Global Next Generation Sequencing NGS Market Size By Technology (Sequencing By Synthesis, Nanopore Sequencing, ION Semiconductor Sequencing), By Type (Products, and Services), By End-User, By Geographic Scope And Forecast

Next Generation Sequencing NGS Market Size And Forecast

Next Generation Sequencing NGS Market size was valued at USD 8.87 billion in 2023 and is expected to reach USD 39.15 billion in 2031, at a CAGR of 20.39% over the forecast period of 2024 to 2031.

Next-Generation Sequencing (NGS) refers to advanced DNA sequencing technologies that allow rapid sequencing of entire genomes or specific genomic regions. Unlike traditional sequencing methods, which are time-intensive and costly, NGS can process millions of DNA fragments in parallel, providing fast, high-throughput sequencing capabilities.

NGS has revolutionized genomic research by enabling the detailed study of genetic material at an unprecedented scale and speed. It is widely used in applications like genomics, transcriptomics, epigenomics, and metagenomics, allowing scientists to analyze large-scale genetic data in various fields, from cancer research and genetic disorder diagnosis to evolutionary biology and personalized medicine.

NGS platforms have become increasingly accessible and cost-effective, expanding their use in clinical settings for diagnostics and therapeutic development. The technology has also driven significant improvements in precision medicine, where treatments are tailored to individuals' genetic profiles. Overall, NGS continues to shape the future of genomics and medical research, offering critical insights into complex genetic mechanisms and transforming how we approach disease detection, prevention, and treatment.

Global Next Generation Sequencing NGS Market Dynamics

The key market dynamics that are shaping the global next generation sequencing NGS market include:

Key Market Drivers:

Rising Cancer Burden Drives NGS Adoption: According to the World Health Organization (WHO), cancer cases are projected to increase by 60%, from 19.3 million cases in 2020 to approximately 30.2 million cases by 2040. This dramatic rise necessitates advanced genomic testing solutions, with NGS becoming crucial for cancer diagnosis, monitoring, and personalized treatment selection.

Growing Investment in Research & Development: The National Institutes of Health (NIH) increased its genomics research funding from $5.6 billion in 2019 to $7.1 billion in 2022, reflecting a significant commitment to advancing genomic technologies. This substantial investment has accelerated NGS technology development and applications across various research fields.

Expanding Applications in Precision Medicine: According to the Personalized Medicine Coalition's 2022 report, FDA-approved personalized medicines have increased from 5% of new drug approvals in 2005 to approximately 34% in 2021. This trend has directly boosted NGS market growth, as these tests are essential for identifying genetic biomarkers that guide personalized treatment decisions.

Key Challenges:

High Equipment and Operating Costs Limit Adoption: According to a National Human Genome Research Institute (NHGRI) report, while the cost of sequencing a human genome has dropped from $100 million in 2001 to about $1,000 in 2021, the initial investment for NGS platforms remains substantial, ranging from $50,000 to $1,000,000 per instrument. Additionally, annual maintenance costs can reach up to $100,000, creating significant barriers for smaller laboratories and healthcare facilities.

Data Storage and Management Challenges: The NIH's National Center for Biotechnology Information (NCBI) reports that genomic data storage requirements are doubling every 7 months, with a single human genome requiring approximately 100-200 gigabytes of storage. According to a 2023 study in Nature, global genomic data is expected to reach 2-40 exabytes by 2025, creating substantial infrastructure and management challenges for healthcare institutions.

Shortage of Skilled Professionals: According to the American Society for Clinical Laboratory Science (ASCLS), there is a critical shortage of qualified laboratory professionals, with vacancy rates for molecular diagnostic positions reaching 25% in 2022. The Bureau of Labor Statistics projects a 7% growth in demand for clinical laboratory technologists between 2019-2029, but current graduation rates are not keeping pace with this demand, creating a significant workforce gap in NGS implementation.

Key Trends:

Integration of Artificial Intelligence and NGS: According to the FDA's 2022 AI/ML-Based Software as a Medical Device (SaMD) Action Plan, there was a 145% increase in AI-enabled NGS diagnostic tools receiving approval between 2020-2022. The NIH reported that AI-assisted NGS analysis reduced genomic data interpretation time by 40% in 2023 compared to traditional methods.

Rise of Liquid Biopsy Applications: The National Cancer Institute reported that liquid biopsy-based NGS tests increased by 83% between 2020 and 2023, with over 1.2 million tests performed in 2023 alone. Medicare coverage for NGS-based liquid biopsy tests expanded by 35% in 2022, reflecting growing clinical adoption.

Shift Towards Cloud-Based NGS Solutions: According to the National Center for Biotechnology Information (NCBI), cloud-based NGS data storage adoption increased by 62% from 2020 to 2023. The CDC reported that approximately 78% of large healthcare institutions implemented cloud-based NGS analysis platforms by 2023, up from 45% in 2020.

Global Next Generation Sequencing NGS Market Regional Analysis

Here is a more detailed regional analysis of the global next generation sequencing NGS market:

North America

North America dominates the Global Next Generation Sequencing NGS Market. According to the National Institutes of Health (NIH), the U.S. allocated $49.2 billion for biomedical research in 2023, with approximately $3.1 billion specifically dedicated to genomics research initiatives. The U.S. maintains over 1,500 genetic testing laboratories, representing 40% of global NGS testing capacity as of 2022, according to the Centers for Medicare & Medicaid Services (CMS).

