Global AI in Bioinformatics Market By Offering (Software, Services, others), By Type (Machine Learning, Deep learning and others), By Products and Services(Knowledge management tools, Bioinformatics Platform, Bioinformatics Services), By Applications(Genomics, System Biology, Chemoinformatics and Drug design, Transcriptomics, Metabolomics, Microarrays, Text mining, Proteomics, DNA sequencing, others), By Sector(Medical Biotechnology, Plant Biotechnology, Forensic Biotechnology, Animal Biotechnology, Environmental Biotechnology, others), By Region and Companies - Industry Segment Outlook, Market Assessment, Competition Scenario, Trends, and Forecast 2024-2033

Report Overview

The Global AI In Bioinformatics Market size is expected to be worth around USD 136.3 Million by 2033, from USD 3.8 Million in 2023, growing at a CAGR of 42.9% during the forecast period from 2024 to 2033.

Bioinformatics is a sub-discipline involved in the analysis of sequences, i.e., to determine the function of biological molecules by incorporating computer programming, big data and molecular biology, enabling the scientists to understand and identify patterns in biological data. The field further helps the scientists to organize hefty amont of data by studying genomes and DNA sequencing. The key factor necessitating the use of bioinformatics includes increasing demand for infant nutritional food due to changing lifestyles coupled with heightening number of working women globally. Only 39 to 40% of the infants are breastfed across the globe, according to World Health Organization.

Artificial intelligence (AI) in bioinformatics is vigorously propelled with a rise in number of market players combined with the advanced services being available. Further, the manufacturers have a keen focus in R&D efforts with the aim to lauch novel technologies into the market. The success rate of the market in recent years in further attributed to decline in generic sequences costs coupled with escalating healthcare expenditure for providing satisfactory health services.

Key Takeaways

• By offering analysis, the service segment prominently held a 57.8% market share in the year 2023.
• By type analysis, machine learning dominated the global Al in bioinformatics market and holds 49.3% market share in the year 2023.
• Depending upon product and services, the market gains immense profits with respect to bioinformatics service segment which accounts 61.5% share in the year 2023.
• With respect to applications, genomic segments lead the market owing to scaling advantages it comprise as compared to other segments, and holds 27.7% market share in the year 2023.
• Based on sector, medical biotechnology category dominated the market securing a remarkable revenue share of 38.4% in the year 2023.
• North America came up as a frontrunner in the global AI in bioinformatics market, capturing more than a 46.5% share and holds USD 1.7 million market value for the yearin 2023 .

Offering Analysis

Services segment leads the global AI in the Bioinformatics market

Based on offering, the market is broadly fragmented into software, services and other segments. Amongst these, the services segment held a commanding position in the market place, securing a commendable market share of 57.8% in the year 2023. The segments’ dominance is enrolled due to the fact of growing need for specialized knowledge in the uses and applications of AI technologies. The section includes algorithm creation, implementation of artificial intelligence tools into the current workframes, consulting, data analysis and model training. The services segment further up scales by virtue of complex nature of AI technologies and the need for domain knowledge in bioinformatics.

Type Analysis

Machine learning gains tremendous popularity in 2023

The market for AI in bioinformatics is logically bifurcated into machine learning, deep learning and other segments. Machine learning segment came up as frontrunner in the global AI in bioinformatics market. Owing to the wide applications in bioinformatics coupled with its versatile features, machine learning category marked a strong market presence, commanding a large market share exceeding 49.3% in the year 2023. In addition, the segment has a stronghold in the market place as it is widely used and established technology by virtue of its greater maturity in comparison with deep learning, allowing its adoption by several academic institutions. Thus, these benefitting facets accurately screw the importance of machine learning in vital activities, thereby leading to a smooth market acceleration.

Products and Services analysis

Bioinformatics service segment holds a strong position in the market place

The market is broadly classified into knowledge management tool, bioinformatics platform, and bioinformatics services segments. Displaying its climacteric benefits, bioinformatics services prominently withheld a substantial market revenue share exceeding 61.5% in the year 2023. The segment gained enough popularity by virtue of quick witted development of AI technologies and merging ultimatums for specialized knowledge in their applications. With the exclusion of artificial intelligence, the difficulties intensifies with the point of evaluating and interpreting the increasing volume of biological data.

