Genomics Services Market Size & Trends:

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The Genomic Services Market was valued at USD 6.3 billion in 2023 and is estimated to reach USD 17.5 billion in 2032. It will grow at an approximate compound annual growth rate of 11.8% over the forecast period of 2024-2032.

The market for genomics services is highly on a growth trajectory that is fueled by increasing demand for personalized medicine, gene therapy, and drug discovery and the rising prevalence of cancer, as well as the increasing popularity of consumer genomics. Next-generation sequencing and microarrays have indeed revolutionized the technological aspects of the field to generate massive amounts of genomic data. However, the bursts of data collected from such sources, together with that which originates from DNA sequencing and EHRs, present challenges while offering opportunities to derive clinically relevant insights from them.

While a great lesson was learned through the COVID-19 pandemic concerning the importance of genomics in terms of their applications in the development of diagnostics and therapeutics, programs such as India's SARS-CoV-2 Genomics Consortium, initiated in December 2020, are speeding up our understanding of mutations in the virus so that public health responses could be accordingly updated. The capability to measure mutation rates in the viral genome has expedited vaccine development and repurposed antiviral treatments. The pandemic has stressed the point that consumer genomics is significantly important in terms of direct-to-consumer services, which have companies like Mapmygenome offering such services in the Indian subcontinent.

Cancer genomics is one of the significant growth areas, especially with an increase in the prevalence of inherited cancers. Gene editing technologies, cut at the cutting edge, such as CRISPR-Cas, are increasingly finding their application in cancer treatment. For example, researchers at the University of California recently demonstrated precision genome editing for the management of IRDs, in September 2022. Meanwhile, partnerships in the genomics space continue to accelerate progress. In January 2024, Veracyte acquired C2i Genomics to enhance its platform with minimal residual disease capabilities. PacBio partnered with Genomics England to explore genetic variations in rare disorders.

According to IQVIA, by 2025, the genomes to be studied will reach 52 million, hence flooding new avenues for the treatment of chronic diseases as well as the comprehension of genetic susceptibility to infections. New opportunities in the field have been opened up by declining sequencing costs, advancing bioinformatics, and AI-driven innovations that are accelerating research and data analysis. Overall, genomics services will enjoy sustained growth through innovation that changes healthcare, agriculture, and personalized medicine.

Genomic Services Market Dynamics

Drivers

• Rising Demand for Genomic Services Driven by Chronic Diseases and Precision Medicine Expansion

The rising incidence of chronic diseases, which include cancer and other genetic disorders, is one of the main drivers for the growth of the genomic services market. Their high incidence across the world generates enormous demand for advanced diagnostics and treatment options, thereby propelling growth. Genome analysis has emerged as an important tool to screen for a variety of conditions, including rare genetic diseases and cancers, at early stages. For instance, GLOBOCAN estimated about 19.3 million new cases of cancer worldwide in 2020. Whole-genome sequencing and all kinds of mutations shine light on the existence of different mutations in cancerous tissues and discover new cancer-related variants such as insertions, deletions, and copy-number variations.

Another significant aspect of precision medicine is genomic testing, which can offer tailored treatment solutions by enabling doctors to realize the causes of diseases at a genetic level and thereby make more informed decisions on treatment. Precision medicine approaches have been adopted with the increasingly reported cases of genetic disorders; thus, this trend will further fuel demands for genomic services.

Companies are expanding their reach globally to make DNA sequencing accessible at the patient level. For instance, in May 2022, Macrogen Europe opened a new Sanger sequencing facility in Milan, Italy, which is part of its genomic service portfolio. The COVID-19 pandemic has also demonstrated the growing utility of genomics services in the detection of the genetic material of viruses, and many countries have adopted these technologies to enhance diagnostic capability.

Government policies and funding also ensure a great thrust for the genomics service market. Countries all over the world are encouraging sequencing of the genome to proceed with diagnosis and treatment by clinicians, aid in drug discovery, new screening methods, and genetic research. Recently, the U.S. government pledged USD 1.7 billion in April 2021 to improve the detection of COVID-19 variants through genomic sequencing. The Rockefeller Foundation also committed more than USD 20 million in June 2021 to enhance genomics capabilities around the world.

Governments in emerging economies are also implementing measures to exploit genome sequencing for the detection and treatment of diseases. In October 2020, the Canadian government agreed to invest USD 11.9 million in Genome Canada for the funding of 10 new genomics projects involving drug development and biomedicine by 2035. These are most probably going to create enormous growth in the market of genomic services in the next few years.

Restraints

• High Cost of Genomics Laboratory Setup

• Shortage of Skilled Professionals

Key Segmentation

By Services Type

The genomic services market is classified into different types of services such as Gene Expression Services (RNASeq), epigenomics services, genotyping, next-generation sequencing (NGS), and others. Among these, the next-generation sequencing (NGS) segment led the market in 2023 with a 34.5% share and is likely to grow because of favorable policies regarding payment and new laboratory development using NGS technology. Wide usage of the technology in the clinical field aids the growth further. For instance, in August 2020, GeneDx, Inc. collaborated with Pediatrix Medical Group to provide NGS-based genomic sequencing for neonatal intensive care units, which shows how NGS is expanding the scope of its healthcare services.

The genotyping segment is expected to grow at the fastest rate during the forecast period. The reasons for this include increased usage of genotyping in various disciplines, such as pharmacogenomics, agrobiotechnology, and testing of animal genetic lineups. Genotyping has captured a central position in personal medicine and agriculture as an area with a vast scope of growth in the genomic services market.

