Market Size
The Global Drug Discovery Informatics Market reached US$ 3.11 billion in 2023 and is expected to reach US$ 8.01 billion by 2031 growing with a CAGR of 12% during the forecast period 2024-2031.
Drug discovery informatics is a field that uses data analysis and computer tools to increase the efficacy and efficiency of drug discovery procedures. This area combines several technologies, including big data analytics, machine learning (ML), and algorithms, to evaluate large amounts of biological data, forecast how medications will interact with their targets, and expedite the drug development process.
Drug discovery informatics relies heavily on the use of models and algorithms to mimic biological processes. For instance, in September 2024, Xaira Therapeutics chose Oracle Cloud Infrastructure (OCI) to enhance its AI-driven drug discovery and development initiatives. Xaira is focused on reimagining the drug discovery process by leveraging advanced AI technologies. By using OCI, the company aims to streamline and accelerate various stages of drug development, ultimately leading to more effective treatments.
Market Scope
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Market Dynamics: Drivers
Adoption of advanced technologies
The demand for the global drug discovery informatics market is driven by multiple factors. One of the primary factors is the adoption of advanced technologies.
Current and future global healthcare requirements are not met by traditional drug discovery methods. The lengthy procedures, which might take ten years to complete from early research and development to clinical trials, increase the likelihood that a treatment will not be approved. In actuality, almost 90% of attempts to produce new drugs fail. Which demands the drug discovery informatics market.
This, however, often renders people defenseless against new and spreading infections and diseases. The World Health Organization of the United Nations predicts that by 2050, 10 million people will die from antimicrobial resistance (AMR), or microbiological resistance to existing drugs. But that could change with advances in artificial intelligence (AI) and quantum technologies. Together, these innovative technologies are improving the current drug discovery processes.
Furthermore, key players in the industry have technological advancements and product launches that would drive the drug discovery informatics market growth. For instance, in February 2024, Eurofins Discovery launched DiscoveryAI SAFIRE (Suite of ADMET Predictions for Silico Refinement and Evaluation), an advanced platform designed to enhance drug discovery processes. This innovative tool utilizes proprietary datasets, artificial intelligence (AI), and machine learning (ML) to provide predictive analytics focused on the ADMET properties of absorption, distribution, metabolism excretion, and toxicity of molecules.
Market Restraints
High setup costs
The cost of setting up drug discovery informatics (DDI) can be high, which can make it difficult for organizations to invest in DDI solutions. This is owing to the significant upfront setup cost and software licensing. For instance, licensing fees for DDI software can be substantial. For instance, single-user licenses may start at around $4,900, with multi-user licenses reaching up to $5,900 or more. Such fees can be a significant barrier for organizations with limited budgets
DDI is a technology approach that uses bioinformatics algorithms to process large amounts of biological data to create insights for drug development. It uses a variety of hardware and software tools for sequencing, data visualization, molecular modeling, and more.
Market Segment Analysis
The global drug discovery informatics market is segmented based on function, solution, application, end-user and region.
The sequence analysis platforms segment accounted for approximately XX% of the global drug discovery informatics market share
The sequence analysis platforms segment is expected to hold the largest market share over the forecast period. Sequence analysis platforms are essential for modern drug development, focusing on tools and technologies that analyze and interpret biological sequences such as DNA, RNA, and proteins.
Sequence analysis platforms are essential tools in the drug discovery informatics market, enabling researchers to efficiently process larger volumes of genomic data. Tools such as BLAST, FASTA, and CLUSTALW are widely used to compare and align biological sequences, which is crucial for identifying genetic mutations and understanding the biological functions that underpin drug discovery.
Furthermore, key player's strategies such as mergers & acquisitions, product launches & approvals propel this segment's growth in the drug discovery informatics market. For instance, in July 2024, Certara, Inc. finalized an agreement to acquire Chemaxon, a leading provider of chemoinformatics software. This acquisition is aimed at merging Certara’s advanced biosimulation and modeling capabilities with Chemaxon’s expertise in chemoinformatics. The integration is expected to enhance predictive capabilities and analytical tools for life sciences companies, thereby improving decision-making throughout the drug discovery and development processes.
