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Rising Drug Production and Its Influence on Pharmaceutical Manufacturing Software Market Growth: Pivotal Factor Influencing Pharmaceutical Manufacturing Software Market Growth in 2025
Pharmaceutical Manufacturing Software
Pharmaceutical Manufacturing Software Market Size Growth Forecast: What to Expect by 2025?
In recent times, an expedited growth has been observed in the market size of pharmaceutical manufacturing software. An anticipated growth from $3.3 billion in 2024 to $3.82 billion in 2025 is forecasted, symbolizing a compound annual growth rate (CAGR) of 16.0%. Several factors have fueled this growth during the historic era such as the need for regulatory compliance, an increase in the complexity of drug manufacturing, the rising demand for enhanced quality control, an upsurge in biopharmaceutical production, and an overall demand for higher efficiency and lower costs.
How Will the Pharmaceutical Manufacturing Software Market Size Evolve and Grow by 2029?
The size of the market for pharmaceutical manufacturing software is anticipated to expand rapidly in the upcoming years, reaching $6.83 billion in 2029 with a compound annual growth rate (CAGR) of 15.6%. The projected expansion during this period can be credited to the growth in personalized medicine, increased R&D investments, improved focus on optimizing the supply chain, the expansion of the biopharmaceutical sector, and increasing worldwide health hurdles. Major emerging trends during this forecast period encompass the incorporation of AI, cloud-based solutions, real-time supervision, the adoption of IoT technologies, and improved quality management systems.
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What Drivers Are Propelling the Growth of Pharmaceutical Manufacturing Software Market Forward?
The pharmaceutical manufacturing software market is projected to expand driven by the rise in drug production. This includes the systematic procedures undertaken in the making of pharmaceutical products like the formulation, testing, and packaging, in order to ensure their effectiveness, safety, and quality. Growth in drug production is necessary to cater to the rising global demand for medicines, tackle health challenges at the public level and secure the prompt provision of treatments for a multitude of medical conditions. Pharmaceutical manufacturing software promotes drug production by making processes more efficient, enhancing the precision of data, maximizing resource utilization, and promoting regulatory adherence, which in turn significantly bolsters efficiency and scalability. For instance, the European Federation of Pharmaceutical Industries and Associations (EFPIA), based in Belgium and representing the pharmaceutical industry, reported that the European pharmaceutical production experienced notable growth, escalating from $352.48 billion in 2021 to $369.95 billion in 2022 in June 2023. Hence, the pharmaceutical manufacturing software market will be driven by the increase in drug production.
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Which Emerging Trends Are Transforming the Pharmaceutical Manufacturing Software Market in 2025?
Key pharmaceutical manufacturing software market players are prioritizing process optimization through the integration of advanced manufacturing technologies, such as AI-enhanced tools. These tools boost predictive analytics, refine manufacturing procedures, and amplify the overall operational efficiency. Specifically, an AI-based tool in pharmaceutical manufacturing software utilizes artificial intelligence to fine-tune processes, boost quality control, and improve decision-making in drug production. For instance, in February 2024, Mareana, an US-based firm specializing in AI-driven analytics and supply chain solutions for the pharmaceutical and life sciences sector, introduced Connect CMC. This AI-based tool is crafted to revolutionize data management for small pharmaceutical and biotech firms. It enhances efficiency, precision, and cost-effectiveness by automating data extraction from paper batch records and guarantees GxP compliance, triggering digital transformation in drug development.
What Are the Key Segments in the Pharmaceutical Manufacturing Software Market?
The pharmaceutical manufacturing softwaremarket covered in this report is segmented -
1) By Software Type: Manufacturing Execution Systems (MES), Enterprise Resource Planning (ERP) Systems, Laboratory Information Management Systems (LIMS), Quality Management Systems (QMS), Process Analytical Technology (PAT) Systems, Regulatory Compliance Software
2) By Deployment Mode: On-Premises, Cloud-Based
3) By Application: Large Enterprise, Small And Midsize Enterprise
4) By End-User: Biopharmaceutical Companies, Medical Device Companies, Contract Research Organizations, Academic Research Institutions, Other End Users
Subsegments:
1) Manufacturing Execution Systems (MES): Production Tracking Software, Resource Management Tools, Real-Time Monitoring Solutions
2) Enterprise Resource Planning (ERP) Systems: Financial Management Software, Supply Chain Management Software, Inventory Management Solutions
3) Laboratory Information Management Systems (LIMS): Sample Management Software, Data Analysis Tools, Workflow Automation Systems
4) Quality Management Systems (QMS): Document Control Software, CAPA Management Tools, Audit Management Solutions
5) Process Analytical Technology (PAT) Systems: Inline Analysis Tools, Process Control Software, Data Acquisition Systems
6) Regulatory Compliance Software: Validation Management Solutions, Compliance Tracking Software, Risk Management Tools
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Who Are the Key Players Shaping the Pharmaceutical Manufacturing Software Market's Competitive Landscape?
Major companies operating in the pharmaceutical manufacturing software market are McKesson Corporation, Oracle Corporation, SAP SE, ABB Ltd., Rockwell Automation Inc., Dassault Systèmes SE, NetSuite Inc., The Sage Group plc, Epicor Software Corporation, QAD Inc., Intellect Design Arena Ltd., Columbus Manufacturing Inc., MasterControl Inc., Sapphire Systems Ltd., DESKERA PTE LTD, Vormittag Associates Inc., Logic ERP Solutions Pvt Ltd., SYSPRO (Pty) Ltd., Datacor Inc., BatchMaster Software Inc., Fishbowl Inc., Aquilon Software Inc., CompuTec S.A., ERPAG Inc., MRPeasy Ltd.
What Geographic Markets Are Powering Growth in the Pharmaceutical Manufacturing Software Market?
North America was the largest region in the pharmaceutical manufacturing software market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the pharmaceutical manufacturing software market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
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