Number of pages: 100 | Report Format: PDF | Published date: November 13, 2021
Historical Years – 2021 | Base Year – 2022 | Forecasted Years – 2023-2031
According to the deep-dive market assessment study by Growth Plus Reports, the global biosimulation market was valued at US$ 2.80 billion in 2022 and is expected to register a revenue CAGR of 16.7% to reach US$ 11.24 billion by 2031.
Biosimulation Market Fundamentals
Biosimulation is a computer-aided mathematical simulation of biological processes and systems, and it is thus an essential component of systems biology. Biosimulation aims to anticipate the behavior and dynamics of biological systems using models, such as an organ or a single-cell reaction to a chemical. However, the quality of model-based predictions heavily depends on the model's quality, which is defined by the data quality and the knowledge's depth.
For drug research, biosimulation is becoming increasingly crucial. As only 11% of all drug candidates are approved on average, biosimulation is expected to be a tool for predicting whether a candidate drug will fail in the development process due to adverse side effects, poor pharmacokinetics, or even toxicity. Early prediction of whether a medicine would fail in animals or people would be critical in lowering drug development costs and the number of animal tests and clinical trials necessary.
A biosimulation model quantifies biological constituents and their interactions. The interactions between elements are described by differential equations, which allows simulation approaches to anticipate the system's behavior and the amounts of biological elements over time. The model's parameters may be changed to predict new outcomes for different circumstances, such as new drug targets or clinical trial methods. Although current best practices in biosimulation modeling include adhering to some annotation standards, integrating models still needs to be improved, complicated by conflicting computational languages, differences in implicit assumptions, and widespread coding errors. Physiology-based mathematical models and biosimulation systems have been used to identify and validate targets throughout the last decade.
Biosimulation Market Dynamics
The growing R&D spending in the pharmaceutical and biotechnology sectors and the growing acceptance of biosimulation software by regulatory authorities and technologically enhanced QSP systems are projected to boost biosimulation market growth over the forecast period. The biosimulation market grew significantly during the COVID-19 pandemic, owing to the importance of this technology in the research of medication development and how it interacts with the human body. As a result, biosimulation was extremely useful during the development of the COVID-19 vaccine. For example, when COVID-19 was designated a pandemic, Certara, a biosimulation technology business, began offering its services to organizations researching vaccines. As a result, biosimulation increased during the pandemic, which supported market expansion.
Furthermore, clinical urgency to develop high-potency and advanced drugs is expected to be critical in market growth. Biosimulation is increasingly used in illness simulation modeling, such as diabetes mellitus. It works with proteomic and genomic technologies to create models for advanced therapies. Technological advancements and regular software upgrades are expected to increase academics' interest in biosimulation. This is anticipated to give the market a major boost. Microarrays and prediction models are examples of technological breakthroughs. Other advancements include semantic technologies that support limited biosimulation elements, reducing the overall time, cost, and complexity.
However, biosimulation captures and processes many elements of biological processes using a range of models, tools, and languages. Current modeling approaches need to capture the fundamental semantics of biosimulation models, making it difficult to construct, reuse, compose, and merge diverse, complicated biosimulation models. The use of silicon or biosimulation technology in drug research or development has yet to be standardized by regulating organizations. Recent technical breakthroughs have enhanced biomedical researchers' computing capability for developing and operating complicated biosimulation systems. However, as the complexity of their models and simulations grows, researchers need help sharing, managing, and editing their models. The absence of scalable standards for model representation and reuse exacerbates the challenge of sharing sophisticated biological models.
Biosimulation Market Ecosystem
The global biosimulation market is analyzed from the following perspectives by product & services, application, end user, and region.
Biosimulation Market by Products & Services
Based on the products & services, the global biosimulation market is segmented into software and services. The software segment is sub-segmented into PK/PD modeling & simulation, PBPK modeling & simulation, molecular modeling, trial simulators, toxicity prediction, and other software. The services segment is sub-segmented into in-house services and contract services.
The software segment of the global biosimulation market is expected to grow at the highest revenue CAGR during the projected period. This can be ascribed to an increased usage of biosimulation software for drug development applications, a rise in software launches, and an increase in investments in pharma & biotech companies for R&D activities focused on drug development for various diseases.
