Saudi Arabia AI in Drug Discovery Market Size, Share, Growth Drivers, Trends, Opportunities & Forecast 2025–2030

Saudi Arabia AI in Drug Discovery Market, valued at USD 1.2 billion, is growing due to AI integration in healthcare, government support, and demand for efficient drug processes in cities like Riyadh and Jeddah.

Region:Middle East

Author(s):Rebecca

Product Code:KRAB7780

Pages:82

Published On:October 2025

About the Report

Base Year 2024

Saudi Arabia AI in Drug Discovery Market Overview

  • The Saudi Arabia AI in Drug Discovery Market is valued at USD 1.2 billion, based on a five-year historical analysis. This growth is primarily driven by advancements in artificial intelligence technologies, increasing investments in healthcare innovation, and a rising demand for efficient drug discovery processes. The integration of AI in drug development has significantly reduced time and costs associated with traditional methods, making it a pivotal area of focus for pharmaceutical companies.
  • Key cities such as Riyadh, Jeddah, and Dammam dominate the market due to their robust healthcare infrastructure, presence of leading pharmaceutical companies, and government initiatives aimed at fostering innovation in healthcare. These cities serve as hubs for research and development, attracting both local and international investments in AI technologies for drug discovery.
  • In 2023, the Saudi Arabian government implemented the National Strategy for Data and Artificial Intelligence (NSDAI), which aims to enhance the use of AI in various sectors, including healthcare. This strategy includes initiatives to promote research and development in AI technologies, providing funding and support for projects that integrate AI into drug discovery processes, thereby positioning Saudi Arabia as a leader in the region.
Saudi Arabia AI in Drug Discovery Market Size

Saudi Arabia AI in Drug Discovery Market Segmentation

By Type:The market is segmented into various types, including Predictive Analytics, Machine Learning Models, Natural Language Processing, Computer Vision, and Others. Among these, Predictive Analytics is gaining traction due to its ability to analyze vast datasets and predict outcomes, which is crucial in drug discovery. Machine Learning Models are also significant, as they enhance the accuracy of drug development processes. The demand for Natural Language Processing is increasing as it aids in processing unstructured data from research papers and clinical trials.

Saudi Arabia AI in Drug Discovery Market segmentation by Type.

By Application:The applications of AI in drug discovery include Drug Discovery, Clinical Trials, Patient Stratification, Drug Repurposing, and Others. Drug Discovery is the leading application, as it directly impacts the development of new medications. Clinical Trials are also significant, as AI helps in optimizing trial designs and patient recruitment. Patient Stratification is gaining importance for personalized medicine, while Drug Repurposing is increasingly utilized to find new uses for existing drugs.

Saudi Arabia AI in Drug Discovery Market segmentation by Application.

Saudi Arabia AI in Drug Discovery Market Competitive Landscape

The Saudi Arabia AI in Drug Discovery Market is characterized by a dynamic mix of regional and international players. Leading participants such as Novartis AG, Roche Holding AG, Pfizer Inc., AstraZeneca PLC, Merck & Co., Inc., GSK (GlaxoSmithKline) PLC, Sanofi S.A., Johnson & Johnson, Amgen Inc., AbbVie Inc., Eli Lilly and Company, Bayer AG, Biogen Inc., Takeda Pharmaceutical Company Limited, Siemens Healthineers contribute to innovation, geographic expansion, and service delivery in this space.

Novartis AG

1996

Basel, Switzerland

Roche Holding AG

1896

Basel, Switzerland

Pfizer Inc.

1849

New York City, USA

AstraZeneca PLC

1999

Cambridge, UK

Merck & Co., Inc.

1891

Kenilworth, USA

Company

Establishment Year

Headquarters

Group Size (Large, Medium, or Small as per industry convention)

