The Artificial Intelligence (AI) in Biotechnology market utilizes machine learning and deep learning algorithms to develop personalized treatments and accelerate drug discovery process. AI helps in analyzing huge amounts of molecular and clinical data to identify disease mechanisms and potential drug targets. It also plays a crucial role in speeding up clinical trials by matching patients with suitable treatments based on their medical history and genomic profile.
The Global Artificial Intelligence (AI) in Biotechnology Market is estimated to be valued at US$ 7.11 Bn in 2024 and is expected to exhibit a CAGR of 19% over the forecast period 2024 to 2031.
Key Takeaways
Key players operating in the Artificial Intelligence (AI) in Biotechnology are AstraZeneca, Bristol-Myers Squibb, Gilead Sciences, Inc., Sanofi, Abbott Laboratories, Biogen, Pfizer, Inc., Novo Nordisk A/S, Amgen, Inc., Merck KGaA, Johnson & Johnson Services, Inc., F. Hoffmann-La Roche Ltd., Novartis AG, Deep Genomics, NVIDIA Corporation, Verge Genomics, Recursion Pharmaceuticals. These players are investing heavily in developing AI-powered platforms for drug discovery, clinical trials, precision medicine, and healthcare.
The key opportunities in the Artificial Intelligence (AI) in Biotechnology Market Growth include personalized medicine, biomarker development for therapeutics, early disease detection and prevention, and precision medicine. AI will play a major role in developing personalized treatments that account for individual patient variability in genes, environment, and lifestyle.
On a global level, companies are expanding their AI-focused R&D centers and collaborating with research institutes and hospitals to develop and commercialize AI-derived insights. North America currently dominates the market due to consolidation of major players and higher adoption rate. However, Asia Pacific is expected to witness highest growth during the forecast period owing to increasing healthcare expenditure and government support for AI in healthcare.
Market drivers
One of the key drivers for the growth of artificial intelligence in biotechnology market is its ability to accelerate drug discovery process. AI analyzes huge datasets to identify biomarker patterns and potential drug targets much faster than conventional research methods. It enables screening of thousands of potential compounds in lesser time and costs which further helps in faster development of effective therapeutics. This saves both time and resources for pharmaceutical companies.
PEST Analysis
Political: Large technology companies are investing heavily in AI for biotech and pharma applications. Governments worldwide are also increasing funding for AI research which is promoting growth of this market.
Economic: Increasing R&D spending of biotech and pharma companies on developing AI-based drug discovery platforms to reduce costs and speed up drug development is fueling market growth. The cost and time savings achieved through AI is positively impacting the finances of end-use industries.
Social: Growing prevalence of diseases worldwide is raising demand for precision medicine and targeted drug therapies. AI is enabling advances in personalized healthcare by powering applications like disease screening, drug repurposing, and clinical trial monitoring which is socially important.
Technological: Advancements in machine learning, deep learning, and neural networks are enhancing the capabilities of AI systems. The integration of AI into platforms, workflows, and tools used across biomedical research and drug development processes is driving technological innovation in this industry.
In terms of value, the market in North America accounts for the largest share currently. High R&D spending capabilities of countries like the US and presence of major industry players in the region contribute to its leading position.
On the other hand, Asia Pacific is poised to witness the fastest growth during the forecast period owing to increasing government initiatives to strengthen healthcare infrastructure, rising biotech industry, and growing investment by global companies looking to tap into the market potential. Countries like China and India are emerging as strategic locations.
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1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it