Precision Medicine Market Size, Share & Industry Analysis, By Product (Drugs, Devices, Software), By Type (Diagnostic {Genetic Tests [Predictive & Presymptomatic Tests, Carrier Testing, Prenatal & Newborn Screening], Biomarker Tests [Screening, Recurrence Monitoring, & Therapy Selection]}, Therapeutics {Monoclonal Antibodies, Gene Therapy, Cell Therapy}, & Research), By Indication (Oncology, Neurology/ Psychiatry, Immunology), By End-User (Pharmaceutical & Biopharmaceutical Companies, Diagnostic Laboratories, Contract Research Organizations), & Regional Forecast, 2024-2032

The global precision medicine market size was USD 83.80 billion in 2023. The market is projected to grow from USD 91.31 billion in 2024 to USD 207.80 billion by 2032, exhibiting a CAGR of 10.8% during the forecast period. North America dominated the precision medicine market with a market share of 50.91% in 2023.

Precision medicine is an approach to healthcare that tailors medical treatment and interventions according to individual characteristics such as genetic makeup, lifestyle, and the environment. This approach aims to tailor the medical treatment and prevention strategies to the unique characteristics of each patient rather than relying on the concept of one-size-fits-all. It empowers the patients with increased control over their illnesses. It enables quicker access to an improved quality of life with precise and individualized disease diagnosis and targeted treatment.

Precision medicine uses advanced technologies such as genomics, proteomics, bioinformatics, and others to analyze vast data. It provides targeted therapies that are more effective with fewer side effects. The other benefits associated with these approaches are a lesser wastage of drugs, a reduction in the length of the hospital stays, and the creation of more sustainable care for everyone. The approach holds promising outcomes across various diseases, including cancers, respiratory diseases, cardiovascular diseases, and genetic disorders. Thus, by understanding the molecular basis of these diseases and the individual variability, this treatment approach aims to revolutionize healthcare by delivering more precise treatments.

• According to an article published by the European Federation of Pharmaceutical Industries and Associations (EFPIA) in 2023, precision medicine can be applied to common chronic conditions, such as diabetes, cardiovascular diseases, cancers, and infectious diseases such as COVID-19. It utilizes molecular information, such as genomic sequencing, coupled with phenotypic and health data from the patients to generate care insights for disease prevention and treatment.

The increase in the prevalence of chronic diseases, coupled with the rising demand for new treatment approaches and the rise in the research and development activities to fulfill this need, has led to the expansion of the market.

• For instance, in July 2023, according to the data published by the World Health Organization 2019, about 528 million people are suffering from osteoarthritis globally, with a 113.0% increase in cases since 1990. This increasing number of patients requires innovative treatment approaches to relieve the pain associated with the disease and thus increases the market's growth.

Furthermore, the key players in the market are focusing on strategic initiatives, such as partnerships, launches, and research and development activities, to expand their position in the global market.

The COVID-19 pandemic had a positive impact on the market. The positive impact is attributed to the need for individualized treatment strategies, as the severity and response to the COVID-19 infection varied widely amongst the patients. Precision medicine gained significant attention and recognition with the increased investment and research in genomics and molecular diagnostics, helping in the growth of the market during the pandemic period. However, in 2021, the major players in the market reported an increase in the revenue for these products and software with increasing drug discovery and launches of these products. The rising demand for personalized and effective treatment options with fewer side effects is anticipated to boost the market growth during the forecast period.

Precision Medicine Market Trends

Significant Advancements in Cell and Gene Therapy is a Prominent Market Trend

In recent years, the global market has witnessed the increased incorporation of cell and gene therapies into this market. Cell and gene therapy involves either the transfer of whole new, living, and functioning cells or the delivery of genetic information to correct the genetic defect. It is a novel treatment option that involves the addition, replacement, and deactivation of the targeted gene of the disease. Typically, these methods are designed for a smaller pool of patients' population afflicted with rare diseases and cancers, often underserved. The increase in the number of regulatory approvals and launches of cell and gene therapy-based products for chronic diseases will pave the way for future market growth.

