Human Gene Editing

Reinventing gene therapies with next-generation technologies

Overview

For decades, medical science has been foraging for permanent cures for a large array of diseases. Great strides have been made in the field of genetic technologies within the last decade, which hold the potential to fundamentally disrupt the human evolutionary process and bring forth unprecedented benefits to the human race. 

Gene editing is an emerging technology that can alter and modify a species' DNA for a specific purpose. In simple words, gene editing is similar to how an author edits or corrects a book or an artist amends an art piece. The technology is not necessarily new; it is already used in agriculture to create genetically modified animals and plants. For humans, gene editing can potentially deliver permanent cures—in potentially one-time treatments—for a myriad of diseases across various therapeutic areas, such as neurology and oncology. 

Human gene editing achieved a key milestone in December 2023. The first gene-editing therapy (“Casgevy” developed by CRISPR Therapeutics) was approved by the FDA to treat sickle cell disease in patients aged 12 and above. The same drug was later approved for patients with beta thalassemia in January 2024. More gene-editing treatments are underway in Phase I and II clinical trials and can be expected to enter the market in the next few years.

Industry Updates

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Market Sizing

The US Human Gene Editing market could reach USD 2.1 billion—3.8 billion by 2029

Conservative case

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Base case

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Expansion case

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Market Mapping


CRISPR technology dominates the human gene-editing space

Most companies in gene editing are focused on the research and development of novel CRISPR/Cas9-based treatments due to the technology’s simplicity, versatility, and cost-effectiveness. Although low in number, a number of drug-developing companies, including several early-stage disruptors, are leveraging other older yet evolving technologies, such as TALEN and ZFN, owing to fewer observed off-target effects and greater efficiency (in certain gene applications such as heterochromatin, the gene responsible for Fragile X syndrome and sickle cell anemia) compared to CRISPR.

On the other hand, gene-editing SaaS platforms remain the smallest segment, with a relatively low number of startups in the space due to most companies choosing to use internally developed gene-editing platforms and technologies at present. However, demand for these platforms could increase as gene editing becomes commercialized, and more pharma and drug developers plan to enter the space quickly, using pre-built gene-editing platforms.

Most companies across the space fall under the seed stage, with only a few startups in the early stage. This reflects the industry’s current nascent stage, with no FDA-approved, commercially available treatments; most companies are either in the preclinical or early clinical trial stages. 

The incumbent involvement in the industry is predominantly focused on the CRISPR/Cas9 segment, which includes prominent Big Pharma companies such as Merck, AstraZeneca, and Bayer. 

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The Disruptors


CRISPR-focused startups shine in the gene-editing space with high value and progress

Leading gene-editing startups have raised funds via public listings, with market capitalizations going as high as USD 5 billion. Some companies that have taken this route include CRISPR Therapeutics, Intellia Therapeutics, and Editas Medicine.

Over 60% of human gene-editing disruptors were founded after 2015, following the introduction of CRISPR/Cas9 technology in 2012. Notably, most companies incorporated before 2010 (less than 10%) were observed to be involved in the research and development of gene-editing treatments based on technologies introduced prior to CRISPR, such as TALEN, ZFN, and meganucleases.

A large number of industry disruptors developing gene-editing treatments are involved in multi-year collaborative programs with Big Pharma incumbents; for instance, gene-editing startup CRISPR Therapeutics and pharma company Vertex Pharmaceuticals are developing a CRISPR-based treatment for sickle cell disease and beta thalassemia. 

Funding History

Competitive Analysis


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Incumbents


Incumbents enter gene editing mostly via partnerships

Major Big Pharma companies such as AstraZeneca, Pfizer, Bayer, Eli Lilly, and Bristol-Myers Squibb are involved in the CRISPR/Cas9 drug developers segment owing to the high potential and increasing popularity of the technology.

The most common method incumbents have used to set foot into the gene-editing space has been through partnerships and research collaborations with startup companies. Although the number of incumbents with in-house gene-editing capabilities is low, a few prominent Big Pharma incumbents, such as Novartis, Merck, and AstraZeneca, have initiated in-house R&D initiatives over the last few years to stay at the forefront of gene editing. 

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Notable Investors


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Market Sizing

The total addressable market in the US for Human Gene Editing is estimated at ~USD 106 billion

The total addressable market (TAM) refers to the total revenue opportunity available for a product or service, while the actual market is the market size based on revenue projections. 
Gene editing (GE) can be used to address a myriad of diseases with no cure available at present, including genetic diseases such as sickle cell disease and beta thalassemia. For our market sizing exercise in the Human Gene Editing industry, we have considered sickle cell disease for which a treatment is available on the market. Additionally, we have also considered the potential of gene editing treatments in addressing cancer—the second-highest cause of death after heart disease, according to the American Cancer Society. We have segmented the market into sickle cell disease and three types of cancers (lung cancer, prostate cancer, and breast cancer) based on their higher prevalence, low survival potential, and limited availability of alternative treatments. 
Our TAM estimate for the gene-editing market in the US stands at ~USD 106 billion. This value proposition has further upside given that several startups are already developing treatments to address other therapeutic areas, such as blood disorders and neuromuscular diseases, with the potential to extend to other areas, such as cardiovascular and neurological diseases. 
The total actual market for Human Gene Editing is estimated at USD 88 million in 2024, with a penetration rate of 0.08%. We expect the market to grow at a compound annual growth rate (CAGR) of 100.6% through 2029 to reach USD 2.9 billion, with a penetration of 2.7%. In addition to the growth of gene-editing treatments for sickle cell disease, the CAGR is also driven by the expectation of gene-editing treatments being commercialized for lung, prostate, and breast cancer in 2026.

Summary

Our conservative case estimate expects the market to reach USD 2.1 billion by 2029, assuming slower adoption by insurers in covering gene editing treatments, with only gold and platinum programs facilitating the treatments. Our expansion case expects the market to reach USD 3.8 billion by 2029, with faster adoption driven by insurers expanding coverage upon recognizing introductory success in the early years. As such, we have assumed that insurers will offer silver policyholders gene editing treatment coverage.
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