Application Analysis

Genomic segment leads the global AI in bioinformatics market

With respect to applications of AI in bioinformatics, the market is broadly classified into Genomics, System Biology, Chemoinformatics and Drug design, Transcriptomics, Metabolomics, Microarrays, Text mining, Proteomics, DNA sequencing and other segments. Though each segment puts paramount efforts in overall growth of the market, but genomics segment stands out as a cornerstone comprising more advantages in comparison with others. This prominence is a reflection of growing emphasis on personalized therapies coupled with abundant amount of genomic data generated by next generation sequencing technologies. Thus, this factor leads the genomic category to stand upright in the market amounting a hefty market share of 27.7% in the year 2023.

Sector Analysis

Cutting down expense of medications by AI strengthens the position of medical biotechnology

Depending upon the sector, the market for AI in bioinformatics fractionated into Medical Biotechnology, Plant Biotechnology, Forensic Biotechnology, Animal Biotechnology, Environmental Biotechnology and other segments. Securing a considerable market revenue share of 38.4%, medical biotechnology segment propelled the market growth extensively. The major market portion occupied by the segment is due to the fact of  AI to lower development expenses, as development of medications is associated with high cost. In addition, AI significantly aids in discovery of novel therapeutic agents, forecasting the safety and effectiveness of medications coupled with the creation of innovative pharmaceutical formulations, thus resulting the biotechnology and pharmaceutical firms to launch more affordable medications into the market place.

Key Market Segments

By Offering

• Software
• Services
• Others

By Type

• Machine Learning
• Deep Learning and Others

By Products and Services

• Knowledge management tools
• Bioinformatics Platform
• Bioinformatics Services

By Applications

• Genomics
• System Biology
• Chemoinformatics and Drug design
• Transcriptomics
• Metabolomics
• Microarrays
• Text mining
• Proteomics
• DNA sequencing
• others

By Sector

• Medical Biotechnology
• Plant Biotechnology
• Forensic Biotechnology
• Animal Biotechnology
• Environmental Biotechnology
• others

Market Drivers

Rising ultimatum for bioinformatics

The escalating demand for bioinformatics majorly drives the market for AI in bioinformatics to an unexpected level. This is due to extensive usage of informatics in biological research, involving biologists who learn programming or computer programmers, database managers and mathematicians to acquire knowledge of foundation of biology. In addition, as genomics gets more intensified, vital chronic diseases such as cancer are treated aided by pharmacology, where next generation sequencing play a pivotal role in providing a deeper and accurate insight into molecular field of individual tumors and specific receptors. Along with this, next generation sequencing has efficiently reduced sequencing costs. For instance, Illumina has helped reduce the cost of bioinformatics instrumentation through frequent innovations, allowing the USD 1000 human genome.

Market Restraints

High cost and lack of Skilled professionals likely to hamper market growth

Though AI in bioinformatics streamlines the market growth, still the market encounter barriers restricting its revenue shares. The market is primarily affected by high cost of instrumentation as AI based bioinformatics instruments are highly sophisticated requiring precise validation and specification. In addition, the premium prices of genomic instruments range between the USD 11-22 million by virtue of the advanced features and functionalities it owns. Thus, this factor seems problematic for many small and medium size pharmaceutical companies and research laboratories, hampering them to make large investments in diverse genomic instruments. In addition, bioinformatics platforms being highly automated and costly, necessitates proper handling to avoid damages, but the dearth of skilled professionals is likely to cause impediment towards the market expansion.

Opportunities

The market for AI in bioinformatics gains immense growth opportunities with the escalating initiatives including product launches, collaborations, acquisitions, and mergers over the years, leading to intensified quality of research. Furthermore, the advancements made in AI based bioinformatics reduced the cost of bioinformatics platforms and instruments, allowing the healthcare laboratories to carry the essential tasks. Thus, these facets leads to more growth in the related field procuring highly innovative products and outcomes, thereby amplifying the market reach.

