United States Next-Generation Sequencing Market Size & Forecast, 2026–2034

Market Overview

The United States Next-Generation Sequencing (NGS) Market is projected to witness robust growth over the forecast period, driven by strong adoption across healthcare, biotechnology, and pharmaceutical research. According to Renub Research, the market is expected to expand from US$ 4.62 billion in 2025 to US$ 20.23 billion by 2034, registering a compound annual growth rate (CAGR) of 17.83% from 2026 to 2034.

This remarkable expansion reflects the growing importance of genomic technologies in precision medicine, oncology diagnostics, rare disease detection, and drug discovery. Advances in sequencing platforms, bioinformatics capabilities, and declining sequencing costs are further strengthening market momentum across the United States.

Next-Generation Sequencing in the United States: Market Analysis

Next-Generation Sequencing (NGS), also referred to as second-generation sequencing, represents a transformative genomic technology that enables high-speed sequencing of DNA and RNA. Unlike traditional sequencing methods, NGS can simultaneously analyze millions of nucleic acid fragments, allowing researchers and clinicians to generate whole-genome, whole-exome, transcriptome, or targeted sequencing data efficiently and cost-effectively.

In the United States, NGS has become one of the most widely adopted platforms in genomics research and clinical diagnostics. Applications span cancer genomics, rare genetic disorders, infectious disease surveillance, reproductive health, and pharmaceutical research. The country’s leadership in biomedical innovation, combined with a strong regulatory and funding ecosystem, has positioned the U.S. as a global hub for next-generation sequencing adoption.

Key Growth Drivers in the United States NGS Market

Rising Adoption of Precision Medicine

Precision medicine is a primary growth engine for the U.S. Next-Generation Sequencing market. NGS enables detailed genetic profiling, allowing clinicians to identify disease-causing mutations, select targeted therapies, and predict patient responses to treatment. This capability is particularly critical in oncology, inherited diseases, and rare genetic conditions.

National precision medicine initiatives and large-scale sequencing programs continue to integrate NGS into routine clinical workflows. Pharmaceutical companies are also leveraging NGS to develop companion diagnostics and stratify patient populations during clinical trials. In November 2025, Precision Medicine Group announced the launch of Institute Precision, a global expert networking initiative designed to address complex challenges in biopharma innovation, further reinforcing the role of genomics in personalized healthcare.

Strong Research Infrastructure and Genomics Funding

The United States benefits from world-class genomics research infrastructure supported by sustained public and private investments. Government agencies, academic institutions, and biotechnology firms are actively funding population genomics, translational research, and clinical genomics programs.

NGS is widely used in cancer research, infectious disease monitoring, and functional genomics studies. Continuous investments in advanced sequencing platforms and data analytics are enabling broader adoption across research and clinical settings. In February 2025, Foundation Medicine introduced new germline testing solutions in the U.S., strengthening the role of NGS in inherited cancer diagnostics.

Technological Advancements and Cost Reductions

Rapid technological innovation has significantly enhanced the performance of NGS platforms. Improvements in sequencing chemistry, automation, and bioinformatics tools have resulted in higher accuracy, faster turnaround times, and reduced per-sample costs.

The introduction of compact benchtop sequencers has expanded NGS accessibility to hospitals and smaller laboratories. These systems enable decentralized testing and faster clinical decision-making. In January 2024, the U.S. saw the release of advanced bioinformatics software upgrades, further supporting efficient genomic data analysis and workflow optimization.

Challenges in the United States Next-Generation Sequencing Market

Complex Data Management and Interpretation

Despite its advantages, NGS generates vast volumes of complex genomic data that require advanced computational infrastructure and skilled personnel for interpretation. Many healthcare facilities face challenges related to data storage, integration, and analysis.

The shortage of trained bioinformaticians and genetic counselors increases operational costs and limits adoption, particularly for smaller laboratories and community hospitals.

Regulatory and Reimbursement Uncertainty

Regulatory approval pathways and reimbursement policies for NGS-based diagnostics remain inconsistent across the U.S. healthcare system. Variations between public and private insurance coverage create financial uncertainty for diagnostic laboratories and test developers. Compliance with evolving regulatory frameworks also increases development costs and may delay market entry for innovative tests.

