Targeted Protein Degradation Market Dynamics: Key Drivers & Challenges

The global targeted protein degradation (TPD) market was valued at USD 544.4 million in 2024 and is projected to reach USD 1,685.3 million by 2030, expanding at a CAGR of 20.8% from 2025 to 2030. Market growth is driven by the rising prevalence of chronic diseases such as cancer and neurodegenerative disorders, alongside changing lifestyle factors and increasing healthcare spending.

The growing burden of such diseases has heightened the need for novel and effective treatment approaches. According to the World Health Organization (WHO), around 20 million people were newly diagnosed with cancer in 2022, with 9.7 million cancer-related deaths, and an estimated 53.5 million individuals living with cancer within five years of diagnosis. These figures underscore the pressing need for more advanced therapeutic strategies, contributing to the rising demand for targeted protein degradation technologies.

Increasing research and development activities are creating strong growth opportunities in the field. For example, in December 2023, the Austrian Science Fund (FWF) renewed funding for the Special Research Program (SFB) in Targeted Protein Degradation for an additional four years. This initiative focuses on advancing methods that direct specific proteins toward cellular degradation, supporting drug discovery efforts and enabling new therapeutic modalities.

A supportive regulatory landscape—highlighted by streamlined approval processes from the FDA and EMA—continues to accelerate the adoption of TPD-based treatments. Rapid technological advancements also play a significant role in shaping the industry. Innovations such as proteolysis-targeting chimeras (PROTACs), molecular glues, and lysosome-targeting chimeras (LYTACs) have broadened the therapeutic potential of TPD by enabling the selective removal of disease-associated or previously “undruggable” proteins.

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Key Market Trends & Insights

• Regional Insights: North America led the global market with a 44.08% share in 2024, driven by strong technological innovation, a favorable regulatory environment, and advanced healthcare infrastructure. The presence of leading pharmaceutical and biotechnology companies and widespread access to cutting-edge diagnostic tools further support the region’s growth.
• Type Insights: The PROTAC segment held the largest share at 47.71% in 2024. PROTACs function by leveraging E3 ubiquitin ligases to tag target proteins for degradation. This method has shown strong promise in drug development. The NIH reported encouraging clinical trial results from PROTAC candidates such as ARV-110 (for prostate cancer) and ARV-471 (for breast cancer), contributing to increased investor momentum.
• Application Insights: The therapy development segment accounted for 56.72% of the market in 2024 and is expected to expand rapidly. This category includes applications in cancer, neurology, infectious diseases, cardiovascular conditions, and more. Growth has been driven by rising R&D investments, strategic collaborations, and advancements in targeting previously inaccessible proteins. For instance, in November 2022, the Tang Research Group at the University of Wisconsin–Madison introduced a new method to degrade proteins on and outside liver cells previously considered untargetable.
• End-use Insights: Pharmaceutical and biotechnology companies represented the largest share at 40.03% in 2024. These organizations are increasingly integrating TPD approaches into their drug development pipelines. Major players such as AbbVie, Novartis, and Pfizer are partnering with TPD-focused biotech companies to accelerate research. In November 2021, Novartis partnered with Dunad Therapeutics in a deal valued up to USD 1.3 billion, highlighting the growing strategic importance of next-generation TPD therapies.

Market Size & Forecast

• 2024 Market Size: USD 544.4 Million
• 2030 Projected Market Size: USD 1,685.3 Million
• CAGR (2025-2030): 20.8%
• North America: Largest market in 2024

Key Companies & Market Share Insights

Leading companies in the targeted protein degradation market are crucial to advancing TPD-based therapeutics by supplying tools, technologies, and services that support research, development, and commercialization across a range of disease areas. Strategic collaborations, investments in innovation, and expansions in R&D capabilities continue to shape the competitive landscape.

Key Players

• Bayer AG
• Bio-Techne
• BOC Sciences
• BPS Bioscience, Inc.
• BroadPharm
• LifeSensors Inc.
• MedChemExpress.
• Merck KGaA
• Promega Corporation
• Thermo Fisher Scientific, Inc.

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Conclusion

The targeted protein degradation market is positioned for substantial expansion through 2030, driven by rising disease prevalence, increasing healthcare investment, and rapid technological advancement. Breakthroughs in PROTACs, molecular glues, and LYTACs have unlocked the ability to target previously inaccessible proteins, reshaping the future of drug development. Supportive regulatory frameworks and strong R&D momentum—especially in North America—further propel market growth. As pharmaceutical and biotechnology companies deepen their investment and collaborations in TPD-based therapies, the industry is expected to play a transformative role in addressing complex and chronic diseases in the coming years.