Next-generation Sequencing Market (By Technology: Targeted Sequencing & Resequencing; By Application: Oncology, Consumer Genomics; By Workflow: Pre-sequencing, Sequencing, NGS Data Analysis; By End-use: Academic Research, Clinical Research, Hospitals & Clinics, Pharma & Biotech Entities, Other Users) - Global Industry Analysis, Size, Share, Growth, Trends, Regional Outlook, and Forecast 2024-2033

The global next generation sequencing market size was estimated at around USD 8.43 billion in 2023 and it is projected to hit around USD 60.18 billion by 2033, growing at a CAGR of 21.72% from 2024 to 2033.

Key Pointers

• North America led the market with the largest revenue share of 50% in 2023.
• By Application, the oncology segment held the largest market share of 28% in 2023.
• By Technology, the targeted sequencing and resequencing segment held the highest market share in 2023. 
• By Workflow, the sequencing segment registered the maximum market share in 2023.
• By End-use, the academic research segment held the highest market share in 2023.

Next Generation Sequencing Market Overview

Next generation sequencing, often abbreviated as NGS, refers to high-throughput sequencing techniques that enable rapid and cost-effective analysis of DNA and RNA sequences. Unlike traditional Sanger sequencing, NGS methodologies facilitate parallel sequencing of millions of DNA fragments simultaneously, offering unprecedented insights into genetic variation, gene expression, and genomic structure.

Next Generation Sequencing Market Growth Factors

The next generation sequencing (NGS) market is experiencing robust growth driven by an increasing adoption of NGS in research and clinical applications is fueling market expansion. Researchers and healthcare professionals are leveraging the high-throughput capabilities of NGS to unravel the complexities of the genome, advancing our understanding of genetic diseases and enabling personalized medicine. Secondly, technological advancements in sequencing platforms and bioinformatics tools are enhancing the efficiency and accuracy of NGS, making it more accessible and cost-effective for a wider range of applications. Thirdly, growing investments in genomic research and precision medicine initiatives are driving demand for NGS technologies, particularly in oncology, infectious disease research, and reproductive health. Overall, these growth factors are propelling the Next Generation Sequencing market forward, with continued innovation and adoption expected in the years to come.

Next Generation Sequencing Market Trends:

• Integration with Omics Technologies: NGS is increasingly being integrated with other omics technologies, such as proteomics and metabolomics, to enable comprehensive molecular profiling. This integration allows researchers to gain deeper insights into biological systems and disease mechanisms, driving interdisciplinary collaboration and innovation.
• Expansion of Clinical Applications: The use of NGS in clinical diagnostics is expanding beyond traditional research settings, with growing adoption in routine healthcare practice. Applications include molecular diagnostics for cancer profiling, prenatal genetic screening, infectious disease diagnosis, and pharmacogenomics. This trend is driven by the increasing demand for precision medicine and personalized treatment approaches.
• Miniaturization and Portability: Advances in NGS technologies are leading to the development of miniaturized and portable sequencing platforms. These compact devices offer flexibility and accessibility, enabling sequencing applications in remote or resource-limited settings. Portable NGS platforms are facilitating field research, point-of-care diagnostics, and surveillance of infectious diseases.
• Single-Cell Sequencing: Single-cell sequencing techniques are gaining prominence in NGS research, allowing for the analysis of individual cells with high resolution. This approach enables the study of cellular heterogeneity, cell-to-cell interactions, and rare cell populations in diverse biological samples. Single-cell NGS has applications in cancer research, developmental biology, immunology, and neurobiology.
• Advancements in Bioinformatics: The field of bioinformatics is evolving rapidly to meet the growing demands of NGS data analysis. Novel algorithms, software tools, and cloud-based platforms are being developed to handle large-scale genomic datasets efficiently. Integration of artificial intelligence and machine learning techniques is enhancing the interpretation of NGS data, leading to more accurate variant calling, pathway analysis, and clinical interpretation.

Application Insights

The oncology segment dominated the market and accounted for the highest market share of 28% in 2023. A gradually growing prevalence of cancer warrants the use of the latest technology to enable oncologists better understand the mechanics of cancer and tumor cells and the application of NGS for DNA and RNA sequencing, epigenetics, and analyzing chromosomal abnormalities account for over three-fourths of the global sequencing data are factors responsible for high market share. Companies like Myriad, through its myRisk product, offer genetic testing to identify people who may be at higher risk of developing certain cancers in the future. In January 2021, Merus N.V.; a clinical-stage immuno-oncology company; collaborated with National Cancer Center, Japan, and Erasmus University Medical Center, Netherlands to evaluate its HER2/3-targeting bispecific antibody in solid tumors.

Furthermore, the continuous introduction of new products by the key players is driving growth in the consumer genomics segment. The presence of companies such as 23andMe that are involved in the provision of the “Personal Genome Service” can be attributed to growth in the coming years. Moreover, Ancestry.com, Color Genomics, Cloud Health (which purchased a HiSeq X Ten), National Geographic, and several Japanese consumer companies, as well as a nascent consumer business, Helix, which was launched by Illumina are expected to impact revenue generation in this segment. Rapid proliferation in genealogy, paternity testing, and personal health awareness is expected to drive the growth in consumer genomics, as an application of NGS.

