Over the past decade, several scientific and technological breakthroughs in the drug repurposing industry have resulted in an accelerated pace of research and innovation within this domain. Further, the demand for effective repurposed therapies in the on-going war with the pandemic, is on the rise. However, one of the primary challenges faced by this industry is the lack of funds and lengthy optimization product development lifecycle of a repurposed drug. Specifically, the clinical compound repositories are exceedingly resource intensive, involving essential information on safety, pharmacokinetic and toxicity. In order to overcome the abovementioned challenges, drug developers are actively outsourcing their clinical research and associated operations to specialized repurposed-based service providers, which are known to have the required capabilities and expertise.
Over 65 service providers presently offer a wide range of repurposed-based services to drug developers
It is worth noting that more than 46% companies are technology-based service providers, followed by CROs (29%) and big data / analytics providers (25%) that have the necessary tools and expertise for drug repurposing. Further, the market is currently dominated by the presence of small companies (less than 51 employees), that represent over 72% of the total players.
List of Drug Repurposing Service Providers
About 84% of drug repurposing service providers are based in North America and Europe. Within North America, majority of the service providers are headquartered in the US; whereas, in Europe, most of the technology and big data service providers are distributed across UK while France emerged as a popular hub for CROs. Further, a significant number of such players (16%) are headquartered in Asia-Pacific region.
Drug Repurposing Service Providers Market to Grow at a Healthy Rate in the Near Future
Over the years, the outsourcing trend has become an indispensable business strategy within the global drug discovery market. Moreover the rapid increase in the incidence of various types of diseases, drug developers are opting drug repurposing strategies in order to expediate time-to-market for their drug candidates. According to our estimates, the overall drug repurposing service providers market is anticipated to grow at an annualized rate of 14.7%. The demand for such contract services is likely to be driven by small molecules (70%) than by biologics (30%). Further, segmentation by repurposing approach showed that the maximum revenues are expected to be generated by the use of disease-centric approach (63%), followed by target-centric (29%) and drug-centric approach (8%), by 2030.
Drug repurposing has already proved their potential in the biopharmaceutical industry. Moreover, the innovation and adoption of next generation sequencing and AI-based technologies / platforms have significantly brought down the cost of novel drug development. Having said that, we are laid to believe that drug repurposing service providers will provide lucrative business opportunities in the coming decade.
For further information on this domain, check our report here.