The global biochips market is growing at a CAGR of nearly 13.5% during the forecast period (2021-2027). The major factors that are augmenting the growth of the market include technological innovations and the rising demand for personalized medicine. Furthermore, the rising drug development pipeline and emerging demand for genomics research-oriented product are also some crucial factors accelerating market growth. However, certain factors are restraining the growth of the market, which includes the high cost of biochips and stringent government regulations. Additionally, the COVID-19 pandemic has further accelerated market growth. 

Biochips are expected to play a major role in determining the effect of COVID-19 in the body which is further supporting drive the market growth. For instance, in November 2020, Singapore MedTech company, Cell ID Pte. Ltd. developed a test kit that identifies a person with COVID-19. The process is carried on a laptop through an app with the use of a portable genetic test kit that identifies a positive or a negative case within 5 minutes. Quiz PCR Biochips are cost-effective, single-use genetic tests to detect COVID-19, anywhere at any time. In November 2020, the company declared that it could manufacture 8.5 million biochips in a month, which is 17 million tests. 

Further, in June 2020, Sengenics, Singapore based Functional Proteomics Company, declared the launch of ImmuSAFE COVID+, a multi-domain, multi-antigen, fully quantitative serology test. ImmuSAFE allows the evaluation of the target epitopes, t Ig class/sub-class (IgG, IgA, IgM; IgG1-4), and titres of antibodies developed across all stages of COVID-19 infection. These stages range from initial exposure, disease development, post-recovery, or post-vaccination. Such results will offer critical insights on whether individuals have high titres of potentially neutralizing antibodies against SARS-CoV-2 that may protect against reinfection or whether booster vaccinations are needed.

Segmental Outlook 

The market is segmented based on type, fabrication technology and end-user. By type, the market is segmented into DNA chips, lab on a chip, protein chip and others. Based on the fabrication technology segment, the market is segmented into microarrays and microfluidics. Based on the end-user, the market is segmented into hospitals and diagnostic centers, academic and research institutes and biotechnology and pharmaceutical companies. 

Global Biochips Market Share by Type, 2020 (%)

DNA Chips Holds Prominent Share in the Type Segment

DNA microarray tool is used to assess whether the DNA from a specific individual contains a mutation in genes such as BRCA1 and BRCA2. They are mostly used in medical research to speed up the process while minimizing research time. DNA microarrays have applications in clinical diagnostic tests for certain conditions. Often, they are also utilized to determine which drugs are considered as best recommended for individuals, as genes assess how their bodies handle the chemistry corresponding to those drugs. 

The innovations in new DNA sequencing technologies have resulted in a shift from microarrays to DNA microarrays. However, microarray tests are regarded as less expensive compared to sequencing and therefore, DNA microarrays may be used for very large studies and some clinical tests. Some of the major companies involved in the development of DNA chips include Thermo Fisher Scientific Inc., Perkin Elmer, Inc., Oxford Gene Technology, Illumina, Inc., Bio-Rad Laboratories Inc and others.  

Regional Outlook

The global biochip market is analyzed based on geographical regions, such as North America, Europe, Asia Pacific, and the Rest of the World (RoW). Asia-Pacific will likely offer an opportunity for the adoption of biochips owing to the rising molecular diagnostics market and expansion of pharmaceutical companies and rising availability of contract research organizations (CROs) in the region. Moreover, improved healthcare spending and the rising number of multi-specialty hospitals can further contribute to the adoption of biochips in the region. 

Global Biochips Market Growth, by Region 2021-2027

North America Holds Prominent Share in the Market

In 2020, North America held the largest share in the market owing to the significant investments in biochips, rising demand for precision medicine, and potential share in drug discovery and development. As per the Personalized Medicine Coalition, in 2019, the US FDA’s Center for Drug Evaluation and Research (CDER) approved 48 new molecular entities (NMEs). Of the 44 therapeutic NMEs, 11 of them (25%) are personalized medicines. 

Biochips (such as protein biochips, GeneChip, microfluidic biochips, CYP450, nanotechnology-based biochips, and electrochemical biochips) is expected to play a vital role in molecular diagnostics. Additionally, the application of these biochips in point-of-care diagnosis is anticipated to facilitate the development of personalized medicine. The gene expression profiling using microarrays can advance the development of personalized cancer treatment according to the molecular classification of subtypes. With the advent of nanotechnology, refinements in biochip miniaturization will further support molecular diagnostics as well as for the development of personalized medicine.

Market Players Outlook

Key players operating in the market include Bio-Rad Laboratories, Inc., Illumina Inc., Danaher Corp., Agilent Technologies, Inc., and PerkinElmer Inc.  To survive in the market, these market players adopt different marketing strategies such as mergers and acquisitions, product launches, and geographical expansion. For Instance, in February 2021, Thermo Fisher Scientific Inc. acquired Mesa Biotech, Inc. to rapidly scale manufacturing volume and drive cost efficiencies. Mesa Biotech develops and commercializes a PCR-based rapid point-of-care (POC) testing platform that is available to detect infectious diseases such as respiratory syncytial virus (RSV), SARS-CoV-2, Strep A, and Influenza A and B. 

The patented technology of Mesa Biotech widens the availability of gold-standard nucleic acid PCR amplification to POC diagnostics. The addition of Mesa Biotech rapid, easy-to-use PCR-based test complements the existing offering of Thermo Fisher and will further support to fulfill the continuous demand for COVID-related testing as the company is working to rapidly scale and develop POC tests for other infectious diseases in the future.

The Report Covers

• Market value data analysis of 2020 and forecast to 2027.
• Annualized market revenues ($ million) for each market segment.
• Country-wise analysis of major geographical regions.
• Key companies operating in the global biochips market. Based on the availability of data, information related to new product launches, and relevant news is also available in the report.
• Analysis of business strategies by identifying the key market segments positioned for strong growth in the future.
• Analysis of market-entry and market expansion strategies.
• Competitive strategies by identifying ‘who-stands-where’ in the market.