Originally Published IVD Technology
May 2003
INDUSTRY NEWS
Growth of diagnostics in SNP detection market shows promise |
| Table I. Percentage of revenues by segment in the U.S. SNP detection technology market. Source: Frost & Sullivan. (Click to enlarge). |
Revenues generated from the development of diagnostics in the single nucleotide polymorphism (SNP) detection technology market are expected to grow at a rapid pace during the next few years. According to a Frost & Sullivan report entitled, “U.S. SNP Detection Technology Market,” the market share of the diagnostics segment will grow from 11% in 2001 to 33% by 2009.
The report stated that the total SNP detection market generated $91.28 million in 2001. At a compound annual growth rate of 25%, this market is estimated to reach $310.76 million by 2008. While basic research in academic, government, and institutional laboratories comprised the largest market segment in 2001, growth in other segments is expected to be substantial, resulting in a shift in this market’s dynamic. In particular, the health management and diagnostics segments are anticipated to generate the largest revenue share by 2009 (see Table I).
To achieve this growth, the report stated that the SNP detection market will encounter a number of challenges. One of the main challenges is addressing the ethical, privacy, and social concerns affecting the willingness and acceptance of those persons to be genotyped. For example, nearly one-third of women offered a genetic test for breast cancer at the National Institutes of Health (Bethesda, MD) declined, due to concerns about potential health insurance discrimination. The confidentiality question of who has access to an individual’s genetic information generated by such tests is crucial.
Industry analysts agreed with the report’s findings, that the development of diagnostics will play an important role in the future growth of the SNP detection market.
“The market for detecting SNPs is limited by their utility rather than on the availability of analytical technology,” says Richard Schifreen, PhD, director of technology and market development at Promega Corp. (Madison, WI). “While impressive collections of human SNPs have been developed, they have not yet yielded new useful diagnostic tests. For the present, our understanding of the biology related to SNPs lags behind our ability to detect them. Ultimately, the growth of the market for SNP detection technology will be driven by their potential in research and utility as diagnostic markers.”
Additional information about this report can be accessed via the Frost & Sullivan Web site at
http://www.frost.com.
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