AI to Revolutionize Pharma with 31.7% CAGR Growth

“Report Explores How AI is Driving Innovation in Drug Discovery, Clinical Trials, and Patient Engagement, Offering Market Forecasts and Strategic Insights Through 2030”

Boston, Nov. 17, 2025 (GLOBE NEWSWIRE) -- According to the latest study from BCC Research, “Artificial Intelligence (AI) in Pharmaceuticals: Global Markets” is projected to grow from $3.8 billion in 2025 to $15.2 billion by the end of 2030, at a compound annual growth rate (CAGR) of 31.7% from 2025 through 2030.

This report highlights how artificial intelligence is revolutionizing the pharmaceutical industry by improving diagnostics, accelerating drug discovery, optimizing clinical trials, and enabling personalized medicine. It provides a comprehensive analysis of market dynamics, technological advances, and investment trends, segmented by product type, application, and region. The regions covered are North America, Europe, Asia-Pacific, and the Rest of the World.

This report is especially timely as the pharmaceutical industry grapples with the urgent need to accelerate drug development, cut costs, and improve clinical success rates, challenges that AI is uniquely equipped to tackle. With recent advances in machine learning (ML) and data analytics, companies are rapidly transitioning from pilot projects to full-scale AI integration. Having up-to-date insights into market trends, investment flows, and emerging technologies is crucial for strategic planning and staying competitive in a rapidly changing landscape.

The factors driving the market’s growth include:

Increasing Adoption of AI in Clinical Trials: AI is streamlining clinical trials by improving patient recruitment, optimizing trial design, and enabling real-time monitoring. This leads to faster, more cost-effective trials with better data accuracy and higher success rates.

Faster Drug Discovery and Development: AI accelerates drug development by identifying promising compounds, predicting molecular interactions, and repurposing existing drugs. This reduces research time and costs, helping bring new treatments to market more quickly.

Demand for Precision Medicine and AI Applications: AI supports precision medicine by analyzing genetic and clinical data to tailor treatments to individual patients. It helps discover biomarkers, personalize therapies, and improve diagnostic accuracy, enhancing patient outcomes and treatment efficiency.

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Report Synopsis

Interesting fact:

• AI has helped identify new drug candidates in a matter of months, compared to years with traditional methods.

The report addresses the following questions:

1. What are the projected size and growth rate of the market?

• The global market for AI in the pharmaceutical industry was valued at $3 billion in 2024 and is expected to reach $15.2 billion by the end of 2030, at a CAGR of 31.7%.

2. What factors are driving the growth of the market?

• Key factors driving the market for AI in the pharmaceutical industry include:

• Increasing adoption of AI in clinical trials.
• Faster drug discovery and development.
• Demand for precision medicine and AI applications.

3. What are the challenges of the market?

• Key challenges include data challenges and regulatory and ethical concerns.

4. What market segments are covered in the report?

• The market is segmented based on product type, application and region. Product types include software and services. Applications include drug discovery and development, clinical trials, personalized medicines and others. Regions include North America, Europe, Asia-Pacific, and the Rest of the World (RoW). The North American region includes the U.S., Canada and Mexico. Europe includes Germany, the U.K., Italy, France, Spain, and the Rest of Europe; Asia-Pacific includes China, Japan, India, and the Rest of Asia-Pacific. The Rest of the World (RoW) includes South America, the Middle East and Africa. It includes global revenue ($ millions) for the base year 2024 and estimated data for the forecast period 2025 through 2030.

5. Which product type will be dominant through 2030?

• Software AG will dominate the market over the forecast period.

6. Which region has the largest market share in the market?

• North America accounted for 59.5% of the market in 2024.

Market leaders include:

• AICURE
• ATOMWISE INC.
• BENEVOLENTAI
• GOOGLE DEEPMIND
• HEALX
• IKTOS
• INSILICO MEDICINE
• INVENIAI LLC.
• Nvidia CORP.
• PATHAI INC.
• RECURSION
• SCHRODINGER INC.
• SYRENCLOUD INC.
• TEMPUS AI INC.
• XTALPI INC.

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