Drug Discovery Informatics Market (Updated Version Available)

Key Market Overview:

Drug discovery informatics market size was worth over USD 2.7 Billion in 2022 and is estimated to reach over USD 5.5 Billion by 2030, growing at a CAGR of 10.9% during the forecast period (2023-2030).

Drug discovery informatics is the use of computational and information technology tools and techniques to accelerate the discovery and development of new drugs. It involves the integration of various scientific disciplines such as chemistry, biology, pharmacology, and computer science to facilitate drug design, development, and testing. Informatics encompasses a wide range of techniques and approaches, including data mining, machine learning, molecular modeling, bioinformatics, and virtual screening. Such tools enable scientists to analyze large amounts of data, predict the properties and behavior of potential drug candidates, and identify new drug targets.

Furthermore, drug discovery informatics comprises applications that range from target identification and validation to lead discovery and optimization, preclinical and clinical development, and drug repurposing. In drug discovery, the identification of a suitable target plays a critical role in a particular disease. Such informatics helps identify potential targets through the analysis of genomic, proteomic, and metabolomic data. Once a target is identified, drug discovery informatics also helps validate the target using various methods such as molecular docking, virtual screening, and network analysis. Thus, drug discovery informatics is a rapidly evolving field with significant potential to accelerate and streamline the drug discovery process. The development of new computational tools, big data analytics, and machine learning algorithms is driving advancements in the field, and personalized medicine is emerging as a promising area of research.

Drug discovery informatics Market Coverage

Report Attributes	Report Details
Study Timeline	2017-2030
Market Size in 2030 (USD Billion)	5.5 Billion
CAGR (2023-2030)	10.9 %
Base Year	2022
By Type	Software, Services (Sequence and Target Data Analysis Platforms, Libraries and Database Preparation, Docking, Molecular Modeling, and Others
By Workflows	Discovery Informatics (Lead Generation Informatics, Identification & Validation Informatics, Assay Development Informatics) Development Informatics (FHD Preparation, Lead Optimization, Phase IA Informatics, Phase IB /2 Informatics)
By Mode	In-House Informatics, Outsourced Informatics
By End Use	Pharmaceutical Companies, Biotechnology Companies, Contract Research Organizations (CROs), and Others
By Geography	Asia-Pacific [China, Southeast Asia, India, Japan, Korea, Western Asia] Europe [Germany, UK, France, Italy, Russia, Spain, Netherlands, Turkey] North America [United States, Canada, Mexico] Middle East & Africa [GCC, North Africa, South Africa] South America [Brazil, Argentina, Columbia, Chile, Peru]
Key Players	Clarivate Analytics, Certara, Infosys Ltd., Agilent Technologies, Inc., IBM, Dassault Systèmes, Boehringer Ingelheim International GmbH, Charles River Laboratories, Collaborative Drug Discovery, Inc., Eurofins DiscoverX Products, GVK Biosciences, Jubilant Biosys, Selvita, Cognizant, Albany Molecular Research Inc., Oracle, Accenture, Illumina, Inc., PerkinElmer Inc., OpenEye, Cadence Molecular Sciences, Schrödinger, Inc.

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Market Dynamics:

Driver:

The growing prevalence of various diseases boosts the need for discovery informatics, especially in the early stages of drug development which enables researchers to identify and prioritize new drug targets and develop more efficient and effective drug molecules. Further, the rising adoption of big data analytics for the analysis of complex drug data sets fuels the demand for drug discovery informatics which involves the usage of large data sets such as genomics and proteomics data to gain accurate insights. Moreover, drug discovery informatics also witness a sudden increased demand for identifying biomarkers due to the growing emphasis on personalized medicine, and the development of targeted therapies to meet the unique needs of individual patients.

Restraint:

The high implementation and maintenance costs of drug discovery informatics systems, especially for smaller biotech and pharmaceutical companies mainly hampers the drug discovery informatics market growth. Further, growing data security and privacy concerns due to the usage of large amounts of sensitive patient data also restrict large-scale market adoption. Moreover, the lack of standardization in data collection and analysis limits the ability of such informatics to compare results across studies and organizations and collaborate on drug discovery efforts.

Opportunities

The scope of advancements in technologies such as artificial intelligence, machine learning, and big data analytics is expected to offer lucrative opportunities for market growth in terms of developing more sophisticated drug discovery informatics tools that accelerate the drug discovery process. Further, the growing adoption of cloud-based drug discovery informatics solutions is also anticipated to create opportunities for businesses with the flexibility and scalability to manage large and complex data sets.

Drug discovery informatics Market Segmentation:



By Solution

The solution segment is bifurcated into software and services. The services segment contributed the largest shares to the market growth in 2022 in terms of volume. The segment is further sub-segmented into sequence and target data analysis platforms, libraries and database preparation, docking, molecular modeling, and others. Among the mentioned sub-segments, the sequence and target data analysis platforms accounted for the largest contribution to the segment growth. The increased demand for such platforms to understand how drugs interact with specific proteins and pathways in the body supports segment growth in terms of designing effective drugs with reduced numbers of side effects. Moreover, the software segment is also projected to support the market growth in terms of volume. The increased usage of software informatics to simulate the interactions between drugs and their target proteins supports segment adoption among researchers to predict the efficacy, toxicity, and side effects of new drugs before in vivo testing of new drugs. Such software includes molecular docking, molecular dynamics simulation, and QSAR (quantitative structure-activity relationship) modeling.

