[244 Pages Report] The high-throughput screening market was valued at USD 13.87 Billion in 2017 and is expected to reach USD 21.69 Billion in 2023, at a CAGR of 7.8% during the forecast period. The major factors driving the growth of the HTS market include initiatives undertaken by pharmaceutical and biotechnology companies, increasing R&D spending, technological improvements in HTS, and the availability of government funding and venture capital investments. The base year considered for the study is 2017 and the forecast period includes 2018 to 2023. However, the overall use and adoption of HTS and associated instruments face challenges in the form of a dearth of skilled operators to use them and the costly and time-consuming nature of HTS techniques.

Helped a top global leader to identify approximately USD 6 billion revenue potential by tapping into the high-throughput screening market for target identification and validation. Client�s Problem Statement Our client, a leader in high-throughput screening technology infrastructure, was keen to build a substantive global business in the high-throughput screening market for target identification and validation. The client requested MarketsandMarkets to define, describe, and forecast the global high-throughput screening market for target identification and validation on the basis of types of instruments�microplate readers, mass spectrophotometers, flow cytometers, and other instruments. In addition, the market was split into high-throughput screening for target identification and validation by type of screening�GPCR screening, enzyme screening, and ion channel screening�across five regions: North America, Europe, Asia Pacific, Latin America, and Middle East & Africa. MnM Approach MnM conducted a multi-level qualitative and quantitative study with a constructed sample of mid- to senior-level management executives (directors, supply chain executives, and business managers) and healthcare stakeholders (pharmaceutical companies, contract research organizations, and consultants). Key parameters influencing the market were identified and the relevant trends were studied to obtain accurate market data. At every level, the estimates were verified by interviews with industry experts (from both demand and supply sides) as well as by MarketsandMarkets domain experts. Both top-down and bottom-up approaches were used to ensure unbiased data. Further, MnM also helped the client to build an understanding of the competitive landscape, varying business models, and strategies of different players in stem cell manufacturing. Market share analysis was conducted for the top four players in the market. This helped the client to devise a differentiated product offering and forge suitable alliances in order to win in this market. Revenue Impact (RI) Helped a top global leader to identify approximately USD 6 billion revenue potential by tapping into the high-throughput screening market for target identification and validation. Consult our Analyst now

Software segment is expected to register the highest CAGR during the forecast period.

On the basis of products & services, the high-throughput screening market is segmented into instruments, reagents & assay kits, consumables & accessories, software, and services. Of all these segments, reagents and assay kits accounted for the largest share of the HTS market in 2017. The large share of this market segment can primarily be attributed to factors such as the large numbers of reagents and assay kits used in HTS techniques, rising prevalence of a number of diseases, increasing pharmaceutical R&D, and increased government funding for life science research. The software segment, on the other hand, is expected to be the fastest-growing segment of the HTS market. Market growth can largely be attributed to the increasing automation of high-throughput screening and the availability of data management software tools, which enable researchers to develop systematic and process-oriented approaches toward HTS techniques.

Label-free technology segment to grow at the highest CAGR during 2017 to 2022.

On the basis of technology, the HTS market is segmented into cell-based assays (2D cell culture, 3D cell culture), lab-on-a-chip (LOC), ultra-high-throughput screening (uHTS), label-free technology, and bioinformatics. The label-free technology market is expected to register the highest CAGR during the forecast period followed by lab-on-a-chip market. Advancements in label-free instruments have led to improvements in the cost, throughput, sensitivity, and level of data analysis. The recent trend towards the use of biologically relevant assays is bound to present a large opportunity for label-free technologies. The major advantage offered by label-free technology is that it can help in the study of varied cell types and targets. Label-free assays also provide simple methods for studying complex biological pathways. The label-free technology is set to reduce drug failure caused by toxicity. These factors are likely to boost the growth of this technology market.

3D cell culture market is expected to grow at highest CAGR among the cell-based assays market. The highest growth of this segment is attributed to the increasing adoption of 3D cell culture among the research laboratories, academic institutes, hospitals, and biopharmaceutical & biotechnology companies.

Pharmaceutical and biotechnology companies to dominate the market share

The global high-throughput screening market is categorized into four major end-user segments, namely, pharmaceutical and biotechnology companies, academic and government institutes, contract research organizations (CROs), and other end users (hospitals and food, agriculture, & environmental industries). In 2017, the pharmaceutical and biotechnology companies segment accounted for the largest share of the global HTS market. The large share of this segment is primarily attributed to the extensive use of the HTS technology in pharmaceutical and biotechnology companies for drug discovery applications along with the increasing pharmaceutical R&D expenditure.

APAC is projected to witness the highest growth during the forecast period.

North America accounts for a major share of the market, primarily due to the large spending on pharmaceutical R&D and the growing adoption of HTS and availability of government funding in this region. However, the market in Asia-Pacific is expected to grow at the highest rate from 2018 to 2023. Increasing R&D spending; growing trend of outsourcing drug discovery services; growing public-private partnerships; and increasing government funding are some factors driving this growth.

