The Artificial Intelligence in Drug Discovery Market Report Segments the Industry Into by Component Type (Software, Services), by Application Type (Preclinical Testing, Drug Optimization and Repurposing, and More), by Drug Type (Small Molecule, Biologics, and More), by Therapeutic Area (Oncology, Neurodegenerative Diseases, and More), and Geography. The Market Sizes and Forecasts are Provided in Terms of Value (USD).

The Drug Discovery Informatics Market is expected to witness substantial growth between 2025 and 2035, driven by the increasing integration of artificial intelligence (AI) and machine learning (ML) in drug discovery processes. The market is projected to be valued at USD 16,445.1 million in 2025 and is anticipated to grow to USD 64,814.3 million by 2035, reflecting a compound annual growth rate (CAGR) of 14.7% over the forecast period.

Metric	Value
Industry Size (2025E)	USD 16,445.1 Million
Industry Value (2035F)	USD 64,814.3 Million
CAGR (2025 to 2035)	14.7%

Country wise Outlook

Country	CAGR (2025 to 2035)
USA	14.5%

Country	CAGR (2025 to 2035)
UK	14.3%

Region	CAGR (2025 to 2035)
European Union	15.0%

Country	CAGR (2025 to 2035)
Japan	14.2%

Country	CAGR (2025 to 2035)
South Korea	14.8%

Competitive Outlook

Company Name	Estimated Market Share (%)
PerkinElmer, Inc.	18-22%
Thermo Fisher Scientific, Inc.	14-18%
Certara, L.P.	12-16%
Collaborative Drug Discovery Inc.	8-12%
Novo Informatics	6-10%
Other Companies (combined)	30-40%

The Drug Discovery Informatics Market report segments the industry into By Function (Sequencing and Target Data Analysis, Docking, Molecular Modeling, Libraries and Database Preparation, Other Functions), By End User (Pharmaceutical and Biotechnology Companies, Contract Research Organizations (CROS), Other End Users), and Geography (North America, Europe, Asia-Pacific, Middle East and Africa, South America).

Drug Discovery Outsourcing Market size with a CAGR of 6.4% in the prediction period and it crosses USD 6,685.1 Mn in 2032 from USD 4,330.3 Mn in 2025.

The global AI in Drug Discovery Market is projected to reach USD 35.42 billion by 2034 With at a CAGR of 29.6% during the forecast period.

The global quantum computing in drug discovery market was valued at USD 0.40 Billion in 2024 driven by the increasing utilization of software to develop high efficacy drugs across the globe. The market is expected to grow at a CAGR of 13.00% during the forecast period 2025-2034 and attain a market value of USD 1.36 Billion by 2034.

The Small Molecule Drug Discovery Market report segments the industry into By Therapeutic Area (Oncology, Central Nervous System, Cardiovascular, Respiratory, Metabolic Disorders, Gastrointestinal, Other Therapeutic Areas), By Process/Phase (Target ID/Validation, Hit Generation and Selection, Lead Identification, Lead Optimization), and Geography (North America, Europe, Asia-Pacific, Middle East and Africa, South America).

The report strategically segments the global biologics drug discovery market based on the phase of discovery, manufacturing type, and product type.

Drug Discovery Market Outlook

The global drug discovery market size was valued at approximately USD 75 billion in 2023 and is projected to reach around USD 150 billion by 2032, growing at a compound annual growth rate (CAGR) of 8% during the forecast period. This market's robust growth is driven by the increasing demand for novel therapies and treatments for various diseases, spurred by advancements in technology and rising healthcare expenditures. The rapid development of biologics and small molecule drugs, coupled with technological innovations in bioinformatics and pharmacogenomics, are substantial growth factors propelling the market forward. Additionally, the increasing prevalence of chronic diseases and the need for personalized medicine are further contributing to the market's expansion.

The growth trajectory of the drug discovery market is significantly influenced by advancements in biotechnological tools and methodologies. Innovations such as high throughput screening, which allows for rapid testing of thousands of compounds, have made the drug discovery process more efficient and effective. Moreover, the integration of bioinformatics into drug discovery enables a deeper understanding of biological data, thus facilitating the identification of new drug targets. The increasing collaboration between pharmaceutical companies and academic institutes for research and development is also a key driver, as it accelerates the discovery of novel therapeutic agents and optimizes the drug development pipeline.

