Next-generation Sequencing Data Analysis Market Size Report, 2024-2033
The global next-generation sequencing data analysis market size was exhibited at USD 884.10 million in 2023 and is projected to hit around USD 6,950.57 million by 2033, growing at a CAGR of 22.9% during the forecast period 2024 to 2033.
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Key Takeaways:
Next-generation Sequencing Data Analysis Market Overview
In the ever-evolving landscape of genomics, next-generation sequencing (NGS) has emerged as a revolutionary technology, propelling advancements in personalized medicine, agriculture, and various other scientific domains. At the heart of this innovation lies the critical aspect of data analysis, which plays an indispensable role in deriving meaningful insights from the vast volumes of sequencing data generated. This article delves into the burgeoning market of next-generation sequencing data analysis, providing readers with a comprehensive overview of its dynamics, growth prospects, and key trends.
Next-generation Sequencing Data Analysis Market Growth
The growth trajectory of the next-generation sequencing (NGS) data analysis market is propelled by several pivotal factors that underscore its burgeoning significance in the genomics landscape. Firstly, technological innovations continue to refine NGS platforms, generating vast volumes of sequencing data that necessitate sophisticated analytical tools for interpretation. This influx of data has catalyzed the development of advanced data analysis software and solutions, fostering a conducive environment for market expansion. Additionally, the burgeoning applications of NGS across multifaceted domains, encompassing oncology, agriculture, and personalized medicine, amplify the demand for tailored data analysis platforms adept at deciphering intricate genomic information. Furthermore, collaborative endeavors between academic institutions, pharmaceutical conglomerates, and biotechnology firms are driving research and development initiatives, thereby augmenting the market's growth prospects. Collectively, these intertwined factors converge to create a fertile ecosystem, stimulating innovation, investment, and advancements in the next-generation sequencing data analysis domain.
Next-generation Sequencing Data Analysis Market Report Scope
| Report Coverage | Details |
| Market Size in 2024 | USD 884.10 Million |
| Market Size by 2033 | USD 6,950.57 Million |
| Growth Rate From 2024 to 2033 | CAGR of 22.9% |
| Base Year | 2023 |
| Forecast Period | 2024-2033 |
| Segments Covered | Product, Workflow, Mode, Read Length, End-Use, Region |
| Market Analysis (Terms Used) | Value (US$ Million/Billion) or (Volume/Units) |
| Regional Scope | North America; Europe; Asia Pacific; Central and South America; the Middle East and Africa |
| Key Companies Profiled | Golden Helix, Inc.; Bio-Rad Laboratories, Inc.; SciGenom Labs Pvt. Ltd.; DNAnexus Inc.; Genuity Science; Fabric Genomics, Inc.; Congenica Ltd.; QIAGEN; DNASTAR, Inc.; Pacific Biosciences of California, Inc.; Eurofins Scientific; Partek Incorporated; Precigen Bioinformatics Germany GmbH; PierianDx; Agilent Technologies, Inc.; F. Hoffmann-La Roche Ltd.; Illumina, Inc.; Verily Life Science; Thermo Fisher Scientific, Inc. |
Next-generation Sequencing Data Analysis Market Dynamics
Market Restraint
A primary restraint confronting the Next-Generation Sequencing (NGS) data analysis market is the sheer volume and complexity of data generated through advanced sequencing technologies. As NGS methodologies continue to evolve, they produce exponentially increasing amounts of genomic data, outpacing the capacity of existing computational infrastructures and data storage solutions. This data deluge necessitates sophisticated analytical tools and platforms capable of handling vast datasets while ensuring accuracy, reliability, and efficiency.
The intricate nature of genomic data, characterized by complex patterns, structural variations, and sequence alignments, presents significant challenges in data interpretation, analysis, and visualization. Traditional data analysis methods may prove insufficient in deciphering complex genomic datasets, leading to potential insights being overlooked, misinterpreted, or misaligned.
Another critical restraint impeding the growth of the NGS data analysis market is the persistent gap in bioinformatics expertise and skilled professionals proficient in interpreting and analyzing complex genomic datasets. The rapidly evolving landscape of genomics and bioinformatics necessitates specialized knowledge in computational biology, statistical analysis, data mining, and genomic sequencing technologies.
The shortage of qualified bioinformaticians proficient in NGS data analysis hampers research advancements, slows down data analysis processes, and limits the effective utilization of advanced data analysis tools and technologies. The intricate nature of NGS data requires specialized training, expertise, and domain knowledge to navigate complex data analysis pipelines, interpret genomic variations, and derive meaningful insights from vast datasets.