• For instance, in October 2022, Novartis AG announced the U.S. Food and Drug Administration approval for Kymriah (tisagenlecleucel), a CAR-T cell therapy to treat adult patients with relapsed or refractory follicular lymphoma. It became the only drug under the CAR-T cell therapy approved for treating both adult and pediatric patients.

Additionally, an increase in approvals for gene therapies for various genetic disorders requiring advanced treatment options is facilitating the market's growth.

• For instance, in December 2023, the U.S. Food and Drug Administration approved two treatment options for Sickle Cell Disease (SCD) for patients over 12 years, Casgevy and Lyfgenia that utilizes the novel genome editing technology, signaling innovative progress in gene therapy. Such progress in cell and gene therapy plays a crucial role in expanding the global market.

Furthermore, the launches of new cell and gene therapy instruments reduce the cost associated with these therapies and, thus, propels the market's growth.

• For instance, in August 2023, Waters Corporation launched the XBridge Premier GTx BEH columns for size exclusion chromatography. It aims to improve the analysis by doubling the analysis speed and increasing the resolution of the analyte. All these advancements helped to reduce the high costs associated with gene therapies. Such global market trends are expected to propel the precision medicine market growth.

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Precision Medicine Market Growth Factors

Rising Prevalence of Chronic Diseases Augments Market Growth

The growing prevalence of chronic disease cases, such as cancer, cardiovascular diseases, and diabetes, is widespread and requires personalized treatment approaches. Precision medicine offers tailored therapies based on an individual's genetic makeup, lifestyle factors, and specific disease characteristics, leading to more effective treatments and better outcomes. The growing incidence of chronic diseases, coupled with heightened patient awareness of adverse drug reactions associated with the market-available medications, is driving the increasing adoption of these more tailored and effective treatment approaches.

• For instance, in May 2023, the National Center for Chronic Disease Prevention and Health Promotion reported that six out of ten people in America have at least one chronic disease, such as heart disease, stroke, cancer, or diabetes. Detecting chronic diseases early and effectively managing them can significantly decrease the overall burden of these conditions.

Furthermore, as more products are introduced to address various chronic conditions, the market is expanding rapidly to meet the growing demand for precise healthcare solutions.

• For instance, in November 2022, ImmunoGen announced the U.S. Food and Drug Administration approval of the drug mirvetuximab soravtansine-gynx under the brand name ELAHERE for treating platinum-resistant ovarian cancer in adult females.

Additionally, increasing the strategic initiatives of the market players for research and development and advancements in the field will eventually drive the market's growth.

• For instance, in October 2022, GSK partnered with Tempus and entered into a year-long agreement to access an AI-enabled platform, improve clinical trial design, speed up enrolment, and identify drug targets. So that faster-personalized treatment options are provided to patients. Such initiatives and collaboration in the field are expected to boost the global precision medicine market size during the forecast period.

Significant Healthcare Spending is Elevating Market Growth Prospects

In recent years, healthcare providers and patients have actively recognized the benefits of these diagnostic and treatment approaches and are spending significantly on them. Also, the rising healthcare spending on the research and development of new precision treatments enhances the market's growth.

The funding is needed for research into new technologies, treatments, and diagnostic tools, which includes genomic research, data analysis, and the development of targeted therapies. Spending is also necessary for conducting clinical trials to evaluate the safety and efficacy of the new drug. Also, the governments of various countries are taking initiatives to support precision treatment approaches and advancements in drug development to set new standards of care for patients.

• For instance, according to the data published by Springer Nature Limited in March 2022, the Australian government announced USD 130.0 million in funding for multimodal partnerships to help the sustainable precision oncology approach.

Furthermore, an increase in the initiatives by the companies to raise funding for the advancements of these approaches for various common and rare diseases is expected to witness significant growth in the market.

• For instance, in September 2023, Actio Biosciences received Series A funds of USD 55.0 million. The financing was led by Canaan and DROIA Ventures, Deerfield Management and EcoR1, and investor Euclidean Capital. This funding aims to advance precision medicine approaches for rare and common diseases. Such funding by investors to help the clinical development of new treatment options fuels the expansion of the market in the future.

