Drug Repurposing Market By Therapeutic Area (Oncology, Neurology, Infectious Diseases, Cardiovascular, Autoimmune Disorders); By Drug Type (Generic Drugs, Off-Patent Drugs, Patented Drugs); By End User (Pharmaceutical Companies, Academic and Research Institutes, Contract Research Organizations); By Geography, Segment Revenue Estimation, Forecast, 2024–2030

Introduction And Strategic Context

The Global Drug Repurposing Market will witness a robust CAGR of 7.6% , valued at USD 32.4 billion in 2024 , expected to appreciate and reach USD 50.3 billion by 2030 , according to Strategic Market Research.

 

This market focuses on identifying new therapeutic uses for existing or previously approved drugs, shortening the development cycle compared to traditional drug discovery. It has gained strategic relevance in 2024–2030 due to mounting healthcare costs, increasing chronic disease prevalence, and the urgency of addressing rare and neglected diseases.

 

Globally, drug repurposing aligns with regulatory initiatives supporting adaptive licensing and accelerated approval pathways. Advances in computational biology, AI-driven molecular modeling , and real-world evidence (RWE) analytics have made the process more precise, reducing both time and cost. This is particularly relevant in areas like oncology, neurology, and infectious diseases, where unmet medical needs remain high.

 

Key stakeholders include pharmaceutical manufacturers, biotechnology firms, contract research organizations (CROs), academic research centers , patient advocacy groups, and government health agencies. Investors are increasingly attracted to this market due to its lower attrition rate, high return on investment, and strong patent extension opportunities.

 

Given the mounting pipeline of drug repositioning projects, combined with the strategic collaboration between AI developers and pharmaceutical companies, the drug repurposing market is expected to cement its role as a mainstream R&D strategy by the end of the forecast period.

 

Market Segmentation And Forecast Scope

The drug repurposing market can be segmented across multiple dimensions to capture its operational and commercial landscape. For clarity and strategic evaluation, the following segmentation approach is used:

By Therapeutic Area

• Oncology

• Neurology

• Infectious Diseases

• Cardiovascular Disorders

• Autoimmune and Inflammatory Conditions

• Others (including rare and neglected diseases)

Oncology is projected to hold the largest share in 2024, supported by the high number of ongoing trials exploring alternative cancer indications for approved drugs. Neurology is expected to be the fastest-growing segment, driven by repositioning initiatives targeting Alzheimer’s, Parkinson’s, and rare neurodegenerative disorders.

 

By Drug Type

• Small Molecules

• Biologics

Small molecules dominate the market due to their established safety profiles and easier reformulation processes, though biologics are increasingly being repurposed for autoimmune and oncology indications.

 

By Technology Platform

• Computational Modeling & AI-based Screening

• High-throughput Screening (HTS)

• Genomics-Driven Repurposing

• Others (including phenotypic screening)

Computational and AI-based screening methods are projected to expand rapidly, providing pharmaceutical companies with faster, data-driven identification of repurposing candidates.

 

By End User

• Pharmaceutical and Biotechnology Companies

• Academic and Research Institutions

• Contract Research Organizations (CROs)

Pharmaceutical and biotechnology companies lead adoption due to their large-scale clinical trial capacity and commercialization pathways, while academia remains critical in early discovery phases.

 

By Region

• North America

• Europe

• Asia-Pacific

• Latin America

• Middle East & Africa

North America accounts for the largest revenue share, supported by strong R&D funding, advanced data analytics infrastructure, and supportive FDA policies. Asia-Pacific is forecast to grow at the fastest rate, propelled by rising clinical research investments and cross-border licensing partnerships.

 

Market Trends And Innovation Landscape

The drug repurposing market is undergoing a shift from opportunistic discovery to a highly data-driven, technology-enabled process. Several innovation trends are reshaping the competitive and scientific landscape between 2024 and 2030.

