Market Trends of Small Molecule Drug Discovery Industry
The Target ID/Validation Segment is Expected to Witness High Growth Over the Forecast Period
Target identification is used to identify a small molecule's direct molecular target, such as protein or nucleic acid. In the case of clinical pharmacology, target identification is aimed at finding out the efficacy of the target of the drug molecule. The main objective of target validation is to identify and access the chances of a molecular target in achieving the development of pharmaceuticals for therapeutic application. Factors such as increasing research and development activities of small molecules due to the rising burden of chronic diseases and the launch of new technologically advanced drug discovery platforms are expected to drive segmental revenue during the forecast period.
Drug discovery technology is crucial in every small-molecule drug discovery, from target identification and validation to lead optimization. Hence, technological advancements are a growth driver for the market segment. For instance, in September 2023, Exscientia PLC collaborated with Merck KGaA to focus on the discovery of novel small-molecule drug candidates across oncology, neuroinflammation, and immunology. In addition, in November 2023, Sosei Group Corporation, in collaboration with Kallyope companies, successfully identified, validated, and nominated the first G protein-coupled receptor (GPCR) target to enter a therapeutic discovery program for gastrointestinal diseases.
Therefore, increasing research and development activities of small molecules and the launch of new technologically advanced drug discovery platforms are expected to drive segmental growth during the forecast period.
North America is Expected to Hold a Significant Market Share Over the Forecast Period
North America holds a significant share of the market owing to the rising cases of various chronic diseases, such as cardiovascular diseases and cancer, and the increasing approval of new small molecules in the region.
The region's rising prevalence of chronic diseases is expected to drive market growth. For instance, according to the National Center for Chronic Disease Prevention and Health Promotion report published in 2022, six out of 10 adults in the United States had chronic diseases, and four in 10 adults had two or more chronic conditions as of July 2022. According to the Canadian Cancer Society 2023, 239,100 Canadians were expected to be registered with cancer in that year. Such a high burden of cancer is expected to drive the market's growth as small molecules are primarily employed in the treatment of cancer.
Strategic initiatives such as partnerships and collaborations undertaken by the market players are expected to drive the growth of the segment in the region. For instance, in January 2022, Amgen and Arrakis Therapeutics signed a research collaboration focused on the discovery and development of RNA degrader therapeutics against a range of difficult-to-drug targets in multiple therapeutic areas. This new class of targeted RNA degraders consists of small-molecule drugs that selectively destroy RNAs encoding disease-causing proteins by inducing their proximity to nucleases. Such research collaborations are expected to boost the growth of the market.
Thus, owing to factors such as the rising cases of various chronic diseases and increasing approval of new small molecules, the market is expected to record growth in North America over the forecast period.