United States Next-Generation Sequencing Market by Segment

NGS Instruments Market

The U.S. NGS instruments segment is driven by demand from research institutions, clinical laboratories, and pharmaceutical companies. High-throughput and benchtop sequencing platforms are widely used for cancer genomics, infectious disease testing, and whole-genome sequencing. Continuous upgrades and innovation sustain long-term growth in this segment.

NGS Services Market

NGS services are gaining popularity among organizations seeking to avoid high capital investments in sequencing infrastructure. Outsourced sequencing and data interpretation services are widely used in clinical research and pharmaceutical development, supporting market expansion.

NGS Diagnostics Market

NGS-based diagnostics are increasingly used for cancer profiling, rare disease diagnosis, prenatal screening, and pathogen detection. Growing clinical acceptance, expanding test menus, and improving reimbursement coverage for select indications are fueling growth in this segment.

Drug Discovery NGS Market

NGS plays a critical role in U.S. drug discovery by enabling target identification, biomarker analysis, pharmacogenomics, and companion diagnostic development. Pharmaceutical and biotechnology companies rely on NGS to understand disease mechanisms and genetic variability, improving efficiency in preclinical and clinical research. Rising investment in biologics and precision therapeutics continues to drive this segment forward.

Market by Technology

Sequencing by Synthesis (SBS)

Sequencing by synthesis dominates the U.S. NGS market due to its high accuracy, scalability, and broad application range. It is extensively used in whole-genome, whole-exome, RNA, and targeted sequencing. Continuous automation and workflow improvements have made SBS the most commercially successful NGS technology in the United States.

Ion Semiconductor Sequencing

Ion semiconductor sequencing is gaining traction for targeted and rapid sequencing applications. Its optical-free detection system enables shorter run times and reduced complexity, making it suitable for clinical laboratories and time-sensitive diagnostic settings. While its market share remains smaller than SBS, innovation continues to support steady growth.

End-User Analysis

Hospitals and Clinics

Hospitals and clinics are emerging as key end users of NGS as genomic testing becomes more integrated into routine healthcare. Applications include oncology profiling, rare disease diagnosis, prenatal screening, and infectious disease detection. Improved reimbursement policies and increasing clinician awareness are accelerating adoption across U.S. healthcare facilities.

Regional Insights

California

California represents one of the most advanced NGS markets in the U.S., supported by a dense concentration of biotech firms, research institutions, and venture capital investment. Strong government funding and early technology adoption drive extensive use of NGS in cancer research, rare disease diagnostics, and drug development.

New York

New York’s robust academic and healthcare ecosystem supports large-scale adoption of NGS in precision medicine and translational research. High patient volumes enable population-scale genomic studies, reinforcing the state’s leadership in genomic healthcare innovation.

New Jersey

New Jersey’s strong pharmaceutical and biotechnology presence makes it a key contributor to the U.S. NGS market. The technology is widely used for drug discovery, biomarker identification, and clinical trials, with hospitals increasingly adopting NGS-based diagnostics.

Texas

Texas is one of the fastest-growing NGS markets in the U.S., driven by population growth, expanding healthcare infrastructure, and rising cancer incidence. Investments in genomics research and biotechnology support widespread adoption across diagnostics and research applications.

Competitive Landscape

The U.S. Next-Generation Sequencing market is highly competitive, with major players focusing on innovation, strategic partnerships, and portfolio expansion. Key companies covered in the market analysis include:

Illumina

Thermo Fisher Scientific

Pacific Biosciences

QIAGEN N.V.

Roche

Bio-Rad Laboratories, Inc.

Takara Bio Inc.

Hamilton Company

Geneious

bioMérieux SA

Each company has been evaluated across five viewpoints: overview, key leadership, recent developments, SWOT analysis, and revenue performance.

Final Thoughts

The United States Next-Generation Sequencing Market is entering a transformative growth phase, driven by precision medicine adoption, technological innovation, and expanding clinical applications. With the market projected to reach US$ 20.23 billion by 2034, NGS is poised to become a foundational technology in modern healthcare and biomedical research.

As challenges related to data management, regulation, and reimbursement are gradually addressed, the U.S. NGS ecosystem is expected to achieve broader adoption across hospitals, research centers, and pharmaceutical companies. The continued integration of genomics into clinical decision-making will firmly establish next-generation sequencing as a cornerstone of future healthcare innovation.