Revenue Growth Rate

Market Penetration Rate

Customer Retention Rate

Pricing Strategy

R&D Investment Ratio

Saudi Arabia AI in Drug Discovery Market Industry Analysis

Growth Drivers

  • Increasing Investment in Healthcare Technology:Saudi Arabia's healthcare expenditure is projected to reach approximately SAR 200 billion (USD 53.3 billion) in future, driven by a commitment to enhance healthcare services. This investment is fostering the integration of AI technologies in drug discovery, enabling faster and more efficient research processes. The government’s Vision 2030 initiative emphasizes technological advancements, further encouraging private sector investments in AI-driven healthcare solutions, which are expected to significantly improve patient outcomes and operational efficiencies.
  • Rising Demand for Personalized Medicine:The global personalized medicine market is anticipated to grow to USD 2.5 trillion in future, with Saudi Arabia increasingly aligning its healthcare strategies to meet this demand. The integration of AI in drug discovery allows for the development of tailored therapies based on genetic and phenotypic data. This shift towards personalized medicine is supported by the Saudi government’s initiatives to enhance genomic research, which is expected to lead to more effective treatments and improved patient care in the region.
  • Government Initiatives to Promote AI in Healthcare:The Saudi government has allocated SAR 1.5 billion (USD 400 million) for AI research and development in healthcare as part of its Vision 2030 plan. This funding is aimed at fostering innovation in drug discovery and improving healthcare delivery. Additionally, the establishment of the Saudi Data and Artificial Intelligence Authority (SDAIA) is pivotal in driving AI adoption across various sectors, including healthcare, thereby enhancing the capabilities of drug discovery processes through advanced analytics and machine learning.

Market Challenges

  • Data Privacy and Security Concerns:With the increasing reliance on AI in drug discovery, data privacy and security have become significant challenges. The healthcare sector in Saudi Arabia is subject to strict regulations, and breaches can lead to severe penalties. In future, the estimated cost of data breaches in the healthcare sector is projected to exceed SAR 1 billion (USD 267 million), highlighting the urgent need for robust data protection measures to ensure patient confidentiality and trust in AI technologies.
  • High Costs of AI Implementation:The initial investment required for AI technologies in drug discovery can be substantial, with estimates suggesting that implementing AI solutions may cost pharmaceutical companies upwards of SAR 10 million (USD 2.67 million) per project. This financial barrier can deter smaller firms from adopting AI, limiting innovation and competition in the market. As a result, addressing the cost issue is crucial for broader AI adoption in the Saudi drug discovery landscape.

Saudi Arabia AI in Drug Discovery Market Future Outlook

The future of AI in drug discovery in Saudi Arabia appears promising, driven by ongoing advancements in technology and increasing collaboration between public and private sectors. As the government continues to invest in healthcare innovation, the integration of AI is expected to enhance drug development processes significantly. Moreover, the focus on personalized medicine and real-world evidence will likely shape research priorities, leading to more effective treatments. The collaboration with international research institutions will further bolster the capabilities of local firms, fostering a vibrant ecosystem for AI-driven drug discovery.

Market Opportunities

  • Expansion of AI Applications in Clinical Trials:The integration of AI in clinical trials presents a significant opportunity, with the potential to reduce trial durations by up to 30%. This efficiency can lead to faster drug approvals and lower costs, making it an attractive proposition for pharmaceutical companies looking to streamline their processes and enhance patient recruitment strategies.
  • Development of AI-Driven Drug Repurposing:AI-driven drug repurposing is gaining traction, with estimates suggesting that it can reduce the time to market for new therapies by 50%. This approach allows for the identification of new uses for existing drugs, significantly lowering research costs and risks, thus presenting a lucrative opportunity for pharmaceutical companies in Saudi Arabia to innovate and expand their product portfolios.

Scope of the Report

SegmentSub-Segments
By Type

Predictive Analytics

Machine Learning Models

Natural Language Processing

Computer Vision

Others

By Application

Drug Discovery

Clinical Trials

Patient Stratification

Drug Repurposing

Others

By End-User

Pharmaceutical Companies

Biotechnology Firms

Research Institutions

Healthcare Providers

Others

By Region

Central Region

Eastern Region

Western Region

Southern Region

Others

By Investment Source

Government Funding

Private Equity

Venture Capital

Corporate Investments

Others

By Policy Support

Subsidies for AI Research

Tax Incentives for AI Startups

Grants for Healthcare Innovation

Regulatory Support for AI Integration

Others

By Technology

Cloud Computing

On-Premise Solutions

Hybrid Models

AI Software Platforms

Others

Key Target Audience

Investors and Venture Capitalist Firms

Government and Regulatory Bodies (e.g., Saudi Food and Drug Authority, Ministry of Health)

Pharmaceutical Companies

Biotechnology Firms

Healthcare Providers and Hospitals

AI Technology Developers

Clinical Research Organizations

Health Insurance Companies

Players Mentioned in the Report:

Novartis AG

Roche Holding AG

Pfizer Inc.

AstraZeneca PLC

Merck & Co., Inc.

GSK (GlaxoSmithKline) PLC

Sanofi S.A.

Johnson & Johnson

Amgen Inc.

AbbVie Inc.

Eli Lilly and Company

Bayer AG

Biogen Inc.