Another pivotal factor contributing to the growth of the drug discovery market is the burgeoning adoption of artificial intelligence and machine learning technologies. These technologies are revolutionizing how drug discovery is approached by providing predictive analytics, enhancing decision-making processes, and reducing the time and cost associated with drug development. AI-driven models and algorithms are being employed to predict drug interactions, side effects, and efficacy, which significantly streamlines the screening process. Furthermore, the focus on precision medicine is gaining momentum, where drugs are tailored to individuals based on genetic profiles, thus boosting the demand for advanced drug discovery solutions.

The growing prevalence of chronic diseases such as cancer, diabetes, and cardiovascular disorders also plays a crucial role in the market's growth. The need for innovative and effective treatment options for these conditions has led to increased investments in research and development activities by pharmaceutical and biotechnology companies. Regulatory incentives and favorable government policies, including expedited drug approval processes and financial funding for research, are further supporting the market's expansion. The development of orphan drugs for rare diseases is another promising area within the drug discovery market, as it opens new avenues for growth and innovation.

The Central Nervous System Drug Discovery is an area of immense interest and potential within the broader drug discovery market. This field focuses on developing therapies for neurological disorders, which are often complex and challenging to treat. The increasing prevalence of conditions such as Alzheimer's disease, Parkinson's disease, and multiple sclerosis drives the demand for innovative CNS drugs. Advances in neuroimaging and biomarker identification are enhancing our understanding of these disorders, paving the way for more targeted and effective treatments. The integration of artificial intelligence in CNS drug discovery is further accelerating the identification of novel drug candidates, offering hope for improved patient outcomes in this critical area.

From a regional perspective, North America currently holds the largest share in the drug discovery market, driven by the presence of a robust pharmaceutical industry, significant R&D investments, and favorable regulatory frameworks. Europe follows closely, with a focus on research in biotechnology and pharmacogenomics. The Asia Pacific region is expected to witness the fastest growth during the forecast period, due to the rising healthcare infrastructure, increasing investments by global companies in countries like China and India, and government support for drug discovery initiatives. The diverse healthcare needs and rising prevalence of diseases in emerging economies in Latin America and the Middle East & Africa also present significant opportunities for market expansion.

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Antibody Drug Discovery comes with extensive industry analysis of development components, patterns, flows, and sizes. The report calculates present and past market values to forecast potential market management during the forecast period between 2025 - 2033.

The small molecule drug discovery market size was over USD 56.1 billion in 2024 and is estimated to reach USD 159.5 billion by the end of 2037, exhibiting a CAGR of 9.1% during the forecast period, i.e., 2025-2037. North America industry is predicted to account for the largest share of 42.7% by 2037, owing to well-developed healthcare facilities in the region.

By 2031, the in-silico drug discovery market worldwide is expected to be valued at 6.5 billion U.S. dollars. As of 2021, the market was valued at just 2.4 billion U.S. dollars. The largest segment of the in-silico drug discovery market is software as a service (SaaS). 'In-silico' in general means that testing is done by computer simulation, as in contrast to 'in vivo' or 'in vitro'. In-silico testing was used, for example, in the search for existing drugs which could potentially be used as therapy or cure for COVID-19. In-silico is believed to have great potential for speeding up drug discovery because expensive laboratory work and clinical trials could be reduced.

Overview

New York, NY – March 27, 2025 – The Small Molecule Drug Discovery Market size is expected to be worth around USD 121.8 billion by 2033 from USD 52.5 billion in 2023, growing at a CAGR of 8.8% during the forecast period 2024 to 2033.

Small molecule drug discovery is revolutionizing modern medicine by enabling the development of targeted therapies for a wide range of diseases. Small molecules, typically low molecular weight compounds, can effectively interact with biological targets to modulate disease pathways. These drugs are widely used in oncology, neurology, infectious diseases, and autoimmune disorders.

Advancements in computational drug design, artificial intelligence (AI), and high-throughput screening are accelerating the discovery of novel small molecules. Researchers are leveraging structure-based drug design and machine learning to identify promising candidates with enhanced efficacy and safety profiles. The growing demand for precision medicine is also driving innovation in small molecule therapeutics.

With increasing investment in pharmaceutical R&D, the small molecule drug discovery market is expected to expand significantly. Leading biopharmaceutical companies and research institutions are collaborating to develop next-generation treatments that address unmet medical needs. As drug discovery technologies continue to evolve, small molecules remain at the forefront of therapeutic advancements, offering hope for patients worldwide.
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Drug Discovery Technology Market Size 2024-2028

The drug discovery technology market size is forecast to increase by USD 27.31 billion, at a CAGR of 9.2% between 2023 and 2028.

