Thursday, November 29, 2012

Biosimulation Market Estimated To Reach $1.2 Billion by 2017: MarketsandMarkets


The process of identifying a drug molecule and developing it into a potential therapeutic has moved from the lab to the computers. Many softwares and models are being widely used in drug discovery and development process. Even though pharmaceutical companies have integrated biosimulation technology in their drug discovery and development process it is predominantly used as a decision making tool. Clinical trials of new drugs are being conducted on simulation models to determine the sample size and effective outcome of the drug. Using virtual patients instead of clinical research patients can save both time and money for pharmaceutical companies in their pursuit for new drugs. 

New analysis from MarketsandMarkets estimates Global Biosimulation market to reach $1.2 billion by 2017 at a CAGR of 18.5%. Santosh kumar analyst from MarketsandMarkets says “Biosimulation is expected to grow exponentially in the coming decade, driven by advancements in the field of systems biology and computational biology”. Analyst also quotes, “Pharmaceutical companies have realized the importance of biosimulation over other new technologies, as the future of R&D process would be based more on translational research than the conventional research”.
North America is the major market for biosimulation and has been driving the global market significantly. Since most of the existing drugs are going off patents, search for new cost-effective drugs is expected to bolster the growth of biosimulation in these regions. Europe is the second major market for biosimulation products mainly driven by support of government regulatory bodies which is promoting the use of biosimulation in drug discovery and development process. 

Emerging economies in Asia for example China and India are witnessing tremendous increase in the number of pharmaceutical companies and CRO’s. Due to these developments, biosimulation market in these economies expected to grow moderately in the next few years. 

Biosimulation Technology Market is highly competitive with many companies trying to capture market share with their niche capabilities, offering products and services to pharmaceutical companies. Use of biosimulation by pharmaceutical companies has been largely restricted to drug development which contributes to more than 60% revenue to the global biosimulation market. The main challenge to effective use of biosimulation is it has not been regulated. In addition to that lack of success stories has restricted the pharmaceutical companies to use the technology effectively. Several pharmaceutical companies have established their own biosimulation groups which have not been effectively utilized. Also, the current research landscape for biosimulation based drug discovery is fraught with other challenges. For e.g., companies employ scientists all over the world for their research work and coordination among these scientists for better modelling and simulations requires time, cost and expertise. Therefore, it is necessary that pharmaceutical firms come forward to collaborate with biosimulation solution providers to create successful models which will aid in new drug discovery and development.

The full report is available here.

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