One of the most prominent changes is the integration of artificial intelligence and machine learning into candidate identification. Algorithms can now mine vast biomedical datasets, including genomics, proteomics, and real-world clinical outcomes, to predict potential new indications with a much higher probability of success than traditional screening methods. This has not only shortened discovery timelines but also improved the targeting of niche or rare disease markets that were previously economically unfeasible.

 

High-throughput screening remains vital but is increasingly combined with computational modeling to validate hypotheses earlier in the pipeline. Genomics-driven repurposing, which matches drug-target interactions with genetic profiles of diseases, is emerging as a major area of growth. This approach enables more personalized repositioning strategies, particularly in oncology and neurology.

 

Collaborative research models are also gaining momentum. Large pharmaceutical companies are entering partnerships with AI startups, data science firms, and academic institutions to share compound libraries and clinical trial data. These alliances allow for broader repurposing pipelines without the full R&D cost burden.

 

On the regulatory side, agencies are showing flexibility for repurposed drugs, particularly when there is strong evidence of safety from prior approvals. Fast-track designations, adaptive licensing, and conditional approvals are becoming more common, particularly in life-threatening or rare conditions.

 

Industry experts expect a rising number of combination therapies involving repurposed drugs. By pairing existing agents with novel compounds, companies can improve efficacy, extend market exclusivity, and create differentiated offerings without starting from scratch in the discovery process.

The convergence of AI analytics, global data-sharing frameworks, and targeted clinical trial design is likely to make drug repurposing a primary rather than secondary strategy for pipeline expansion in the next decade.

 

Competitive Intelligence And Benchmarking

The drug repurposing market features a mix of established pharmaceutical giants, specialized biotechnology companies, and emerging AI-driven platforms. Competition is defined less by manufacturing scale and more by proprietary datasets, computational capabilities, and strategic partnerships.

• Pfizer Inc. continues to leverage its extensive drug library for repositioning opportunities, often focusing on oncology and immunology. The company has invested in AI collaborations to accelerate compound selection and validation.

• AstraZeneca has built an internal framework for systematic drug repurposing, using both in-house analytics and academic collaborations. Its portfolio includes several late-stage trials for repositioned oncology drugs.

• Eli Lilly and Company is increasingly focused on neuroscience repurposing, applying advanced biomarker analysis to identify new indications for CNS drugs with previously approved safety profiles.

• Novartis AG combines high-throughput screening with genetic data integration, targeting rare metabolic and cardiovascular disorders. The company’s approach emphasizes rapid clinical progression through adaptive trial designs.

• Bayer AG operates through a network of partnerships with AI firms and public research institutions, prioritizing repositioning opportunities in women’s health and oncology.

• BenevolentAI is a leading technology-focused entrant, offering an AI-driven drug discovery platform that has produced multiple repurposing candidates across oncology and infectious diseases.

• Recursion Pharmaceuticals specializes in automated cell biology and phenotypic screening to identify repurposing opportunities at scale, supported by a proprietary image-based data platform.

Benchmarking reveals that pharmaceutical incumbents maintain an advantage in clinical and regulatory execution, while newer AI-first companies excel in discovery speed and niche targeting. Strategic alliances between these two groups are becoming the norm, as both sides seek to balance innovation capacity with commercialization strength.

 

Regional Landscape And Adoption Outlook

Adoption of drug repurposing strategies varies significantly across geographies, shaped by differences in regulatory pathways, healthcare infrastructure, and the maturity of pharmaceutical R&D ecosystems. While some regions have established frameworks and funding channels to accelerate repurposing projects, others are still integrating these approaches into mainstream drug development.

North America

North America remains the most advanced hub for drug repurposing, led by the United States. The FDA’s 505(b)(2) regulatory pathway enables sponsors to leverage existing safety and efficacy data, substantially reducing time-to-market. Academic institutions such as the National Center for Advancing Translational Sciences (NCATS) actively collaborate with biopharma companies to identify new indications for existing compounds. The presence of robust intellectual property frameworks and venture capital funding supports the commercial viability of repurposed drugs. Canada also shows strong adoption, particularly in oncology and rare disease domains, supported by public research grants.

