There are several trends driving the use of library preparation products for next-generation sequencing. This White Paper details those trends.

1. Major Trends in Library
Preparation and Target
Enrichment
for Next-Generation Sequencing
Library Preparation and Target Enrichment technologies are a
necessary part of the sequencer's use in clinical applications. As the
sequencer technologies become cheaper, they have been increasingly
moving into more labs and new types of research projects in a virtuous
cycle. The capabilities of next-generation sequencer (NGS) systems,
along with the growing availability of vast amounts of annotated
sequence data, have permitted life science researchers to undertake a
much wider range of experiments. The diverse needs of these experiments have resulted in a high demand for
library preparation and target enrichment products.
Sequencing has seen very high growth in recent years as a result of labs
deciding to start using next-generation sequencing for their research. The bulk of
sequencers are going to labs with just one sequencer. The lower price of
sequencing has brought the market into a highly elastic state, and has the potential
to restrain the instrument revenues. There has been an
explosion in the number and range of products available in
the last couple of years. Due to the low barriers to entry,
over 100 companies currently offer products geared for the various types of library
preparation and target enrichment. Each application tends to have a few companies
offering products, which is creating increased competition.
Rapid Adoption of Smaller Systems Driving Applications
The introduction of smaller, cheaper benchtop NGS systems has expanded the
market into smaller labs that could never afford the $500k for earlier systems. Due to
their lower throughput, they are suitable for a variety of applications but not for whole genome sequencing.
These systems are largely being used for amplicon sequencing and targeted sequencing, as well as RNA or
small/ micro RNA sequencing. The science is also evolving to the point where labs are often designing their
experiments to generate only the data that they expect to need.

2. The rapid rate of adoption of the benchtop systems has fueled the growth for reagents and kits for these
various applications. In particular, there has been a great demand for panels of genes related to specific disease
areas. With the high performance provided by these smaller systems, the sales do not appear to be slowing
down and the trend is expected to continue.
Stability, Despite Possibility of Disruptive Technologies
The sequencing market has been through phases of stability and phases of rapid change, and it currently
appears to be predictable that it will be stable for the near term. During the stable phases, systems are being
improved but new systems are not disrupting the market. The HiSeq systems have been dominating the market
for the last few years but there has also been the introduction of benchtop systems which is still having its
effects. There has always been rapid technological progress occurring, while the leading companies and their
products have remained relatively consistent. There remains the potential for a new disruptive technology.
There are several well-known companies developing new sequencer systems, and probably several more that
are being discreet about their research. However, the barriers to entry are high, current systems perform very
well, the competition is already very strong, and these various factors seem to have caused it to stabilize
somewhat.
Decline in Array-Based Target Enrichment Techniques
Over the last few years, laboratories have been moving more towards solution-based hybridization for
target enrichment prior to NGS. Two companies, Agilent and Nimblegen, have been the leaders in this area but
the market has been fragmenting slightly and Nimblegen discontinued its microarray products. The main
reasons for the trend are the facts that the in-solution approach is more scalable and that it does not require the
additional equipment needed to run microarrays. These advantages have gradually become more clear to the
end-users.
Inherited Diseases and Cancer Driving Clinical Adoption
NGS seems to have reached somewhat of a tipping point where there is a rapid rate of development of
proven diagnostic applications, causing significant changes in medical treatment. There has been a large
amount of anticipation regarding the use of sequencing in medical applications, but the progress has been
gradual. The main disease areas that are driving it forward quickly are cancer and inherited diseases. The
testing of inherited diseases has largely involved exome sequencing to find undiagnosed disorders, and the use
of NGS in cancer relates to the identification of mutated genes that can be targeted or used to guide drug
treatment. Now that NGS systems and assays have been cleared by the FDA and other countries’ regulatory
bodies, it seems that the pace will accelerate. There has been a lack of clarity regarding the use of NGS for
LDTs, but many labs were pioneers and they influenced the rest of the field. The FDA has stated that it will be
more proactive about the regulation of LDTs and it is still uncertain how this will play out.

3. F O R M O R E I N F O R M A T I O N
Library Preparation
and Target
Enrichment
for Next-Generation Sequencing Product Markets
http://www.kaloramainformation.com/Library-Preparation-Target-8793603/
Library preparation and target Enrichment technologies are a necessary part of the sequencer's use in clinical applications. As the
sequencer technologies become cheaper, they have been increasingly moving into more labs and new types of research projects in a
virtuous cycle. The capabilities of next-generation sequencer (NGS) systems, along with the growing availability of vast amounts of
annotated sequence data, have permitted life science researchers to undertake a much wider range of experiments. The diverse needs of
these experiments have resulted in a high demand for library preparation and target enrichment products.
This report, Library Preparation and Target Enrichment for Next Generation Sequencing Product Markets contains valuable
information on the current state of LP/TE for next generation sequencing including:
• Market Size and Forecasts for Library Prep and Target Enrichment
• Market Share and Competitive Analysis
• Description of Products in the Market
• Over 340 Deals, Collaborations and Partnerships Since 2010 involving LP/TE.
• Library Preparation and Target Enrichment Products Launched Since 2012
• Important Trends in the Industry
• Litigation and Intellectual Property Review
• Analyst's Conclusions and Recommendations
• Company Profiles
DNA and RNA sequencing are becoming more central components of life science research. In addition to their prices dropping, the
technologies continue to rapidly improve and become more user-friendly. The applications of sequencing span a broad range of
industries and specializations, but the focus has mostly been life science research-related. As the science becomes more established,
various clinical applications have become proven, and there are certain areas such as cancer where there are expected to be rapidly
growing benefits in the near future. The NGS systems are capable of a wide range of applications, and labs have taken advantage of
their flexibility. As part of its coverage of the report, several major competitors are profiled who produce products to assist in these
areas. Companies profiled in the report are:
• Agilent Technologies
• F. Hoffmann-La Roche AG
• Fluidigm
• Illumina
• Pacific Biosciences
• Qiagen
• Thermo Fisher Scientific
http://www.kaloramainformation.com/Library-Preparation-Target-8793603/