Global Drug Discovery Market Growth, Share, Size, Trends and Forecast (2025 - 2031)

By Drug Type;

Small Molecule Drug, and Biologics Drug

By Technology;

High Throughput Screening, Biochips, Bioinformatics, Pharmacogenomics & Pharmacogenetics, Combinatorial Chemistry, Nanotechnology, Spectroscopy, Metabolomics, and Others

By Service;

Drug Metabolism & Pharmacokinetics (DMPK) Services, Pharmaceutical Services, Chemical Services, and Biological Services

By End User;

Research Institutes, Pharmaceutical Companies, Biotechnology Companies, and Others

By Geography;

North America, Europe, Asia Pacific, Middle East & Africa, and Latin America - Report Timeline (2021 - 2031)
Report ID: Rn102294679 Published Date: May, 2025 Updated Date: June, 2025

Introduction

Global Drug Discovery Market (USD Million), 2021 - 2031

Drug Discovery Market was valued at USD 7,158.29 million in the year 2024. The size of this market is expected to increase to USD 12,703.92 million by the year 2031, while growing at a Compounded Annual Growth Rate (CAGR) of 8.5%.


Global Drug Discovery Market Growth, Share, Size, Trends and Forecast

*Market size in USD million

CAGR 8.5 %


Study Period2025 - 2031
Base Year2024
CAGR (%)8.5 %
Market Size (2024)USD 7,158.29 Million
Market Size (2031)USD 12,703.92 Million
Market ConcentrationMedium
Report Pages348
7,158.29
2024
12,703.92
2031

Major Players

  • Pfizer Inc
  • GlaxoSmithKline LLC
  • Merck & Co Inc
  • Agilent Technologies Inc
  • Eli Lilly and Company
  • Hoffmann-La Roche Ltd
  • Bayer AG
  • Abbott Laboratories Inc
  • AstraZeneca PLC
  • Shimadzu Corp

Market Concentration

Consolidated - Market dominated by 1 - 5 major players

Global Drug Discovery Market

Fragmented - Highly competitive market without dominant players


The drug discovery market is witnessing substantial growth, propelled by breakthroughs in biotechnology, artificial intelligence (AI), and high-throughput screening. These innovations have significantly accelerated drug development timelines, reducing the duration of clinical trials by nearly 40%. Furthermore, the integration of computational biology and genomics is improving the precision of target identification, enhancing the overall efficiency of early-stage drug research.

Collaborative Partnerships Shaping Market Dynamics
The drug discovery landscape is increasingly driven by collaborations between biotech firms, academic institutions, and research organizations. Currently, nearly 50% of novel drugs emerge from these strategic partnerships, which pool diverse expertise and resources. This collaborative model is accelerating breakthroughs in precision medicine and personalized therapies, transforming the global pharmaceutical ecosystem.

Advanced Screening Technologies Enhancing Efficiency
Innovations in high-throughput screening (HTS) and bioinformatics have significantly streamlined drug discovery processes, improving both speed and accuracy. Nearly 60% of early-stage drug discovery projects now utilize HTS, enabling rapid screening of extensive compound libraries and increasing the likelihood of identifying promising drug candidates. This technological shift is enhancing the efficiency of lead identification and drug optimization.

Personalized Medicine Driving Market Growth
The increasing emphasis on precision medicine is reshaping the drug discovery market, with approximately 35% of new drug developments targeting specific genetic and molecular profiles. This personalized approach not only improves patient outcomes but also minimizes the risk of adverse reactions, supporting long-term market growth and patient satisfaction.

  1. Introduction
    1. Research Objectives and Assumptions
    2. Research Methodology
    3. Abbreviations
  2. Market Definition & Study Scope
  3. Executive Summary
    1. Market Snapshot, By Drug Type
    2. Market Snapshot, By Technology
    3. Market Snapshot, By Service
    4. Market Snapshot, By End User
    5. Market Snapshot, By Region
  4. Global Drug Discovery Market Dynamics
    1. Drivers, Restraints and Opportunities
      1. Drivers
        1. Increasing Prevalence of Chronic Diseases
        2. Growing Investments in Research and Development (R&D)
        3. Technological Advancements in Drug Discovery Tools and Techniques
      2. Restraints
        1. Stringent Regulatory Requirements and Compliance Challenges
        2. Rising Costs and Lengthy Timeframes
        3. Emerging Drug Resistance and Safety Concerns
      3. Opportunities
        1. Growth in biologics and biosimilar pipelines
        2. Collaborations between pharma and biotech firms
        3. Adoption of 3D cell culture and organoids
    2. PEST Analysis
      1. Political Analysis
      2. Economic Analysis
      3. Social Analysis
      4. Technological Analysis
    3. Porter's Analysis
      1. Bargaining Power of Suppliers
      2. Bargaining Power of Buyers
      3. Threat of Substitutes
      4. Threat of New Entrants
      5. Competitive Rivalry
  5. Market Segmentation
    1. Global Drug Discovery Market, By Drug Type, 2021 - 2031 (USD Million)
      1. Small Molecule Drug
      2. Biologics Drug
    2. Global Drug Discovery Market, By Technology, 2021 - 2031 (USD Million)
      1. High Throughput Screening
      2. Biochips
      3. Bioinformatics
      4. Pharmacogenomics and Pharmacogenetics
      5. Combinatorial Chemistry
      6. Nanotechnology
      7. Spectroscopy
      8. Metabolomics
      9. Others
    3. Global Drug Discovery Market, By Service, 2021 - 2031 (USD Million)
      1. Drug Metabolism and Pharmacokinetics (DMPK) Services
      2. Pharmaceutical Services
      3. Chemical Services
      4. Biological Services
    4. Global Drug Discovery Market, By End User, 2021 - 2031 (USD Million)
      1. Research Institutes
      2. Pharmaceutical Companies
      3. Biotechnology Companies
      4. Others
    5. Global Drug Discovery Market, By Geography, 2021 - 2031 (USD Million)
      1. North America
        1. United States
        2. Canada
      2. Europe
        1. Germany
        2. United Kingdom
        3. France
        4. Italy
        5. Spain
        6. Nordic
        7. Benelux
        8. Rest of Europe
      3. Asia Pacific
        1. Japan
        2. China
        3. India
        4. Australia & New Zealand
        5. South Korea
        6. ASEAN (Association of South East Asian Countries)
        7. Rest of Asia Pacific
      4. Middle East & Africa
        1. GCC
        2. Israel
        3. South Africa
        4. Rest of Middle East & Africa
      5. Latin America
        1. Brazil
        2. Mexico
        3. Argentina
        4. Rest of Latin America
  6. Competitive Landscape
    1. Company Profiles
      1. Pfizer Inc
      2. GlaxoSmithKline LLC
      3. Merck & Co Inc
      4. Agilent Technologies Inc
      5. Eli Lilly and Company
      6. Hoffmann-La Roche Ltd
      7. Bayer AG
      8. Abbott Laboratories Inc
      9. AstraZeneca PLC
      10. Shimadzu Corp
  7. Analyst Views
  8. Future Outlook of the Market