 

Europe

Europe’s adoption is shaped by the European Medicines Agency (EMA), which offers scientific advice for repurposing projects, particularly in orphan and pediatric indications. Countries like the United Kingdom, Germany, and France are at the forefront, with government-backed initiatives such as the UK’s Medicines Repurposing Programme accelerating regulatory review. EU-wide Horizon Europe funding has also boosted cross-border collaborations. However, fragmented reimbursement policies between member states can slow commercial rollout despite regulatory approval.

 

Asia Pacific

Asia Pacific is witnessing rapid adoption, driven by large patient populations, a rising burden of chronic diseases, and increasing biopharmaceutical investments. Japan’s Pharmaceuticals and Medical Devices Agency (PMDA) provides expedited review for drugs with established safety records targeting unmet medical needs. China is actively promoting repurposing in oncology and infectious diseases, supported by government funding and public-private partnerships. India’s cost-efficient clinical trial environment is attracting multinational companies to conduct repurposing trials, especially for metabolic and cardiovascular diseases. However, variability in IP protection and data exclusivity remains a challenge in some jurisdictions.

 

Latin America, Middle East, and Africa (LAMEA)

LAMEA’s adoption is still emerging but holds significant untapped potential. Brazil and Mexico are leading within Latin America, using repurposing to expand access to affordable treatments in oncology, CNS disorders, and infectious diseases. In the Middle East, the UAE and Saudi Arabia are integrating drug repurposing into national health strategies, often through partnerships with Western pharmaceutical companies. Across Africa, repurposing has been most visible in infectious disease management, particularly in malaria, HIV, and tuberculosis, where affordability and rapid deployment are critical.

 

Regional Dynamics Summary

North America and Europe dominate in terms of regulatory clarity and investment readiness, Asia Pacific offers scalability and diverse patient recruitment opportunities, while LAMEA represents the frontier for market expansion through cost-accessible healthcare solutions. In all regions, the convergence of AI-driven drug discovery, collaborative research frameworks, and evolving regulatory policies is expected to accelerate adoption, with North America likely to remain the innovation leader, Asia Pacific the volume driver, and LAMEA the emerging access-oriented market.

 

End-User Dynamics And Use Case

End users in the drug repurposing market vary from large multinational pharmaceutical companies to smaller academic research labs, each contributing at different points in the development pipeline. Their adoption patterns are influenced by available resources, regulatory expertise, and the scale at which they can bring a repurposed drug to market.

Pharmaceutical and Biotechnology Companies

Large pharmaceutical companies leverage drug repurposing to extend the lifecycle of their existing portfolios and reduce R&D risk. They often have the infrastructure to conduct confirmatory Phase II or III trials and the marketing networks to commercialize new indications globally. Biotechnology firms, while smaller in scale, tend to focus on niche therapeutic areas or rare diseases, often working in partnership with AI companies or academic institutions to identify candidates.

 

Academic and Research Institutions

Universities and medical research centers play a central role in early discovery stages, often identifying novel mechanisms or disease pathways that could match with existing compounds. Many of these projects are later licensed out to industry partners for late-stage development. Academic environments are also critical for investigator-led clinical trials, especially in underserved therapeutic categories.

 

Contract Research Organizations (CROs)

CROs are increasingly involved in drug repurposing programs, providing clinical trial design, patient recruitment, and regulatory filing services. Their role is particularly important for small biotech firms that lack in-house clinical operations capabilities. CROs are also using data analytics platforms to identify trial sites and patient cohorts most likely to yield statistically significant outcomes for repurposed drugs.

 

Government and Nonprofit Organizations

Government health agencies and nonprofit foundations support repurposing through grants, public-private collaborations, and expedited review programs for priority diseases. They are particularly active in funding projects targeting infectious diseases, where rapid deployment of an already approved drug can have an immediate public health impact.

