Industry Outlook

The Precision Medicine Market accounted for USD 88.2 Billion in 2024 and is expected to reach USD 486.8 Billion by 2035, growing at a CAGR of around 16.8% between 2025 and 2035. Precision medicine, also known as personalized medicine, is an innovative healthcare approach to disease treatment that tailored treatments and interventions according to the individual characteristics such as lifestyle, genetics, and environment. Precision medicine usually offers customized solutions that are based on patients' genetic profiles and disease characteristics. Thus, promising improved outcomes and reduced side effects compared to conventional treatments. The precision medicine market offers genomic sequencing, targeted therapies, diagnostic tools, personalized healthcare devices, bioinformatics software, genetic counseling, and specialized clinical trials.

Report Scope:

Market Dynamics

Advancements in Genomics and Rising Investments for Developing Novel Therapies

Precision medicine analyzes the genes and proteins in the patient’s body to design a personalized treatment to cure the disease. With key discoveries such as single nucleotide polymorphism and microarray/biochips in precision medicine, the market is expected to experience a boom in the coming years. Research on the human genome is the future of precision medicine and has significant potential to upend the medical treatment of individual patients by understanding their genetics, molecular profiles, and clinical characteristics and evolving proper treatment to cure the disease. For instance, According to WHO, about 1 in 5 people develop cancer in their lifetime, and about 1 in 12 women and 1 in 9 men die from cancer every year. Advancements in genomics have transformed clinical diagnosis & personalized medicine. Advancements such as next-generation sequencing (NGS) and high-density microarray allow for rapid analysis of extensive genomic data, enabling quick exploration of disease genetics. Additionally, the rising investments in the human genome for developing targeted therapies are anticipated to drive the market in the coming years. For instance, human genome funding by the National Institutes for Health (NIH) was about US$ five million in fiscal year 2023 and is expected to increase in the coming years. Funding helps companies generate genomic data from bio-samples which are critical component of precision medicine discoveries.

High Cost and Lack of Reimbursement Policies

High cost of precision medicine couple with challenges in reimbursement policies is expected to hinder the market growth. The application of high-end calculation methodology and advanced computational techniques add various types of costs to the treatment procedure, making precision medicine expensive. Apart from this, ongoing advancements in computational tools and innovation in genetic technology help to examine the functional effects of genetic changes that finally cause cancer development. Thus, the genetic diagnosis approach is predicted to fuel the growth of precision medicine exponentially, especially in the field of cancer treatment.

Emergence of Targeted Gene Therapy

Gene therapy creates immense opportunities for companies to engage in precision medicine. Since genome sequencing is an unavoidable phase of gene therapy, the substantial investments that are being made in this field would propel precision medicine market growth. Globally, rising cancer prevalence is likely to increase the demand for gene therapy as an effective personalized treatment choice. According to WHO, cancer incidence is projected to rise by 50% to reach more than 20 million by the end of this decade. This alarming increase in the number of patients necessitates gene therapy as a potential treatment approach to addressing the growing global burden of the disease. As the number of gene therapy clinical trials reporting positive results increases, it is becoming clear that gene therapy is moving toward commercialization.

Industry Experts Opinion

"Precision medicine offers the potential to tailor treatments to individual patients based on their genetic makeup, environment, and lifestyle, which can significantly improve outcomes and reduce side effects."

• Dr. Francis Collins, Former Director, National Institutes of Health

"Precision medicine is not just about treating diseases; it's about understanding the unique factors that contribute to health and wellness, allowing for more personalized and effective interventions."

• Dr. Robert Green, Professor of Medicine, Harvard Medical School

Segment Analysis

Based on the Technology: The precision medicine market is segmented into bioinformatics, big data analytics, drug discovery, gene sequencing, companion diagnostics, and other categories. The drug discovery segment stands out as the dominant force in this market. Precision medicine holds immense promise in enhancing the success rates of Phase II and III clinical trials by tailoring treatment options to patient subgroups based on molecular profiles, lifestyle, and environmental factors. Since its inception, precision medicine has witnessed a rapid expansion across various medical and healthcare applications, with oncology leading the charge in its implementation. This paradigm shift is revolutionizing the drug development process by pinpointing targets responsible for diseases in individual patients and stratifying clinical trials based on underlying mechanistic causes. Precision medicine revolutionizes clinical trials by stratifying patients based on their genetic and molecular profiles, enabling more targeted and effective treatment approaches. By leveraging precision medicine in clinical trial design, researchers can enhance trial efficacy and accelerate the development of innovative therapies tailored to individual patient needs, driving advancements in the healthcare and pharmaceutical industries.

Based on the End-use: The hospitals segment led the market with a significant revenue share in 2023. Hospitals provide the ideal setting for personalized medicine due to their comprehensive infrastructure and access to diverse patient populations. Moreover, hospitals often participate in clinical trials and research, ensuring cutting-edge treatments are available. Their ability to rapidly adapt to new technologies and incorporate patient feedback further enhances the efficacy of precision medicine. By centralizing these resources, hospitals can deliver precise, individualized care, improving outcomes and reducing adverse effects, ultimately advancing the overall standard of healthcare.

