Next-generation sequencing (NGS) has tremendous potential as a key technology to deliver the next level of healthcare solutions. The remarkable drop in cost of genomic profiling and analysis has given access to numerous avenues in pharmaceutical and diagnostic sector, especially in the area of precision medicine.

In order to serve the ever-growing big genomic data processing and analysis requirements, NGS services and informatics players have created capabilities in areas such as Cloud computing and Big Data analytics to offer seamless genomic solutions at an optimized cost. Most of these have been hovering around key growth areas such as drug development, precision medicine, clinical diagnostics, and multiomics.

Pharmaceuticals and biotech companies have driven an increase in the number of large-scale genome sequencing projects to support their genomics drug development programs. This is expected to change the market dynamics altogether. However, as market applications widen, companies are struggling to find acceptance from the stakeholders of pharmaceuticals and biotech companies and build a commercially viable business model. The limited development of clinical application could be one of the reasons.

With the industry maturing, vendors have started developing customized end-to-end solutions to meet the changing customer requirements. Additionally, developments in the regulatory approval policy for NGS-based therapies across geographies are expected to support growth.