5 Facts About the Next-Generation Sequencing Market in 2018

5 Facts About the Next-Generation Sequencing Market in 2018

We have released our report on next-generation sequencing, a market where change is constant.  The market has been characterized by a rapid evolution of the sequencing technologies (such as Thermo's Ion GeneStudio S5 Unit pictured here), and decreasing sequencing prices in the next generation sequencing (NGS) segment, which made NGS more accessible to a growing base of users and affordable for various commercial applications. Moreover, in recent years, the introduction of numerous new products intended for a broad range of applications has expanded and accelerated the adoption of NGS in many fields beyond pure sequencing, including clinical diagnostics, drug development, agriculture, forensics, consumer genomics, and food and pathogen testing.

 The following trends were part of the report's findings: 

Close to $5 Billion Dollars and Growing: The global DNA sequencing market is a large market with an estimated $4.5 billion in product revenues in 2017, which are projected to continue to grow and reach approximately $8.9 billion in revenues in 2022. The market estimate is comprised of sequencing instruments, consumables (including sample and library preparation), and service revenues such as from extended instrument service contracts.

Action is In Consumables: Kalorama Information reports that the competition in the consumables segment of the market is much more intense than that in the instrumentation market. In the instrumentation segment, a few providers such as Thermo Fisher Scientific and Illuminia dominate. Kalorama made the finding in their latest report on the industry: Next Generation Sequencing Market by Product Type (Instrumentation, Consumables, Services), Application (Research, Clinical), by Method (Sanger, Next-Generation) and by Geographic Region.

Smaller and Faster is In: Oxford Nanopore disrupted the competition by offering its products through various commercial models that do not involve the large capital expenditures typically required for acquiring NGS technologies. In May 2017, the company introduced its intermediate-scale GridION benchtop device which it offers commercially in various pricing models, through which users can purchase only consumables or both the instrument and consumables, for a defined period of time.llumina launched to market the iSeq 100 NGS instrument, which is a lower-priced, small, cartridge-based one-channel semiconductor sequencer that is also portable and can be easily integrated in hospital settings.hermo Fisher Scientific launc,hed its Ion GeneStudio S5 Series, also designed for affordability as well as speed and scalability all the while utilizing the instrumentation structure of its Ion S5 Series.

First Generation Systems Are Still Around: The older, Sanger capillary electrophoresis method of DNA sequencing has not disappeared with the emergence and success of next-generation sequencing, according to a new report from Kalorama Information. They are used for validation and single gene analysis. Thermo Fisher's DNA Analyzers 3730xl and 3730 systems are the most common among remaining systems. Kalorama said that their contribution to the market, mostly in the form of consumable purchases, made up 25% of the DNA sequencing market in 2016,

Illumina and Thermo Lead Instrumentation Market: Illumina’s technology leads in the overall NGS market and is also the most sought technology by laboratories for new NGS purchases. However, in recent years, the NGS instrumentation market segment witnessed the launch of many new platforms with a broad range of capabilities, which intensified the market competition. New products include Illumina’s iSeq100 and NovaSeq platforms, ThermoFisher Scientific’s Ion S5 and S5XL, Oxford Nanopore’s GridION, BGI’s MGISEQ-2000, MGISEQ-200, BGISEQ 500 and BGISEQ 50, and Qiagen’s GeneReader system.

The market players compete primarily based on the quality and performance of their products, the breadth of their product portfolio, the breadth of commercial applications for their products, the quality of technical customer support, brand reputation, and price. Illumina has dominated the market in both the instrumentation and consumables segments for many years, given its broad product line of sequencing systems and consumables that are suitable for numerous applications in various fields.

Kalorama Information's report breaks out clinical and research sequencing markets, and profiles many companies in the industry.