Takeda Pharmaceutical Company Limited

Siemens Healthineers

Table of Contents

Market Assessment Phase

1. Executive Summary and Approach


2. Saudi Arabia AI in Drug Discovery Market Overview

2.1 Key Insights and Strategic Recommendations

2.2 Saudi Arabia AI in Drug Discovery Market Overview

2.3 Definition and Scope

2.4 Evolution of Market Ecosystem

2.5 Timeline of Key Regulatory Milestones

2.6 Value Chain & Stakeholder Mapping

2.7 Business Cycle Analysis

2.8 Policy & Incentive Landscape


3. Saudi Arabia AI in Drug Discovery Market Analysis

3.1 Growth Drivers

3.1.1 Increasing investment in healthcare technology
3.1.2 Rising demand for personalized medicine
3.1.3 Government initiatives to promote AI in healthcare
3.1.4 Collaborations between tech companies and pharmaceutical firms

3.2 Market Challenges

3.2.1 Data privacy and security concerns
3.2.2 High costs of AI implementation
3.2.3 Limited skilled workforce in AI and drug discovery
3.2.4 Regulatory hurdles in drug approval processes

3.3 Market Opportunities

3.3.1 Expansion of AI applications in clinical trials
3.3.2 Development of AI-driven drug repurposing
3.3.3 Growth in telemedicine and remote patient monitoring
3.3.4 Increasing partnerships with academic institutions

3.4 Market Trends

3.4.1 Adoption of machine learning algorithms in drug discovery
3.4.2 Integration of AI with big data analytics
3.4.3 Focus on real-world evidence in drug development
3.4.4 Rise of cloud-based AI solutions

3.5 Government Regulation

3.5.1 Implementation of AI ethics guidelines
3.5.2 Establishment of regulatory frameworks for AI in healthcare
3.5.3 Support for AI research and development grants
3.5.4 Collaboration with international regulatory bodies

4. SWOT Analysis


5. Stakeholder Analysis


6. Porter's Five Forces Analysis


7. Saudi Arabia AI in Drug Discovery Market Market Size, 2019-2024

7.1 By Value

7.2 By Volume

7.3 By Average Selling Price


8. Saudi Arabia AI in Drug Discovery Market Segmentation

8.1 By Type

8.1.1 Predictive Analytics
8.1.2 Machine Learning Models
8.1.3 Natural Language Processing
8.1.4 Computer Vision
8.1.5 Others

8.2 By Application

8.2.1 Drug Discovery
8.2.2 Clinical Trials
8.2.3 Patient Stratification
8.2.4 Drug Repurposing
8.2.5 Others

8.3 By End-User

8.3.1 Pharmaceutical Companies
8.3.2 Biotechnology Firms
8.3.3 Research Institutions
8.3.4 Healthcare Providers
8.3.5 Others

8.4 By Region

8.4.1 Central Region
8.4.2 Eastern Region
8.4.3 Western Region
8.4.4 Southern Region
8.4.5 Others

8.5 By Investment Source

8.5.1 Government Funding
8.5.2 Private Equity
8.5.3 Venture Capital
8.5.4 Corporate Investments
8.5.5 Others

8.6 By Policy Support

8.6.1 Subsidies for AI Research
8.6.2 Tax Incentives for AI Startups
8.6.3 Grants for Healthcare Innovation
8.6.4 Regulatory Support for AI Integration
8.6.5 Others

8.7 By Technology

8.7.1 Cloud Computing
8.7.2 On-Premise Solutions
8.7.3 Hybrid Models
8.7.4 AI Software Platforms
8.7.5 Others

9. Saudi Arabia AI in Drug Discovery Market Competitive Analysis

9.1 Market Share of Key Players

9.2 Cross Comparison of Key Players

9.2.1 Company Name
9.2.2 Group Size (Large, Medium, or Small as per industry convention)
9.2.3 Revenue Growth Rate
9.2.4 Market Penetration Rate
9.2.5 Customer Retention Rate
9.2.6 Pricing Strategy
9.2.7 R&D Investment Ratio
9.2.8 Product Development Cycle Time
9.2.9 Partnership and Collaboration Index
9.2.10 Brand Recognition Score

9.3 SWOT Analysis of Top Players

9.4 Pricing Analysis

9.5 Detailed Profile of Major Companies

9.5.1 Novartis AG
9.5.2 Roche Holding AG
9.5.3 Pfizer Inc.
9.5.4 AstraZeneca PLC
9.5.5 Merck & Co., Inc.
9.5.6 GSK (GlaxoSmithKline) PLC
9.5.7 Sanofi S.A.
9.5.8 Johnson & Johnson
9.5.9 Amgen Inc.
9.5.10 AbbVie Inc.
9.5.11 Eli Lilly and Company
9.5.12 Bayer AG
9.5.13 Biogen Inc.
9.5.14 Takeda Pharmaceutical Company Limited
9.5.15 Siemens Healthineers