Market Opportunity
A significant opportunity within the Next-Generation Sequencing (NGS) data analysis market lies in the burgeoning field of precision medicine. Precision medicine aims to tailor healthcare interventions and treatment protocols based on individual genetic profiles, enabling personalized diagnosis, prognosis, and therapeutic strategies. NGS technologies facilitate the generation of comprehensive genomic data, offering insights into genetic variations, disease mechanisms, drug responses, and therapeutic targets.
The integration of NGS data analysis with precision medicine initiatives presents lucrative opportunities for market growth, innovation, and collaboration across the healthcare ecosystem. By leveraging advanced data analysis tools, platforms, and algorithms, researchers, clinicians, and pharmaceutical companies can decipher complex genomic datasets, identify actionable insights, and develop targeted therapies tailored to individual patient profiles.
Another significant opportunity shaping the Next-Generation Sequencing (NGS) data analysis market is the expanding scope of genomic research initiatives across various sectors, including academic institutions, research organizations, pharmaceutical companies, and biotechnology firms. The increasing interest in understanding genetic variations, disease mechanisms, population genetics, and evolutionary biology drives the demand for advanced NGS technologies and data analysis solutions.
The proliferation of collaborative research projects, genome sequencing initiatives, and multi-omics studies underscores the importance of NGS data analysis in facilitating scientific discoveries, innovation, and knowledge generation. By leveraging sophisticated data analysis tools, algorithms, and platforms, researchers can explore complex genomic datasets, uncover novel insights, and elucidate the genetic underpinnings of diseases, traits, and biological processes.
Market Challenges
One of the most prominent challenges facing the Next-Generation Sequencing (NGS) data analysis market is the management of vast volumes of data generated by advanced sequencing technologies. As NGS methodologies continue to evolve and improve in throughput and resolution, the amount of genomic data produced per sequencing run grows exponentially. This massive influx of data presents significant challenges in terms of storage, transfer, processing, and analysis.
The intricate nature of genomic data, characterized by complex sequences, structural variations, and intricate patterns, requires sophisticated computational infrastructures, storage solutions, and analytical tools. Traditional data management and analysis methods may prove inadequate in handling the scale and complexity of NGS datasets, leading to scalability issues, increased processing times, and potential data loss or corruption.
Another critical challenge impeding the growth and adoption of NGS data analysis technologies is the persistent gap in bioinformatics expertise and skilled professionals proficient in interpreting and analyzing complex genomic datasets. The rapidly evolving landscape of genomics, computational biology, and bioinformatics necessitates specialized knowledge, skills, and expertise in data analysis, statistical modeling, algorithm development, and genomic sequencing technologies.
The shortage of qualified bioinformaticians proficient in NGS data analysis hampers research advancements, slows down data analysis processes, and limits the effective utilization of advanced data analysis tools and technologies. The intricate nature of NGS data requires specialized training, domain knowledge, and expertise to navigate complex data analysis pipelines, interpret genomic variations, and derive meaningful insights from vast datasets.
By Segments
The service segment dominated the global industry in 2023 and accounted for the maximum share of more than 54.06% of the overall revenue. This is due to cost-effective NGS data analysis services. Companies that do not have proper infrastructure for management and interpretation benefit from this service. For instance, ArrayGen Technologies Pvt. Ltd. offers a wide range of NGS data analysis services in the fields of cancer genomics, disease association studies, agriculture biotechnology, and personalized medicine. Similarly, ThermoFisher Scientific also offers a variety of NGS data analysis services.
The NGS commercial software segment is anticipated to witness significant growth in the coming years owing to higher demand and increased awareness about sequencing techniques. A huge amount of data generated through NGS requires a management platform, which has resulted in high demand for such algorithms. Several companies are engaged in developing data interpretation tools that enable researchers to handle large amounts of data. The CLC Genomics Workbench offered by QIAGEN is a complete toolkit for metagenomics, transcriptomics, epigenomics, and genomics in one single program.
Workflow Insights
The NGS tertiary data analysis segment led the global industry in 2023 and captured the highest share of more than 49.18% of the overall revenue. Tertiary data analysis is the third step of analysis and involves gathering multiple samples, along with the phenotype and experimental information. Several companies are entering into strategic initiatives to expand the scope of these tools. For instance, in October 2021, Verogen entered into a collaboration with Cellmark Forensic Services to establish NGS-based forensic services the in U.K. This would integrate the use of ForesnSeq DNA Signature Prep Kit, Universal Analysis Software, and MiSeq FGx System.
The secondary data analysis segment is projected to register the fastest growth rate during the forecast period. The increasing application scope of whole-genome sequencing needs faster secondary analysis tools to meet the increasing demand. The secondary analysis demands an enormous amount of data storage and computing resources. It is resource-intensive, yet it performs a set of bioinformatics and algorithms on a per-sample basis. This repeatable step can be incorporated into an analytic pipeline, which is entirely automated. This automated workflow enables more resource utilization through scheduling. In addition, it enables continuous improvement of the pipeline with the implementation of monitoring quality metrics and improving the algorithms as well as their associated parameters.