Moreover, the advancements in personalized treatment options, enhancements in patient care, and addressing the issues associated with complex diseases are the factors that are driving the global market growth.

RESTRAINING FACTORS

Ethical Challenges May Hinder Growth of the Global Market

Precision medicine relies heavily on collecting and analyzing large amounts of personal health data, including genetic information. Ensuring the privacy and security of this data while still allowing for research and clinical applications can be a complete ethical dilemma. People may avoid data sharing due to privacy concerns.

Additionally, data breaches pose a significant concern within the new treatment approaches. Data breaches refer to the unauthorized access, disclosure, or theft of sensitive personal and medical information collected and stored as part of the research. The breaching occurs through various means, including cyber-attacks, insider threats, and accidental exposure of data, which leads to a decrease in patients' trust in the processes.

• For instance, in October 2023, 23andMe confirmed the unsettling news of a data breach of genetic information, which resulted in the exposure of personal details for approximately 14,000 individuals, accounting for 0.1% of their clients. Such incidents pose a significant barrier to the adoption of these novel products.

Furthermore, several types of research are being conducted to find out patients' perspectives on ethics and risks related to treatment and diagnosis. According to the survey report published by the National Institute of Health in June 2023, regarding patients' point of view regarding ethical concerns and risks associated with such data breaches, it was found that it leads to psychological harm, genetic discrimination, and mistrust between doctor-patients. Such scenarios affect the growth of the global market.

Moreover, addressing these concerns requires implementing robust privacy protections, transparent data governance, frameworks, clear consent processes, and effective communication strategies to build trust and encourage participation in data-sharing initiatives, which can lead to future market growth.

Precision Medicine Market Segmentation Analysis

By Product Analysis

Robust Usage Enabled Devices Segment to Attain Dominant Share in 2023

Based on product, the global market is categorized into drugs, devices, and software.

The devices segment held the highest share of the global market in 2023. It involves various devices which are used in diagnostic tests and monitoring of patients. Even some wearable devices can be used to monitor patients and provide information that can be integrated with Electronic Health Records (EHRs) to improve telehealth capabilities. Such opportunities are augmenting the market growth.

The drugs segment held a notable share in 2023. Significant drug launches for treating various chronic diseases expand the growth of the segment. At the same time, the software segment held the lowest share but is expected to grow at a significant CAGR during 2024-2032. The rising integration of artificial intelligence and advanced technologies for providing accurate and precise treatment is expected to propel segmental growth.

• In May 2024, Rymedi and Precision Genetics entered into a strategic partnership to transform health outcomes and efficiencies through precision medicine. The collaboration will combine Precision Genetics’ PrecisionOp, a personalized means to reduce adverse drug reactions and reliance on post-operative opioids for patients undergoing surgery, and Rymedi’s blockchain-enabled clinical trial and registry platform.

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By Type Analysis

Strategic Activities by Key Players Enabled Diagnostics Segment to Hold Major Share in 2023

Based on type, the global market is categorized into diagnostic, therapeutics, and research.

The diagnostics segment held the highest market share in 2023 and is expected to expand at a considerable CAGR by 2024-2032. The diagnostic segment is divided into genetic tests, biomarker tests, and others. The genetic tests segment is further segmented into predictive & presymptomatic tests, carrier testing, prenatal & newborn screening, and others. Whereas, biomarker tests are categorized into screening, recurrence monitoring, and therapy selection. The segment's growth is augmented due to their essential role in personalized treatment approaches, and accurate diagnosis enables healthcare providers to tailor treatment based on characteristics. Diagnostic tools also play a crucial role in clinical trials for precision medicine. They help select and stratify patients more likely to respond to a particular therapy, enabling more efficient and effective clinical trial outcomes. This, in turn, encourages pharmaceutical companies to invest in these research and development initiatives. Additionally, there has been a rise in strategic partnerships between key market players to develop diagnostic instruments for precise diagnostics in the field.

