Viral Vector Contract Development And Manufacturing Organization (CDMO) Market Trends

Adeno-associated virus is one of the rapidly growing segments in the market. The major factors contributing to segmental growth include the high focus of the companies on the development of gene therapies and the rising investments.

In October 2022, Astellas made a USD 50 million investment in Taysha Gene Therapies Inc. to gain access to two of its adeno-associated virus (AAV) gene therapy initiatives for Rett syndrome and giant axonal neuropathy (GAN). Similarly, the National Cancer Institute (NIC), based on data from March 2022, was given USD 6.9 billion by the Consolidated Appropriations Act 2022. This was a net increase of USD 353 million over FY 2021. The FY 2022 allocation included USD 194 million in funding for the Cancer Moonshot and USD 50 million for the Childhood Cancer Data Initiative. Thus, increasing investments in enabling a precision medicine approach is expected to drive the market’s growth during the forecast period.

In December 2022, Merck signed a memorandum of understanding (MoU) with Synplogen, a start-up founded by Kobe University's Graduate School of Science, Technology, and Innovation. Merck’s Millipore Contract Testing Development and Manufacturing Organization (CTDMO) and Synplogen will integrate their capabilities to provide streamlined development, manufacturing, and testing for viral vector gene therapies in Japan. In August 2022, Polyplus, an upstream solutions provider for advanced biologic and cell and gene therapy production, launched its new Transgene Plasmid Engineering Services for viral vector manufacturing. The expansion of plasmid services can be used as a standalone or a complement to the industry standard PEIpro and FectoVIR-AAV reagents and kits for next-generation viral vector and gene therapy manufacturing.

The key factors driving the growth of the adeno-associated virus CDMO segment include the increasing use of gene therapy, advancements in AAV vectors, and rising outsourcing of AAV vector manufacturing. For instance, in November 2022, Thermo Fisher Scientific introduced the Gibco CTS adeno-associated virus (AAV) MAX Helper Free production system, which can save time and reduce costs by 50%. The CTS AAV-MAX system includes several components, such as mammalian cells, a cell culture medium, a transfection kit, and a buffer.

Therefore, owing to the high investment and increasing focus on AAV, the segment is believed to witness significant growth during the forecast period.