Market Trends of Global Pharmaceutical Manufacturing Software Industry
This section covers the major market trends shaping the Pharmaceutical Manufacturing Software Market according to our research experts:
On-Cloud Software is Expected to Hold a Significant Share in the Market Studied
On-Cloud Software is expected to hold a significant market share in pharmaceutical manufacturing software. Most drug manufacturing initiatives involve budgets and resources that fluctuate. Pharma firms use cloud Enterprise resource planning (ERP) solutions to easily scale up and down resources and team strengths based on the specific needs of a project. Such technologies also make it easier for businesses to accelerate their go-to-market plans and expand into new markets.
The rise in collaborations among pharmaceutical manufacturing companies and healthcare software manufacturers to develop on-cloud software for pharmaceutical manufacturing will drive market growth during the forecast period. For instance, in May 2021, Mankind Pharma partnered with Accenture to drive its digital transformation with a data-driven cloud platform, the path toward becoming an intelligent enterprise, resulting in increased business agility, performance, and operational efficiency. Accenture revamped the pharma giant's business processes in critical areas like finance, supply chain, sales, and procurement to improve inventory management, demand planning, labor productivity, and product availability.
In addition, according to the news published in April 2021, advancements in the Internet of Things (IoT) space, such as the deployment of fifth-generation (5G) wireless infrastructure and cloud edge computing solutions, will enable the creation of automated manufacturing processes and, eventually, new business models in the pharmaceutical industry. Such advancements will further lead to the adoption of on-cloud software, driving the segment's growth. Therefore, owing to the abovementioned factors, this segment is expected to drive significantly over the forecast period.
North America Holds Significant Market Share and Expected to do the Same Over the Forecast Period
North America holds a major share in the pharmaceutical manufacturing software market, and it is expected to do the same over the forecast period. The factors responsible for the growth of this market in North America include the developed healthcare system, the rise in pharmaceutical production, the rise in the launch of pharmaceutical manufacturing software in the region, the sophisticated healthcare infrastructure, and the strong foothold of key market players, among others.
For instance, in December 2021, Amazon Web Services (AWS), Inc. collaborated with Pfizer to develop innovative cloud-based solutions that could revolutionize how new medications are created, manufactured, and disseminated for clinical trials. Pfizer's Amazon Collaboration Team (PACT) program uses AWS capabilities in analytics, machine learning, computation, storage, security, and cloud data warehousing to Pfizer's laboratory, clinical manufacturing, and clinical supply chain operations is investigating these advancements. Collaboration of manufacturing software providers with large enterprises such as Pfizer will drive the market growth in this region.
In addition, in April 2022, Optimal Industrial Automation and Technologies, a provider of pharma and biopharma process analytical technology (PAT), pharma factory automation, and Quality Assurance (QA) software and systems integration, was acquired by Bruker Corporation. Bruker's position as a prominent software and solutions provider for small molecule, biologics, and new drug modalities pharma businesses is strengthened by the acquisition of Optimal biopharma tools.
Furthermore, in September 2021, Honeywell purchased Performix Inc., a privately held developer of manufacturing execution system (MES) software for the pharmaceutical and biotech industries. Honeywell's ambition to create the world's top integrated software platform for customers in the life sciences industry who want to achieve speedier compliance is being strengthened by this acquisition. Such an increase in acquisitions will lead to a rise in software adoption by other pharmaceutical companies to adopt automation and increase the speed of the production process, driving the market growth in this region. Therefore, the market is expected to drive in North America due to the abovementioned factors.