Also, in April 2024, Insilico Medicine launched an open-source AI tool and a secure on-site omics analysis device, aimed at enhancing the capabilities of researchers in genomics and other omics fields. This initiative reflects a growing trend in life sciences to leverage artificial intelligence and advanced technologies for more efficient data analysis and interpretation.
Market Geographical Share
North America accounted for approximately XX% of the global drug discovery informatics market share
North America region is expected to hold the largest market share over the forecast period owing to the rising prevalence of chronic diseases is a major factor driving the demand for drug discovery informatics solutions. As more individuals are diagnosed with conditions including diabetes, cancer, and cardiovascular diseases, there is an urgent need for new therapeutic options to tackle these health issues. This urgency motivates researchers and pharmaceutical companies to explore innovative approaches to drug development.
The United States is expected to see 609,820 cancer-related fatalities and 1,958,310 new cancer cases in 2023. The need for enhanced drug discovery informatics to quickly create viable medicines is highlighted by the rising incidence of cancer.
The incorporation of advanced technologies like artificial intelligence (AI), machine learning (ML), and big data analytics is profoundly changing the drug discovery process. These technologies improve the efficiency of analyzing extensive datasets, enabling researchers to more effectively identify potential drug candidates and expedite the development timeline.
Moreover, in this region, a major number of key players' presence, well-advanced infrastructure, government initiatives & regulatory support, investments, and product launches would propel the drug discovery informatics market growth. For instance, in September 2024, Almaden Genomics launched a new Data Management and Informatics Services business, aimed at enhancing its offerings in bioinformatics and computational biology.
This expansion signifies Almaden’s commitment to advancing life sciences research by providing innovative and scalable solutions that streamline data analysis and management across various domains, including drug discovery, diagnostics, and biotechnology.
Market Segmentation
By Function
- Clinical Trial Data Management
- Molecular Modeling
- Sequence Analysis Platforms
- Docking Studies
- Others
By Solution
- Software
- Services
By Application
- Drug Discovery
- Drug Development
By End-User
- Pharmaceutical and Biotechnology Companies
- Contract Research Organizations (CROs)
- Others
By Region
- North America
- U.S.
- Canada
- Mexico
- Europe
- Germany
- U.K.
- France
- Spain
- Italy
- Rest of Europe
- South America
- Brazil
- Argentina
- The rest of South America
- Asia-Pacific
- China
- India
- Japan
- South Korea
- Rest of Asia-Pacific
- Middle East and Africa
Market Companies
The major global players in the drug discovery informatics market include Certara, Charles River Laboratories, Collaborative Drug Discovery, Inc., Eurofins DiscoverX, Jubilant Biosys Ltd., Selvita, Chemaxon Ltd., Oracle, Accenture, and IBM among others.
Key Developments
- In May 2024, Certara, Inc., announced a new distribution agreement with Cloudscientific. This collaboration aims to improve the accessibility of Certara’s advanced discovery informatics platform, D360, and its secure AI solution, Certara.AI, to China’s expanding research and development community.
- In May 2024, Valence has been utilizing Oracle Cloud Infrastructure (OCI) as an AI platform to develop advanced foundation models for drug discovery. This collaboration focuses on leveraging OCI’s powerful computational capabilities to enhance the efficiency and effectiveness of drug discovery processes.
Why Purchase the Report?
- To visualize the global drug discovery informatics market segmentation based on function, solution, application, end-user, and region and understand key commercial assets and players.
- Identify commercial opportunities by analyzing trends and co-development.
- Excel data sheet with numerous data points of the drug discovery Informatics Market with all segments.
- PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
- Product mapping is available in excel consisting of key products of all the major players.
The global drug discovery informatics market report would provide approximately 70 tables, 62 figures, and 184 pages.
Target Audience 2024
- Manufacturers/ Buyers
- Industry Investors/Investment Bankers
- Research Professionals
- Emerging Companies