• For instance, in September 2021, Thermo Fisher Scientific Inc. partnered with AstraZeneca with an aim to co-develop next-generation sequencing (NGS)-based Companion Diagnostics (CDx) to expand the product portfolio of AstraZeneca's targeted therapies across areas such as oncology, cardiovascular, metabolic and respiratory diseases. Such initiatives drive the growth of the diagnostic segment in the global market.

Therapeutics held a notable market share. It is further sub-segmented into monoclonal antibodies, gene therapy, cell therapy, and others. The launches of new drugs for treating chronic diseases expand the growth opportunities of the segment.

• For instance, in January 2022, Immunocore announced the FDA approval of its new drug named KIMMTRAK for treating unresectable or metastatic uveal melanoma (mUM). Such launches and approvals indicate lucrative growth opportunities.

By Indication Analysis

Increase in R&D Activities Coupled with Product Launches in Oncology to Surge Segmental Growth

Based on indication, the global market is categorized into oncology, neurology/psychiatry

immunology, cardiology, endocrinology, and others.

The oncology segment held the lion's share of the market in 2023. The growth of the oncology segment is attributed to the increase in the number of new cancer cases globally and the rise in the need for personalized medicine, with the increase in awareness of the treatment outcomes among patients.

• For instance, according to the data published by the World Health Organisation in February 2022, there were around 2.26 million breast cancer, 2.21 million lung cancer, and 1.93 million colon and rectum cancer cases in 2020. Additionally, approximately 400,000 children develop cancer each year. Such an increase in the number of new cases of cancer leads to increasing adoption of precision medicine for personalized treatment options for the cure of cancer.

Furthermore, increasing research and development and launches of new advanced technologies for developing advanced oncology treatments boost the segment's growth during the forecast period.

• For instance, in April 2023, Function Oncology launched a new functional genomic platform with CRISPR-powered to transform the future of targeted treatment options rather than relying on traditional gene sequencing methods.

The neurology/psychiatry segment held a notable market share and is expected to grow with a prominent compound annual growth rate during the forecast period. The rising burden on the healthcare systems and society with Central Nervous System (CNS) diseases is anticipated to drive segmental growth. This has led to the development of these approaches for these conditions, as traditional medicine focuses only on late-stage syndromes. Along with increasing research studies for neurology and psychiatry disorders, the adoption of targeted treatment increases, propelling the segment's growth during the forecast period.

Immunology held a considerable share of the market. The increasing research and development initiatives by company players to advance the immunology product portfolio with targeted treatment leads to the segment's expansion.

• For instance, in May 2023, NImmune Biopharma announced the collaboration with NIMML Institute to enhance the clinical progression of the LANCL immunoregulatory therapeutic pipeline to bolster precision immunology. The company also funded the institute with USD 15.0 million for research and development to advance precision immunology. Such initiatives tend to improve the segment's growth during the forecast period.

The cardiology segment possessed a significant share of the market. An increase in the number of cardiovascular disease cases augments the growth of the segment.

• For instance, according to the data published by the National Library of Medicine, the global burden of CVD cases is rising. The number of cases doubled from 271.0 million to 523.0 million from 1990 to 2019. The increase in adoption of genomics and proteomics for more tailored approaches for individualized treatment options.

The others segment includes autoimmune disorders, which hold a significant market share. The rise in the collaborations of companies to scale up the treatment options for diseases such as rheumatoid arthritis led to the segment's expansion.

• For instance, in November 2023, Quest Diagnostics announced its collaboration with Scipher Medicine to advance diagnostic services for rheumatoid arthritis for advancements in targeted treatment.

Such a rise in the initiative for technological advancement with collaboration and strategic partnership of key market players fuels the growth of the global precision medicine market.

By End-User Analysis

Increasing R&D Initiatives Amongst Pharmaceutical & Biopharmaceutical Companies to Augment Segmental Growth

Based on the end-user, the global market is segmented into pharmaceutical & biopharmaceutical companies, diagnostic laboratories, Contract Research Organizations (CROs), and others.

