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Live Cell Encapsulation Market - Growth, Trends, COVID-19 Impact, and Forecasts (2023 - 2028)

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  • 120 Pages
  • April 2023
  • Region: Global
  • Mordor Intelligence
  • ID: 4896230

Quick Summary:

In an era where integration of technology and health has become paramount, keeping abreast with the latest advancements in treatments and therapy is pivotal. Our comprehensive report explores the promising landscape of the live-cell encapsulation market, outlining key trends, future prospects, and critical obstacles. This market is projected to show substantial growth, propelled by a rise in research programs focused on clinical efficacy of cell encapsulation, and its heightened application in developing therapies for chronic diseases such as diabetes and cancer.

Our in-depth analysis underscores the instrumental role of public-private investments in promoting product development. The report further addresses the challenges posed by high costs of quality raw materials and the uptake of alternative therapies. A special focus is placed on the drug delivery segment, a vital contributor to this market, where live-cell encapsulation produces forms widely used in drug delivery systems. The segment's growth is bolstered by advantages such as improved efficacy, reduced toxicity, and improved patient compliance.

The report offers a geographical review, emphasizing North America's domination of the market due to factors such as key market players, increasing healthcare expenditure, and substantial funding for research and development programs. A snapshot of the competitive landscape, including key players such as Viacyte, Living Cell Technologies, and Sernova Corporation is also included, giving you a full view of the performance, strategies, and upcoming opportunities within the market.

The live-cell encapsulation market is expected to increase with a CAGR of nearly 3.2% during the forecast period.

The Live-cell encapsulation market was significantly impacted by COVID-19. However, various COVID-19 vaccines are RNA encapsulated, impacting market growth over the pandemic period. For instance, according to the study published in the Journal of Virus Research in October 2021, 1273 mRNA is a vaccine made up of synthetic mRNA encapsulated in lipid nanoparticles (LNPs) that codes for SARS-full-length, CoV-2's pre-fusion stabilized spike protein. Additionally, in May 2021, Moderna and the Vaccine Research Centre worked on an mRNA-based vaccine candidate encapsulating the mRNA in lipid nanoparticles, while Codagenix worked on a live attenuated viral vaccine in collaboration with the Serum Institute of India. Thus, the use of live cell encapsulation procedures in the development of COVID-19 treatment therapies during the pandemic had a notable impact on the market growth. In addition, the demand for live cell encapsulation is expected to remain intact due to the increasing focus on developing treatment therapies against the mutant strain of SARS-CoV-2, fueling the market's growth over the forecast period.

The major factors, such as increasing research programs to establish the clinical efficacy of the cell encapsulation process, are expected to boost market growth. The rising application of live cell encapsulation in developing treatment therapies for major chronic diseases like diabetes, cancers, autoimmune diseases, etc., is also expected to contribute to the market's growth over the forecast period. For instance, according to the study published in the NGP Asia Material in May 2022, blood glucose levels and body weights improved with live cell porous microcapsules encasing cells. These characteristics suggest that porous microcapsules encasing cells are effective in treating diabetes, and researchers believe that because of their superior capabilities, this method will be widely used in the clinic. Thus, the efficacy of live cell encapsulation therapy in treating diabetes is expected to drive the demand for live cell encapsulation, thereby boosting the market's growth over the forecast period.

Moreover, the rising diabetes population worldwide is expected to drive the demand for live cell encapsulation for the development of innovative therapies, thereby contributing to the market's growth. For instance, as per the September 2021 report by the International Diabetes Federation, Diabetes affected approximately 537 million adults (20-79 years) in 2021. By 2030, the total number of diabetes is expected to reach 643 million; by 2045, it will reach 783 million. Thus, the rising number of cases creates a huge opportunity for the market player to bring the novel live cell encapsulated drug for treating people with diabetes, expected to boost the market growth.

Furthermore, another major driving factor accrediting the growth of the live-cell encapsulation market is rising public-private investments to fund product development. For instance, in July 2021, Austrianova developed a novel and proprietary technology for encapsulating living mammalian (Cell-in-a-Box) and bacterial (Bac-in-a-Box) cells using cellulose sulfate-based materials received an investment from Real Tech. Such investments in the development of live cell encapsulation are expected to contribute to the market's growth.

However, the high cost of good-quality raw materials and adopting alternative therapies are major factors restraining the market's growth.

Live Cell Encapsulation Market Trends

Drug Delivery Segment is Expected to be the Major Contributor to the Live Cell Encapsulation market

Live cell encapsulation produces tablets, capsules, and parenteral dosage forms and is widely used in drug delivery systems. The increasing use of cell encapsulation for drug delivery drives this segment's growth, owing to its procedural advantages, such as improved efficacy, reduced toxicity, and improved patient condition.

The advantages of live cell encapsulated drug delivery include high efficacy, tolerability, and patient compliance. For instance, according to the Elsevier study article published in October 2021, live cell encapsulation improves drug solubility and permeability, bioavailability, reduces side effects, and improves therapeutic efficiency while providing preferential accumulation of active molecules at specific tissue sites or cells. Thus, the advantages of live-cell encapsulation in drug delivery are expected to drive the demand for live-cell encapsulation, thereby anticipated to boost segment growth.

