$477.1bn
$XX.Xbn
1m
11,845
$XXX.Xbn
Explosive growth in biotechnology in recent years can't be understated. What's fueling this rapid growth varies, as biotech's applications range from healthcare and agriculture to energy. COVID-19 brought more attention to biotechnology, as biotech companies were central to vaccine development and reopening the economy. Biotech's potential to develop vaccines shifted the industry's trajectory, with investment reaching unprecedented levels globally and spurring more start-up activity than ever. Sky-high investment began settling in 2022, as higher interest rates moved risk-averse investors away from early-stage companies into established companies with a higher likelihood of return. Investor uncertainty continued into 2023, with high interest rates, stubborn inflation and bank failures stoking anxieties. Still, even as investment activity settles, revenue has been expanding at a CAGR of 0.8% to an estimated $477.1 billion over the past five years, including expected growth of 2.1% in 2023.Research and development (R&D) is critical for biotechnology companies to successfully discover, develop, and commercialize new products. Yet, early-stage biotech can't cover the skyrocketing costs of R&D, relying on outside funding for growth instead. Biotech evaded the economic downturn during COVID-19 as investors poured capital into the field, but investment settled as the pandemic went on the back burner in 2022. Higher interest rates in 2023 are leading investors to look for safer investments in more established biotech, but the potential profit of biotech makes them attractive targets regardless.Where the biotechnology industry is headed on a global scale will depend on several factors. Biotechnology's potential to slow climate change, accelerate the energy transition and transform healthcare delivery will encourage more government support nationally, regionally and internationally. Developing a robust bioeconomy will also be a central goal of many developed economies, especially as other countries build momentum. Merger and acquisition activity will accelerate as giant multinational pharma companies lose patents to their blockbuster drugs and acquire biotechs to augment their pipelines. Industry-wide revenue will continue expanding, rising at a CAGR of 3.1% to an estimated $555.8 billion over the next five years.
Industry revenue has grown at a CAGR of 0.8 % over the past five years, to reach an estimated $477.1bn in 2023.
Market size is projected to grow over the next five years.
Company | Market Share (%)
2023 | Revenue ($m)
2023 | Profit ($m)
2023 | Profit Margin (%)
2023 |
---|---|---|---|---|
Merck & Co. Inc. | 37,451.8 | 5,859.6 | 15.6 | |
Johnson & Johnson | 37,116.8 | 8,449.2 | 22.8 | |
F. Hoffmann-La Roche AG | 31,683.2 | 11,259.3 | 35.5 |
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Industry revenue is measured across several distinct product and services lines, including Human health technologies, Industrial technologies and Animal health technologies. Human health technologies is the largest segment of the Global Biotechnology.
Biotech is transformative to traditional healthcare delivery
Companies in the Global Biotechnology industry primarily use living organisms or molecular and cellular techniques to develop products that are used in agriculture, food, industrial and medicine production.
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Including values and annual change:
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The market size of the Global Biotechnology industry in Global is $477.1bn in 2024.
There are 11,845 businesses in the Global Biotechnology industry in Global, which has grown at a CAGR of 6.2 % between 2018 and 2023.
The market size of the Global Biotechnology industry in Global has been growing at a CAGR of 0.8 % between 2018 and 2023.
Over the next five years, the Global Biotechnology industry in Global is expected to grow.
The biggest companies operating in the Global Biotechnology market in Global are Merck & Co. Inc., Johnson & Johnson and F. Hoffmann-La Roche AG
DNA coding, mapping and sequencing and Processing biotechnologies are part of the Global Biotechnology industry.
The company holding the most market share in Global is Merck & Co. Inc..
The level of competition is moderate and increasing in the Global Biotechnology industry in Global.