The DNA sequencing equipment market has been forecast to increase at a compound annual growth rate (CAGR) of 20.86% through 2016, driven by the significant advancements witnessed in R&D divisions, and the increasing number of DNA sequencing projects.
The market continues to fragment as well as experience rapid expansion into new industry segments, more types and sizes of labs, and broader regional adoption. As new technologies are introduced, some will out-compete existing instruments and some will complement them. There is the potential for disruptive technologies, but the market has become slightly less vulnerable as it has shaken out.
The continuously decreasing cost of sequencing, along with the rapid scientific advances it enables, is expected to maintain the steady growth in the near term.
DNA sequencing is the process of determining the precise order of nucleotides within a DNA molecule. It includes any method or technology that is used to determine the order of the four bases -- adenine, guanine, cytosine, and thymine -- in a strand of DNA. The advent of rapid DNA sequencing methods has greatly accelerated biological and medical research and discovery.
The DNA sequencing equipment market has recently witnessed a significant increase in the number of projects funded by numerous leading vendors.
For instance, Illumina and Partners HealthCare System Inc. announced a strategic alliance in September 2012, in order to offer infrastructure and networking tools for the interpretation and reporting process on genetic sequencing data. In addition to this, Hoffmann-La Roche Ltd. and SoftGenetics LLC signed a co-promotion agreement in May 2012 for a new sequencing software tool.
Roche and PerkinElmer Inc. announced a new supply agreement in May 2011 for the distribution of the NimbleGen CGX microarray workflow. Pacific Biosciences announced collaboration in July 2012, with Imec, a Belgium-based nanoelectronics research centre focusing on the improvement of innovative microchips for multiplexed single-molecule genetic analysis.
One of the main challenges the market is currently facing is the low adoption of genomic technology. Adoption of genomic technology remains low compared to other sequence analysis technologies, especially among large biotechnology companies.
Researchers still have doubts over the advantages of genomic technology, mainly because of a few instances of failure during genomic research programs.
Key players currently dominating the DNA sequencing market include Agilent Technologies Inc., Illumina Inc., Life Technologies Corp., Pacific Biosciences of California Inc., and Roche Holding AG.
For more information on the DNA sequencing market, see the latest research: DNA Sequencing Market
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