The pharmaceutical & biopharmaceutical companies segment dominated the market in 2023. The segment's growth is attributed to the advanced facilities, resources, and expertise for research initiatives to launch new targeted treatments. Also, the increasing number of pharmaceutical companies collaborating to increase patient care escalates the segment's growth.

• For instance, in April 2022, the Precision Cancer Consortium (PCC), founded by companies such as Bayer, GlaxoSmithKline, Novartis, and Roche, announced a collaboration with pharmaceutical companies to provide universal access to comprehensive cancer testing worldwide. PCC collaborated with pharma companies with an initiative to increase patient access to precision diagnostics using next-generation sequencing.


• For instance, in May 2023, Bayer launched a new business unit to shift focus toward developing precision health products across a wide range of everyday health categories.

The diagnostics laboratories held a considerable market share in 2023. The diagnostic laboratories provide essential services such as genetic testing, companion diagnostics, biomarker analysis, and liquid biopsies that are required to guide practitioners in making personalized treatment decisions. Increasing launches of advanced instruments by key players for precision diagnosis in proteomic laboratories fuels the segment's growth during the forecast period.

• For instance, in June 2023, Thermo Fisher Scientific Inc. launched an Orbitrap Astra mass spectrometer. It enables faster, more sensitive protein detection and analysis, helping researchers make breakthrough discoveries in various fields to reveal the disease early and develop new treatment options from cardiovascular disease to cancer.

The Contract Research Organizations (CROs) segment accounted for a notable global precision medicine market share. They facilitate research by managing clinical trials and offering specialized services, including biomarker discovery, patient stratification, and companion diagnostic development. They also have advanced instruments, expertise, and infrastructure essential for advancing these initiatives. Outsourcing clinical trial functions to CROs provides cost-saving benefits compared to in-house operations.

The others segment is anticipated to hold a considerable share of the market. The increase in research and development activities in the research institutes facilitates the expansion of the segment during the forecast period in the market.

REGIONAL INSIGHTS

Geographically, the market is studied across North America, Europe, Asia Pacific, Latin America, and the Middle East & Africa.

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North America dominated the market with a revenue of USD 42.66 billion in 2023 and is expected to maintain the dominant position throughout the forecast period. The region's high incidence of chronic diseases leads to a high demand for personalized treatment options.

• For instance, according to the data published by the Centre for Disease Control and Prevention (CDC), an estimated 1,603,844 new cancer cases were reported in the U.S. in 2020. Also, 403 new cancer cases are reported for every 100,000 people. Thus, the high incidence rate of cancer propels the adoption of new personalized treatment options and eventually helps in the market growth of North America.

Additionally, advanced healthcare infrastructure, including state-of-the-art medical facilities, regional research institutions with leading pharmaceutical and biopharmaceutical companies, and government-funded research initiatives, contributes to the region's market dominance.

The market in Europe held the second-highest share in 2023. The significant advances in biomarker testing, with (NGS) allowing genomics detection, have driven a preferential shift toward these diagnostic and treatment approaches in the European market. Moreover, the availability of advanced healthcare infrastructure, increasing healthcare expenditure, and superior diagnostics technologies in the region propel the growth of Europe.

Asia Pacific is projected to expand by 2032, driven by population growth, rising disease burden, increasing healthcare spending, advancements in healthcare infrastructure, government support, and a rapidly evolving healthcare ecosystem. Similarly, the introduction of healthcare centers with the integration of AI in treatment and diagnostic procedures in developing countries, such as India, favors the growth and adoption of these solutions.

• In January 2024, Apollo Cancer Centre (ACC) opened India's first Precision Oncology Centre powered by AI. It offers comprehensive, specialized care that is tailored to each individual.

The market in Latin America and the Middle East & Africa is expected to grow at a relatively lower CAGR. The factors associated with the comparatively lower growth rates are a slower adoption rate of these products, economic challenges, regulatory constraints, and limited access to healthcare infrastructure and technology. Despite this slower growth, there is still potential for expansion in these regions with the increasing awareness of targeted treatments and prioritized investments by the government and companies in healthcare innovations.

