Biologics CDMO Surges with Chronic Disease Rise and Innovation Demand
Increasing cases of chronic diseases and growth in ageing population has contributed in market growth. Growing demand for novel therapies and need for huge capital investment for innovative & advanced technologies in pharmaceutical companies is further expected to provide lucrative opportunities in Biologics CDMO domain.
Key Growth Drivers and Opportunities
Rising Prevalence of Cancer Diseases: Growing prevalence of cancer diseases has become a major factor in Biologics CDMO market growth. Different types of cancer are on the rise due to poor and unhealthy lifestyles. Breast cancer, lung cancer, liver and kidney cancer, and pancreatic cancer are on the rise. For instance, according to Center for Disease and Control and Prevention (CDC), In the United States in 2019, 1,752,735 new cancer cases were reported and 599,589 people died of cancer.
Emerging Pharmaceutical and Biotech Companies: Increasing need for CDMOs from emerging pharmaceutical and biotech companies has boosted the target market's growth. The rise in the number of clinical trials has become a major driver of target market expansion. According to Food and Drug Administration (FDA) there are around 50 ongoing clinical trials in cell and gene therapy by major and emerging biotech or pharmaceutical companies.
Challenges
There are several challenges faced by CDMOs, are cost pressure, fierce competition, consolidation, and constant technological innovations, which may hamper the market growth. The wrong innovative CDMO solution provider may lead to a bad customer experience and variations in the standards of customer service may lead to quality problems. Moreover, this may also lead to less control over the production process, which act as a challenges and disadvantages of CDMOs which in turn hampered the demand for Biologics CDMO
Innovation and Expansion
Samsung Wins USD 183 Mn Pfizer Vaccine Deal
In March 2023, Samsung Biologics signed a deal Pfizer to manufacture COVID-19 vaccines for Moderna. The value of the contract is USD 183 million and will run through the year 2029. This new deal worth 15% of Samsung's USD 1.2 billion revenue from 2021 year.
Given initiative shows how much Samsung Biologics is stepping up as a top player in the global CDMO scene. It also makes Pfizer's supply chain much more robust when it comes to mRNA vaccines. Plus, this long-term partnership is a clear sign that both companies are committed to being ready for future pandemics.
Lonza Invests $518M in Swiss Biologics Expansion
In July 2022, Lonza has planned to spend USD 518 million on a large-scale fill-finish manufacturing plant in Stein, Switzerland. This new facility is set to greatly enhance Lonza's capabilities in making sterile drug products.
It's specifically built to meet the growing demand for complex biologics and advanced therapies. This investment further strengthens Switzerland's reputation as a global leader in the biopharmaceutical sector.
Inventive Sparks, Expanding Markets
The key players operating the biologics CDMO market includes, Lonza Group, Catalent Inc., Samsung Biologics, Eurofins Scientific, Boehringer Ingelheim Group, FUJIFILM Diosynth Biotechnologies Inc., among others. Biologics CDMO companies are all about speeding up the process of creating new drugs, making sure that high-quality manufacturing can easily expand to meet demand for complex treatments. Their main goals are to foster innovation, improve efficiency, and help make healthcare accessible worldwide.
About Author:
Prophecy is a specialized market research, analytics, marketing and business strategy, and solutions company that offer strategic and tactical support to clients for making well-informed business decisions and to identify and achieve high value opportunities in the target business area. Also, we help our client to address business challenges and provide best possible solutions to overcome them and transform their business.
TIME BUSINESS NEWS
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
New York Times
a few seconds ago
- New York Times
Have a Question About Death? A New Project May Have Answers.
Times Insider explains who we are and what we do and delivers behind-the-scenes insights into how our journalism comes together. Late last year, Amelia Pisapia confronted something she'd long been wrestling with. 'I was still holding a lot of grief around Covid,' said Ms. Pisapia, who spent the first year and a half of the pandemic assisting with resources for New York Times readers, such as a Covid-19-related explainer. 'With the five-year anniversary of Covid coming up, I was looking for a place to put that grief.' Ms. Pisapia, an editor on The Times's Projects and Initiatives team, pitched a series to her team titled 'Death in the Modern Age.' It would focus on end-of-life issues and serve as a resource for readers who might be grappling with their own mortality or coping with the loss of someone close to them. The first article in the series was about A.I. 'griefbots,' written by Colin Dickey, a writer whose work deals with the occult in America. The cornerstone of the project is an F.A.Q. titled 'Let's Talk About Death,' compiled from several hundred submissions from Times readers who either asked questions related to death and dying or shared personal experiences. It covers a spate of topics, from how to pay for end-of-life care to whether there is evidence of an afterlife. The F.A.Q. remains open, encouraging readers to continue submitting questions. 'There's no topic more evergreen than death,' Ms. Pisapia said. She added: 'Given reader interest and that it touches everyone, and every desk, we're hoping to keep it going.' In an interview last month, she discussed her goals for the project and the reader questions that have resonated with her the most. This interview has been condensed and edited. Tell us more about how this project came together. At this moment in the United States, there are a lot of people rethinking what they want in end-of-life care — whether because of the pandemic, finances, newly approved medical aid in dying laws, being a member of the so-called sandwich generation and caring for dying parents while raising children, or simply just wanting something different than a traditional funeral or burial. Want all of The Times? Subscribe.