10. Saudi Arabia AI in Drug Discovery Market End-User Analysis

10.1 Procurement Behavior of Key Ministries

10.1.1 Ministry of Health
10.1.2 Ministry of Education
10.1.3 Ministry of Investment
10.1.4 Ministry of Commerce

10.2 Corporate Spend on Infrastructure & Energy

10.2.1 Pharmaceutical Infrastructure Investments
10.2.2 Healthcare Facility Upgrades
10.2.3 AI Technology Integration Costs

10.3 Pain Point Analysis by End-User Category

10.3.1 Pharmaceutical Companies
10.3.2 Research Institutions
10.3.3 Healthcare Providers

10.4 User Readiness for Adoption

10.4.1 Awareness of AI Benefits
10.4.2 Training and Skill Development Needs
10.4.3 Infrastructure Readiness

10.5 Post-Deployment ROI and Use Case Expansion

10.5.1 Measurement of AI Impact on Drug Discovery
10.5.2 Scalability of AI Solutions
10.5.3 Future Use Cases in Healthcare

11. Saudi Arabia AI in Drug Discovery Market Future Size, 2025-2030

11.1 By Value

11.2 By Volume

11.3 By Average Selling Price


Go-To-Market Strategy Phase

1. Whitespace Analysis + Business Model Canvas

1.1 Market Gaps Identification

1.2 Value Proposition Development

1.3 Revenue Streams Analysis

1.4 Key Partnerships Exploration

1.5 Cost Structure Assessment


2. Marketing and Positioning Recommendations

2.1 Branding Strategies

2.2 Product USPs

2.3 Target Audience Segmentation

2.4 Communication Channels

2.5 Marketing Budget Allocation


3. Distribution Plan

3.1 Urban Retail Strategies

3.2 Rural NGO Tie-ups

3.3 Online Distribution Channels

3.4 Direct Sales Approaches

3.5 Partnership with Distributors


4. Channel & Pricing Gaps

4.1 Underserved Routes

4.2 Pricing Bands Analysis

4.3 Competitor Pricing Strategies

4.4 Customer Willingness to Pay

4.5 Price Sensitivity Assessment


5. Unmet Demand & Latent Needs

5.1 Category Gaps Identification

5.2 Consumer Segments Analysis

5.3 Emerging Trends Exploration

5.4 Feedback Mechanisms

5.5 Future Demand Projections


6. Customer Relationship

6.1 Loyalty Programs

6.2 After-sales Service

6.3 Customer Feedback Loops

6.4 Engagement Strategies

6.5 Retention Tactics


7. Value Proposition

7.1 Sustainability Initiatives

7.2 Integrated Supply Chains

7.3 Customer-Centric Innovations

7.4 Competitive Differentiation

7.5 Long-term Value Creation


8. Key Activities

8.1 Regulatory Compliance

8.2 Branding Initiatives

8.3 Distribution Setup

8.4 Training and Development

8.5 Performance Monitoring


9. Entry Strategy Evaluation

9.1 Domestic Market Entry Strategy

9.1.1 Product Mix
9.1.2 Pricing Band
9.1.3 Packaging Considerations

9.2 Export Entry Strategy

9.2.1 Target Countries
9.2.2 Compliance Roadmap

10. Entry Mode Assessment

10.1 Joint Ventures

10.2 Greenfield Investments

10.3 Mergers & Acquisitions

10.4 Distributor Model

10.5 Risk Assessment


11. Capital and Timeline Estimation

11.1 Capital Requirements

11.2 Timelines for Implementation

11.3 Funding Sources

11.4 Financial Projections

11.5 Milestone Tracking


12. Control vs Risk Trade-Off

12.1 Ownership vs Partnerships

12.2 Risk Mitigation Strategies

12.3 Control Mechanisms

12.4 Partnership Evaluation

12.5 Long-term Strategy Alignment


13. Profitability Outlook

13.1 Breakeven Analysis

13.2 Long-term Sustainability

13.3 Profit Margin Projections

13.4 Cost Management Strategies

13.5 Revenue Growth Forecasts


14. Potential Partner List

14.1 Distributors

14.2 Joint Ventures

14.3 Acquisition Targets

14.4 Strategic Alliances

14.5 Industry Collaborations


15. Execution Roadmap

15.1 Phased Plan for Market Entry

15.1.1 Market Setup
15.1.2 Market Entry
15.1.3 Growth Acceleration
15.1.4 Scale & Stabilize

15.2 Key Activities and Milestones

15.2.1 Activity Planning
15.2.2 Milestone Tracking
15.2.3 Performance Evaluation

Research Methodology

ApproachModellingSample

Phase 1: Approach1

Desk Research

  • Analysis of market reports from industry associations and government publications on AI applications in drug discovery
  • Review of scientific journals and publications focusing on advancements in AI technologies relevant to pharmaceuticals
  • Examination of patent filings and intellectual property trends in AI-driven drug discovery solutions