• In January 2023, Mediclinic Southern Africa acquired 80.0% shareholding in Artisan Biomed, a Centre for Proteomic & Genomic Research (CPGR) subsidiary, which owns the remaining 20.0%. This development contributes to their investment in precision medicine. Such efforts are expected to propel the regional market growth.

KEY INDUSTRY PLAYERS

Strong Collaborations and Partnerships of Key Companies to Sustain Their Market Position

The competitive landscape of the market reflects a highly fragmented structure. Some prominent players, such as Illumina, Inc., Agilent Technologies, Inc., Thermo Fisher Scientific Inc., and Pfizer Inc., held a significant position in the global market in 2023. This is due to their robust brand presence and strategic partnerships and collaborations with various players to launch new diagnostics and therapeutics products for the well-being of patients and society.

• In July 2023, Agilent Technologies, Inc. and Institut Curie partnered to launch a new kit for identifying vital genetic abnormalities that cause cancer. The product was developed by Institut Curie's geneticists and bioinformatics specialists.

Novartis AG, Bristol-Myers Squibb Company, Nucleai, Inc., Precision Medicine Group, LLC., and AstraZeneca are also some of the key players in terms of share in the global market. Implementing specific strategic initiatives, emphasizing research and development activities, and obtaining approvals from regulatory agencies to launch new products are expected to enhance their presence in the market.

LIST OF TOP PRECISION MEDICINE COMPANIES:

• Illumina, Inc. (U.S.)


• Agilent Technologies, Inc. (U.S.)


• Thermo Fisher Scientific Inc. (U.S.)


• Pfizer Inc. (U.S.)


• Novartis AG (Switzerland)


• Bristol-Myers Squibb Company (U.S.)


• Nucleai, Inc. (U.S.)


• Precision Medicine Group, LLC. (U.S.)


• AstraZeneca (U.K.)


• QIAGEN (Germany)


• Abbott (U.S.)


• Koninklijke Philips N.V. (Netherlands)


• IBM Life Sciences (U.S.)

KEY INDUSTRY DEVELOPMENTS:

• October 2023: Novartis presented the positive Phase III result for Pluvicto (lutetium (177Lu) vipivotide tetraxetan) at the European Society for Medical Oncology (ESMO) Congress in patients with Prostate-Specific Membrane Antigen (PSMA)-positive Metastatic Castration-Resistant Prostate Cancer (mCRPC).


• January 2023: QIAGEN partnered with Helix Laboratory to launch advanced companion diagnostics technology with next-generation sequencing to offer diagnostic solutions for hereditary diseases.


• January 2023: Agilent Technologies Inc. acquired Avida Biomed with the aim of enhancing its presence in the clinical research and diagnostic market through the utilization of high-performance workflows for NGS target enrichment in cancer research.


• June 2023: Nucleai, Inc. collaborated with Mayo Clinic BioPharma Diagnostics to prioritize numerous specific services to facilitate drug development, encompassing the identification and verification of biomarkers, comprehensive spatial biology testing, and the implementation of algorithms for clinical trials and diagnostic purposes.


• August 2022: Thermo Fisher Scientific Inc. received FDA approval for the Oncomine Dx Target Test, the first NGS-based companion diagnostic to aid in identifying non-small cell lung cancer patients with HER2 (ERBB2) activating mutations (SNVs & Exon 20).


• May 2022: Illumina Inc. partnered with Janssen Biotech, Inc. to enhance the development of precision medicine. The collaboration will primarily focus on co-developing Companion Diagnostic (CDx) programs using Illumina's TruSight Oncology Comprehensive assay.

REPORT COVERAGE

The report focuses on providing an industry overview and examining dynamics of the global market. It includes data on the prevalence of prominent chronic diseases in different countries/regions within the market. Additionally, it highlights vital developments within the industry, conducts pipeline analysis, and discusses the launch of new products by major players. Furthermore, the report delves into the impact of the COVID-19 pandemic on the industry and provides an overview of the market situation during this period

Report Scope & Segmentation