AI in Drug Discovery Market to Hit USD 10.29 Bn by 2031 with Quantum Machine Learning Advancing Rapidly at 27%+ CAGR – Mordor Intelligence Report
The artificial intelligence in drug discovery market is being shaped by the growing need to address complex diseases and streamline research pipelines. North America accounted for a significant share of 43.54% in 2025.
Hyderabad, India, March 30, 2026 (GLOBE NEWSWIRE) — According to Mordor Intelligence, the artificial intelligence in drug discovery market size was valued at USD 2.58 billion in 2025 and is projected to grow from USD 3.25 billion in 2026 to reach USD 10.29 billion by 2031, registering a CAGR of 25.94% during the forecast period (2026–2031). The market is driven by the increasing adoption of AI technologies across pharmaceutical and biotechnology research. Organizations are leveraging AI-driven platforms to accelerate drug discovery timelines, reduce development costs, and improve success rates in identifying viable drug candidates. The integration of advanced analytics, machine learning, and big data is transforming traditional drug discovery processes into more efficient and predictive workflows.
AI technologies enable faster identification of drug targets, optimization of molecular structures, and prediction of clinical outcomes, significantly reducing time-to-market for new therapies. Pharmaceutical companies are increasingly collaborating with technology providers to harness AI capabilities for drug design, repurposing, and biomarker discovery. Rising investments in research and development, coupled with increasing availability of large biological datasets, is further supporting market growth. AI is also enhancing precision medicine initiatives by enabling personalized drug development based on patient-specific data. As regulatory bodies and healthcare stakeholders recognize the value of AI in improving drug discovery efficiency, adoption is expected to continue accelerating across the global life sciences industry.
“Current evidence indicates that AI adoption in drug discovery is progressing alongside broader digitalization trends, with measurable but evolving commercial impact” says Soumya Goud, Senior Research Manager, Mordor Intelligence. “This assessment reflects consistently structured research processes and cross-verified inputs, providing decision-makers with a balanced, comparable view relative to other available studies.”
AI in Drug Discovery Market Share by Region
North America represents a significant share of artificial intelligence in drug discovery market, driven by the strong presence of pharmaceutical and biotechnology companies, advanced digital infrastructure, and high investment in AI research. The region continues to lead in innovation and early adoption of AI-driven drug discovery platforms.
Europe holds a notable position in the market, supported by collaborative research initiatives, increasing funding for AI applications in healthcare, and a strong focus on innovation in pharmaceutical research.
Asia-Pacific is emerging as a high-growth region due to expanding biotechnology sectors, increasing investments in AI technologies, and growing adoption of digital healthcare solutions across countries such as China, India, and Japan.
AI in Drug Discovery Market Trends & Forecast
Increasing Use of AI for Target Identification and Drug Design
AI technologies are enabling faster and more accurate identification of drug targets and optimization of candidate molecules, improving efficiency in early-stage drug discovery.
Growing Collaborations Between Pharma and AI Companies
Strategic partnerships between pharmaceutical firms and AI technology providers are accelerating innovation and enabling the development of advanced drug discovery platforms.
AI in Drug Discovery Market Segmentation Overview
By Component
- Software
- Service
By Technology
- Machine Learning
- Natural Language Processing
- Computer Vision
- Quantum Machine Learning
By Application
- Target Identification & Validation
- Hit Generation & Prioritization
- Lead Optimization
- Candidate Screening
- Drug Repurposing
- De Novo Drug Design
- Pre-Clinical Safety & Toxicity Assessment
By Drug Type
- Small Molecule
- Biologics
- Gene And Cell Therapy
By Deployment
- Cloud-Based
- On-Premise
By End User
- Pharmaceutical & Biotechnological Companies
- Academic & Research Institutes
- Other End Users
By Geography
- North America
- United States
- Canada
- Mexico
- Europe
- Germany
- United Kingdom
- France
- Italy
- Spain
- Rest Of Europe
- APAC
- China
- Japan
- India
- South Korea
- Australia
- Rest Of APAC
- Middle East And Africa
- Middle East
- GCC
- Turkey
- Rest Of Middle East
- Africa
- South Africa
- Rest Of Africa
- South America
- Brazil
- Argentina
- Rest Of South America
For a full breakdown of market dynamics, segmentation insights, regional analysis, and competitive landscape, access the details of the Mordor Intelligence report: https://www.mordorintelligence.com/industry-reports/artificial-intelligence-in-drug-discovery-market?utm_source=globenewswire
AI in Drug Discovery Market Competitive Outlook
The artificial intelligence in drug discovery market features a mix of global pharmaceutical companies and specialized AI-driven technology firms focusing on innovation, platform development, and strategic collaborations. Market participants are investing in advanced algorithms, expanding data capabilities, and forming partnerships to enhance drug discovery efficiency and maintain competitive advantage.
Major Companies in the AI in Drug Discovery Market include:
- IBM Corporation
- Microsoft Corporation
- Google LLC
- Atomwise Inc.
- BenevolentAI
- Insilico Medicine
- Schrödinger, Inc.
- Exscientia plc
- Recursion Pharmaceuticals
- Pfizer Inc.
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