Report : Medical Device and Diagnostics Contract Research Organization Market Forecast to 2028 - COVID-19 Impact and Global Analysis By Type (Medical Devices and Diagnostics) and Services (Clinical Data Management, Monitoring, Clinical Project Management, Medical Writing, Clinical Auditing, Digital Health, Clinical Strategy, and Others) and Geography
Medical Device Segment to Account for Largest Share by 2028
According to our new market research study on “Medical Device and Diagnostics Contract Research Organization Market Forecast to 2028 – COVID-19 Impact and Global Analysis – by Type, Services, and Geography,” the market is expected to reach US$ 20,336.08 million in 2028 from US$ 12,314.65 million in 2021. The market is estimated to grow with a CAGR of 7.4% from 2021 to 2028. Key factors driving the market such as increasing number of clinical trials worldwide and rise in adoption of outsourcing activities coupled with increasing R&D expenditures. However, the extensive competition in the CRO services market is a major factor hindering the market growth.
In 2021, the medical devices segment accounted for the largest share of the global medical device and diagnostics contract research organization market, by type. The growth of the medical devices segment is attributed to the increasing number of clinical trials for medical devices, rising spending for research and development, and growing prevalence of chronic diseases. The market for diagnostics segment is estimated to grow at the highest CAGR during the forecast period owing to rapid product approvals and launches. For instance, in May 2019, Roche Diagnostics launched Cobas MTB-RIF/INH test that detects resistance to antibiotics in tuberculosis DNA. Such technological advancements are likely to favor the growth of the segment.
Asian countries are emerging as an attractive outsourcing location for global medical device manufacturers. Low manufacturing and operating costs in countries such as China and India are driving the growth of the medical device & diagnostics contract research organization market. Recent growth in the medical device industry in both China and India indicates a positive outlook for the market. The medical device CRO market is experiencing strong growth in the region due to surging technological innovations, changing regulations, and increasing outsourcing levels. There is a continuous growth in Asia's scientific base and capabilities owing to the growing contribution of clinical research, centralized healthcare institutions, well-qualified and highly motivated investigators, and excellent clinical trial facilities.
Asia Pacific offers a large and diverse patient pool, as the region comprises nearly 60% of the world population. The US/EU treatment guidelines are followed in treating disease, which offers solid prospects for significant and rapid patient recruitment. In addition, the countries in Asia Pacific has many clinical trial sites that are offering lucrative opportunities for the growth of the market in the region. For instance, CMIC Group (Japan) is one of the leading CROs in Asia Pacific, with 135 active clinical trial sites across the region. The company outsources a wide range of services, such as medical devices and in vitro diagnostic consulting. Thus, the factors mentioned above are offering lucrative opportunities for the medical device & diagnostics contract research organization market in the region.
COVID-19 outbreak was first observed in December 2019 in Wuhan (China), and it has spread to more than 100 countries across the world, with the World Health Organization (WHO) stating it as a public health emergency. The contract-based research and manufacturing activities for all the non-essential medical devices was hampered due to strict imposition of company shut-downs in the region. Industries, however, need to adopt long-term, permanent solutions to challenges that arose due to COVID. Overall, the COVID-19 created a negative impact on the growth of medical devices and diagnostics contract research organization market.
PAREXEL International Corporation; ICON PLC; WUXI APPTEC; Charles River Laboratories; Laboratory Corporation of America Holdings; North American Science Associates, Inc.; Qserve Group B.V.; IQVIA; Proxima Clinical Research, Inc.; and Activa CRO are among the leading companies operating in the medical device and diagnostics contract research organization market.
The Report Segments Medical Device and Diagnostics Contract Research Organization Market as Follows: