Next-generation Sequencing Market Size, Share & Trends Analysis Report By Technology (Targeted Sequencing & Resequencing), By Application (Oncology, Consumer Genomics), By Workflow, By Product, By End-use, By Region, And Segment Forecasts, 2022 - 2030

Report Overview

The global next-generation sequencing market size was estimated at USD 4,843.4 million in 2021 and is expected to expand at a compound annual growth rate (CAGR) of 12.4% from 2022 to 2030. Next-generation Sequencing (NGS) refers to the huge DNA sequencing methods that aid in genomic discovery. Following the World Health Organization's (WHO) declaration of COVID-19 as a pandemic, a diverse group of recognized pharmaceutical and biotechnology companies, have decided to step forward to boost the global research efforts to develop test kits and vaccines.

Furthermore, major companies across the globe have increased their research and development capacities. This substantial focus on COVID-19 vaccine development offered a lucrative opportunity for the adoption of NGS during the pandemic period. For instance, a group of researchers in China utilized MinION Mk1C, a product by Oxford Nanopore Technologies (U.K.) for the sequencing of COVID-19 samples. In addition, factors such as extensive adoption of NGS technologies in clinical diagnostics due to rapid result time and faster processing are also projected to offer a favorable environment for market growth during the forecast period. For instance, in August 2020, Pediatrix Medical Group, GeneDx Inc., and OPKO Health signed an agreement to provide state-of-the-art, next-generation gene-sequencing to enhance clinical diagnosis in uncommon disorders for newborn intensive care units.

Moreover, growing technological developments in NGS instruments and technologies are further likely to offer significant market growth over the coming years. For instance, in January 2020, the Intelligence Advanced Research Projects Activity in the U.S. awarded a grant of USD 23 million to the Harvard University, DNA Script, and Broad Institute. The institutes are conducting collaborative research to develop a novel technology that will combine enzymatic DNA synthesis and NGS into a single instrument.

To better understand the link between genetics and disease, several countries have invested in their own national population genome mapping projects. Furthermore, millions of genomes are being sequenced by government groups to progress research and discover better ways to identify and cure cancer, uncommon disorders, and other ailments. Efforts are being undertaken by the EU to improve the region’s large-scale genomic data with projects such as France’s French Plan for Genomic Medicine 2025 and the U.K.’s 100,000 Genomes Project. Such initiatives have resulted in the growth of NGS informatics services in the region.

Certain advantages offered by NGS such as cost-effectiveness, rapid and accurate sample analysis, and technological advancements are estimated to boost the adoption of NGS technologies during the forecast period. In addition, the development of genomics programs in a number of countries is projected to benefit the next-generation sequencing market. The advent of next-generation sequencing-based diagnoses, along with proactive government support, are also some of the key market growth factors.

Application Insights

The oncology segment dominated the market and accounted for the highest market share of 28.5% in 2021. A gradually growing prevalence of cancer warrants the use of the latest technology to enable oncologists better understand the mechanics of cancer and tumor cells and the application of NGS for DNA and RNA sequencing, epigenetics, and analyzing chromosomal abnormalities account for over three-fourths of the global sequencing data are factors responsible for high market share. Companies like Myriad, through its myRisk product, offer genetic testing to identify people who may be at higher risk of developing certain cancers in the future. In January 2021, Merus N.V.; a clinical-stage immuno-oncology company; collaborated with National Cancer Center, Japan, and Erasmus University Medical Center, Netherlands to evaluate its HER2/3-targeting bispecific antibody in solid tumors.

Furthermore, the continuous introduction of new products by the key players is driving growth in the consumer genomics segment. The presence of companies such as 23andMe that are involved in the provision of the “Personal Genome Service” can be attributed to growth in the coming years. Moreover, Ancestry.com, Color Genomics, Cloud Health (which purchased a HiSeq X Ten), National Geographic, and several Japanese consumer companies, as well as a nascent consumer business, Helix, which was launched by Illumina are expected to impact revenue generation in this segment. Rapid proliferation in genealogy, paternity testing, and personal health awareness is expected to drive the growth in consumer genomics, as an application of NGS.

Technology Insights

The targeted sequencing and resequencing segment held the highest market share of 74.9% in 2021. This segment is expected to witness growth in demand after the growth of whole genome sequencing, as the availability of a large amount of whole genome data will be required to be analyzed at specific gene locations and isolated genetic expressions. There are many companies in the NGS market offering targeted sequencing services. Thus, this segment is expected to grow in tandem with the WGS segment throughout the forecast period.

Illumina offers targeted resequencing with its gene panel and array finder, whereas Pacific Biosciences of California’s Sequel System with its SMRT technique allows targeted sequencing and accurate detection of variants. Targeted sequencing panels are expected to remain the workhorse for cancer molecular diagnostics and are projected to become the routine part of the heme malignancies and solid tumors.

Workflow Insights

The sequencing segment held the highest market share of 54.7% in 2021. NGS sequencing is the most important phase of the workflow and consequently accounts for the largest share of the market. These systems can provide an accurate amount of liquid, which is important in NGS. Moreover, functions such as changing tubes and microtiter plates are also carried out by the system, which helps streamline workflow. The advantage of using a robotic liquid handling system is that it enables researchers to focus on analyzing the data rather than managing the process.