Primary Research

  • Interviews with key opinion leaders in the pharmaceutical and biotechnology sectors
  • Surveys targeting R&D managers and AI specialists within leading pharmaceutical companies
  • Focus groups with healthcare professionals to understand the impact of AI on drug development processes

Validation & Triangulation

  • Cross-validation of findings through multiple data sources, including academic research and industry reports
  • Triangulation of insights from primary interviews with secondary data trends to ensure consistency
  • Sanity checks conducted through expert panel reviews comprising industry veterans and academic researchers

Phase 2: Market Size Estimation1

Top-down Assessment

  • Estimation of the overall pharmaceutical market size in Saudi Arabia and its growth trajectory
  • Segmentation of the AI in drug discovery market by therapeutic area and technology type
  • Incorporation of government healthcare initiatives and funding for AI research in drug development

Bottom-up Modeling

  • Collection of data on AI technology adoption rates among pharmaceutical companies in Saudi Arabia
  • Estimation of revenue generated from AI-driven drug discovery projects based on firm-level data
  • Analysis of cost structures associated with AI implementation in drug development processes

Forecasting & Scenario Analysis

  • Multi-factor regression analysis incorporating variables such as healthcare expenditure and AI technology advancements
  • Scenario modeling based on potential regulatory changes and market entry of new AI solutions
  • Development of baseline, optimistic, and pessimistic forecasts for market growth through 2030

Phase 3: CATI Sample Composition1

Scope Item/SegmentSample SizeTarget Respondent Profiles
Pharmaceutical R&D Departments100R&D Directors, AI Specialists
Biotechnology Firms Utilizing AI80Product Development Managers, Data Scientists
Healthcare Professionals Involved in Drug Trials70Clinical Researchers, Pharmacologists
Regulatory Bodies and Policy Makers50Regulatory Affairs Managers, Health Policy Analysts
Investors in Pharmaceutical Technologies60Venture Capitalists, Investment Analysts

Frequently Asked Questions

What is the current value of the AI in Drug Discovery Market in Saudi Arabia?

The Saudi Arabia AI in Drug Discovery Market is valued at approximately USD 1.2 billion, reflecting significant growth driven by advancements in AI technologies and increased investments in healthcare innovation.

What are the key cities driving the AI in Drug Discovery Market in Saudi Arabia?

What government initiatives support AI in Drug Discovery in Saudi Arabia?

What are the main types of AI technologies used in drug discovery?

Why Buy From Us?

Refine Robust Result (RRR) Framework
Refine Robust Result (RRR) Framework

What makes us stand out is that our consultants follow Robust, Refine and Result (RRR) methodology. Robust for clear definitions, approaches and sanity checking, Refine for differentiating respondents' facts and opinions, and Result for presenting data with story.

Our Reach Is Unmatched
Our Reach Is Unmatched

We have set a benchmark in the industry by offering our clients with syndicated and customized market research reports featuring coverage of entire market as well as meticulous research and analyst insights.

Shifting the Research Paradigm
Shifting the Research Paradigm

While we don't replace traditional research, we flip the method upside down. Our dual approach of Top Bottom & Bottom Top ensures quality deliverable by not just verifying company fundamentals but also looking at the sector and macroeconomic factors.

More Insights-Better Decisions
More Insights-Better Decisions

With one step in the future, our research team constantly tries to show you the bigger picture. We help with some of the tough questions you may encounter along the way: How is the industry positioned? Best marketing channel? KPI's of competitors? By aligning every element, we help maximize success.

Transparency and Trust
Transparency and Trust

Our report gives you instant access to the answers and sources that other companies might choose to hide. We elaborate each steps of research methodology we have used and showcase you the sample size to earn your trust.

Round the Clock Support
Round the Clock Support

If you need any support, we are here! We pride ourselves on universe strength, data quality, and quick, friendly, and professional service.

Why Clients Choose Us?

400000+
Reports in repository
150+
Consulting projects a year
100+
Analysts
8000+
Client Queries in 2022