By Technology

The genomic services market can be segmented based on technology into Polymerase Chain Reaction (PCR), Next-Generation Sequencing (NGS), microarray, and others. Polymerase Chain Reaction (PCR) held the largest market share of 35.9% in 2023, mainly because of broad applications within genomic research and the fundamental role PCR played in determining the cause behind COVID-19's increased demand for PCR services. Collaborations and partnerships in the medTech diagnostics sector enhance innovation in PCR testing, which translates into new PCR-based assays for particular uses; therefore, further increasing market growth.

Contrarily, the NGS segment is expected to have the highest compound annual growth rate throughout the forecast period. This is because NGS technologies offer faster turnaround times than other technologies and allow for the simultaneous sequencing of millions of genes in a single experiment, making NGS more promising for various genomic applications.

By Application

The market has been segmented based on the application of diagnostics, research, and others. As such, the research segment led the market in 2023 with a 40.1% share due to the increasing funding from governments to study various diseases, ranging from cancer to rare diseases. Increasing engagements of genome sequencing in various applications, especially those concerning precision medicine, contribute to the growth of the research segment. For example, the School of Medicine at Washington University is conducting an interventional study to find out if ChromoSeq, a whole-genome sequencing assay, could be quickly adopted in the routine genetic testing of MDS patients. The increased interest in genome research is poised to propel the market to a great extent.

On the other hand, the diagnostics segment is also growing at a tremendous rate. Key players partnering together in creating an environment is leading to more and more genomics product launches followed by corresponding service offerings. Such tie-ups, coupled with diagnostic laboratories set up to identify diseases like cancers and rare genetic disorders earlier in life, are expected to propel growth for the segment soon.

By End-user

The market is segmented by end-users, which includes research institutes, healthcare facilities and diagnostic centers, pharmaceutical and biotechnological companies, and contract research organizations (CROs). The research institutes were the leading shareholders of this market in 2023 with a 38.4% share, mainly due to the rising number of genomics-related research and development activities. Further enhancement in government funding for genome research projects is strengthening this segment. For example, in September 2021, the National Research and Innovation Agency of Indonesia set up the National Integrated Center for Genomic, Tropical Biodiversity, and Environment.

On the other hand, healthcare facilities and diagnostic centers are expected to grow seriously during the forecast period with a high CAGR rate. This is due to extensive genomic service usage for disease diagnostics, prenatal screening, and infection diagnostics. Pharmaceutical and biotechnological companies are also growing due to increasing collaboration with Genomic Service Providers to develop improved genome-based diagnostic platforms.

Regional Analysis

In 2023, the North American genomics services market was estimated to be USD 3.23 billion. Growth drivers for this region include favorable reimbursement policies in the U.S., high per capita spending on advanced therapies, and increased government initiatives to promote genomics research. For example, in May 2020, the Centers for Disease Control and Prevention launched a national viral genomics consortium to map COVID-19 transmission more effectively, which significantly increased the use of whole genome sequencing.

The increase in the market in Europe is mainly attributed to the increased adoption of precision medicine and the integration of advanced technologies used in researching and diagnosing the disease. New genomic services are also introduced to support the growth of the market. Notable among these initiatives is when UK Health Secretary Matt Hancock allocated USD 51.4 million for genomics and data projects, as per the Genome U.K. Implementation Plan, in April 2021.

Growth Momentum The region is anticipated to witness significant growth momentum with evolving policies in the regulation of precision medicine and a growing prevalence of chronic diseases as well as the commissioning of new genomic research facilities. In April 2021, Singapore announced the second phase of its National Precision Medicine Program - a 10-year plan to improve biomedical research and health outcomes.

Market growth in Latin America is due to increased research activity in genomics as well as a rising incidence of cancer and other diseases. Middle East and Africa: Future Prospects Strategic governmental initiative for genomic research across the countries involved is expected to create the market for a significant expansion in the coming years.

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Key Genomics Services Companies

• Thermo Fisher Scientific, Inc.

• 23andMe, Inc.

• Agilent Technologies

• Bio-Rad Laboratories, Inc.

• BGI Genomics

• Color Genomics, Inc.

• Danaher Corporation

• GE Healthcare

• Illumina, Inc.

• Myriad Genetics, Inc.

• Eppendorf AG

• Eurofins Scientific

• F. Hoffmann-La Roche Ltd.

• Oxford Nanopore Technologies

• Pacific Biosciences of California, Inc.

• QIAGEN N.V.

• Quest Diagnostics Incorporated, and others.

Recent Developments

• Oct 2024: Dovetail Genomics introduced a Certified Service Provider Program to enhance collaboration with genomics service providers. This program aims to ensure that partner laboratories adhere to high standards of quality and reliability in delivering Dovetail's genomic services, thus expanding access to advanced genomic solutions for researchers and clinicians.

• March 2024: Azenta Life Sciences inaugurated the GENEWIZ Multiomics and Synthesis Solutions laboratory in Oxford, U.K.

• November 2023, Fabric Genomics partnered with DNAnexus and Oxford Nanopore Technologies to establish CLIA/CAP laboratories in pediatric and neonatal intensive care units (ICUs). These labs will utilize Oxford Nanopore's platforms to investigate genetic disorders in infants.

• July 2023: Eremid Genomic Services, LLC, enhanced its genomics and bioinformatics offerings by integrating PacBio’s advanced HiFi sequencing platform, Revio, to accurately detect a wide range of genetic variations, including large structural variants.