The global Cloud Computing in Pharmaceutical market size is projected to reach USD 59,371.09 million by 2030, from USD 17,235.14 million in 2021, and is anticipated to register a CAGR of 14.6% between 2022 and 2030.
Advancements in research and development (R&D) and innovation in process development are expected to play a vital role in shaping the pharmaceutical sector. Cloud computing has facilitated faster innovation to address challenges in the pharmaceutical industry. As per the Healthcare Information and Management Systems Society analytics survey, over 83% of pharmaceutical companies are already using cloud technology.
Benefits such as improving data quality to support sales or providing practical ways for clinical trial site managers to communicate across wide geographies are expected to drive market growth during forecast years.
Research and development (R&D), clinical trials and personalized medicine are key application areas for cloud computing in pharmaceutical industry. Research and development forms a complex area due to big data, industry regulations and security requirements and it requires the recording, storage, processing, and analysis of massive amounts of clinical data. Oracle and Accenture have developed the cloud-based solution, Accenture Life Sciences Cloud (ALSC), to provide pharma companies with enhanced analytical capabilities while streamlining the industry’s drug development operations.
Clinical trials enabled by the cloud have been driving market growth in recent years. Implementing a cloud solution in the clinical trial stage of development helps improve quality and increase consistency of data. Oracle has developed “the Clinical One Platform”, a cloud platform that manages clinical trials, from randomizing patient participants to tracking budgets, ensuring trial safety. Since its introduction, more than 1000 patients have already been screened and 78% of them randomized through the cloud service.
Cloud computing offers cost savings, scalability of service and new classes of services and applications in the pharmaceutical industry wherein the emergence of value-based care and personalized medicine are creating avenues for further advancements. Cloud computing software such as remote monitoring algorithms are developed specifically to a chronically ill patient’s unique symptoms and detect deterioration prior to an acute event. However, a concern with cloud computing in pharmaceutical industry is the security of sensitive information as pharmaceutical companies hold vast amounts of sensitive data, including intellectual property and patient information.
|Market Size||USD 17,235.14 million|
|Fastest Growing Market||North America|
|Largest Market||Asia Pacific|
|Report Coverage||Revenue Forecast, Competitive Landscape, Growth Factors, Environment & Regulatory Landscape and Trends|
North America is a prominent region in the global cloud computing in pharmaceutical industry market with the region witnessing steady advancements and innovations in the pharmaceutical industry. The increasing adoption of Information Technology in the pharmaceutical industry is also pegged to be a key driver for the North America market. Government support for incorporation of IT in the pharmaceutical sector, coupled with high healthcare expenditure in the region, is expected to further fuel market growth in North America. In addition, greater longevity in humans, growth of geriatric population, which consumes three times as many drugs as the young population, and growing demand in developing regions are among the key factors expected to create noteworthy opportunities for market growth.
Europe is one of the most promising regions in the global cloud computing in pharmaceutical industry market. Many pharmaceutical companies around the globe have been increasingly adopting cloud computing software; for instance, GSK deploys all email and collaboration technology in the Microsoft Cloud. Growing awareness regarding the benefits of going green and factors such as flexibility and scalability, coupled with reduced prices, are expected to contribute to the market’s growth momentum in Europe.
The Asia Pacific cloud computing in pharmaceutical industry market has been witnessing rapid growth with the high prevalence of chronic diseases alongside technological advancements and product innovation. Development of Asia Pacific’s pharmaceutical industry and demographic shift in emerging countries such as India and China are slated to create lucrative opportunities for market growth in the coming years.
The LAMEA region is projected to register a healthy growth rate in the cloud computing in pharma industry market during the forecast period. The growth of cloud infrastructure in countries such as Qatar and Saudi Arabia has gained momentum, which has been providing impetus to the market growth in the region.
The global cloud computing in pharmaceutical industry market has been segmented on the basis of service type, deployment model, and application.
On the basis of service type, the market has been segmented into Software-as-a-Service (SaaS), Infrastructure-as-a-Service (IaaS), and Platform-as-a-Service (PaaS). Among these, Software-as-a-Service (SaaS) is projected to grow at the highest rate during the forecast period–2026, as SaaS allows for a ‘plug-in and play’ solution where companies can use the services they require at any location and on any device.
By deployment type, the market has been segmented into private cloud, public cloud, and hybrid cloud. The hybrid cloud segment is anticipated to grow with the highest CAGR, as it gives companies the option to store core confidential data and applications on a private cloud and leverage the power of the public cloud when necessary.
By application, the cloud computing in pharmaceutical industry market has been segmented into PMS (Production Management System), EMR, Online Sales, and Others. PMS application is anticipated to register the fast growth, as these systems ensure quality and meet FDA, GMP and ISO requirements with fully-integrated processes and e-signatures.