Charting Short-Read Sequencing Industry Growth: CAGR Projections for 2025-2033

Key Insights

The short-read sequencing market, valued at $7.9 billion in 2025, is experiencing robust growth, projected to expand at a Compound Annual Growth Rate (CAGR) of 16.4% from 2025 to 2033. This surge is driven by several key factors. Advancements in sequencing technologies are resulting in faster, cheaper, and more accurate data generation, making short-read sequencing accessible to a wider range of applications. The increasing prevalence of personalized medicine, fueled by the need for precise genomic information for tailored treatment plans, significantly contributes to market growth. Furthermore, expanding research activities in fields like oncology, infectious disease diagnostics, and agricultural genomics are fueling the demand for high-throughput sequencing solutions. The growing adoption of next-generation sequencing (NGS) in clinical diagnostics, enabling earlier and more accurate disease detection and monitoring, represents a substantial market driver. Major players like Illumina, Thermo Fisher Scientific, and BGI are constantly innovating, introducing new platforms and services that further enhance the efficiency and affordability of short-read sequencing.

Despite the strong growth trajectory, the market faces certain challenges. Competition among major players is intense, placing pressure on pricing. The complexity of data analysis and interpretation requires specialized expertise, potentially hindering wider adoption. Furthermore, ethical considerations surrounding data privacy and security are crucial aspects that need careful management within the industry. However, these challenges are likely to be outweighed by the rapidly expanding applications and technological advancements. Continued investment in research and development, coupled with the expanding scope of genomic research in both the public and private sectors, positions the short-read sequencing market for sustained and significant growth in the coming years. The market is expected to surpass $25 billion by 2033, based on the provided CAGR and market dynamics.

Short-Read Sequencing Industry Market Report: 2019-2033

This comprehensive report provides a detailed analysis of the short-read sequencing industry, encompassing market size, growth projections, competitive dynamics, technological advancements, and future outlook. Covering the period 2019-2033, with a base year of 2025 and a forecast period of 2025-2033, this report is essential for industry stakeholders seeking to understand this rapidly evolving market. The global market is projected to reach xx Million by 2033, exhibiting a robust CAGR of xx% during the forecast period.

Short-Read Sequencing Industry Market Structure & Competitive Landscape

The short-read sequencing market is characterized by a moderately concentrated landscape, dominated by a few key players but also featuring a growing number of smaller, specialized companies. The Herfindahl-Hirschman Index (HHI) for the market in 2024 was estimated at xx, indicating a moderately concentrated market. Innovation is a key driver, with continuous advancements in sequencing technology leading to improved speed, accuracy, and affordability. Regulatory landscapes, varying across regions, significantly impact market access and growth. Product substitutes, such as other genomic technologies, exert competitive pressure. The end-user segment is diverse, encompassing research institutions, pharmaceutical companies, clinical diagnostic laboratories, and agricultural businesses. Mergers and acquisitions (M&A) activity has been considerable, with an estimated xx Million in deal value in 2024, driven by companies seeking to expand their market share and product portfolios. Significant M&A activity is anticipated to continue, consolidating the industry further.

• Market Concentration: Moderately concentrated, with an HHI of xx in 2024.
• Innovation Drivers: Continuous advancements in sequencing technology (e.g., higher throughput, lower costs).
• Regulatory Impacts: Varying regional regulations influence market access and adoption.
• Product Substitutes: Competing genomic technologies (e.g., long-read sequencing).
• End-User Segmentation: Research institutions, pharmaceutical companies, clinical labs, agricultural businesses.
• M&A Trends: Significant activity, with an estimated xx Million in deal value in 2024.

Short-Read Sequencing Industry Market Trends & Opportunities

The short-read sequencing market demonstrates significant growth, driven by technological advancements, falling costs, and expanding applications across various sectors. The market size reached xx Million in 2024 and is projected to surpass xx Million by 2033. This substantial growth is fueled by a Compound Annual Growth Rate (CAGR) of xx%. Technological shifts, including the development of faster, more accurate, and higher-throughput sequencing platforms, are central to this expansion. Increasing demand from personalized medicine, precision oncology, and agricultural genomics further bolsters market expansion. Consumer preference for faster turnaround times and cost-effective solutions also influences market dynamics. Intense competition among major players drives innovation and price reductions. Market penetration rates vary across regions, with developed nations exhibiting higher adoption than emerging economies. Opportunities lie in developing cost-effective solutions for underserved markets and integrating short-read sequencing into clinical diagnostics.

Dominant Markets & Segments in Short-Read Sequencing Industry

The North American region currently dominates the short-read sequencing market, accounting for the largest market share, followed by Europe and Asia-Pacific. The United States holds a leading position due to strong research funding, advanced infrastructure, and a large number of established players.

• Key Growth Drivers in North America:

  • Robust funding for genomics research.
  • Well-established healthcare infrastructure.
  • High adoption rates in clinical diagnostics and pharmaceutical industries.
  • Supportive regulatory environment.