The market is witnessing significant growth due to the increasing prevalence of chronic diseases worldwide. The growing burden of diseases such as cancer, neurological disorders, and cardiovascular diseases necessitates the development of innovative drug discovery technologies. One such technology is Artificial Intelligence (AI) and Machine Learning (ML) in drug discovery, which is revolutionizing the industry by enabling the analysis of vast amounts of data to identify potential drug candidates. Another technology, RNA interference (RNAi), offers a novel approach to drug development by targeting specific genes to treat diseases. However, the market faces challenges that hinder its growth. Intellectual property (IP) issues are a significant obstacle, with the increasing number of patents and licensing agreements complicating the development and commercialization of new therapies. Additionally, the high cost of drug discovery and development, coupled with the lengthy regulatory approval process, creates a complex landscape for market participants. Despite these challenges, opportunities exist for companies to capitalize on the market's potential. Collaborations and partnerships between academia, biotech, and pharmaceutical companies can help reduce the financial burden and accelerate the development process. Furthermore, the integration of emerging technologies such as AI, ML, and RNAi can enhance the efficiency and effectiveness of drug discovery efforts, ultimately leading to the development of novel therapies for various diseases.

What will be the Size of the Drug Discovery Technology Market during the forecast period?

Request Free SampleThe market is a dynamic and evolving landscape, with ongoing advancements and innovations shaping its contours. Biotechnology companies are at the forefront of this progress, leveraging various technologies to tackle complex therapeutic areas such as rare diseases and cancer. Machine learning algorithms, including deep learning, are increasingly utilized for data analysis and lead optimization, enhancing the drug discovery process. Clinical trials continue to play a pivotal role in bringing new therapies to market, with a focus on improving trial design and management for greater efficiency and accuracy. Intellectual property protection remains crucial, with patent protection and licensing agreements shaping the drug development pipeline. Cancer therapeutics and metabolic disorders therapeutics are among the most active areas of research, with a growing emphasis on personalized medicine and protein engineering. Cardiovascular disease therapeutics and antibody-drug conjugates (ADCs) are also attracting significant attention, with advances in drug delivery systems and drug resistance. Artificial intelligence and quantum mechanics calculations are transforming drug discovery, enabling drug repurposing, drug safety assessments, and target identification. Regulatory approval processes are evolving to accommodate these advancements, with a focus on precision medicine and health economics. The market for orphan drugs and infectious disease therapeutics is expanding, driven by a growing understanding of the underlying genetic and molecular causes of these conditions. Neurological disorders therapeutics are also gaining traction, with advances in gene editing and molecular dynamics simulations. Drug pricing, drug accessibility, and drug reimbursement remain key challenges, with ongoing debates surrounding affordability and equity. The market for drug discovery platforms and ligand-based drug design is growing, with a focus on improving drug efficacy, drug toxicity, and drug interaction predictions. The drug discovery process is a complex and intricate endeavor, with ongoing research and innovation shaping its future. From target identification to regulatory approval, the market dynamics are constantly unfolding, with new technologies and applications emerging to address the challenges of discovering and developing new therapies.

How is this Drug Discovery Technology Industry segmented?

The drug discovery technology industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2024-2028, as well as historical data from 2018-2022 for the following segments. ProductGenomicsProteomicsBioinformaticsHigh-throughput screening (HTS)OthersEnd-userPharmaceutical and biotechnology companiesAcademic and research institutesCROsGeographyNorth AmericaUSEuropeFranceGermanyUKAPACChinaRest of World (ROW)

By Product Insights

The genomics segment is estimated to witness significant growth during the forecast period.The biotechnology industry is experiencing signifi

The size and share of the market is categorized based on Type (Cloud Based, Web Based) and Application (CROs and Universities, Companies, Testing Labs) and geographical regions (North America, Europe, Asia-Pacific, South America, and Middle-East and Africa).

The global Drug Discovery Technologies market is forecasted to grow at a noteworthy CAGR of 8.23% between 2025 and 2033. By 2033, market size is expected to surge to USD 198.06 Billion, a substantial rise from the USD 97.2 Billion recorded in 2024.

The Global Drug Discovery Technologies market size to cross USD 198.06 Billion by 2033. [https://edison.valuemarketresearch.com//uploads/report_images

The Artificial Intelligence in Drug Discovery Market size is expected to reach a valuation of USD 22.6 billion in 2033 growing at a CAGR of 30.2%. The Artificial Intelligence in Drug Discovery Market research report classifies market by share, trend, demand, forecast and based on segmentation.