North America to account for the largest market size during the forecast period.

North America is the largest market for high-throughput screening, followed by Europe, Asia-Pacific, Latin America, and the Middle East & Africa. In addition, this region has shown strong commercialization of pharmaceutical and biotechnology research. The generic manufacturers need HTS platforms for hit identification and target validation in drug discovery and development. According to the US Food and Drug Administration (FDA), the total number of generic drug approvals in 2014 was 409, which increased to 763 in 2017. The increased focus on generic medicines is also expected to aid the growth of the HTS market in this region.



Market Dynamics

Driver: Growing Adoption of Open Innovation Models in Pharmaceutical and Biotechnology Companies

In recent years, the pharmaceutical and biotechnology industries have adopted open innovation approaches for collaborating on drug discovery processes with academic and research institutions. In this open innovation approach, academic organizations carry out target identification and validation research, while pharmaceutical companies conduct HTS assay development and specialized screening campaigns. This approach is beneficial for both pharmaceutical companies as well as the academia. A collaborative approach covers the determination of basic biology of targets of therapeutic value, new target identification, and replacement stem cell therapies.

Through this approach, pharmaceutical companies can accelerate their drug discovery by improving research efficiency and output, while academic institutes can further their research with the help of large datasets present in the public domain of large pharmaceutical companies. For instance, in August 2017, the Medical Research Council Laboratory of Molecular Biology (UK) entered into an innovative collaboration with UCB (Belgium) and AstraZeneca (UK) to speed drug discovery research by providing its academic researchers with industry infrastructure and expertise. Similarly, in December 2015, Axxam S.p.A (Italy), a leading provider of integrated discovery services for life sciences industries entered into a research collaboration with the Neurodegeneration Consortium at The University of Texas to identify and develop novel small-molecule modulators of an undisclosed G-protein coupled receptor for Alzheimer�s disease. Through this collaboration, the Neurodegeneration Consortium will access Axxam�s HTS platforms for research. The increasing adoption of HTS in pharmaceutical & biotechnology companies and academic & research institutes is thus expected to fuel the growth of the HTS market.

Restraint: Capital-Intensive Nature of HTS

HTS involves a number of steps such as target selection and characterization, reagent preparation, assay development, compound screening, and hit validation in secondary assays. The time and cost involved in each process vary according to the complexity of the target and assay. The process of reagent and assay development for primary and secondary makes it more expensive. In addition, HTS instruments, such as flow cytometers and liquid handlers, are costly; the price of a flow cytometer varies from USD 35,000 for simple cell analyzers to above USD 300,000 for more complex systems with higher throughput. The CyFlow Cube 6 from Sysmex-Partec costs around USD 35,000. The S3 cell sorter from Bio-Rad Laboratories is priced at USD 150,000 while BD�s FACSJazz costs around USD 240,000. A workstation, such as a liquid handler, is equipped with advanced features and functionalities and is premium-priced. The price of one workstation ranges from USD 10,000 to USD 100,000 depending on its sophistication. Systems with robotic arms can cost more than USD 100,000.

Academic research laboratories find it difficult to afford such instruments, as they have restricted budgets. On the other hand, pharmaceutical companies require many such systems, and hence their capital costs increase significantly. Moreover, the maintenance costs and several other indirect expenses increase the total cost of ownership of these instruments. High cost, therefore, hinders the wide adoption of HTS instruments in both clinical and research applications.

Opportunity: Growing research activities in toxicology and stem cells

High-throughput cell-based screening assays are routinely used in toxicology studies and stem cell research. Miniaturized cell-based assays with high-throughput capabilities can identify toxic compounds early in the process of drug discovery, thereby saving enormous financial resources. Many government research organizations utilize HTS for toxic compounds. For instance, the US NIH, in collaboration with the US FDA and EPA, introduced the �Toxicology in the 21st Century (Tox21)� program, which uses automated HTS to test environmental chemicals, drugs, and formulations for in-depth toxicological evaluation and the development of disease-associated and predictive toxicological pathways. The increased utilization of the HTS technique in the field of toxicology will prove to be beneficial in the long run.

HTS is used in stem cell research for the identification of target hits; investigation of functional activity; and the assessment of absorption, distribution, metabolism, and excretion characteristics. The use of human stem cells instead of mouse stem cells provides opportunities for improving the clinical predictability of preclinical drug discovery and development. Humanized stem cell-based HTS and assays thus possess the potential to revolutionize drug discovery and development. As a result, their use is expected to increase in the coming years, which provides growth opportunities in this market.

Challenge: Dearth of skilled operators

HTS instruments such as flow cytometers, liquid handling systems, and multimode readers are relatively complex technologies and require expertise to be handled effectively.

However, there is a significant shortage of skilled personnel. A survey conducted by the Association of the British Pharmaceutical Industry (ABPI) in 2015 in the UK revealed a lack of skilled personnel in pharmaceutical companies. Around 93 employees from 59 pharmaceutical companies participated in the survey. More than 50% respondents in the survey expressed an urgent need to improve the availability of staff in 10 discipline areas. Owing to the shortage of skilled and knowledgeable professionals, companies tend to prefer conventional screening methods to cell-based assays; this presents a significant challenge to the growth of the HTS market.

