Bioinformatics is an interdisciplinary field that develops software tools and methods to manage biological data. As an incorporative field of science, bioinformatics combines statistics, computer science, engineering, and mathematics to study and process biological information. Bioinformatics finds increased application in the field of medical research and drug development. The perpetual development of information technology along with its expanding application in the life science and biotechnology fields has given an incredible impetus to the demand for bioinformatics in the global market. According to a report published by Persistence Market Research, the global bioinformatics market is expected to develop at a remarkable 20.4% CAGR between 2014 and 2020.
The incredible growth forecast for the bioinformatics market can be attributed to several factors. The most significant of these are enumerated below:
High Demand for Data Management Technology in Healthcare Industry
Rapid development of technology has led to the convergence of industries from different verticals. This contemporary trend has triggered the development of interdisciplinary fields such as bioinformatics, which is increasingly adopted by the healthcare industry to simplify data processing. Increasing demand for enhanced treatment procedures and prevention solutions has also spurred the global bioinformatics market. With the progress of the healthcare industry, demand for improvement in treatment and technology has significantly increased, thereby giving a boost to the research and development activities in the industry. As a consequence of the reinforced R&D efforts in the industry, data generation has increased exponentially, which in turn has triggered the global bioinformatics market.
Innovation of Advanced Software
Information technology has advanced tremendously in the last couple of years, resulting in the development of a spectrum of software such as Annotator, BLAST, and GeneMark. Such software not only helps in the management of the unfathomably large volume of data generated in the healthcare industry every day, but also in streamlining the corresponding data processes.
Research and development activities, especially in the field of drug discovery, have remarkably benefitted from the innovation of such bioinformatics software. However, inadequacy in interoperability among data formats will impede the expansion of bioinformatics market to an extent.
Boost in Mergers and Acquisitions
The global healthcare industry is developing at a rapid pace. Leading players in the industry are focusing on expanding their operations. As a direct result of the expansion propaganda used by key players in the industry, the number of mergers and acquisitions has significantly increased. This in turn has bolstered new product innovation, which again is favorable for the bioinformatics market.
Increasing Demand for Bioinformatics Systems in Proteomics and Genomics
While increasing demand for bioinformatics systems in genomics and proteomics has boosted the demand for bioinformatics system, lack of skilled professionals and high cost is likely to hamper the growth of the bioinformatics market in this application to an extent.
High Demand from North America and Asia Pacific
North America at present leads the global bioinformatics market and, according to latest studies, the region will continue its dominance in the market until 2020. The bioinformatics market in North America is forecasted to gallop at a CAGR of 21.6% between 2014 and 2020. Genomics will remain the largest application segment for bioinformatics in the region.
The bioinformatics industry is also expected to find a lucrative market in Asia Pacific. Favorable government initiatives promoting research and development in IT infrastructure will incredibly boost the bioinformatics market in Asia Pacific, which is expected to develop at the fastest pace during 2014-2020.
Some of the key players in the industry who are likely to benefit from the aforementioned trends are Bio-Rad Laboratories, Life Technologies¸ Agilent Technologies, and Affymetrix, Inc.