• Key Growth Drivers in Europe:

  • Growing investment in life sciences research.
  • Increasing adoption of personalized medicine.
  • Stringent regulations drive high-quality standards.

• Key Growth Drivers in Asia-Pacific:

  • Rapidly expanding healthcare sector.
  • Growing government support for genomics initiatives.
  • Increasing prevalence of chronic diseases driving demand for diagnostics.

The clinical diagnostics segment is a significant driver of market growth, followed by research applications. This is due to the increasing importance of accurate and rapid diagnostics for various diseases.

Short-Read Sequencing Industry Product Analysis

Short-read sequencing technology continues to evolve, with innovations focused on increasing throughput, reducing costs, and improving accuracy. Platforms such as Illumina's NovaSeq X Plus and PacBio's Onso represent significant advancements, offering improved speed, accuracy, and user-friendliness. The integration of these technologies into various applications, such as whole-genome sequencing, exome sequencing, and targeted gene sequencing, expands their market appeal. The competitive advantages of these products lie in their ability to deliver high-quality data at an affordable cost, which caters to the growing demand for genomic information.

Key Drivers, Barriers & Challenges in Short-Read Sequencing Industry

Key Drivers:

Technological advancements (e.g., increased throughput, reduced costs), growing demand for personalized medicine, increased funding for genomic research, and supportive government policies (e.g., grants and tax incentives).

Key Challenges and Restraints:

High initial investment costs for equipment can be a barrier to entry for smaller organizations. Complex regulatory frameworks and data privacy concerns pose significant challenges, along with the potential for supply chain disruptions impacting the availability of reagents and consumables. Intense competition among established players adds further pressure on pricing and market share. It is estimated that xx Million in annual revenue is lost due to supply chain disruptions alone.

Growth Drivers in the Short-Read Sequencing Industry Market

Technological advancements, increased funding for genomic research, expanding applications across various sectors, and rising demand for personalized medicine and diagnostics are major drivers. Government initiatives and supportive regulatory frameworks in several countries further propel market growth.

Challenges Impacting Short-Read Sequencing Industry Growth

High costs of sequencing, complex regulatory environments, stringent data privacy regulations, and potential supply chain disruptions are major obstacles. The intense competition among established players also creates price pressures and limits profit margins.

Key Players Shaping the Short-Read Sequencing Industry Market

• Illumina Inc
• Thermo Fisher Scientific Inc
• BGI (Beijing Genomics Institute)
• Agilent Technologies
• QIAGEN
• F Hoffmann-La Roche Ltd
• Pacific Biosciences (PacBio)
• 10x Genomics
• Oxford Nanopore Technologies PLC
• Macrogen Inc
• PerkinElmer Inc
• List Not Exhaustive

Significant Short-Read Sequencing Industry Milestones

• December 2023: Firalis Molecular Precision acquires Illumina NovaSeq X Plus system, significantly enhancing its genomics capabilities.
• August 2023: PacBio commercializes its Onso short-read sequencing system in the US, introducing novel SBB chemistry.

Future Outlook for Short-Read Sequencing Industry Market

The short-read sequencing market is poised for continued growth, driven by ongoing technological advancements, expanding applications, and increased investment in genomics research. Strategic partnerships and collaborations, along with the integration of AI and machine learning, are expected to further enhance market potential. The focus on cost reduction and improving accessibility will be key for broader market penetration in both developed and emerging economies.

Short-Read Sequencing Industry Segmentation

• 1. Product and Services
  • 1.1. Instruments
  • 1.2. Consumables
• 2. Platform
  • 2.1. Sequencing by Synthesis (SBS)
  • 2.2. Sequencing by Binding (SBB)
  • 2.3. Sequencing by Ligation (SBL)
• 3. Application
  • 3.1. Whole Genome Sequencing (WGS)
  • 3.2. Whole Exome Sequencing (WES)
  • 3.3. Other Applications
• 4. End User
  • 4.1. Academic and Research Institutes
  • 4.2. Pharmaceutical and Biotechnology Companies
  • 4.3. Clinical Research Laboratories
  • 4.4. Other End Users

Short-Read Sequencing Industry Segmentation By Geography

• 1. North America
  • 1.1. United States
  • 1.2. Canada
  • 1.3. Mexico
• 2. Europe
  • 2.1. Germany
  • 2.2. United Kingdom
  • 2.3. France
  • 2.4. Italy
  • 2.5. Spain
  • 2.6. Rest of Europe
• 3. Asia Pacific
  • 3.1. China
  • 3.2. Japan
  • 3.3. India
  • 3.4. Australia
  • 3.5. South Korea
  • 3.6. Rest of Asia Pacific
• 4. Middle East and Africa
  • 4.1. GCC
  • 4.2. South Africa
  • 4.3. Rest of Middle East and Africa
• 5. South America
  • 5.1. Brazil
  • 5.2. Argentina
  • 5.3. Rest of South America