Technology Insights

The targeted sequencing and resequencing segment held the highest market share in 2023. This segment is expected to witness growth in demand after the growth of whole genome sequencing, as the availability of a large amount of whole genome data will be required to be analyzed at specific gene locations and isolated genetic expressions. There are many companies in the NGS market offering targeted sequencing services. Thus, this segment is expected to grow in tandem with the WGS segment throughout the forecast period.

Illumina offers targeted resequencing with its gene panel and array finder, whereas Pacific Biosciences of California’s Sequel System with its SMRT technique allows targeted sequencing and accurate detection of variants. Targeted sequencing panels are expected to remain the workhorse for cancer molecular diagnostics and are projected to become the routine part of the heme malignancies and solid tumors.

Workflow Insights

The sequencing segment held the highest market share in 2023. NGS sequencing is the most important phase of the workflow and consequently accounts for the largest share of the market. These systems can provide an accurate amount of liquid, which is important in NGS. Moreover, functions such as changing tubes and microtiter plates are also carried out by the system, which helps streamline workflow. The advantage of using a robotic liquid handling system is that it enables researchers to focus on analyzing the data rather than managing the process.

For instance, Illumina's BaseSpace Suite aids in the analysis of sequencing data and the production of findings in a short amount of time. To expand its data analytic capabilities, the company has also purchased DRAGEN Bio-IT Platform (DRAGEN) and Edico Genome. Furthermore, Genomatix and DNAnexus, provide cloud-based solutions for the interpretation and management of enormous volumes of sequencing data.

End-use Insights

The academic research segment held the highest market share in 2023. The application of NGS solutions in research projects that are carried out in the universities and research centers can be attributed to the largest share of this segment in the market. Furthermore, scholarships offered for Ph.D. projects in NGS are anticipated to drive demand for NGS products and services, thereby resulting in lucrative growth over the forecast period. Provision of on-site bioinformatics courses that include workshops on the practical implementation of NGS sequencing and data analysis are also expected to boost revenue generated through the academic research segment in the coming years.

Owing to the use of NGS in cancer research and, more specifically, in the discovery of new cancer-related genes, studying tumor heterogeneity, and identification of alterations that are contributive to tumorigenesis the segment is expected to witness significant growth through to 2030. In addition, the availability of clinical research solutions through market entities such as Illumina, Thermo Fisher Scientific Corporation, and Agilent Technologies for target enrichment and detection is anticipated to provide this segment with high growth opportunities over the forecast period.

Regional Insights

North America dominated the NGS market and accounted for the largest revenue share of 50% in 2023. The regional market is driven by the presence of multiple clinical laboratories that employ NGS to provide genetic testing services. Furthermore, due to the presence of high R&D investment, and the availability of a technologically advanced healthcare research framework, the development of WGS in the region is also expected to serve as a critical factor for the growth of the market in North America throughout the forecast period.

In Asia Pacific, the market is estimated to grow fast over the forecast period owing to the presence of significant developments by China and Japan for technological integration of NGS methodologies, and the development of healthcare, R&D, and clinical development frameworks of emerging economies such as India and Australia have poised the Asia Pacific NGS market to witness lucrative opportunities of growth throughout the forecast period.

Next Generation Sequencing Market Key Companies

• Illumina

• QIAGEN

• Thermo Fisher Scientific, Inc.

• F. Hoffman-La Roche Ltd.

• Oxford Nanopore Technologies

• Genomatix GmbH

• PierianDx

• DNASTAR, Inc.

• Eurofins GATC Biotech GmbH

• Perkin Elmer, Inc.

• BGI

• Bio-Rad Laboratories, Inc.

Next Generation Sequencing Market Segmentations:

By Technology

• WGS
• Whole Exome Sequencing
• Targeted Sequencing & Resequencing
  • DNA-based
  • RNA-based

By Application

• Oncology
  • Diagnostics and Screening
    • Oncology Screening
      • Sporadic Cancer
      • Inherited Cancer
    • Companion Diagnostics
    • Other Diagnostics
  • Research Studies
• Clinical Investigation
  • Infectious Diseases
  • Inherited Diseases
  • Idiopathic Diseases
  • Non-Communicable/Other Diseases
• Reproductive Health
  • NIPT
    • Aneuploidy
    • Microdeletions
  • PGT
  • Newborn Genetic Screening
  • Single Gene Analysis
• HLA Typing/Immune System Monitoring
• Metagenomics, Epidemiology & Drug Development
• Agrigenomics & Forensics
• Consumer Genomics

By Workflow

• Pre-Sequencing
  • NGS Library Preparation Kits
  • Semi-automated Library Preparation
  • Automated Library Preparation
• Sequencing
• NGS Data Analysis
  • NGS Primary Data Analysis
  • NGS Secondary Data Analysis
  • NGS Tertiary Data Analysis

By End-use

• Academic Research
• Clinical Research
• Hospitals & Clinics
• Pharma & Biotech Entities
• Other Users

By Region

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East Africa