American Cancer Society reported that approximately 1.9 million new cancer cases were diagnosed in 2022 in the United States, with 60% of these patients requiring genetic testing for treatment guidance. The CDC reported that genetic testing utilization in cancer care increased by 35% between 2020 and 2022, with NGS tests accounting for 75% of all molecular diagnostic procedures.

According to the FDA, North America accounted for approximately 45% of all NGS platform approvals between 2020-2023. The U.S. Clinical Laboratory Survey reported that 85% of major academic medical centers in North America had adopted NGS technology by 2022, compared to a global average of 60%. Medicare coverage for NGS-based tests expanded to include 12 new cancer types in 2022, resulting in a 40% increase in test reimbursement.

Asia Pacific

The Asia-Pacific region is the fastest-growing region in the Global Next Generation Sequencing NGS Market during the forecast period. According to the World Health Organization's GLOBOCAN 2020 database, the Asia Pacific region accounted for 49.3% of new cancer cases globally, with approximately 9.5 million cases diagnosed in 2020. The Chinese National Cancer Center reported a 28% increase in genetic testing for cancer patients between 2020-2022, with NGS testing becoming mandatory for certain cancer types in major hospitals.

The Japan Agency for Medical Research and Development (AMED) increased its genomics research funding by 45% from 2020 to 2022, reaching approximately ¥25 billion ($180 million). Similarly, China's National Medical Products Administration (NMPA) approved 28 new NGS-based diagnostic tests between 2020-2022, representing a 150% increase from the previous three-year period.

According to the Asia Pacific Alliance of Rare Disease Organizations, the region has approximately 50% of global rare disease cases, affecting about 200 million people in 2022. India's Council of Medical Research reported that genetic disorders affect 3.5-4.5% of all births, leading to a 65% increase in NGS diagnostic testing between 2020-2023. The Chinese Ministry of Health documented that genetic testing coverage in prenatal screening programs increased from 15% in 2020 to 35% in 2022.

Global Next Generation Sequencing NGS Market Segmentation Analysis

The Global Next Generation Sequencing NGS Market is Segmented based on Technology, Type, End-User, and Geography.

Next Generation Sequencing NGS Market, By Technology

• Sequencing By Synthesis (SBS)
• Nanopore Sequencing
• ION Semiconductor Sequencing

Based on the Technology, the Global Next Generation Sequencing NGS Market is bifurcated into Sequencing By Synthesis (SBS), Nanopore Sequencing, ION Semiconductor Sequencing. Sequencing By Synthesis (SBS) is the most dominant in the Global Next Generation Sequencing NGS Market owing to its high accuracy, scalability, and broad application range, making it a preferred choice for both research and clinical sequencing.

Next Generation Sequencing NGS Market, By Type

• Products (Instruments & Consumables)
• Services

Based on the Type, the Global Next Generation Sequencing NGS Market is bifurcated into Products (Instruments & Consumables), and Services. Products (Instruments & Consumables) dominate the Global Next Generation Sequencing NGS Market, as frequent purchases of consumables like reagents, kits, and sequencing chips are essential for each sequencing run, making them indispensable and recurrent expenses for labs and research facilities.

Next Generation Sequencing NGS Market, By End-User

• Pharmaceutical & Biotechnology Companies
• Academic & Research Institutes

Based on the End-User, the Global Next Generation Sequencing NGS Market is bifurcated into Pharmaceutical & Biotechnology Companies, Academic & Research Institutes. Academic & Research Institutes are the dominant in the Global Next Generation Sequencing NGS Market, as they drive extensive genomic research and require constant sequencing for studies in genetics, disease mechanisms, and drug discovery, leading to high, consistent demand for NGS technology.

Key Players

The "Global Next Generation Sequencing NGS Market" study report will provide valuable insight with an emphasis on the global market including some of the major players of the industry are Illumina Inc., Thermo Fisher Scientific Inc., F. Hoffmann-La Roche Ltd., QIAGEN, PacBio, Oxford Nanopore Technologies, Perkin Elmer, Inc., BGI.

• This section offers in-depth analysis through a company overview, position analysis, the regional and industrial footprint of the company, and the ACE matrix for insightful competitive analysis. The section also provides an exhaustive analysis of the financial performances of mentioned players in the given market.

Our market analysis offers detailed information on major players wherein our analysts provide insight into the financial statements of all the major players, product portfolio, product benchmarking, and SWOT analysis. The competitive landscape section also includes market share analysis, key development strategies, recent developments, and market ranking analysis of the above-mentioned players globally.

• Global Next Generation Sequencing NGS Recent Developments
• In March 2024, Illumina announced the launch of its latest high-throughput sequencing platform, promising 2.5 times faster sequencing speeds compared to previous models. The system reduces sequencing costs to approximately $200 per genome while delivering enhanced accuracy and improved sustainability with 90% reduced packaging waste.
• In January 2024, Thermo Fisher announced the acquisition of Pacific Biosciences $1.4 billion acquisition of, strengthening its position in the long-read sequencing market. This strategic move combines PacBio's expertise in long-read sequencing with Thermo Fisher's global commercial reach and research solutions.
• In October 2023, GI Genomics received CE-IVD marking for its DNBSEQ-G99 sequencer and library preparation kits, enabling broader distribution across European markets. This certification marked a significant milestone in the company's global expansion strategy.