 

Use Case Example

A research collaboration between a leading U.S. university medical center and a mid-sized biotech company identified a previously approved anti-inflammatory drug as a potential therapy for amyotrophic lateral sclerosis (ALS). Using AI-based target mapping and retrospective patient data analysis, the team demonstrated promising biomarkers in early-phase trials. The biotech firm then licensed the rights, secured orphan drug designation from the FDA, and initiated Phase III trials in less than three years—significantly faster than traditional drug development timelines. This case highlights how academia, AI tools, and industry partnerships can converge to bring a repurposed therapy to patients efficiently.

The market’s future growth will be driven by the alignment of these end-user groups, with technology platforms acting as the connective tissue between discovery and commercialization. The ability to share data across institutional boundaries while navigating IP considerations will be a decisive factor in accelerating repurposing adoption.

 

Recent Developments + Opportunities & Restraints

Recent Developments (Last 2 Years)

• A leading biopharmaceutical company received FDA approval in 2024 for a repurposed oncology drug targeting rare pediatric brain tumors , significantly reducing time-to-market compared to new drug development.

• Multiple AI-driven platforms, such as BenevolentAI and Insilico Medicine, launched enhanced algorithms in 2023 to accelerate target identification for repurposed drug candidates in neurodegenerative diseases.

• The European Medicines Agency (EMA) approved the expanded use of an existing cardiovascular drug for the treatment of certain autoimmune disorders, reflecting a regulatory shift toward adaptive licensing.

• Global consortia involving academic institutions and pharma giants initiated multi-year partnerships in 2023 to create open-access databases of off-patent drugs with unexplored therapeutic potential.

• The U.S. National Institutes of Health (NIH) expanded funding programs in 2024 for clinical trials assessing repurposed antivirals in post-viral syndromes such as long COVID.

 

Opportunities

• Expedited Regulatory Pathways: Growing acceptance of adaptive licensing and conditional approvals allows repurposed drugs to reach patients faster, particularly for rare and orphan diseases.

• AI-Enhanced Drug Discovery: Integration of machine learning in drug-target mapping can significantly cut early-stage R&D costs and timelines, expanding opportunities for niche therapeutic areas.

• Emerging Market Expansion: Regions with rising healthcare access, such as Asia Pacific and Latin America, present untapped demand for affordable repurposed treatments.

 

Restraints

• Intellectual Property Challenges: Limited patent exclusivity for repurposed drugs can discourage large-scale investment from major pharmaceutical companies.

• Data Gaps in Efficacy: Existing safety profiles do not always guarantee therapeutic effectiveness in new indications, requiring costly and time-intensive clinical trials.

 

7.1. Report Coverage Table

Report Attribute	Details
Forecast Period	2024 – 2030
Market Size Value in 2024	USD 32.4 Billion
Revenue Forecast in 2030	USD 50.3 Billion
Overall Growth Rate	CAGR of 7.6% (2024 – 2030)
Base Year for Estimation	2024
Historical Data	2019 – 2023
Unit	USD Million, CAGR (2024 – 2030)
Segmentation	By Therapeutic Area, By Drug Type, By Technology Platform, By End User, By Geography
By Therapeutic Area	Oncology, Neurology, Infectious Diseases, Cardiovascular Disorders, Autoimmune and Inflammatory Conditions, Others
By Drug Type	Small Molecules, Biologics
By Technology Platform	Computational Modeling & AI-based Screening, High-throughput Screening (HTS), Genomics-Driven Repurposing, Others
By End User	Pharmaceutical and Biotechnology Companies, Academic and Research Institutions, Contract Research Organizations (CROs)
By Region	North America, Europe, Asia-Pacific, Latin America, Middle East & Africa
Country Scope	U.S., Canada, Germany, U.K., France, China, Japan, India, Brazil, Mexico, UAE, South Africa
Market Drivers	AI-driven drug discovery acceleration, supportive regulatory frameworks, growing focus on rare disease treatments
Customization Option	Available upon request