The drug repurposing market grows at a 4.5% CAGR as sponsors use known safety profiles, real-world evidence, and computational screening to shorten timelines and reduce R&D risk across oncology, neurology/CNS, infectious, cardiovascular, and metabolic indications. Regulatory pathways (505(b)(2)/hybrid) and lifecycle strategies for off-patent assets support label expansions and fixed-dose combinations. Data integration from omics, target knowledge graphs, and AI-assisted similarity mapping improves hit triage and trial design. Within the base period, small-molecule programs contribute the highest revenue given a larger pool of legacy assets and established regulatory routes, while biologics are expected to record the highest CAGR as antibody, enzyme, and RNA-based candidates are repositioned using biomarker-guided evidence.

Market Drivers

The model benefits from lower development cost versus de-novo discovery, faster Phase I/II progression due to existing safety data, and payer interest in proven mechanisms for unmet needs. Growth is reinforced by real-world datasets, biobank access, and adaptive platform trials that compress time to proof-of-concept. Partnerships between pharma, AI-native biotechs, and academic translational centers expand asset libraries and in-silico hypothesis generation.

Market Restraints

IP complexity, data exclusivity limitations, and competitive generics can reduce upside for older molecules. Heterogeneous evidence quality and limited disease-specific biomarkers increase failure risk in late phase. Indication switching may face pricing and reimbursement hurdles without robust outcomes data. Operationally, sourcing clinical-grade supply for discontinued molecules and aligning global regulatory strategies lengthen timelines for multi-region launches.

Segmentation by Drug Type — Small Molecules, Biologics

Small molecules anchor current revenue because they dominate legacy pipelines, have well-characterized ADME/safety, and fit established 505(b)(2) or equivalent pathways with scalable CMC and cost of goods; within drug types this segment generates the highest revenue. Biologics (antibodies, peptides, enzymes, nucleic acid–based modalities) expand faster as biomarker-defined cohorts and precision imaging support signal detection in smaller trials; within drug types biologics are expected to post the highest CAGR as sponsors reposition immune and inflammation assets into oncology, neurodegeneration, and rare diseases.

Segmentation by Therapeutic Area — Oncology, Neurology & CNS, Infectious, Cardiovascular, Metabolic, Others

Oncology delivers the largest revenue due to high trial activity, basket/umbrella designs, and pricing headroom for label extensions; within therapeutic areas oncology generates the highest revenue. Neurology and CNS disorders are expected to record the highest CAGR as repurposed anti-inflammatory, metabolic, and synaptic-modulating agents move into Alzheimer’s, Parkinson’s, ALS, and neuropathic pain with biomarker-guided endpoints. Infectious diseases maintain steady demand for host-directed therapies and antivirals with pandemic preparedness value. Cardiovascular and metabolic disorders focus on pleiotropic effects (anti-inflammatory, GLP-1 axis, lipid modulation) to broaden labels. “Other” areas include dermatology, rheumatology, ophthalmology, and rare diseases where small, biomarker-rich cohorts support rapid PoC.

Regional Insights

North America leads near-term revenue given strong 505(b)(2) utilization, deep real-world data assets, and active venture formation. Europe advances via hybrid pathways, public–private consortia, and hospital-led repurposing initiatives. Asia Pacific shows rising activity with expanding hospital networks, genomic programs, and cost-efficient trial execution; the region is expected to post a solid growth rate as precision-medicine infrastructure scales. Latin America and the Middle East & Africa are earlier in adoption, with growth linked to government-backed trials and access initiatives.

Competitive Landscape

Large pharma and AI-native biotech form a two-track landscape. AbbVie, Amgen, Boehringer Ingelheim, Eli Lilly, GlaxoSmithKline, Novartis, Pfizer, and Sanofi drive revenue through portfolio pruning, life-cycle extensions, and in-licensing of de-risked assets. Recursion Pharmaceuticals, Valence Discovery, Cyclica, and Revolution Medicines apply ML-driven mapping, phenomics, and structure-based approaches to identify new indications and prioritize trial designs. Pharnext and Melior Discovery specialize in network pharmacology and clinical repositioning platforms. Schwarz Pharma contributes legacy CNS and cardiovascular assets within broader portfolios. Sponsors with broad data access, clear IP strategy, and integrated CMC/clinical capabilities hold the largest revenue today, while AI-enabled discovery platforms and biomarker-rich CNS/rare disease programs are positioned for the highest CAGR.

Historical & Forecast Period

This study report represents analysis of each segment from 2023 to 2033 considering 2024 as the base year. Compounded Annual Growth Rate (CAGR) for each of the respective segments estimated for the forecast period of 2025 to 2033.

The current report comprises of quantitative market estimations for each micro market for every geographical region and qualitative market analysis such as micro and macro environment analysis, market trends, competitive intelligence, segment analysis, porters five force model, top winning strategies, top investment markets, emerging trends and technological analysis, case studies, strategic conclusions and recommendations and other key market insights.

Research Methodology

The complete research study was conducted in three phases, namely: secondary research, primary research, and expert panel review. key data point that enables the estimation of Drug Repurposing market are as follows:

• Research and development budgets of manufacturers and government spending
• Revenues of key companies in the market segment
• Number of end users and consumption volume, price and value.
• Geographical revenues generate by countries considered in the report
• Micro and macro environment factors that are currently influencing the Drug Repurposing market and their expected impact during the forecast period.

Market forecast was performed through proprietary software that analyzes various qualitative and quantitative factors. Growth rate and CAGR were estimated through intensive secondary and primary research. Data triangulation across various data points provides accuracy across various analyzed market segments in the report. Application of both top down and bottom-up approach for validation of market estimation assures logical, methodical and mathematical consistency of the quantitative data.

Key questions answered in this report

• What are the key micro and macro environmental factors that are impacting the growth of Drug Repurposing market?
• What are the key investment pockets with respect to product segments and geographies currently and during the forecast period?
• Estimated forecast and market projections up to 2033.
• Which segment accounts for the fastest CAGR during the forecast period?
• Which market segment holds a larger market share and why?
• Are low and middle-income economies investing in the Drug Repurposing market?
• Which is the largest regional market for Drug Repurposing market?
• What are the market trends and dynamics in emerging markets such as Asia Pacific, Latin America, and Middle East & Africa?
• Which are the key trends driving Drug Repurposing market growth?
• Who are the key competitors and what are their key strategies to enhance their market presence in the Drug Repurposing market worldwide?