Drug Discovery Services Market Size, Share, Growth Analysis, By Process(Target Selection, Target Validation, Hit-To-Lead Identification, Lead Optimization), By Type(Chemistry Services, Biology Services), By Drug Type(Small-Molecule Drugs, Biologics), By Therapeutic Area(Oncology, Infectious Diseases, Cardiovascular Diseases, Neurological Diseases), By End User(Pharmaceutical & Biotechnology Companies [Tier 1 Companies, Tier 2 Companies, Tier 3 Companies], Academic Institutes), By Region - Industry Forecast 2024-2031

Drug Discovery Services Market size was valued at USD 3.50 billion in 2022 and is poised to grow from USD 3.76 billion in 2023 to USD 6.60 billion by 2031, growing at a CAGR of 7.30% during the forecast period (2024-2031).

There remains an ongoing need for new drugs to meet the spectrum of unmet medical needs. Many diseases, including neurodegenerative, cancer, rare genetics and cardiovascular diseases are still without treatment. New diseases are appearing and have devoured the need for new treatments. According to the estimations, the drug discovery services market is going to increase multiple times, owing to rising novel drugs development and discovery. It requires a huge amount of time and resources, to conduct drug discovery. Drug discovery is intricate and the requirement for unique skills within various scientific domains continually increases. The process of new drug discovery typically involves collaboration between experts in disciplines such as toxicology, medicinal chemistry, pharmacology and formulation development. By outsourcing these services, research institutions and pharmaceutical companies benefit from significant cost and time savings. Outsourced drug delivery services market gives you access to specialized infrastructure and expertise without the need for any huge investments. 

Top pharma companies are investing massively in R&D by enhancing their R&D efficiencies to benefit from long-term gains. New revenue streams in the market are driven by initiatives for rare diseases and orphan drug research. Strict regulations on new drug development and animal testing can hinder some of the market expansion. In addition, the drug discovery service companies still required to cope with the issue about shortage of trained professionals. 

US Drug Discovery Services Market is poised to grow at a sustainable CAGR for the next forecast year.