The size and share of this market is categorized based on Drug Discovery Technologies (Target Identification, Hit Identification, Lead Optimization, Preclinical Development, Clinical Trials) and Therapeutic Area (Oncology, Cardiovascular, Neurology, Infectious Diseases, Metabolic Disorders) and End User (Pharmaceutical Companies, Biotechnology Companies, Academic Institutions, Contract Research Organizations (CROs), Research Laboratories) and geographical regions (North America, Europe, Asia-Pacific, South America, Middle-East and Africa).

The AI-enabled drug discovery and clinical trials market worldwide is on the rise. The compound annual growth rate for the period 2019-2030 is expected to be at around 25 percent. By 2030, the market is projected to be dominated by North America, generating around 58 percent of global market revenues.

According to Cognitive Market Research, the global Artificial Intelligence in Drug Discovery market size is USD 815.2 million in 2024 and will expand at a compound annual growth rate (CAGR) of 40.00% from 2024 to 2031.

North America held the major market of more than 40% of the global revenue with a market size of USD 326.08 million in 2024 and will grow at a compound annual growth rate (CAGR) of 38.2% from 2024 to 2031.
Europe accounted for a share of over 30% of the global market size of USD 244.56 million.
Asia Pacific held the market of around 23% of the global revenue with a market size of USD 187.50 million in 2024 and will grow at a compound annual growth rate (CAGR) of 42.0% from 2024 to 2031.
Latin America market of more than 5% of the global revenue with a market size of USD 40.76 million in 2024 and will grow at a compound annual growth rate (CAGR) of 39.4% from 2024 to 2031.
Middle East and Africa held the major market of around 2% of the global revenue with a market size of USD 16.30 million in 2024 and will grow at a compound annual growth rate (CAGR) of 39.7% from 2024 to 2031.
The services held the highest Artificial Intelligence in Drug Discovery market revenue share in 2024.

Market Dynamics of Artificial Intelligence in Drug Discovery Market

Key Drivers for Artificial Intelligence in Drug Discovery Market

Increasing Demand for Personalized Medicine will Boost the Market Growth

Customised medication, fitting medicines to individual patients in the opinion of their hereditary cosmetics and different elements, is picking up speed because of its capability to develop results further and limit unfavorable impacts. Simulated intelligence assumes an urgent role in this change in outlook by dissecting tremendous datasets enveloping genomics, proteomics, and clinical records. AI calculations filter through this information to recognize examples and connections, supporting the revelation of biomarkers for sickness inference and guessing. Regular language handling empowers the abstraction of significant experiences from unstructured clinical notes and examination writing. By utilizing computer-based intelligence, specialists can foster designated treatments that address the particular sub-atomic qualities of a patient's illness, improving treatment viability and patient outcomes in a period progressively centered around customized medical services.

Growing Complexity of Drug Development Process will Augment the Market Growth

Conventional medication discovery faces difficulties originating from the difficulty of illnesses, high disappointment rates in clinical preliminaries, and rising improvement costs. Simulated intelligence offers inventive answers to assist different phases of medication advancement by outfitting the force of computational calculations and huge information investigation. AI calculations break down different datasets, for example, genomic successions and compound designs, to anticipate drug-target collaborations and distinguish promising competitors. Besides, artificial intelligence-driven models smooth out lead streamlining and harmfulness expectations, lessening the time and assets expected for preclinical testing. By speeding up the speed of medication disclosure and advancing asset assignment, artificial intelligence advancements moderate dangers and improve the productivity of medication improvement.

Restraint Factor for the Artificial Intelligence in Drug Discovery Market

Regulatory Compliance and Ethical Considerations will Hinder the Market Growth

One critical limitation in the Man-made reasoning in the medication discovery market is the test of accomplishing adequate brilliance and picture quality in conservative and compact gadgets. Because of their small size and appreciative power sources, Man-made consciousness in Medication Revelation frequently battles to convey a similar degree of splendor and picture lucidity as bigger, fixed projectors. This impediment can obstruct their viability in brilliantly lit conditions or while projecting onto bigger screens, lessening their common sense for specific applications like proficient introductions or outside occasions. While progressions in Drove and laser projection innovation have further developed brilliance levels in Man-made brainpower in Medication Disclosure, accomplishing great pictures without compromising versatility remains a critical test for makers.

Impact of Covid-19 on the...