Stem Cell Therapy Market Research Report and Outlook by 2028

The stem cell therapy market is projected to expand from US$ 2,278.49 million in 2022 to US$ 6,206.89 million by 2028, reflecting a compound annual growth rate (CAGR) of 18.2% during this period.

The primary factors fueling the growth of the global stem cell therapy market include an increase in research initiatives focused on stem cell therapy for effective disease management and a rising incidence of cancer. Nevertheless, challenges such as the presence of illegal and unapproved products, along with the high costs associated with approved therapies, pose significant barriers to market expansion.

Stem cells are the foundational cells in the body that give rise to all other specialized cells. In a controlled environment, whether within the body or in a clinical laboratory, these cells can divide and produce more cells, known as daughter cells. With advancements in modern medical science, stem cells have been recognized for their crucial role in understanding disease mechanisms, developing advanced regenerative therapies, and discovering new pharmaceuticals. These cells can be sourced from embryos, bone marrow, adipose tissue, and umbilical cord blood, among other locations.

In the United States, substantial investments are being made in the healthcare sector to accelerate research and development in stem cell technologies. These initiatives are expected to lead to organic growth through product launches, approvals, and innovations. Financial support from investors, government entities, and key industry players is likely to bolster the growth of the stem cell therapy market in the US. For example, in July 2019, Century Therapeutics secured US$ 250 million in funding to advance the development of induced pluripotent stem cells (iPSC) for use in an allogeneic cell therapy platform. Additionally, in December 2019, the National Institutes of Health (NIH) initiated the first clinical study in the US involving patient-derived stem cell therapy aimed at treating retinal conditions. Such initiatives, along with advancements in regenerative medicine, are anticipated to enhance the acceptance and utilization of stem cell therapies in the US, thereby propelling market growth by 2027. For instance, in May 2019, SpinalCyte, LLC, a clinical-stage regenerative medicine firm, introduced a comprehensive platform to promote awareness of the potential benefits of fibroblasts and their applications in regenerative medicine technology.

The COVID-19 pandemic significantly impacted lives and business operations globally. Interestingly, the pandemic had a favorable effect on the stem cell therapy market. The role of stem cells in treating COVID-19 infections has attracted considerable attention from medical researchers, leading to an increase in clinical trials. Cellular therapies in regenerative medicine are being explored as potential treatment options for patients, aiming to reduce infection rates and mortality. Collaborations between research institutions and companies are underway to develop innovative treatment solutions for the virus. For instance, in April 2020, the Infectious Disease Research Institute and Celularity announced that the US FDA had approved a clinical trial application for a cell-based therapy targeting COVID-19. Consequently, there is a growing effort among researchers to create stem cell therapies specifically for COVID-19. In January 2020, a team from the University of Miami administered two stem cell infusions to COVID-19 patients with lung damage, reporting no significant side effects and confirming the therapy's reliability. Thus, the rising demand for regenerative medicines has positively influenced the stem cell therapy market during the pandemic.

In Canada, the stem cell therapy market is anticipated to grow due to advancements in the healthcare sector and increasing investments in stem cell technology. Conversely, in Mexico, heightened awareness regarding the advantages of stem cell therapy is expected to benefit the market. In 2020, countries such as Australia, Japan, South Korea, and New Zealand implemented effective measures to control the spread of SARS-CoV-2, establishing robust testing, tracing, and isolation protocols to ensure compliance with social distancing guidelines. Other nations, including Vietnam and Thailand, showcased the effectiveness of proactive responses in managing the virus and minimizing fatalities. However, the COVID-19 crisis severely disrupted services for cancer, heart disease, diabetes, HIV, tuberculosis, and malaria in the Asia Pacific region. In India, the number of COVID-19 cases has significantly decreased compared to the trends observed in 2020 and 2021. The pandemic's aftermath, including supply chain disruptions due to prolonged factory closures and production delays, lingered for a brief period. Nevertheless, as demand outstripped supply, commodity prices surged.

Recent research methodologies aimed at developing COVID-19 treatments have highlighted the significance of stem cell therapy and stem-cell-derived organoid models. Clinical studies indicate that various organoids derived from stem cells serve as ideal models for investigating the mechanisms of SARS-CoV-2 infection across multiple organs, thereby enhancing research for clinical treatments. Furthermore, stem cell therapy has been made available for severe COVID-19 patients and those recovering from serious complications to aid in lung repair.

Application-Based Insights
The stem cell therapy market is categorized based on application into musculoskeletal, dermatology, cardiology, drug discovery and development, and other applications. The drug discovery and development segment held the largest market share in 2021 and is projected to exhibit the highest CAGR during the forecast period.
End User-Based Insights
The market is also segmented by end user into academic & research institutes and hospitals & clinics. The academic & research institutes segment accounted for a larger market share in 2021 and is expected to register a higher CAGR during the forecast period (2022-2028).
Key primary and secondary sources utilized in preparing the report on the stem cell therapy market include the World Health Organization (WHO), the US Census Bureau, and the US National Library of Medicine.