Additionally, various market players involved in developing encapsulated drug deliveries and market player strategies are also expected to contribute to the market's growth. For instance, in May 2022, Pancryos signed a licensing deal with Brigham and Women's Hospital to develop microencapsulation for treating type 1 diabetes. Similarly, in February 2021, ViaCyte Inc. announced initiating a phase 2 study of encapsulated cell therapy for type 1 diabetes patients. The study will advance a leading encapsulated cell therapy candidate to replace the insulin-producing cells lost in type 1 diabetes.

Thus, all factors above, such as the efficacy of live cell encapsulation in drug delivery product developments by various market players and the rising prevalence of chronic diseases such as diabetes, are anticipated to boost segment growth over the forecast period.

North America is Expected to Hold a Significant Share in the Live Cell Encapsulation Market Over the Forecast Period

North America is expected to dominate the overall live-cell encapsulation market throughout the forecast period. The market growth is due to factors such as the presence of key players, increasing per capita healthcare expenditure, increasing funding and investment for research and development programs in the United States and Canada, and established healthcare infrastructure are the key factors accountable for its large share in the market.

According to a report published in September 2021 by the Pharmaceutical Research and Manufacturers of America (PhRMA), Untill 2021, biopharmaceutical companies invested more than a trillion dollars in research and development, PhRMA member companies invested about USD 91 billion in research and development Additionally, the in December 2021, Government of Alberta announced USD 5.6 million funding to strengthen Alberta's life sciences and pharmaceutical sector in Canada. Thus, increasing research and development spending along with high investments is expected to create a huge opportunity for the market players in order to develop advanced therapies involving live cell encapsulation procedures, thereby contributing to the growth of the market.

Furthermore, rising product developments by various market players in the region are expected to boost market growth. For instance, in November 2021, PharmaCyte Biotech, Inc., a biotechnology company focused on developing cellular therapies for cancer and diabetes using its signature live-cell encapsulation technology, Cell-in-a-Box, recently confirmed that the empty capsule material used in its CypCapsTM pancreatic cancer product does not irritate the skin and can be brought into the market. Thus, such product developments are expected to contribute to the growth of the market over the forecast period.

Thus, all aforementioned factors, such as increasing investments in research and development and rising funding from the government along with the presence of key market players, are anticipated to boost the market over the forecast period.

Live Cell Encapsulation Industry Overview

The live-cell encapsulation market is relatively competitive and consists of several major players. Some of the companies which are currently dominating the market are Viacyte, Inc, Living Cell Technologies Limited., Diatranz Otsuka Ltd, PharmaCyte Biotech Inc., Sernova Corporation, Sigilon Therapeutics, Inc., BÜCHI Labortechnik AG, Blacktrace Holdings Ltd.

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Table of Contents

1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
4.1 Market Overview
4.2 Market Drivers
4.2.1 Growing Public-Private Investments in the Biotechnology Research
4.2.2 Increasing Research to Establish the Clinical Efficacy of Cell Encapsulation
4.2.3 Rising Public Awareness for Role of Encapsulated Cells in Disease Management
4.3 Market Restraints
4.3.1 Limited Availability of Good Quality Raw Material
4.3.2 Adoption of Alternative Therapies
4.4 Porter's Five Forces Analysis
4.4.1 Threat of New Entrants
4.4.2 Bargaining Power of Buyers/Consumers
4.4.3 Bargaining Power of Suppliers
4.4.4 Threat of Substitute Products
4.4.5 Intensity of Competitive Rivalry
5 MARKET SEGMENTATION (Market Size by Value - USD million)
5.1 By Manufacturing Technique
5.1.1 Simple Dripping
5.1.2 Electrostatic Dripping
5.1.3 Coaxial Airflow
5.1.4 Rotating Disk Atomization
5.1.5 Others
5.2 By Polymer Type
5.2.1 Alginate
5.2.2 Chitosan
5.2.3 Silica
5.2.4 Cellulose Sulfate
5.2.5 Others
5.3 By Application
5.3.1 Drug Delivery
5.3.2 Regenerative Medicine
5.3.3 Cell Transplantation
5.3.4 Others
5.4 Geography
5.4.1 North America United States Canada Mexico
5.4.2 Europe Germany United Kingdom France Italy Spain Rest of Europe
5.4.3 Asia-Pacific China Japan India Australia South Korea Rest of Asia-Pacific
5.4.4 Middle East and Africa GCC South Africa Rest of Middle East and Africa
5.4.5 South America Brazil Argentina Rest of South America
6.1 Company Profiles
6.1.1 Viacyte, Inc.
6.1.2 Living Cell Technologies Limited.
6.1.3 Diatranz Otsuka Ltd
6.1.4 PharmaCyte Biotech Inc
6.1.5 Sernova Corp
6.1.6 Sigilon Therapeutics, Inc.
6.1.7 Buchi Labortechnik AG
6.1.8 Blacktrace Holdings Ltd.
6.1.9 Atelerix Ltd.
6.1.10 Neurotech Pharmaceuticals, Inc
6.1.11 Kadimastem
6.1.12 Austrianova

Companies Mentioned

A selection of companies mentioned in this report includes:

  • Viacyte, Inc.
  • Living Cell Technologies Limited.
  • Diatranz Otsuka Ltd
  • PharmaCyte Biotech Inc
  • Sernova Corp
  • Sigilon Therapeutics, Inc.
  • Buchi Labortechnik AG
  • Blacktrace Holdings Ltd.
  • Atelerix Ltd.
  • Neurotech Pharmaceuticals, Inc
  • Kadimastem
  • Austrianova