Scope of the report

Report Metric Details Market size available for years 2016�2023 Base year considered 2017 Forecast period 2018�2023 Forecast units Million (USD) Segments covered By Technology (Cell-Based Assays, Lab on a Chip, Bioinformatics), Application (Target Identification, Primary Screening, Toxicology), Product (Reagent, Instruments, Software, Service), End User Geographies covered North America, Europe, APAC, Latin America, and MEA Companies covered Agilent (US), Danaher (US), Thermo Fisher Scientific (US), PerkinElmer (US), Tecan Group (Switzerland), Axxam (Italy), Merck Group (Germany), Bio-Rad (US), Hamilton Company (US), Corning Incorporated (US), BioTek Instruments (US), and Aurora Biomed (Canada)

The research report categorizes the High Throughput Screening market to forecast the revenues and analyze the trends in each of the following sub-segments:

High-Throughput Screening Market, By Product & Service

Reagents & Assay Kits

Instruments

Consumables & Accessories

Software

Services

High-Throughput Screening Market, By Technology

Cell-Based Assays 2d Cell Culture 3d Cell Culture Scaffold-Based Technology Hydrogels Animal-Derived Hydrogels Matrigel Collagen Synthetic Hydrogels Alginate/Agarose Inert Matrix/Solid Scaffolds Micropatterned Surfaces Scaffold-Free Technology Microplates Hanging-Drop Plates Ultra-Low Binding Plates Other Scaffold-Free Technologies Perfusion Cell Culture Reporter Based Assays

Lab-On-A-Chip

Ultra-High-Throughput Screening

Bioinformatics

Label-Free Technology

High-Throughput Screening Market, By Application

Drug Discovery Target Identification and Validation Primary and Secondary Screening Toxicology Assessment

Chemical Biology Programs

Cell- & Organ-Based Screening

Biochemical Screening

Biological Active Compound Screening

Genomics

Proteomics

Compound Profiling

High-Throughput Screening Market, By Detection Method

Mass Spectrometry (MS)

Chromatography

Calorimetry

X-Ray Diffraction

Other Detection Methods

High-Throughput Screening Market, By End User

Pharmaceutical and Biotechnology Companies

Academic and Government Institutes

Contract Research Organizations (CRO)

Other End Users

High-Throughput Screening Market, by Region

North America U.S. Canada

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

Asia-Pacific Japan China India Rest of Asia-Pacific

Latin America

Middle East & Africa

Key Market Players

Agilent (US), Danaher (US), Thermo Fisher Scientific (US), PerkinElmer (US), Tecan Group (Switzerland), Axxam (Italy), Merck Group (Germany), Bio-Rad (US), Hamilton Company (US), Corning Incorporated (US), BioTek Instruments (US), and Aurora Biomed (Canada).

Thermo Fisher Scientific is one of the prominent players in the high-throughput screening market. In order to sustain its strong position in this market, the company majorly focuses on its capabilities in technologies, software, and services. The company also has an extensive distribution channel across the globe. As a part of its business strategy, the company concentrates on establishing a strong relationship with pharmaceutical manufacturers, academic institutes, research institutes, and laboratories across the globe. The company offers various products to accelerate research activity, solve complex analytical challenges, improve diagnostic capabilities, and strengthen laboratory productivity. The company majorly focuses on acquisitions and agreements to enhance its presence in the high-throughput screening market. For instance, in January 2018, the company agreed with Illumina, Inc. (US), to provide Illumina with the Ion AmpliSeq technology required for research on next-generation sequencing. In addition, in August 2017, the company acquired Patheon N.V. (Netherlands), to strengthen its customer base. In addition to this, the company also focuses on organic strategies to garner a larger market share. For instance, in 2018, the company launched its Axiom Microbiome Array and Ion GeneStudio S5 Series.

Recent Developments

In 2017, Thermo Fisher Scientific acquired Patheon for USD 7.2 billion. This acquisition helped the company to strengthen its customer base.

In 2018, Thermo Fisher Scientific signed agreement with Illumina, Inc. (US) to provide Illumina with the Ion AmpliSeq technology required for research on next-generation sequencing

In 2016, Agilent Technologies established a new Technology Center in Folsom, California, for USD 14.7 million. This technology center will employee approximately 60 staff member and will particularly focus on the company�s Intuvo 9000 GC system and its consumables.

In 2018, Agilent Technologies (US) acquired Luxcel Biosciences Limited (Ireland). This acquisition expanded the company�s cell analysis portfolio by providing easy-to-use assay kits which are compatible with standard plate readers. The company also expanded its pharma/biopharma discovery and in vitro toxicology screening applications.

Critical questions the report answers:

Where will all these developments take the industry in the long term?

What are the upcoming trends for the high throughput screening market?

Which segment provides the most opportunity for growth?

Who are the leading vendors operating in this market?

What are the opportunities for new market entrants?

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