Next Generation Sequencing Market Size, Share, and Trends 2024 to 2034

The global next-generation sequencing market size was valued at USD 11.57 billion in 2023 and is expected to surpass around USD 44.69 billion by 2032, poised to grow at a remarkable CAGR of 16.20% from 2023 to 2032.

Key Takeaway:

• By application, the oncology segment accounted 28.8% revenue share in 2022.
• By technology, the targeted sequencing and resequencing segment accounted 75% revenue share in 2022.
• The sequencing segment harnered market share of over 54.9% in 2022.
• North America region hit revenue share of over 49.4% in 2022.

Next-generation Sequencing Market Size in the U.S. 2023 To 2032

The U.S. next-generation sequencing market was estimated at USD 2.74 billion in 2023 and is projected to expand around USD 10.36 billion by 2032, at a CAGR of 15.90% between 2023 to 2032.

Based on the region, the North America segment dominated the global next-generation sequencing market in 2022, in terms of revenue and is estimated to sustain its dominance during the forecast period. The direct presence of key manufacturers, the active government support, and the rising cancer prevalence are the primary drivers of the market expansion in North America throughout the forecast period.

Next-generation Sequencing Market Revenue Share (%), by Geography, Global, 2022

• North America - 40.5%
• Europe - 28.3%
• Asia-Pacific - 18.9%
• South America - 7.8%
• Middle East and Africa - 4.5%

On the other hand, the Europe is estimated to be the most opportunistic segment during the forecast period. Due to increased research expenditure, a focus on precision pharmaceuticals, and strategic alliances, the next-generation sequencing (NGS) market in Europe is expected to grow.

Growth Factors

Next-generation sequencing (NGS) is a massively parallel sequencing method that provides scalability, ultra-high throughput, and high speed for determining the order of nucleotides throughout the genome. Because it involves the preparation of the material for the subsequent sequencing reaction, DNA pre-sequencing is one of the most important processes in the overall sequencing protocol. Globally, NGS is becoming more incorporated into clinical laboratory analysis, testing, and disease diagnostics in the healthcare sector. In pharmacogenomic, next-generation sequencing (NGS) is commonly used to speed up the drug discovery process.

The growth of the overall market is predicted to be driven by main reasons such as increased research and development activities utilizing NGS technologies, growing uses of NGS in clinical diagnosis, and discovery applications that require next-generation sequencing (NGS) technology.

The increased genome mapping programs, increased applications of next-generation sequencing (NGS), increased healthcare expenditure, and technological advancements in sequencing platforms are all driving the global next-generation sequencing market growth during the forecast period. However, during the projection period, the scarcity of experienced specialists, as well as ethical and regulatory limitations connected with next-generation sequencing (NGS), is projected to impede the market growth during the forecast period.

The emergence and domination of the next-generation sequencing (NGS) market has resulted from the growing demand for cost-effective, quick, and accurate DNA sequencing data interpretation, as it enables for the sequencing of large amounts of DNA in a single run, making illness diagnosis and research easier. The next-generation sequencing makes a significant contribution to genomics. The next-generation sequencing market is expected to benefit from the launch of genomics programs in a number of nations. The introduction of next-generation sequencing (NGS)-based diagnostics, as well as active government assistance, is also important drivers of the market growth. 

The use of molecular diagnostic methods in clinical microbiology laboratories has increased significantly in recent years. As molecular diagnostic technologies such as next-generation sequencing (NGS) may detect the presence of nucleic acids. The next-generation sequencing technologies are quick and don’t require specimen growth in culture. The researchers can use next-generation sequencing texts to detect numerous diseases concurrently and directly from a sample. The disadvantages of methods like polymerase chain reaction (PCR) are thought to be driving force behind the next-generation sequencing (NGS) market’s overall expansion during the forecast period.

Scope of the Next Generation Sequencing Market

Product Insights

Due to advancements in molecular genetics technology and a surge in demand for novel pre-sequencing products and kits that perform DNA fragmentation, size selection, target enrichment, and other functions, the consumables segment dominated the next-generation sequencing (NGS) market by product in 2022 and is expected to do so throughout the forecast period.

On the other hand, due to advancements in technology based on single-molecule real-time sequencing (SMRT) sequencing and an increase in the use of cloud computing for next-generation sequencing (NGS) data storage, the services segment is likely to have significant market growth during the forecast period.

