The artificial intelligence (AI) in drug discovery market centers on using advanced algorithms, machine learning, and deep learning to accelerate the identification and development of new drugs. AI platforms analyze massive biological, chemical, and clinical datasets to predict drug-target interactions, optimize lead compounds, and streamline preclinical and clinical trial design, reducing time and cost compared to traditional methods. Market growth is driven by the rising need for faster, more cost-efficient drug development, the increasing complexity of diseases such as cancer and neurological disorders, and expanding collaborations between pharmaceutical companies and AI technology providers. Key applications include target identification, molecule screening, biomarker discovery, and drug repurposing. North America leads the market due to strong R&D investment, robust biotech ecosystems, and supportive regulatory frameworks, while Europe follows closely. Asia-Pacific is emerging rapidly as governments and pharmaceutical companies invest in AI-driven research. Challenges include data privacy concerns, integration with existing drug development pipelines, and the need for high-quality training data.
The global artificial intelligence (AI) in drug discovery market size was valued at USD 3.00 billion in 2022 and is projected to grow from USD 3.54 billion in 2023 to USD 7.94 billion by 2030, exhibiting a CAGR of 12.2% during the forecast period (2023–2030). North America dominated the market with a 69.33% share in 2022, supported by strong R&D investments, early adoption of AI-driven platforms, and the presence of leading pharmaceutical and biotech companies.
In November 2022, Cyclica received a USD 1.8 million grant from the Bill & Melinda Gates Foundation. The grant is to apply its AI-enabled drug discovery platform to discover new non-hormonal contraceptives, leveraging multiple low-data biological targets.