Global AI in Genomics Market Research Report Segmentation By Offering (Software, Services, and Consumables); Technology (Machine Learning, Computer Vision); Application (Genome Sequencing, Gene Editing, Gene Mapping); End-User (Pharmaceutical Companies, Research Bodies); Region Size, Share, Growth Analysis | Forecast (2024 2030)

Market Size and Overview:

The AI in Genomics Market was valued at USD 343.09 million in 2023 and is projected to reach USD 4759.27 million by 2030. The market is anticipated to expand with a stellar CAGR of 45.6% over the forecast period.

Industry Overview

Genomics, a scientific discipline exploring genes, their functions, and the genomes of living organisms, involves the study of structure, evolution, and mapping. Genetic testing plays a pivotal role in understanding susceptibility to diseases, drug responses, and overall human biology. Key components of genomics research encompass structural and functional analysis, DNA sequencing, bioinformatics for sequencing, and recombinant DNA technology. Artificial intelligence (AI) integration in genomics facilitates the development of computer systems for tasks like genome mapping, enabling faster exploration of genetic material structure, evolution, and function compared to human efforts. AI algorithms are applied in clinical genomics for tasks such as genome annotation, variant calling, and correlating phenotypes with genotypes. Additionally, AI methodologies contribute to precise predictions of protein structures and DNA data with minimal manual feature crafting.

The healthcare and pharmaceutical sectors, particularly in precision medicine and drug discovery, leverage global AI in the genomics industry. These solutions, utilizing technologies like computer vision and machine learning, find applications in diagnostics within the healthcare domain. The software and services offered by participants in the global AI in genomics market streamline and intelligently manage complex and time-consuming procedures in drug development.

The imperative to control costs and timelines in pharmaceutical research and development is propelling the AI in genomics industry forward. The Global Artificial Intelligence in Genomics Market anticipates growth, driven by the increasing demand to reduce discovery costs and time in new medication development. Despite the promising trajectory, challenges include a shortage of skilled personnel proficient in AI technologies and unclear, stringent regulations governing the creation and deployment of medical software tools and platforms, which may impede market growth in the coming years.

Covid-19 Impact on AI in Genomics Market

The onset of the COVID-19 pandemic positively influenced healthcare industry growth, emphasizing technological advancements, cost control, and enhanced access to medical systems in future healthcare reforms. Amid the ongoing pandemic, digital health and telemedicine gained prominence, emphasizing the importance of remote diagnosis, care, and consultation. Regulatory and behavioral constraints that hindered telehealth growth in the past are expected to ease, with a surge in video conferencing and telephone consultations. The pandemic underscored the relevance of at-home medical IoT devices for optimizing outpatient therapy, reducing recurrent visits, and crisis management, contributing to the AI in genomics market's growth.

Global AI in Genomics Market Drivers:

Demand to Reduce Drug Development Costs and Time:

The pressing need to minimize drug development costs and time serves as a driving force for the AI in Genomics market. The adoption of artificial intelligence in drug discovery, capable of swiftly analyzing large datasets, offers a time and cost-efficient alternative to traditional approaches, contributing to market expansion.

Rising Incidences of Diseases and Adoption of AI in Precision Medicine:

The increasing prevalence of diseases such as cancer and diabetes, coupled with the growing acceptance of AI solutions in precision medicine, propels market growth. Genome testing enhances awareness of genetic disorders, providing personalized information on health and disease risks, fostering the adoption of AI solutions for improved therapies.

Global AI in Genomics Market Challenges:

Stringent Regulations Governing Medical Software:

Stringent rules and regulations imposed by authorities on the development and deployment of medical software tools and platforms pose a significant obstacle to the growth of artificial intelligence in the genomics market. Approval delays and adherence to strict standards impact the market's overall expansion.

Lack of Skilled Workforce:

The projected shortage of skilled workers in the genomics market, exacerbated by the growing AI industry, may hinder market growth. The continual need for trained personnel and expertise poses a challenge, potentially impeding the steady progress of the genomics market.

Global AI in Genomics Market Segmentation:

Global AI in Genomics Market Segmentation: By Offering:

• Software
• Services
• Consumables

The AI in the genomics market is categorized into Software, Services, and Consumables based on offerings. In 2021, the Consumables segment dominated the market share, driven by the widespread use of consumables in genomic systems. This dominance is expected to persist as the global demand for genetic tests rises. The Software segment is poised for exponential growth over the forecast period, attributed to AI's deployment as software capable of replicating and surpassing human intellect in certain scenarios. As genetic data complexity increases, researchers increasingly turn to artificial intelligence and machine learning to uncover crucial correlations, propelling the use of AI in the genomics market.

