Global Life Science Software Market Report and Forecast 2024-2032

Global Life Science Software Market Size

The global life science software market reached a value of approximately USD 16.75 billion in 2023. The market is projected to grow at a CAGR of 10.9 % between 2024 and 2032, reaching a value of around USD 42.49  billion by 2032.

Life Science Software Market Outlook

• As per the National Health Expenditure Account (NHEA), in 2022, US healthcare spending surged 4.1% to $4.5 trillion.

• According to ITA, Romania's healthcare spending is expected to jump to USD 7.5 billion by 2028 (37.68% increase).

• In 2020, Eurostat figures indicate France (12.2%) and Germany (12.8%) led healthcare spending relative to GDP among EU nations.

Life Science Software Market Growth

The life science software market is propelled by the shift towards personalized medicine which requires advanced software for genetic analysis, biomarker discovery, and patient stratification. These tools help in tailoring treatments to individual patients based on their genetic profiles.

Automation technologies, including robotic process automation (RPA) and laboratory automation, are enhancing efficiency in R&D and manufacturing processes.

In the U.S., in the fiscal year 2022, academic institutions spent a total of USD 97.8 billion on research and development, marking a USD 8.0 billion increase compared to FY 2021.

Key Trends and Developments

Artificial intelligence and machine learning, cloud computing, big data analytics, and regulatory compliance automation are the major trends impacting global life science software market growth.

June 2024

Sware has secured $6 million in a Series B funding round to expedite innovation in life sciences by automating the software validation required by the US Food and Drug Administration.

June 2024

SCIEX, a leader in life science analytical technologies, partnered with Mass Analytica to launch AI quant software. Using AI and machine learning, it rapidly processes data and generates insights, saving time and boosting productivity.

March 2024

NVIDIA has introduced over two dozen new microservices, enabling healthcare enterprises globally to utilise the latest advancements in generative AI from any location and cloud platform.

December 2023

Biosero, specialised in laboratory automation solutions, has signed a $28 million agreement with a global life science company. The project involves designing and building an automated R&D platform across five sub-projects, including hardware and software.

Artificial Intelligence and Machine Learning

AI and ML are revolutionising data analysis and drug discovery by automating tasks, analysing large datasets, and enabling faster, more accurate predictions and insights.

Cloud Computing

Cloud-based solutions allow life science companies to store and manage vast amounts of data securely, collaborate across geographies, and access powerful computational resources on demand.

Big Data Analytics

Analysing large datasets is crucial for genomics, clinical trials, and personalised medicine. Advanced analytics tools enhance understanding of disease mechanisms, and patient responses, and optimise clinical trial designs.

Regulatory Compliance Automation

Software that ensures compliance with FDA and EMA standards is in high demand, helping to maintain data integrity, audit readiness, and regulatory adherence, thereby reducing the risk of non-compliance.

Life Science Software Market Trends

The rising demand for life science software is driven by innovations in imaging technologies and diagnostic software, which improve the speed and accuracy of disease diagnosis, leveraging AI for enhanced image analysis.

Moreover, automation technologies such as robotic process automation (RPA) and laboratory automation enhance efficiency in research and manufacturing by reducing errors, increasing productivity, and enabling precise tasks.

Life Science Software Industry Segmentation

“Life Science Software Market Report and Forecast 2024-2032” offers a detailed analysis of the market based on the following segments:

Market Breakup by Component

• Software

• Service

Market Breakup by Deployment

• Cloud-based 

• On-premises

Market Breakup by Application

• Research and Development

• Clinical Trials 

• Drug Safety

• Regulatory Compliance

• Supply Chain Management

• Others

Market Breakup by End User

• Pharmaceuticals 

• Biotechnology 

• Others

Market Breakup by Region

• North America

• Europe

• Asia Pacific

• Latin America

• Middle East and Africa

Life Science Software Market Share

Software components enhance the life science software market by enabling sophisticated data analysis, allowing researchers to derive meaningful insights from complex datasets more efficiently.

Software components facilitate the adoption of emerging technologies such as artificial intelligence, machine learning, and cloud computing, which further drive innovation and growth in the life sciences sector.

Service providers offer consulting services to help life science companies implement and optimize software solutions tailored to their specific needs, driving adoption and utilisation.

Cloud-based deployment contributes to the life science software market growth by facilitating data integration and interoperability by providing APIs and standardised protocols for accessing and sharing data across different systems and applications.

Leading cloud service providers offer robust security measures and compliance certifications, ensuring the protection of sensitive data under industry regulations such as HIPAA and GDPR.

On-premises deployment assures organisations that their data remains within their physical control and jurisdiction, mitigating concerns related to data sovereignty and geopolitical risks associated with storing data in third-party cloud environments.

Leading Manufacturers in the Life Science Software Market

The companies are providers of healthcare solutions, services, and products such as asset management, AI, machine learning, and others.

CPSI: Founded in 1979 and is headquartered in the United States.  CPSI is a top provider of healthcare solutions and services designed for community hospitals, clinics, and post-acute care facilities.

SAP SE: Established in 1972 and is headquartered in Walldorf, BW. The company offers various products under segments including based on industry, category, business technology platform, business transformation management, and featured.

Autodesk Inc.: Founded in 1982 and is headquartered in San Francisco, CA. The company's technology spans architecture, engineering, construction, product design, manufacturing, and media and entertainment.

International Business Machines Corp: Established in 1911 and is headquartered in Armonk, New York. The company offers various products including AI and machine learning, asset management, analytics, business automation, and other products.

Other global life science software market key players are Medidata Solutions, Inc., Veeva Systems, PAREXEL International Corporation, QuintilesIMS Incorporated, Optum Inc., Cerner Corporation, and Cognizant, among others.

Life Science Software Market Analysis by Region

During the forecast period, North America is poised to lead, driven by abundant market opportunities and the presence of key players. The region's market growth is further expected to be propelled by the demand for patient data security, convenient data access, and efficient data management.

According to GOI, the Ministry of Chemicals & Fertilizers Department of Pharmaceuticals, in the fiscal year 2021-22, the total annual turnover of Pharmaceuticals was USD 46,457 million whereas in 2020-2021 it was USD 44,287 million. This indicates the rise in the demand for life science software market in India.

According to the National Science Board, The U.S. research and experimental development (R&D) performance reached USD 667 billion in 2019 and an estimated USD 708 billion in 2020. This increase in the R&D performance has resulted in rising demand for the life science software market in the country.

Key Highlights of the Report

Life Science Software Market Report Snapshots

Life Science Software Market Size

Life Science Software Market Growth

Life Science Software Market Trends

Life Science Software Market Share

Life Science Software Manufacturers

Life Science Software Market Regional Analysis