Latest Trends

Single-cell analysis

Hefty amount of data is generated by single cell sequencing technologies to expose insights into cellular heterogenecity combined with mechanism of disease. The analysis of single cell data involving clustering cells is extensively employed by Al algorithm. This analysis is significantly based on gene expression profiles for identification of cell types and reconstruction of cellular lineage.

Data Integration and Interpretation

An escalating need for Al tools directly proportionates increasing volume and complexity of biological data. These Al tools can integrate and interpret diverse datasets from metabolomics, genomics and proteomic fields. Further, in order to extract relevant information from biomedical articles, Al tools are extensively use, for example, Natural Language Processing (NLP).

Impact of Macroeconomic factors

The AI in bioinformatics market is robustly impacted by demographic trends including growing elderly population coupled with prevalence of diseases. Al assists the market players to tailor their offerings by addressing specific healthcare needs depending upon the demographic factors. Public health is highly impacted by change in environmental factors such as climate change and environmental degradation, necessitating innovative solutions in healthcare and bioinformatics. Thus, the analysis of environmental data and its effect on population health can be extensively done by Al technologies.

Regional Analysis

Adoption of AI advancements allow North America to stay dominant in recent years

North America leads the global Al in bioinformatics market in the year 2023, commanding a substantial market share of 46.5% in the year 2023. The market growth within the region is linked with the existence of market players and availability of advanced services. In addition, the major market players are exphasizing on novel product and service launches with continuous R&D efforts. Furthermore, strategic initiatives by major market players coupled with the technical progress and modernization allow the region to achieve a strong position and survive in the competitive market climate. However, the region comes across vital challenges related to dearth of skilled labours and high cost of Al based bioinformatics platform implementation, which is likely to impede market dimensions in North America.

Furthermore, owing to the sky rocketing government investments in the field of artificial intelligence and improvement in healthcare infrastructure, Asia-Pacific is anticipated to register fastest growth in Al in bioinformatics market during the prophecy period.

Key Regions and Countries

• North America
  • US
  • Canada
• Europe
  • Germany
  • France
  • The UK
  • Spain
  • Italy
  • Russia
  • Netherland
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • South Korea
  • India
  • New Zealand
  • Singapore
  • Thailand
  • Vietnam
  • Rest of APAC
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • South Africa
  • Saudi Arabia
  • UAE
  • Rest of MEA

Market Share & Key Players Analysis

The key players in the market have focused on strategic partnerships & product innovation. They are also adopting strategies like mergers & acquisitions as well as product & service launches.

Market Key Players

• Fios Genomics (U.K)
• Source BioScience (U.K)
• Eurofins Scientific (Luxembourg)
• Thermo Fisher Scientific, Inc. (U.S)
• Insilico Medicine (U.S)
• Paige Al, Inc. (U.S)
• SomaLogic Operating Co., Inc. (U.S)
• SOPHiA Genetics
• QIAGEN
• Strand Lifescience

Recent Developments

• In August 2023, SOPHiA GENETICS introduced its latest AI-powered platform, SOPHiA AI Clinical Exome. Tailored to streamline clinical exome analysis and reporting for medical professionals, this platform employs AI algorithms to scrutinize genetic data and pinpoint potential disease-causing variants, facilitating quicker and more precise diagnoses.
• By July 2023, Thermo Fisher Scientific had acquired Biomatics, a prominent provider of cloud-based solutions for life sciences data management and analytics. This acquisition bolstered Thermo Fisher’s presence in the AI-driven bioinformatics market, granting them access to Biomatics’ expertise in biological data management and analytics tools.
• In June 2023, QIAGEN teamed up with NVIDIA to pioneer AI-powered solutions for next-generation sequencing (NGS) data analysis. Leveraging NVIDIA’s Clara AI platform and computing hardware expertise, the collaboration aims to expedite NGS data analysis, paving the way for new insights in precision medicine and drug discovery.

Report Scope