Global AI in Genomics Market Segmentation: By Technology:

• Machine Learning
• Computer Vision

The market's technological segmentation includes Machine Learning and Computer Vision. In 2021, the Machine Learning segment held a significant position in the global AI in genomics market. This dominance is projected to continue, with the Machine Learning segment expected to experience a higher CAGR during the forecast period. The prevalence of machine learning is attributed to its effectiveness in handling large volumes of genomic data, with bioinformatics algorithms relying on machine learning approaches to discern patterns and predict outcomes. The pharmaceutical and biotechnology sectors increasingly leverage machine learning for drug-genomic applications, extracting valuable insights from extensive datasets and complementing genomic research, thereby fostering positive market trends.

Global AI in Genomics Market Segmentation: By Application:

• Genome Sequencing
• Gene Editing
• Gene Mapping

Segmented into Genome Sequencing, Gene Editing, and Gene Mapping, the application aspect of the AI in the genomics market witnessed the Genome Sequencing category dominating in 2021. The advantages of sequencing technologies, such as high throughput, scalability, and speed, contribute to its prominence. Gene Editing is poised to secure a significant market share shortly, with advancements in gene therapy expected to replace conventional operations and medications. Gene editing represents a transformative breakthrough in the genomics market, generating debate and excitement while offering innovative solutions despite its imperfections.

Global AI in Genomics Market Segmentation: By End-user:

• Pharmaceutical Companies
• Research Bodies

The end-user segmentation includes Pharmaceutical Companies and Research Bodies. The pharmaceutical company segment contributed the most significant share to the market, driven by AI's ability to expedite development processes and reduce risks in pharmaceutical production. AI facilitates the study of intricate illnesses at the genetic level, contributing to efficient and secure data analysis. The increased incidence of diseases, coupled with the need to cut medication development time and costs, is anticipated to further propel the growth of this segment.

Global AI in Genomics Market Segmentation: By Region:

• North America
• Europe
• The Asia Pacific
• Latin America
• The Middle East
• Africa

Geographically, the AI in the genomics market is divided into North America, Europe, Asia Pacific, and the rest of the world. North America, with a market share of 45.19% in 2021, emerged as the largest regional market and is expected to continue this trend. Increased funding, government initiatives supporting industrial research, and efforts to boost precision medical practices contribute to North America's market dominance. Technical advancements lowering sequencing costs and increased awareness of genetics are key factors driving AI adoption in genomics in the region. The Asia Pacific holds significant development potential, with growing awareness of genetics and financing for long-term research programs fostering a higher CAGR in the coming years. The entrance of new market participants further propels market expansion in the region.

Key Players:

• DNAnexus Inc.
• Lifebit
• Empiric Logic
• Microsoft
• MolecularMatch Inc.
• Sophia GENETICS
• Cambridge Cancer Genomics
• Data4Cure Inc.
• Genoox Ltd.
• Diploid
• Engine Biosciences Pte. Ltd.,
• IBM
• NVIDIA Corporation, Benevolent AI
• Verge Genomics.

Significant Developments in the AI in Genomics Market

Funding - March 2022 DNAnexus secured a substantial USD 200 million investment in March 2022 from notable investors, including Perceptive Advisors, Innovatus Capital Partners, Foresite Capital, and Alphabet's venture arm GV. This funding aims to support the development of a genetic data analytics platform.

Collaboration - October 2021 in October 2021, Eurofins Genomics and Poolbeg Pharma initiated a collaboration focused on completing next-generation RNA sequencing of samples from human viral challenge experiments, specifically related to respiratory syncytial virus (RSV) illness progression.

Collaboration - July 2021 A three-year collaboration between Verge Genomics and Eli Lilly commenced in July 2021. The primary objective of this partnership is to conduct research and development for novel medications addressing amyotrophic lateral sclerosis (ALS), a motor neuron disease. Eli Lilly will leverage Verge's all-in-human platform to identify and develop innovative ALS targets.

Collaboration - October 2020 in October 2020, NVIDIA Corporation announced a collaborative effort with GSK, a prominent player in the global healthcare market. This collaboration, involving GSK's AI department, focused on enhancing vaccination and drug discovery processes in the United Kingdom through the utilization of the NVIDIA platform.