Mode Insights
The in-house mode segment dominated the global industry in 2023 and accounted for the largest share of more than 65.12% of the overall revenue. In-house NGS data analysis involves companies that are into disease diagnosis and testing using NGS while managing their own data analysis using available software tools. Companies operating in this segment are increasing rapidly. Moreover, various academic and research institutes conducting NGS research have been allocated annual budgets to perform in-house services. The in-house analysis provides rapid integration of scientific workflows into bioinformatics pipelines.
The outsourced mode segment is anticipated to witness the fastest growth rate during the forecast period. Several players offer outsourced NGS data analysis services for various applications. For instance, SciBerg offers services that allow the analysis of NGS data at a fraction of the total cost incurred for DNA library preparation and deep sequencing. Scionics Computer Innovation GmbH offers NGS data analysis services for applications including differential gene expression analysis for RNA sequencing data and de novo assembly & annotation of the transcriptome. Thus, the availability of several options in this domain is an important factor contributing to its rapid growth.
Read Length Insights
Based on read length, the global industry has been further categorized into short, long, and very long read sequencing. The short-read sequencing segment dominated the global NGS data analysis industry in 2023 and accounted for the maximum share of 74.14% of the overall revenue. This is owing to the significant adoption and availability of alignment tools for short-read sequencing data. BaseSpace Sequence Hub, a cloud computing environment for genomics, involves the collection of apps that could easily manage sequencing data, which could further be used for a wide range of studies.
Similarly, DRAGEN by Illumina, Inc., a bio-IT platform, offers rapid secondary analysis of sequencing data from whole exome, whole genomes, and targeted sequencing workflows. The market shows significant opportunities for long-read sequencing segments. A data processing toolkit, Guppy, by Oxford Nanopore, includes base-calling algorithms and bioinformatic post-processing characteristics. Base calling is profitable as it reduces the need for local infrastructure and a stable internet connection. The toolkit could be run on Linux or combined with the device control software MinKNOW.
End-use Insights
The academic and research institute segment led the industry in 2023 and accounted for the maximum share of more than 53% of the overall revenue. The decreasing cost of NGS technology has increased the usage of NGS software platforms by several research centers and academic institutions for their projects that need data interpretation. Moreover, the number of skilled professionals has gradually increased in research centers for handling software and computational tools, which is anticipated to boost revenue generation in this segment. Various institutes offer on-site bioinformatics courses and training programs that aim at enhancing knowledge about various sequencing data analysis solutions. This benefits the growth of the academic research segment.
The clinical research end-use segment is estimated to register the fastest growth rate during the forecast period. The implementation of NGS for studying tumor heterogeneity, the discovery of new cancer-related genes, and the identification of alterations related to tumorigenesis are expected to result in significant growth of this segment. In the U.K., the National Health Service, through its Genomic Medicine Service, has adopted a sequencing-based approach for the clinical investigation of cancer with unknown etiology and the evaluation of treatment options.
Regional Insights
North America dominated the global industry in 2023 and accounted for the maximum share of more than 50% of the global revenue. This is owing to the significant advancements in personalized medicine, companion diagnostics, and NGS. Moreover, growing emphasis on process optimization, reducing costs, and decreasing overall turnaround time for clinical processes are projected to create lucrative growth opportunities for the industry. These fields are capital-intensive, and hence require high R&D investment. In January 2020, Illumina Inc. entered into a multi-year partnership with ArcherDx, Inc. to expand access to NGS-based oncology testing along with companion diagnostics for the selection of therapeutics and personalized monitoring.
The Asia-Pacific region is anticipated to witness the fastest growth rate during the forecast period. Several genomic programs are initiated in this region that focus on integrating genomics into healthcare, consequently utilizing NGS technologies. For instance, the Australian Genomics Health Alliance is a collaborative research partnership of more than 80 organizations that aims to integrate genomics into healthcare. Furthermore, several advancements by companies are expected to enhance the availability of NGS technologies and associated software in this region. In March 2023, Vela Diagnostics launched NGS-based panels, Comprehensive (525 genes) and Focused (60 genes), that could detect RNA and DNA biomarkers.
Some of the prominent players in the next-generation sequencing data analysis market include:
Segments Covered in the Report
This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2024 to 2033. For this study, Nova one advisor, Inc. has segmented the global Next-generation sequencing data analysis market.
Product
Workflow
Mode
Read Length
End-use
By Region
Cross-segment Market Size and Analysis for
Mentioned Segments
Additional Company Profiles (Upto 5 With No Cost)
Additional Countries (Apart From Mentioned Countries)
Country/Region-specific Report
Go To Market Strategy
Region Specific Market DynamicsRegion Level Market Share Import Export AnalysisProduction AnalysisOthers