Entrepreneur
a minute ago
- Entrepreneur
Aerospace Startup Jeh Aerospace Raises USD 11 Mn in Series A Round
The funding round was led by Elevation Capital, with additional participation from existing investor General Catalyst. You're reading Entrepreneur India, an international franchise of Entrepreneur Media. Jeh Aerospace, an aerospace manufacturing startup, has raised USD 11 million in a Series A funding round led by Elevation Capital, with additional participation from existing investor General Catalyst. The company, headquartered in the US, operates advanced manufacturing facilities in Hyderabad, India. According to its announcement on Tuesday, the newly secured funds will be used to build large-scale factories and further develop its software-defined manufacturing systems aimed at delivering reliable and scalable aerospace production. The investment follows a strategic funding round from IndiGo Ventures, the venture capital arm of IndiGo, which was announced a month earlier. Jeh Aerospace was established in 2022 by aerospace industry veterans Vishal R Sanghavi and Venkatesh Mudragalla. Both founders have extensive experience in joint ventures between major US aerospace firms such as Boeing, Sikorsky, and Lockheed Martin, and the Tata Group in India. Jeh Aerospace focuses on producing aerospace and defense components, tools, and assemblies through a digital-first approach. Its offerings include precision manufacturing, engineering solutions, and supply chain management services for global aerospace and defense clients. The company applies software-driven processes to enhance precision and agility in production. "Their software-defined manufacturing model addresses a fundamental challenge in the industry—the need for both precision and agility in production. What impresses us most is their ability to combine cutting-edge technology with deep manufacturing expertise, creating a solution that the global aerospace supply chain desperately needs," said Ashray Iyengar, Principal, Elevation Capital. In early 2024, Jeh Aerospace secured USD 2.75 million in seed funding, also led by General Catalyst. Since then, it has expanded to a team of over 100 employees. Over the past 18 months, the firm has supplied more than 100,000 flight-critical components and tools, and has signed long-term contracts valued at USD 100 million with major aerospace customers. Akarsh Shrivastava, Partner at General Catalyst, added, "Their software-defined manufacturing approach and proven delivery demonstrate the scalable, reliable production the aerospace industry needs. By harnessing exceptional engineering talent with proximity to US markets, Jeh is reshaping aerospace manufacturing." The company operates across the US and India using a friend-shoring strategy that leverages market access in the US and manufacturing skills in India. It recently launched the Centre for Skills, an in-house training initiative to develop highly qualified engineers and technicians.
Yahoo
31 minutes ago
- Yahoo
China Neuralink Rival Seeks Pre-IPO Funds at $1.3 Billion Value
(Bloomberg) -- BrainCo, a startup aiming to compete with Elon Musk's Neuralink, is in talks to raise funds at a valuation of more than $1.3 billion ahead of a potential initial public offering in Hong Kong or mainland China. PATH Train Service Resumes After Fire at Jersey City Station Chicago Curbs Hiring, Travel to Tackle $1 Billion Budget Hole Mayor Asked to Explain $1.4 Billion of Wasted Johannesburg Funds Seeking Relief From Heat and Smog, Cities Follow the Wind The company founded in 2015 by Harvard alumnus Han Bicheng is in negotiations to secure about $100 million in pre-IPO financing, people familiar with the matter said. The startup has begun preparing documents for a market debut, though it hasn't decided on venue or other details, the people said, asking to remain anonymous discussing private plans. BrainCo, or Zhejiang Qiangnao Technology Co., is one of 'Six Little Dragons' that garnered acclaim this year as among the country's most advanced technology innovators. Based in the affluent eastern city of Hangzhou like fellow dragon DeepSeek and e-commerce leader Alibaba Group Holding Ltd., BrainCo is developing bionic limbs and technologies for human brains to control computers. It isn't the only fledgling Chinese firm hoping to take on Neuralink. Earlier this year, Shanghai StairMed Technology raised 350 million yuan ($48.7 million) in Series B funding and launched the country's first clinical trial for invasive brain-computer interfaces, local media outlet Yicai reported. BrainCo's founder told the South China Morning Post in April he was exploring an expansion to Hong Kong. Discussions around financing and an IPO remain in flux and the details could change depending on market conditions. But BrainCo's financing underscores the growing investor interest in a new generation of startups aiming to shake up the tech sector and pioneer advances in spheres from artificial intelligence to robotics. Representatives for the startup didn't respond to a request for comment. China's largest venture capital houses are tapping the market for at least $2 billion in new funds, re-engaging with the country's startups in a signal of renewed attention on areas like AI. Together, they represent a wave of fundraising that hasn't been seen among Chinese VCs for years. It's unfolding as global investors reassess the country's startup landscape and broader economy, which are showing signs of revival after years of Covid-era stagnation and regulatory headwinds. Much of that resurgent interest can be traced to the rise of breakout AI stars like BrainCo, DeepSeek and Manus, which has galvanized local entrepreneurs. The Hangzhou Six also includes Game Science — developer of the hit game Wukong — Deep Robotics, Unitree Robotics and Manycore. AI Flight Pricing Can Push Travelers to the Limit of Their Ability to Pay Government Steps Up Campaign Against Business School Diversity Russia's Secret War and the Plot to Kill a German CEO What Happens to AI Startups When Their Founders Jump Ship for Big Tech How Podcast-Obsessed Tech Investors Made a New Media Industry ©2025 Bloomberg L.P.