During the forecast period, the services segment is expected to grow at the fastest rate. The segment's expansion can be linked to more complicated and multi-layered drug development systems, in which biosimulation services may become essential. The aforementioned is intended to be accomplished by the development of new, more accurate combination medicines.
Biosimulation Market by Application
The global biosimulation market is segmented based on the applications into drug discovery, drug development, and other applications. The drug discovery segment is further sub-segmented into target identification & validation and lead identification & optimization. The drug development segment is further categorized into pre-clinical and clinical trials.
The drug development segment accounted for the largest revenue share of the biosimulation market in 2022. The segment growth can be attributed to the rise in biosimulation product adoption in drug development processes.
Drug discovery is expected to have the highest revenue CAGR throughout the forecast period. The increasing use of biosimulation in fields such as pharmacogenomics and pharmacogenetics contributes to the segment's growth. Certara purchased In Silico Biosciences, Inc.'s modeling and simulation technology platform for neurodegenerative disorders research in February 2020. This assisted the company's quantitative systems pharmacology (QSP) business model in neurodegenerative disease research.
Biosimulation Market by End User
Based on the end user, the global biosimulation market is segmented into pharmaceutical & biotechnology companies, contract research organizations, regulatory institutes, research institutes, and other end users.
The pharmaceutical and biotechnology companies segment accounted for the largest revenue share in 2022 and is expected to show prominent revenue growth during the forecast period. This can be ascribed to an increased usage of this software by pharmaceutical & biotechnology companies for drug discovery and drug development processes, and a rise in investments in R&D activities focused on new drug development.
Biosimulation Market by Region
The global biosimulation market is segmented based on the region into North America, Europe, Asia Pacific, Latin America, and the Middle East & Africa.
In North America, the biosimulation market has the largest share. The United States has the greatest stake in the North American region because of its well-established healthcare industry, significant adoption of innovative technologies in pharmaceutical research and development, and the presence of important firms in the nation. According to clinicaltrials.gov data, as of August 8, 2022, around 134,116 clinical studies are underway in the United States, accounting for 32% of all clinical trials worldwide. The COVID-19 pandemic has resulted in a high demand for clinical trials throughout the United States, which is eventually contributing to the expansion of the country's biosimulation market. Furthermore, Simulations Plus, Inc., a leading modeling and simulation software provider and services for pharmaceutical safety and efficacy, received a license renewal from the US Food and Drug Administration (FDA) for the DILIsym software platform in May 2022. Such new biosimulation product introductions are projected to drive market growth.
Due to increased initiatives from the governmental and private sectors and constant improvements in healthcare infrastructure, Asia Pacific is expected to develop at an exponential rate during the projected period. Furthermore, emerging economies' burgeoning R&D activities are poised to present the region with significant growth opportunities. Certara will build a new office in Shanghai, China, in November 2020. This allowed the organization to deepen its relationships with customers in China's fast-growing biopharmaceutical industry.
Biosimulation Competitive Landscape
Key competitors used competitive sustainability methods such as product development and regional presence growth to achieve a larger market share. Market leaders are also more likely to address unmet requirements and create economic value through regular product improvements. For example, in January 2022, Simulation Plus collaborated with a pharmaceutical business to improve the GastroPlus Advanced Compartmental Absorption and Transit (ACAT) model to support current gastrointestinal illness research initiatives. The prominent players operating in the global biosimulation market include: -
Biosimulation Strategic Development
Biosimulation is a computer-aided mathematical simulation of biological processes and systems, and it is thus an essential component of systems biology. Because biological systems are complex, simplified models are frequently used, which should only be as complex as necessary.
North America region is dominating the global biosimulation market.
The key competitors used competitive sustainability methods such as product development and regional presence growth. Market leaders are also more likely to address unmet requirements and create economic value through regular product improvements.
The software segment led the global biosimulation market.
The estimated market size of the global biosimulation market in 2031 will be 11.24 billion.
*Insights on financial performance are subject to the availability of information in the public domain