Germany Bioinformatics Market Analysis

Germany Bioinformatics Market Executive Summary

The Germany Bioinformatics market is projected to grow from $561.8 Mn in 2022 to $1659.7 Mn by 2030, registering a CAGR of 14.5% during the forecast period of 2022 - 2030. Germany spent $4,874.39 per person on health in 2019 which was 28% higher than the average throughout the EU ($3,812). Additionally, Germany spends greater portions of its GDP on health (11.7%) than any other EU nation. Only 12.7% of people pay for their own healthcare, which is significantly less than the majority of other EU nations as the majority of health spending is funded by public sources.

Bioinformatics is the interdisciplinary field of biology and information technology. Data generation, data warehousing, data mining, data management, and other techniques are all used in bioinformatics. Bioinformatics software and tools are used as integrated solutions that offer algorithms and statistical methodologies for data processing for applications including next-generation sequencing, genomic and proteomic structure and modeling, and three-dimensional drug design. The bioinformatics market in Germany is one of the fastest expanding in all of Europe owing to rapid advancements in bioinformatics technologies.

Market Dynamics

Market Growth Drivers

In the fields of science and technology, Germany has a long history of excellence. The nation's numerous colleges and research facilities, many of which have thriving bioinformatics departments, are evidence of this. For instance, various research groups engaged in bioinformatics and computational biology can be found at the Max Planck Society, a renowned German organization for scientific study. This strong R&D in the field will boost the growth of the market. Moreover, the German government has also acknowledged the importance of bioinformatics and is providing funding and support for the development of the industry. The German Network for Bioinformatics Infrastructure (de.NBI) supported by the German Federal Ministry of Education and Research (BMBF), intends to provide high-quality, frequently demanded bioinformatics services, such as software, consultancy, and training.

Market Restraints

The price of bioinformatics software and tools can be relatively exorbitant, which may discourage some businesses and researchers from making investments in the sector. Moreover, Germany's bioinformatics sector is suffering from a lack of qualified workers. The difficulty for businesses to obtain the talent they require to develop and promote new products can limit the growth of the German bioinformatics sector.

Competitive Landscape

Key Players

• Biomax Informatics AG (DEU)
• Qiagen (DEU)
• Nostos Genomics (DEU)
• Decodon GmbH
• Affymetrix GmbH
• Illumina Inc.

Notable Recent Deals

January 2023: QIAGEN acquired Verogen to bolster its leadership in the rapidly expanding field of human identification and forensics, which is supported by sample preparation, genetic testing analysis, and process automation. The agreement was built upon a relationship that Verogen and Illumina MiSeq FGx, NGS-based panels, and GEDmatch bioinformatics products distributed starting in 2021.

September 2020: Illumina partnered with Roche and a software suite to speed up the uptake of genomics and announced new sequencing systems. As agreed in the contract, Illumina will grant Roche the license to develop and sell IVD tests for Illumina's NextSeqTM 550Dx System as well as for its future NovaSeqDx diagnostic sequencing system. In return, Roche will collaborate with Illumina to enhance TruSight Oncology 500, Illumina's comprehensive pan-cancer assay, with new Companion Diagnostic (CDx), claims (TSO 500).

Healthcare Policies and Regulatory Landscape

The regulatory landscape for the bioinformatics market in Germany is complex and multifaceted. It is governed by various laws, regulations, and guidelines at the national and European levels. The Medical Devices Directive (MDD) outlines the standards for the development, production, and distribution of medical devices in the European Union. All businesses in the EU that process personal data must comply with the General Data Protection Regulation (GDPR), and this includes bioinformatics businesses. Further, companies that intend to perform clinical trials for bioinformatics products in Germany must adhere to the German Medicines Act and the EU Clinical Trials Regulation (CTR).

Reimbursement Scenario

The main reimbursement system in Germany is the Statutory Health Insurance (SHI) system, which is funded by contributions from employers and employees. Medical equipment, pharmaceuticals, and bioinformatics products are covered by German statutory health insurance funds. The German Institute for Quality and Efficiency in Healthcare (IQWiG) evaluates the therapeutic value and economic efficiency of bioinformatics products through health technology evaluations (HTAs).