Application Insights

Based on the application, the biomarker and cancer dominate the next-generation sequencing market during the forecast period. Due to an increase in cancer occurrence and advancements in next-generation sequencing (NGS) technology, the market is likely to grow over the forecast period.

On the other hand, the personalized medicine is expected to grow at rapid pace during the forecast period. Due to increased demand for drug treatment, advancements in research and development in the healthcare sector, and increased awareness of next-generation sequencing (NGS) testing in the pharmaceutical and biotechnological industries, the personalized medicine segment is expected to see significant next-generation sequencing market growth over the forecast period.

End User Insights

Based on end user, the next-generation sequencing market is segmented into academic and research centers, pharmaceutical and biotechnology companies, hospitals and clinics, clinical research, others.

The academic research segment accounted largest revenue share of over 53% in 2022 and expected to remain its dominance dusring the forecast period 2023 to 2032. The Clinical research segment is projected to grow at fastest growing rate from 2023 to 2032 due to the rising penetration of NGS-based diagnostic tests.

Technology Insights

Based on the technology, the sequencing by synthesis dominates the next-generation sequencing market during the forecast period. The increasing availability of next-generation sequencing (NGS) systems based on sequencing by synthesis technology is responsible for the substantial share of the sequencing by synthesis technology system. 

On the other hand, the ion semiconductor sequencing is expected to grow at rapid pace during the forecast period. When compared to other DNA sequencing methods, ion semiconductor sequencing technology is sophisticated and cost-effective, affecting segment growth. Thus, the ion semiconductor sequencing technique’s vast range of applications will propel the next-generation sequencing market (NGS) growth.

Key Companies & Market Share Insights

The next-generation sequencing market is characterized by fierce competition among the key market players. The launch of novel platforms that are fast, small, and less expensive is one of the strategies used by the companies to improve their market position. Cerba Research, for example, announced two new COVID-19 exploratory tools in January 2021, one PCR-based and the NGS-based to enhance research and development for vaccine development against coronavirus.

Some of the prominent players in the global next-generation sequencing market include:

• BGI Group
• F. Hoffmann-La Roche AG
• Pacific Biosciences of California Inc.
• Thermo Fisher Scientific Inc.
• Agilent Technologies Inc.
• Precigen Inc.
• Illumina Inc.
• Qiagen N.V.
• PerkinElmer Inc.
• PierianDx Inc.

Segments Covered in the Report

By Product

• NGS Consumables
• Sequencing Services
  • Exome & Targeted Resequencing & Custom Panels
  • Whole-Genome Sequencing & De Novo Sequencing
  • RNA Sequencing
  • Other Sequencing Services
• Presequencing Products & Services
  • Library Preparation & Target Enrichment
  • Quality Control
• NGS Platforms
  • Illumina
    • Novaseq Systems
    • Nextseq Systems
    • Miseq Systems
    • Miniseq Systems
    • iSeq Systems
  • Thermo Fisher Scientific
    • ION PGM Systems
    • ION Proton Systems
    • ION Genestudio Systems
    • Ion Torrent Genexus Systems
  • Oxford Nanopore Technologies
  • Pacific Biosciences
  • Other Platforms
• Bioinformatics
  • Data Analysis Services
  • NGS Data Analysis Software & Workbenches
  • NGS Storage, Management, & Cloud Computing Solutions
• Services for NGS Platforms

By Application

• Diagnostics
  • Cancer Diagnostics
  • Infectious Disease Diagnostics
  • Reproductive Health Diagnostics
  • Other Diagnostic Applications
• Biomarkers and Cancer
• Reproductive Health
  • NIPT
  • Aneuploidy
  • Microdeletions
  • PGT
  • Newborn Genetic Screening
  • Single Gene Analysis
• Personalized Medicine
• Agriculture and Animal Research
• HLA Typing/Immune System Monitoring
• Metagenomics, Epidemiology & Drug Development
• Consumer Genomics
• Others

By Technology

• Sequencing by Synthesis
• Ion Semiconductor Sequencing
• Sequencing by Ligation
• Pyrosequencing
• Single Molecule Real Time Sequencing
• Others

By End User

• Academic and Research Centers
• Pharmaceutical and Biotechnology Companies
• Hospitals and Clinics
• Clinical Research
• Others

By Geography

• North America
  • U.S.
  • Canada
• Europe
  • U.K.
  • Germany
  • France
• Asia-Pacific
  • China
  • India
  • Japan
  • South Korea
• Rest of the World