It’s Only Common Sense: Selling to Today's Generation of Buyers
Dan’s Biz Bookshelf: ‘Believe in Better'
The Big Picture: Our Big ‘Why’ in the Age of AI
Google, Amazon, Facebook, and Apple Propel the Life Sciences Industry with Strategic Partnerships
July 9, 2018 | Frost & SullivanEstimated reading time: 2 minutes
Frost & Sullivan’s recent analysis, Global Life Sciences Industry Outlook, 2018, finds that healthcare digitization and consumerization, the explosion of patient data, and the emergence of value-based reimbursement models, are propelling the life sciences industry towards the $1.5 trillion milestone. The convergence of biopharmaceuticals, drug delivery devices, and companion diagnostics —enabled by digital connectivity— is driving regulatory and commercial changes in many exciting ways for the industry.
"The scope for synergies among disciplines is attracting big tech companies such as Google, Amazon, Facebook, Apple (GAFA) to the life sciences industry,” said Unmesh Lal, Program Manager, Transformational Health. "The adoption of artificial intelligence (AI) and cloud-based solutions for drug discovery and clinical trial workflow is improving the overall efficiency of production. Additionally, pathology and research laboratories are increasingly adopting health analytics solutions to track the test utilization and efficiently tackle reimbursement issues."
In 2018, innovations and new business models spun around data monetization as a result of value-based medicine; a connected ecosystem will be the most talked about areas. Incorporation of advanced technologies will drive the delivery of precision healthcare, raising the following growth opportunities:
- AI and cloud deployment in pharma research and development (R&D): Drug discovery and clinical development IT solutions spending to exceed $10 billion in 2018;
- Convergence of molecular diagnostics and big data analytics: Disruptive startups with oncology diagnostics portfolio will see high rewards from their investments;
- Smart genomics: Research labs jump-start spending on cloud, NGS and big data analytics solutions;
- Biopharma partnerships with contract development and manufacturing organizations (CDMO) and contract research organizations (CRO): Outsourcing of bio-analytical and current good manufacturing practice (cGMP) services is expected to reach $8.5 billion in 2018;
- Liquid biopsy and companion diagnostics: Roughly $500 million in venture capital funding is expected to flood the liquid biopsy space as companion diagnostic-based liquid biopsy tests gain approval from the regulatory authority; and
- Biotech expansion into CAR-T and gene therapies: Favorable tax reforms and competition for new assets could lead to higher valuations and product deal amounts.
"While the cell and gene therapy segments have shown potential, pharmaceutical and biotechnology companies continue to invest in the promising segments of oncology, cardiovascular, diabetes, and immunology. These segments not only have high unmet needs but also have high acceptability across regions," noted Lal. "Overall personalization, decentralization, collaboration, and prevention are amplifying precision health, thereby shaping the future business models and the workforce of life sciences companies.“
Global Life Sciences Industry Outlook, 2018 is part of Frost & Sullivan’s global Life Sciences Growth Partnership Service program.
About Frost & Sullivan
For over five decades, Frost & Sullivan has become world-renowned for its role in helping investors, corporate leaders and governments navigate economic changes and identify disruptive technologies, Mega Trends, new business models and companies to action, resulting in a continuous flow of growth opportunities to drive future success.
Share on:
Suggested Items
I-Connect007 Editor’s Choice: Five Must-Reads for the Week
06/27/2025 | Nolan Johnson, I-Connect007While news outside our industry keeps our attention occupied, the big news inside the industry is the rechristening of IPC as the Global Electronics Association. My must-reads begins with Marcy LaRont’s exclusive and informative interview with Dr. John Mitchell, president and CEO of the Global Electronics Association. For designers, have we finally reached the point in time where autorouters will fulfill their potential?
Reflections and Priorities: An Update to I-Connect007 Readers
06/24/2025 | Marcy LaRont, I-Connect007The electronics and manufacturing industry is evolving rapidly—with new technologies, deeper global connections, and a growing drive toward sustainability. To reflect these changes and our place in this dynamic space, we’re refreshing our brand.
The Knowledge Base: Building the Workforce of Tomorrow With EMAC
06/24/2025 | Mike Konrad -- Column: The Knowledge BaseAs the electronics manufacturing industry races to meet rising global demand and technological complexity, the need for a highly skilled, future-ready workforce has never been greater. At the forefront of addressing this challenge is The Electronics Manufacturing & Assembly Collaborative (EMAC)—a national initiative dedicated to strengthening the talent pipeline through strategic collaboration with SMTA, education, and government stakeholders.
IPC Rebrands as Global Electronics Association: Interview With Dr. John W. Mitchell
06/22/2025 | Marcy LaRont, I-Connect007Today, following a major announcement, IPC is embracing the rapid advancement of technology with a bold decision to change its name to the Global Electronics Association. This name more accurately reflects the full breadth of its work and the modern realities of electronics manufacturing. In this exclusive interview, Global Electronics Association President and CEO Dr. John W. Mitchell shares the story behind the rebrand: Why now, what it means for the industry, and how it aligns with the organization’s mission.
Global Electronics Association Debuts; New Name Elevates IPC’s 70-Year Legacy as Voice of $6 Trillion Electronics Industry
06/25/2025 | Global Electronics AssociationToday begins a new chapter for IPC as it officially becomes the Global Electronics Association, reflecting its role as the voice of the electronics industry. Guided by the vision of “Better electronics for a better world,” the Global Electronics Association (electronics.org) is dedicated to enhancing supply chain resilience and promoting accelerated growth through engagement with more than 3,000 member companies, thousands of partners, and dozens of governments across the globe.