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The increasing pressure for cost-driven development and regulatory and regional trends are inducing industry participants to adopt innovative integrated business models so as to align themselves as one-stop-shop solution providers as opposed to the traditional functional service providers, thereby, creating a mutually beneficial symbiotic relationship across the In-vitro Diagnostics (IVD) and Contract Manufacturing and Outsourcing (CMO) industry. CMO is a highly fragmented market with more than 250 participants spread across regions and serving the industry. A moderate 8.8% growth is expected, to reach a size of $11.04 billion by 2022. Despite fragmentation, the top-5 participant’s account for more than 46.1% of the market, indicating their dominance. Owing to a stronger presence of market leaders in North America, the region leads, followed by Europe. APAC is the fastest-growing market. Millipore Sigma, Agilent Technologies, Tecan, Fujifilm Wako Diagnostics, Flex Ltd, rank as the top CMOs.

POC MDx will be the fastest-growing segment in the IVD space, providing growth opportunities for manufacturing and development firms. It will target non-traditional laboratory testing in scenarios where quick medical decisions are needed, e.g., infectious disease surveillance, life-threatening diseases that require immediate treatment, or in emerging economies with low technical skills to cope with infectious disease burden. Specialized technology vendors are positioning themselves in the CMO industry with increased consolidation. The US and China trade tiff will lead to an increase in the cost of consumables, electronics, and reagents produced in China.