By Workflows

The workflows segment is divided into discovery informatics and development informatics. The discovery informatics segment accounted for the largest drug discovery informatics market share in 2022. The discovery informatics is further sub-segmented into lead generation informatics, identification & validation informatics, and assay development informatics. The growing usage of such discovery informatics for optimizations in high-throughput screening assays supports segment growth in terms of the rapid identification of potential drug candidates from large compound libraries. Also, the growing usage of discovery informatics for the development and validation of predictive models used to predict the efficacy, toxicity, and side effects of new drugs, based on the chemical structure and other properties supports the adoption of such informatics among organizations.

By Mode

The mode segment is separated into in-house informatics and outsourced informatics. The in-house informatics segment is anticipated to contribute substantial shares to the market growth during the forecast period. The high demand for in-house informatics to optimize workflows and processes of researchers and greater control over the intellectual property of organizations are estimated to support the market growth during the forecast period. Also, the favorable adoption by several organizations due to immediate access to the software and hardware is projected to support the demand for such in-house informatics for facilitating collaboration between researchers in terms of large-scale sharing of data and expertise.

By End-Use

The end-user segment comprises pharmaceutical companies, biotechnology companies, contract research organizations (CROs), and others. The pharmaceutical companies segment contributed the largest shares to the market growth in 2022. The large-scale usage of drug discovery informatics to identify and validate potential drug targets by analyzing genomic, proteomic, and other molecular data supports the market adoption among pharmaceutical companies. Furthermore, the growing dependence on drug discovery informatics by such companies to manage and analyze large volumes of data generated during the drug discovery and development process. Also supports the segment growth in terms of storing, analyzing, and interpreting data from high-throughput screening, clinical trials, and other sources.

By Region

The regional segment comprises North America, Asia Pacific, Europe, Latin America, and the Middle East and Africa. North America contributed the largest shares to the market growth in 2022. The strong presence of the biopharmaceutical industry combined with increased investments in drug discovery research and development by various academic and research institutions, clinical trial networks, and well-funded government initiatives supports the market growth in the North American region. Moreover,



Europe and Asia Pacific are also anticipated to grow with the fastest CAGR during the forecast period. The favorable government initiatives of several countries in the Asia Pacific and European regions to support the growth of the healthcare industry, including drug discovery and development are anticipated to boost the market statistics in these regions due to high funding for research and development activities and tax incentives for businesses in the healthcare industry.

Drug discovery informatics Market Competitive Landscape:

The drug discovery informatics market is a rapidly evolving and highly competitive space, majorly driven by the increasing demand for novel drugs and the need to optimize the drug discovery process. Overall, the market is characterized by intense competition and rapid innovation due to the growing number of players offering increasingly sophisticated solutions to help pharmaceutical companies accelerate the drug discovery process. Following are the market players that currently operate in the market circumstances–

• Clarivate Analytics
• Infosys Ltd.
• Agilent Technologies, Inc.
• Certara
• IBM
• Dassault Systèmes
• Boehringer Ingelheim International GmbH
• Charles River Laboratories
• Collaborative Drug Discovery, Inc.
• Eurofins DiscoverX Products
• GVK Biosciences
• Jubilant Biosys
• Selvita
• Cognizant
• Albany Molecular Research Inc. (Curia Global, Inc.)
• Oracle
• Accenture
• Illumina, Inc.
• PerkinElmer Inc.
• OpenEye, Cadence Molecular Sciences
• Schrödinger, Inc.

Recent Developments

• In January 2023, Agilent Technologies Inc. revealed the plans to invest over USD 725 million to increase the production capacity of therapeutic nucleic acids. The decision was reported in response to the rapid growth of the USD 1 billion markets, as well as the high demand for the organization\'s high-quality active pharmaceutical ingredients (API).

• In January 2023, Agilent Technologies, Inc. partnered with Akoya Biosciences, Inc. (also known as The Spatial Biology Company®) to develop multiplex-immunohistochemistry solutions for analyzing tissue and to market workflow solutions for multiplex assays in the clinical research field. The partnership involves the combination of Akoyas PhenoImager® HT, an imaging platform, and Agilents Dako Omnis, an auto-staining instrument, for multiplex immunofluorescent and chromogenic immunohistochemistry assays. The collaboration aims to provide a comprehensive end-to-end commercial workflow that includes reagents, staining, imaging, and analysis.

• In January 2023, OpenEye Scientific announced to launch the 2022.4 Orion Suites and Modules, which aim to offer cutting-edge scientific capabilities, calculation performance, and scalability to meet the complex drug discovery needs of the users.

• In February 2023, Medidata, a subsidiary of Dassault Systèmes, has recently been recognized as a leader in the 2022 IDC MarketScape assessment for Worldwide Life Science R&D Risk-Based Monitoring Solutions. The assessment focused on evaluating Medidatas extensive RBQM (Risk-Based Quality Management) capabilities, including Medidata Detect. Medidata Detect empowers clinical operations teams to proactively monitor and manage potential risks to patient safety and data integrity.