Oligonucleotide Synthesis MarketSize and Trends

The global oligonucleotide synthesis market is estimated to be valued at US$ 3.81 Billion in 2023 and is expected to exhibit a CAGR of 10.9% during the forecast period (2023-2030).

Figure 1. Global Oligonucleotide Synthesis Market Share (%), By Equipment and Services, 2023

Global Oligonucleotide Synthesis Market– Drivers

Increasing Collaboration Agreements by the Market Players: Market players are engaged in inorganic growth strategies such as collaborations in order to provide data interpretation software to universities conducting research and development activities. This is expected to drive the growth of the global oligonucleotide synthesis market over the forecast period. For instance, in June 2021, Thermo Fisher Scientific, U.S. supplier of analytical instruments, life sciences solutions, specialty diagnostics, laboratory, pharmaceutical and biotechnology services announced a collaboration with the University of Sheffield to develop advanced end-to-end workflows for the characterization and monitoring of complex oligonucleotide and mRNA products. This collaboration provided data interpretation software technologies to the University of Sheffield for the development of streamlined analytical workflows and robust fit-for-purpose processes.
Increasing Acquisition by the Market Players: Market players are focused on inorganic growth strategies, such as signing acquisition agreements, in order to expand its product portfolio and geographical presence in the market. In January 2022, Merck KGaA, German multinational science and technology company, announced a definitive agreement to acquire Exelead, a biopharmaceutical contract development and manufacturing organization (CDMO). Exelead specializes in complex injectable formulations, including lipid nanoparticle (LNP), as well as other products such as liposomal complexes and oligonucleotides.

Figure 2. Global Oligonucleotide Synthesis Market Share (%), By Region, 2023

Global Oligonucleotide Synthesis Market- Regional Analysis

Among regions, North America is estimated to hold a dominant position in the global oligonucleotide synthesis market over the forecast period. North America is estimated to hold 39.7% of the market share in 2023. The global oligonucleotide synthesis market is expected to witness significant growth in the coming years, owing to the increasing adoption of inorganic growth strategies such as collaboration by key market players in the region.

Global Oligonucleotide Synthesis Market– Impact of Coronavirus (COVID-19) Pandemic

The COVID-19 pandemic is expected to have a positive effect on the global oligonucleotide synthesis market due to a significant increase in the use of reagents and kits for the diagnosis of COVID-19. For instance, in April 2021, Microsynth AG (Switzerland), a European company in the area of nucleic acid synthesis and analysis, provided key reagents such as primer-probe sets to PCR testing labs to support molecular diagnostic companies in developing and validating accurate, cutting-edge detection methods and to provide comprehensive genomics expertise for research labs studying coronaviruses. The main contribution includes the supply of RT-qPCR primer probe sets for SARS-CoV-2 detection and the synthesis of primers for Next Generation Sequencing (NGS)-based SARS-CoV-2 high-throughput diagnostics, among others.
However, demand for oligonucleotide synthesis increased during the pandemic as pharmaceutical companies and healthcare providers were focused on finding more efficient uses for oligonucleotides and its application to prevent the spread of COVID-19.
Moreover, many market players have received accreditation from the regulatory authorities for their manufacturing facilities. For instance, in February 2021, Kaneka Eurogentec S.A., a Japanese international chemical manufacturing company, announced that the company had received Good Manufacturing Practices (GMP) accreditation from the Belgian Ministry of Health for the GMP manufacturing of messenger RNA (mRNA). Belgian authorities will allow the production and purification of up to 10 g ( up to 1 Million doses of vaccine) of RNA for use in human clinical trials, including COVID-19 clinical trials and its commercial supply.
For instance, in January 2022, Maravai LifeSciences, Inc., a life science company, announced that it had acquired MyChem, LLC, manufacturer of ultrapure nucleotides, for US$240 million in cash. This acquisition continues their journey to develop and integrate strategic mRNA vaccines and therapeutic supply chain inputs into operations in the U.S. Under this acquisition, MyChem's portfolio complements Maravai's nucleic acid production products and is expected to provide significant benefits to customers through an integrated offering. Additionally, MyChem will help accelerate Maravai's innovation capabilities with additional research and development resources.

By application, the market is segmented into drug discovery and therapeutics. Out of which, therapeutics is expected to dominate the market over the forecast period, and this is attributed to the increasing oligonucleotides that are emerging modality offering new therapeutic opportunities to treat patients’ unmet needs.
By end user, the market is segmented into academic research institutes, diagnostic laboratories and pharmaceutical-biotechnology companies. Out of which, academic research institutes is expected to dominate the market over the forecast period, and this is attributed to the increasing research associated with oligonucleotide synthesis in academic research institutes.
Among all the segmentation, the equipment/synthesizer segment is expected to dominate the market over the forecast period, and this is attributed to the increasing preference of handheld oligonucleotide synthesis by physicians.