates and Forecasts by Product Type, 2021-2034
10.4.3. Asia Pacific Next-Generation Sequencing in Drug Discovery Market Revenue (US$ Million) Estimates and Forecasts by End-User, 2021-2034
10.4.4. Asia Pacific Next-Generation Sequencing in Drug Discovery Market Revenue (US$ Million) Estimates and Forecasts by Application, 2021-2034
10.4.5. Asia Pacific Next-Generation Sequencing in Drug Discovery Market Revenue (US$ Million) Estimates and Forecasts by Workflow, 2021-2034
10.4.6. Asia Pacific Next-Generation Sequencing in Drug Discovery Market Revenue (US$ Million) Estimates and Forecasts by Technology, 2021-2034
10.5. Latin America
10.5.1. Latin America Next-Generation Sequencing in Drug Discovery Market Revenue (US$ Million) Estimates and Forecasts by Country, 2021-2034
10.5.1.1. Brazil
10.5.1.2. Mexico
10.5.1.3. Rest of Latin America
10.5.2. Latin America Next-Generation Sequencing in Drug Discovery Market Revenue (US$ Million) Estimates and Forecasts by Product Type, 2021-2034
10.5.3. Latin America Next-Generation Sequencing in Drug Discovery Market Revenue (US$ Million) Estimates and Forecasts by End-User, 2021-2034
10.5.4. Latin America Next-Generation Sequencing in Drug Discovery Market Revenue (US$ Million) Estimates and Forecasts by Application, 2021-2034
10.5.5. Latin America Next-Generation Sequencing in Drug Discovery Market Revenue (US$ Million) Estimates and Forecasts by Workflow, 2021-2034
10.5.6. Latin America Next-Generation Sequencing in Drug Discovery Market Revenue (US$ Million) Estimates and Forecasts by Technology, 2021-2034
10.6. Middle East & Africa
10.6.1. Middle East & Africa Wind Turbine Rotor Blade Market Revenue (US$ Million) Estimates and Forecasts by country, 2021-2034
10.6.1.1. GCC Countries
10.6.1.2. Israel
10.6.1.3. South Africa
10.6.1.4. Rest of Middle East and Africa
10.6.2. Middle East & Africa Next-Generation Sequencing in Drug Discovery Market Revenue (US$ Million) Estimates and Forecasts by Product Type, 2021-2034
10.6.3. Middle East & Africa Next-Generation Sequencing in Drug Discovery Market Revenue (US$ Million) Estimates and Forecasts by End-User, 2021-2034
10.6.4. Middle East & Africa Next-Generation Sequencing in Drug Discovery Market Revenue (US$ Million) Estimates and Forecasts by Application, 2021-2034
10.6.5. Middle East & Africa Next-Generation Sequencing in Drug Discovery Market Revenue (US$ Million) Estimates and Forecasts by Workflow, 2021-2034
10.6.6. Middle East & Africa Next-Generation Sequencing in Drug Discovery Market Revenue (US$ Million) Estimates and Forecasts by Technology, 2021-2034
Chapter 11. Competitive Landscape
11.1. Major Mergers and Acquisitions/Strategic Alliances
11.2. Company Profiles
11.2.1. Illumina, Inc.
11.2.1.1. Business Overview
11.2.1.2. Key Product Type/Service Overview
11.2.1.3. Financial Performance
11.2.1.4. Geographical Presence
11.2.1.5. Recent Developments with Business Strategy
11.2.2. Thermo Fisher Scientific Inc.
11.2.3. Agilent Technologies, Inc.
11.2.4. F. Hoffmann-La Roche Ltd. (Roche)
11.2.5. QIAGEN N.V
11.2.6. BGI Genomics Co., Ltd.
11.2.7. Bio-Rad Laboratories, Inc.
11.2.8. Oxford Nanopore Technologies plc
11.2.9. Pacific Biosciences of California, Inc. (PacBio)
11.2.10. PerkinElmer, Inc.
11.2.11. Genapsys, Inc.
11.2.12. Eurofins Scientific
11.2.13. Macrogen, Inc.
11.2.14. Takara Bio Inc.
11.2.15. DNAnexus, Inc.
Next-Generation Sequencing in Drug Discovery Market by Product Type-
· Instruments
· Consumables
· Software & Services
Next-Generation Sequencing in Drug Discovery Market by Technology -
· Whole Genome Sequencing (WGS)
· Whole Exome Sequencing (WES)
· Targeted Sequencing
· Chip-Sequencing (ChIP-Seq)
· De Novo Sequencing
Next-Generation Sequencing in Drug Discovery Market by Application -
· Drug Target Identification
· Pharmacogenomics
· Toxicogenomic
· Clinical Trial Stratification
Next-Generation Sequencing in Drug Discovery Market by End-User-
· Pharmaceutical & Biotechnology Companies
· Academic & Research Institutes
· Contract Research Organizations (CROs)
· Hospitals & Clinics
Next-Generation Sequencing in Drug Discovery Market by Workflow-
· Sample Preparation
· Sequencing
· Data Analysis
· Data Interpretation
Next-Generation Sequencing in Drug Discovery Market by Region-
North America-
· The US
· Canada
Europe-
· Germany
· The UK
· France
· Italy
· Spain
· Rest of Europe
Asia-Pacific-
· China
· Japan
· India
· South Korea
· Southeast Asia
· Rest of Asia Pacific
Latin America-
· Brazil
· Argentina
· Mexico
· Rest of Latin America
Middle East & Africa-
· GCC Countries
· South Africa
· Rest of the Middle East and Africa
InsightAce Analytic follows a standard and comprehensive market research methodology focused on offering the most accurate and precise market insights. The methods followed for all our market research studies include three significant steps – primary research, secondary research, and data modeling and analysis - to derive the current market size and forecast it over the forecast period. In this study, these three steps were used iteratively to generate valid data points (minimum deviation), which were cross-validated through multiple approaches mentioned below in the data modeling section.
Through secondary research methods, information on the market under study, its peer, and the parent market was collected. This information was then entered into data models. The resulted data points and insights were then validated by primary participants.
Based on additional insights from these primary participants, more directional efforts were put into doing secondary research and optimize data models. This process was repeated till all data models used in the study produced similar results (with minimum deviation). This way, this iterative process was able to generate the most accurate market numbers and qualitative insights.
Secondary research
The secondary research sources that are typically mentioned to include, but are not limited to:
The paid sources for secondary research like Factiva, OneSource, Hoovers, and Statista
Primary Research:
Primary research involves telephonic interviews, e-mail interactions, as well as face-to-face interviews for each market, category, segment, and subsegment across geographies
The contributors who typically take part in such a course include, but are not limited to:
Data Modeling and Analysis:
In the iterative process (mentioned above), data models received inputs from primary as well as secondary sources. But analysts working on these models were the key. They used their extensive knowledge and experience about industry and topic to make changes and fine-tuning these models as per the product/service under study.
The standard data models used while studying this market were the top-down and bottom-up approaches and the company shares analysis model. However, other methods were also used along with these – which were specific to the industry and product/service under study.
To know more about the research methodology used for this study, kindly contact us/click here.