For instance, Illumina's BaseSpace Suite aids in the analysis of sequencing data and the production of findings in a short amount of time. To expand its data analytic capabilities, the company has also purchased DRAGEN Bio-IT Platform (DRAGEN) and Edico Genome. Furthermore, Genomatix and DNAnexus, provide cloud-based solutions for the interpretation and management of enormous volumes of sequencing data.

End-use Insights

The academic research segment held the highest market share of 52.9% in 2021. The application of NGS solutions in research projects that are carried out in the universities and research centers can be attributed to the largest share of this segment in the market. Furthermore, scholarships offered for Ph.D. projects in NGS are anticipated to drive demand for NGS products and services, thereby resulting in lucrative growth over the forecast period. Provision of on-site bioinformatics courses that include workshops on the practical implementation of NGS sequencing and data analysis are also expected to boost revenue generated through the academic research segment in the coming years.

Owing to the use of NGS in cancer research and, more specifically, in the discovery of new cancer-related genes, studying tumor heterogeneity, and identification of alterations that are contributive to tumorigenesis the segment is expected to witness significant growth through to 2028. In addition, the availability of clinical research solutions through market entities such as Illumina, Thermo Fisher Scientific Corporation, and Agilent Technologies for target enrichment and detection is anticipated to provide this segment with high growth opportunities over the forecast period.

Regional Insights

North America dominated the NGS market and accounted for the largest revenue share of 49.2% in 2021. The regional market is driven by the presence of multiple clinical laboratories that employ NGS to provide genetic testing services. Furthermore, due to the presence of high R&D investment, and the availability of a technologically advanced healthcare research framework, the development of WGS in the region is also expected to serve as a critical factor for the growth of the market in North America throughout the forecast period.

In Asia Pacific, the market is estimated to grow fast over the forecast period owing to the presence of significant developments by China and Japan for technological integration of NGS methodologies, and the development of healthcare, R&D, and clinical development frameworks of emerging economies such as India and Australia have poised the Asia Pacific NGS market to witness lucrative opportunities of growth throughout the forecast period.

Key Companies & Market Share Insights

The industry is marked by high competition between the dominant players and these players are rapidly undertaking strategies such as strategic collaborations, geographical expansion, and partnerships through mergers and acquisitions in economically favorable and emerging regions. For instance, in January 2021, Cerba Research announced the launch of its new tools to enhance R&D for vaccine development against infectious diseases, including COVID-19. The market has witnessed significant competition from other mid and large-sized entities. For instance, in March 2021, Integrated DNA Technologies (IDT) announced the acquisition of Swift Biosciences, a pioneer in the development of NGS library preparation genomics kits for clinical, translational, and academic research. Some of the prominent players in the global next-generation sequencing market include:

• Illumina

• F. Hoffman-La Roche Ltd.

• QIAGEN

• Thermo Fisher Scientific, Inc.

• Bio-Rad Laboratories, Inc.

• Oxford Nanopore Technologies

• PierianDx

• Genomatix GmbH

• DNASTAR, Inc.

• Perkin Elmer, Inc.

• Eurofins GATC Biotech GmbH

• BGI

Next-generation Sequencing Market Report Scope

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 2018 to 2030. For this report, Grand View Research has segmented the global next-generation sequencing market report based on technology, application, workflow, end-use, and region:

• Technology Outlook (Revenue, USD Million, 2018 - 2030)

  • WGS

  • Whole Exome Sequencing

  • Targeted Sequencing & Resequencing

    • DNA-based

    • RNA-based

• Product Outlook (Revenue, USD Million, 2018 - 2030)

  • Platforms

    • Sequencing

    • Data Analysis

  • Consumables

    • Sample preparation

    • Target Enrichment

    • Others

• Application Outlook (Revenue, USD Million, 2018 - 2030)
  • Oncology

    • Diagnostics and Screening

      • Oncology Screening

        • Sporadic Cancer

        • Inherited Cancer

      • Companion Diagnostics

      • Other Diagnostics

    • Research Studies

  • Clinical Investigation

    • Infectious Diseases

    • Inherited Diseases

    • Idiopathic Diseases

    • Non-communicable/Other Diseases

  • Reproductive Health

    • NIPT

      • Aneuploidy

      • Microdeletions

    • PGT

    • Newborn Genetic Screening

    • Single Gene Analysis

  • HLA Typing/Immune System Monitoring

  • Metagenomics, Epidemiology & Drug Development

  • Agrigenomics & Forensics

  • Consumer Genomics

• Workflow Outlook (Revenue, USD Million, 2018 - 2030)

  • Pre-sequencing

    • NGS Library Preparation Kits

    • Semi-automated Library Preparation

    • Automated Library Preparation

    • Clonal Amplification

  • Sequencing

  • NGS Data Analysis

    • NGS Primary Data Analysis

    • NGS Secondary Data Analysis

    • NGS Tertiary Data Analysis

• End-use Outlook (Revenue, USD Million, 2018 - 2030)

  • Academic Research

  • Clinical Research

  • Hospitals & Clinics

  • Pharma & Biotech Entities

  • Other Users

• Regional Outlook (Revenue, USD Million, 2018 - 2030)

  • North America

    • U.S.

    • Canada

  •  Europe

    • U.K.

    • Germany

    • Italy

    • Spain

    • France

  • Asia Pacific

    • Japan

    • China

    • India

    • South Korea

    • Australia

  • Latin America

    • Brazil

    • Mexico

  • Middle East & Africa

    • South Africa

    • Saudi Arabia