Despite the ill effects of the downturn in global economies, the life science instrumentation market has remained relatively stable. The market accounted for the largest share of the analytical instrumentation market, which was nearly $10.3 billion in revenues in 2009. Sales are expected to increase 5.9% in 2010, with demand driven by government-funded research initiatives for genomics and cell analysis.

The life science market is dependent on consumables, reagents, kits and other chemicals. In fact, the aftermarket accounted for over 60% of total life science demand. Among technologies, PCR, which is heavily aftermarket oriented, accounts for the highest share of the life science market at 22.9%. The PCR market is expected to grow 6.7% in 2010.

The cell analysis market, which consists of flow cytometers, high-content screening systems, electrophysiology/patch clamp systems and transfection technologies, accounted for 17.5% of life science instrument sales in 2009. This market will grow 8.0% in 2010, fueled by growth in the US and Europe. Flow cytometry systems, particularly benchtop systems, are expected to exhibit robust growth, particularly for cancer research and cell culturing. In addition, demand for high-content screening systems is expected to be strong this year.

Although growth in the microarray market has slowed to a modest pace, microarray technology remains an important tool in the life sciences area, accounting for 12.9% of the market in 2009. However, demand for systems has become more a replacement market. The demand for microarray chips is expected to drive growth, particularly with new genomic data stemming from sequencing initiatives.

Nucleic acid purification and cell separation techniques accounted for 12.6% of the life science market in 2009. This market is expected to increase 3.6% in 2010, fueled by continued growth from research and diagnostic applications.

The DNA sequencer market accounted for about 10.4% of life science sales last year and is forecast to grow 9.6% this year. The growth in this market is driven by demand for next-generation, highly parallel DNA sequencers, particularly systems from Illumina and Life Technologies. However, CE-based sequencers and Sanger chemistry continue to account for a significant share of the market. A new generation of sequencing technologies is also set for release during 2010, which will add fuel to this already hot market.

The market for in vivo animal imaging systems accounted for 3.7% of the life science market in 2009. It is forecast to be the fastest-growing life science market, increasing 14.9% in 2010. Preclinical testing of potential drug compounds on animals continues to drive growth. Although there are many traditional methods for determining biodistribution and other factors, these preclinical applications are increasingly carried out through the in vivo testing of animal subjects.

Electrophoresis, informatics and synthesis accounted for 7.6%, 6.8% and 4.5% of the life science instrumentation market, respectively, last year. These technologies are used to support other life science technologies and research. Electrophoresis and informatics are each expected to grow about 2% this year, while synthesis sales are forecast to be flat.

The top five vendors in the life science instrumentation market accounted for over half of the total demand in 2009. Life Technologies holds a commanding position, representing a quarter of the market. Becton Dickinson and Illumina accounted for 9% and 7% of the market, respectively, while QIAGEN and GE Healthcare each accounted for 6%.

Chart: 2008–2011 Total Life Science Instrumentation Market

2008 2009 2010 2011

Bio 10082 10263 10872 11662

Chart: 2009 Life Science Market by Product Type

2009

Initial Systems 3277

Aftermarket 6241

Service 746

Chart: 2009 Life Science Suppliers Market Shares

Life Technologies 25%

Becton Dickinson 9%

Illumina 7%

QIAGEN 6%

GE Healthcare 6%

Other 47%

Life Science Instrumentation 2009–2010

Market Share Growth Rate

Nucleic Acid Amplification 22.9% 6.7%

Cell Analysis 17.5% 8.0%

Microarrays 12.9% 4.8%

Nucleic Acid Purif. & Cell Sep. 12.6% 3.6%

Sequencing 10.4% 9.6%

Electrophoresis 7.6% 1.9%

Informatics 6.8% 2.4%

Synthesis 4.5% 0.4%

In Vivo Animal Imaging 3.7% 14.9%

Biosensors 1.2% 5.0%

Total 100.0% 5.9%

Life Science Instrumentation Market Leaders

Informatics Accelrys, Symyx Technologies

Microarrays Illumina, Affymetrix

Electrophoresis GE Healthcare, Bio-Rad Labs.

Nucleic Acid Purif. & Cell Sep. QIAGEN, Life Technologies

Nucleic Acid Amplification Life Technologies, Roche

Sequencing Life Technologies, Illumina

In Vivo Animal Imaging Siemens, Caliper Life Sciences

Biosensors GE Healthcare, ForteBIO

Cell Analysis Becton Dickinson, Beckman Coulter

Synthesis Life Technologies, GE Healthcare