Artificial Intelligence (AI) In Drug Discovery Market Expected to Achieve 26.5% CAGR by 2029: Growth Forecast Insights

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Artificial Intelligence (AI) In Drug Discovery Market Size Valuation Forecast: What Will the Market Be Worth by 2025?
In recent times, the market size for artificial intelligence (AI) in drug discovery has seen exponential growth. It is predicted to increase from $1.78 billion in 2024, reaching $2.34 billion in 2025 with a compound annual growth rate (CAGR) of 31.1%. Various factors have contributed to this growth during the historic period. This includes the expansion in emerging markets, the increased occurrence of chronic illnesses, the wider adoption of AI to lower the cost of drug discovery, and tighter quality regulations imposed on drug manufacturers.

Artificial Intelligence (AI) In Drug Discovery Market Size Forecast: What's the Projected Valuation by 2029?
The market size of artificial intelligence (AI) in drug discovery is predicted to undergo significant expansion in the forthcoming years, growing to $5.98 billion by 2029 at a compound annual growth rate (CAGR) of 26.5%. This projected growth during the forecast period can be credited to government backing, heightened expenditure on healthcare, and a surge in the use of cloud-based applications and services. Key trends for the forecasted period include assimilation of multi-omics data, application of AI in target selection, deployment of AI in drug screening, the establishment of AI-focused innovation labs, and a rise in investments towards partnerships and collaborations.

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What Are the Drivers Transforming the Artificial Intelligence (AI) In Drug Discovery Market?
The burgeoning need for personalized healthcare is anticipated to drive the expansion of AI in the pharmaceutical discovery sector. Personalized medicine is a form of therapeutic approach that utilizes an individual's genetic or protein information to prevent, detect, or treat diseases. AI is instrumental in aiding the creation of custom medications at every pertinent stage of clinical research and rolling out new, bespoke health products by determining suitable intervention points and evaluating these targets for efficacy. For instance, in February 2024, as reported by the Personalized Medicine Coalition, a professional membership group based in the US, the US FDA sanctioned 12 personalized medicines in 2022, constituting approximately 34% of all newly approved therapeutic molecular entities. Therefore, the escalating demand for personalized medicine is spurring the growth of AI in the pharmaceutical discovery industry.

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What Long-Term Trends Will Define the Future of the Artificial Intelligence (AI) In Drug Discovery Market?
Prominent firms in the AI drug delivery market are choosing strategic alliances for studying and identifying drugs with the help of AI, which is gaining substantial traction in the drug discovery market that uses artificial intelligence. For instance, US-based AI firm, Atomwise teamed up with Sanofi in August 2022. The collaboration's goal was to utilize Atomwise's AI-driven AtomNet technology to identify and examine up to five pharmacological targets. To discover, develop, and further lead compounds for up to five exclusive targets for Sanofi, Atomwise received an upfront payment of $20 million from Sanofi, a French pharmaceutical and healthcare enterprise.

Which Segments in the Artificial Intelligence (AI) In Drug Discovery Market Offer the Most Profit Potential?
The artificial intelligence (AI) in drug discovery market covered in this report is segmented -

1) By Technology: Context-Aware Processing, Natural Language Processing, Querying Method, Deep Learning
2) By Drug Type: Small Molecules, Large Molecules
3) By Therapeutic Type: Metabolic Disease, Cardiovascular Disease, Oncology, Neurodegenerative Diseases, Anti-Infective Diseases, Respiratory Diseases, Other Therapeutics
4) By End User: Pharmaceutical Companies, Biopharmaceutical Companies, Academic And Research Institutes, Other End-Users

Subsegments:
1) By Context-Aware Processing: Contextual Data Integration, Predictive Modeling, Adaptive Learning Systems
2) By Natural Language Processing (NLP): Text Mining And Analysis, Sentiment Analysis, Drug Interaction Extraction, Clinical Trial Data Analysis
3) By Querying Method: Semantic Search, Knowledge Graphs, Structured Query Language (SQL) Based Queries
4) By Deep Learning: Neural Networks, Convolutional Neural Networks (CNNs), Recurrent Neural Networks (RNNs), Reinforcement Learning Applications

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Which Firms Dominate the Artificial Intelligence (AI) In Drug Discovery Market by Market Share and Revenue in 2025?
Major companies operating in the artificial intelligence (AI) in drug discovery market include IBM Corporation, Microsoft Corporation, NVIDIA Corporation, Exscientia, Alphabet, Insilico Medicine, Owkin Inc, Xtalpi Inc, Cloud Pharmaceuticals, Shanghai PharmaceuticS, Standigm, Indegene, Intuition Systems, Innoplexus, Takeda Pharmaceutical Company Ltd., RxPrism, Otsuka Pharmaceutical Co. Ltd., China National Pharmaceutical Group Co., Ltd., Jiangsu Hengrui Medicine Co., Ltd, Cipla Limited, Aurobindo Pharma Limited, Dr. Reddy's Laboratories Ltd., Sun Pharma, Tricog Health Services Pvt. Ltd., Alliance Pharm Pte Ltd., CytoReason, IIPharma, StoneWise, Adagene, GT Apeiron Therapeutics, Xbiome, Accutar Biotech, DeepMind, Renalytix AI, Iktos, Ipsen Pharma, Galderma S.A., BenevolentAI, Deepflare, Novartis, Gero, Ardigen, Botkin, Care Mentor AI, Diagnocat, GNS Healthcare, Merck & Co., Apotex, Pfizer, Gilead Sciences, Roche, Bayer, AbbVie Inc., GlaxoSmithKline, AstraZeneca, Amgen, Sanofi Pasteur, Abbott Laboratories, Teva Canada, Accord Healthcare Inc, Acerus Pharmaceuticals Corporation, AA Pharma Inc, Sanfer, Siegfried Rhein, Atomwise, Inc., Bioage, NuMedii, Envisagenics, Aria Pharmaceuticals, Verge Genomics, Berg LLC, Deep Genomics, Cyclica, IQVIA, Quris, GE Healthcare, Avanade, Group42 Holding Ltd, Ilara Health, Adcock Ingram, Johnson & Johnson, Eurolab, Ranbaxy (SA) (Pty) Ltd, Aspen, Rology, hearX Group, DilenyTech

Which Regions Offer the Highest Growth Potential in the Artificial Intelligence (AI) In Drug Discovery Market?
North America was the largest region in the artificial intelligence (AI) in drug discovery market in 2024. Western Europe was the second largest region in the global artificial intelligence (AI) in drug discovery market share. The regions covered in the artificial intelligence (AI) in drug discovery market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa

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