USA NGS Market Outlook to 2030

USA NGS Market Overview

• The USA NGS (NGS) market is valued at USD 3 billion, based on a five-year historical analysis. The significant growth of this market is driven by technological advancements in sequencing platforms, the reduced cost of genome sequencing, and the increasing adoption of NGS in clinical diagnostics, particularly in oncology and genetic disorders. The integration of NGS with artificial intelligence for data analysis has further fueled its adoption across various sectors, including personalized medicine and drug discovery.
• In the USA, dominant cities driving the NGS market include Boston and San Francisco, due to their well-established biotechnology and pharmaceutical industries. These cities house some of the largest research institutes and NGS service providers, contributing to their market dominance. Additionally, the presence of top-tier universities and government-backed research initiatives in these regions bolsters the NGS adoption rates, positioning them as key hubs for genomic research and precision medicine.
• Automation is revolutionizing NGS workflows, enabling laboratories to sequence more genomes faster and with less manual intervention. By 2023, more than 50% of NGS facilities in the U.S. have adopted automated workflows, leading to a significant reduction in turnaround times for genetic testing. This trend is expected to drive further adoption of NGS in both clinical and research settings.

USA NGS Market Segmentation

By Technology: The USA NGS market is segmented by technology into Sequencing by Synthesis (SBS), Ion Semiconductor Sequencing, Single-Molecule Real-Time (SMRT) Sequencing, and Nanopore Sequencing. Sequencing by Synthesis (SBS) holds the dominant share due to its widespread use in high-throughput sequencing, especially in clinical and research applications. The technology's accuracy, scalability, and cost-effectiveness have made it the preferred choice for large-scale genome sequencing projects and clinical diagnostics.

By Application: By application, the NGS market is segmented into Clinical Diagnostics, Oncology, Drug Discovery, and Agricultural and Animal Research. Oncology applications dominate the market due to the increasing use of NGS in cancer diagnostics and the development of targeted therapies. NGS enables the identification of genetic mutations and biomarkers, allowing for personalized cancer treatment and early detection, which are key growth drivers in this segment.

USA NGS Market Competitive Landscape

The USA NGS market is dominated by key players who have established strong research and development capabilities, extensive product portfolios, and strategic partnerships within the industry. These companies are investing in expanding their NGS platforms and services to meet the growing demand for high-throughput sequencing in clinical diagnostics and research.

USA NGS Market Analysis

Growth Drivers

• Increasing Adoption of NGS in Clinical Diagnostics: The growing demand for NGS (NGS) in clinical diagnostics is driven by its ability to detect genetic mutations with precision. NGS is playing a critical role in diagnosing rare diseases, with over 100,000 genetic conditions being screened using this technology. This adoption is encouraged by the US government's increased investment in precision medicine programs, which aim to treat conditions with a genetic basis, supporting the continued expansion of NGS in diagnostics.
• Growing Use in Oncology Research: The use of NGS in oncology research has risen significantly as researchers focus on cancer genomics. There are over 7,000 known rare diseases, affecting approximately 2-6% of the global population, which translates to more than 150 million people worldwide. Government initiatives such as the Cancer Moonshot Program have dedicated over $1.8 billion in funding to cancer genomics, enabling researchers to explore personalized treatment plans. The development of NGS-based companion diagnostics is further accelerating the use of this technology in oncology.
• Reduced Cost of Genome Sequencing: The cost of whole-genome sequencing has drastically dropped from over $1 million per genome in 2001 to approximately $600 in 2023, making NGS more accessible. This significant reduction is driven by advancements in automation and computing power, allowing more labs to utilize NGS for routine diagnostics and research. The National Institutes of Health (NIH) has also continued to invest in lowering sequencing costs, fostering increased adoption across healthcare sectors.

Challenges

• Data Storage and Interpretation Challenges: Sequence Read Archive (SRA) had grown significantly, from about 3.6 petabytes in 2015 to an estimated 36 petabytes by the end of 2020. Managing this vast amount of data requires significant investment in data storage infrastructure and specialized expertise to interpret complex genomic information. Regulatory bodies such as the FDA have also highlighted challenges in ensuring the accuracy and consistency of data interpretation across various platforms.
• Regulatory and Ethical Issues in Genomic Sequencing: Genomic sequencing, particularly in clinical settings, raises significant regulatory and ethical concerns. xT CDx- a 648-gene NGS panel approved in 2021 as a companion diagnostic to identify microsatellite instability status in colorectal cancer patients. The U.S. Department of Health and Human Services (HHS) is working to align NGS regulations with HIPAA guidelines to ensure the privacy of genomic data while allowing for clinical advancements.

USA NGS Future Market Outlook

Over the next five years, the USA NGS market is expected to show significant growth driven by the increased adoption of precision medicine, advancements in genomic technologies, and a growing number of research initiatives focused on personalized healthcare. Additionally, the decreasing cost of sequencing and the expansion of NGS applications into non-healthcare sectors, such as agriculture and environmental science, will further propel market expansion. Regulatory support for NGS-based diagnostics will also play a critical role in the sustained growth of the market.

Market Opportunities

• Rising Demand for Liquid Biopsy Solutions: The demand for liquid biopsy, a minimally invasive alternative to traditional tissue biopsy, is rapidly increasing, driven by its ability to detect genetic mutations in circulating tumor DNA (ctDNA). By 2024, it is expected that over 300,000 patients in the U.S. will undergo liquid biopsies, particularly in cancer treatment. Major medical institutions are increasingly adopting NGS-based liquid biopsy solutions to monitor cancer progression and tailor personalized treatment.
• Increasing Investment in Precision Medicine: The U.S. government has allocated over $1.5 billion to precision medicine initiatives, with NGS at the core of these programs. This investment is expected to support the development of personalized treatment plans, especially for cancer and rare genetic diseases. By 2024, over 150 academic and research institutions in the U.S. will utilize NGS in precision medicine studies.