Regional Analysis

North America’s robust healthcare infrastructure, substantial investments in healthcare technology, and a strong emphasis on research and innovation are presenting lucrative opportunities for market expansion. The region's advanced regulatory framework supports the rapid adoption of personalized therapies, while the presence of leading biotech and pharmaceutical companies is fueling continuous advancements in precision medicine. Additionally, the presence of a well-informed population with increasing healthcare expectations is further providing an impetus to market growth. Besides this, the strong governmental support in Europe, extensive research collaborations, and well-established healthcare systems prioritizing personalized healthcare solutions and innovation in precision medicine are aiding in market expansion. Concurrently, rapidly growing healthcare infrastructure, increasing investments in biotechnology, and rising awareness of personalized medicine's benefits are fueling the demand in the Asia Pacific region.

The Asia Pacific precision medicine market is anticipated to witness the fastest growth from 2024 to 2030, driven by increasing investments in healthcare infrastructure, rising prevalence of chronic diseases, and advancements in genomic research. Countries like China, Japan, and India are at the forefront, with significant government initiatives and collaborations with global biotech firms. For example, China's 100,000 Genomes Project aims to enhance personalized medicine capabilities. Additionally, the expanding middle-class population and growing awareness about personalized healthcare are further propelling market growth in the region. The precision medicine market in China is expected to grow over the forecast period due to the rising focus on improving healthcare R&D aided by the development of novel technologies. The Japanese precision medicine market is expected to grow over the forecast period due to the presence of a well-established healthcare system.

Competitive Landscape

Some of the leading players operating in the precision medicine market include F. Hoffmann-La Roche Ltd.-(Foundation Medicine), Siemens, Janssen Global Services, LLC, Illumina, Inc., Quest Diagnostics Incorporated, and 23andMe, Inc. Siemens Healthineers is deeply involved in the precision medicine market, especially through its significant contributions to cancer care. The company emphasizes early detection and personalized treatment plans by integrating advanced imaging, laboratory diagnostics, and AI-driven analytics. A pivotal moment was Siemens Healthineers' acquisition of Varian Medical Systems in 2021, which expanded its capabilities in precision oncology. This acquisition allows Siemens to offer a comprehensive range of diagnostic and therapeutic solutions, improving patient outcomes through data-driven precision care. By leveraging its vast portfolio and AI technology, Siemens Healthineers is redefining cancer diagnosis and treatment, making significant strides in the global fight against cancer.

Janssen Global Services, part of Johnson & Johnson, plays a pivotal role in the precision medicine market, focusing on the development of personalized therapies tailored to the unique genetic profiles of patients. Through its innovative research and development efforts, Janssen is actively involved in creating targeted treatments for complex diseases, particularly in oncology, immunology, and neuroscience. The company leverages advanced technologies, including AI and genomic sequencing, to enhance drug discovery and optimize treatment strategies. Janssen has also formed strategic partnerships to accelerate its precision medicine initiatives, collaborating with other industry leaders and research institutions to drive innovation in patient care. By integrating data from various sources, Janssen can develop more effective and individualized therapies, ensuring better outcomes for patients. This commitment to innovation and patient-centric care solidifies Janssens position as a key player in the rapidly evolving precision medicine market.

Precision Medicine Market, Company Shares Analysis, 2024

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Recent Developments:

• In January 2024, BIOS Health entered into a partnership with the Kern Venture Group to establish a hub for precision medicine in Bakersfield, California, U.S.
• In May 2024, Dragonfly Therapeutics, Inc., a biotechnology company dedicated to pioneering new immunotherapies, announced a clinical collaboration with Merck (known as MSD outside the U.S. and Canada). This collaboration aims to assess DF9001, Dragonflys Epidermal Growth Factor Receptor (EGFR) immune engager, alongside Merck's anti-PD-1 therapy, KEYTRUDA (pembrolizumab), in patients with advanced solid tumors expressing EGFR

Report Coverage:

By Technology

• Big Data Analytics
• Bioinformatics
• Gene Sequencing
• Drug Discovery
• Companion Diagnostics

By Indication

• Oncology
• CNS
• Immunology
• Respiratory diseases
• Genetic disorders
• Skin diseases
• Others

By Application

• Diagnostics
  • Genetic Tests
  • Biomarker Based Tests
  • Esoteric Tests
• Therapeutics
  • Inhibitor Drugs
  • Monoclonal Antibodies
  • Cell & Gene Therapy
  • Antiviral & anti-retroviral Drugs
  • Others

By End-user

• Hospitals
• Diagnostic Laboratories
• Others

By Region

North America

• U.S.
• Canada

Europe

• U.K.
• France
• Germany
• Italy
• Spain
• Rest of Europe

Asia Pacific

• China
• Japan
• India
• Australia
• South Korea
• Singapore
• Rest of Asia Pacific

Latin America

• Brazil
• Argentina
• Mexico
• Rest of Latin America

Middle East & Africa

• GCC Countries
• South Africa
• Rest of the Middle East & Africa

List of Companies:

• Abbott Laboratories, Inc
• Abbvie, Inc.
• AstraZeneca plc
• bioMerieux SA
• Bristol-Myers Squibb Company
• Cepheid (Danaher Corporation)
• Eli Lilly & Company
• F. Hoffmann-La Roche
• GlaxoSmithKline plc
• Laboratory Corporation of America Holdings (Covance Inc.)
• Myriad Genetics, Inc.
• Novartis AG
• Pfizer, Inc.
• QIAGEN N.V.
• Quest Diagnostics
• Takeda Pharmaceutical Company Limited
• Thermo Fisher Scientific Inc.
• Vyant Bio, Inc. (Cancer Genetics, Inc.)
• GRAIL
• Guardant Health

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