Rising age-related neurological disorders are accelerating growth in the Drug Repositioning Service Market 2026, supported by increasing life expectancy

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How Much Is The Drug Repurposing Market Expected To Grow In Terms Of Market Value Between 2026 And 2030?

The scale of the drug repurposing market has experienced significant expansion recently. This market is projected to expand from $37.38 billion in 2025 to reach $40.95 billion by 2026, exhibiting a compound annual growth rate (CAGR) of 9.6%. Historically, this growth can be ascribed to factors such as the considerable expense and duration involved in conventional drug discovery, a rising count of unsuccessful drug candidates, the escalating occurrence of chronic and rare illnesses, restricted treatment choices for new diseases, and the early incorporation of computational approaches for drug repositioning.

The drug repurposing market size is projected to experience significant expansion in the upcoming years. It is anticipated to grow to $58.33 billion by 2030, demonstrating a compound annual growth rate (CAGR) of 9.2%. This expected growth is largely attributed to the integration of AI and machine learning in drug repurposing, increasing investment in biotech and pharma research, the expanding capabilities of contract research organizations (CROs), a rising demand for more affordable therapies, and supportive regulatory frameworks for repurposed drug approvals. Throughout the forecast period, major trends are expected to include an intensifying focus on phenotypic and target-based screening, the growing adoption of structure-based drug repositioning, advancements in approaches for identifying off-target activity, the expansion of drug repurposing applications for rare and infectious diseases, and the shortening of drug development timelines by leveraging existing molecules.

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Which Growth Drivers Are Contributing To The Progress Of The Drug Repurposing Market?

The increasing occurrence of neurodegenerative diseases is projected to stimulate the expansion of the drug repurposing market moving forward. These disorders are characterized by a progressive loss of structure or function in neurons, leading to their eventual demise. The surge in neurodegenerative conditions such as Alzheimer’s dementia is attributed to enhanced life expectancy, as aging stands as the primary risk factor contributing to the gradual decline of neuronal function over time. Drug repurposing assists in combating neurodegenerative diseases by identifying existing medications with established safety profiles that can be redirected to target specific disease pathways, thereby accelerating the development of effective treatments. For instance, in March 2023, the Alzheimer’s Association, a US-based nonprofit voluntary health organization, reported that about 6.7 million Americans aged 65 and older were living with Alzheimer’s dementia, with projections suggesting an increase to 13.8 million by 2060. Therefore, the growing prevalence of neurodegenerative diseases is a key factor propelling the growth of the drug repurposing market.

What Major Segment Divisions Exist Within The Drug Repurposing Market?

The drug repurposing market covered in this report is segmented –

1) By Type: Disease-Centric, Target-Centric, Drug-Centric

2) By Drug Molecules: Biologics, Small Molecule

3) By Therapeutic Area: Oncology, Neurology, Infectious Diseases, Cardiovascular Diseases, Autoimmune Disorders

4) By Route Of Administration: Oral, Intravenous, Topical, Inhalation, Intramuscular

5) By End-User: Pharmaceutical Companies, Research And Academic Institutes, Contract Research Organizations

Subsegments:

1) By Disease-Centric: Phenotypic Screening, Epidemiological Analysis, Clinical Observation-Based Repurposing

2) By Target-Centric: Protein Target Modulation, Pathway Modulation, Biomarker-Based Targeting

3) By Drug-Centric: Off-Target Activity Identification, Structure-Based Drug Repositioning, Adverse Effect-Based Repurposing

How Are Trends Shaping The Direction Of The Drug Repurposing Market?

Major companies operating in the drug repurposing market are prioritizing the creation of advanced technologies, like artificial intelligence (AI)-powered drug-protein interaction modeling, to accelerate the identification of new therapeutic uses for existing drugs. This AI-powered drug-protein interaction modeling leverages artificial intelligence and machine learning to predict how drugs interact with proteins throughout the human proteome, utilizing expansive datasets to enhance accuracy and confidence. As an illustration, in July 2025, Cosmos Health Inc., a US-based healthcare company, unveiled Cloudscreen 2.0, an advanced AI platform designed for drug repurposing. This next-generation system is engineered to process datasets over 100 times larger than before, enabling comprehensive analysis of drug-protein interactions. By incorporating mutagenesis data and tools for analyzing disordered proteins, the platform targets diseases such as cancer, obesity, and diabetes. Additionally, graphics processing unit (GPU)-based cloud computing empowers scalable processing, making the platform a critical innovation in accelerating research and development pipelines for drug repurposing across multiple therapeutic areas.

Which Companies Are Leading Innovation In The Drug Repurposing Market?

Major companies operating in the drug repurposing market are F. Hoffmann-La Roche Ltd , Bayer AG, Takeda Pharmaceutical Company Limited, Amgen Inc., Teva Pharmaceutical Industries Limited, Astellas Pharma Inc., UCB S.A., Eisai Co Ltd., Celltrion Inc., Evotec SE, BenevolentAI Limited, Insilico Medicine Inc., Recursion Pharmaceuticals Inc., Pharnext S.A., Healx Ltd., Algernon Pharmaceuticals Inc., BioXcel Therapeutics Inc.

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What Are The Leading Geographic Regions In The Drug Repurposing Market?

North America was the largest region in the drug repurposing market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the drug repurposing market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

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