Industry Outlook

AI in Precision medicine market is projected to grow at a CAGR of 28.8% during the forecast period (2025-2035). Precision medicine diagnoses, treats, and prevents cancer, hereditary diseases, and other complicated ailments based on an individual's unique clinical, molecular, and lifestyle data. The market's growth is primarily driven by increased R&D investments and the growing use of personalized medicines. For instance, in March 2025 Ataraxis AI, the pre-eminent AI precision medicine firm, closed a $20.4 million Series A funding round headed by AIX Ventures, as well as including Floating Point, Thiel Bio, Founders Fund, Bertelsmann Investments, and previous investors Giant Ventures and Obvious Ventures, to step up the progression of AI for precision medicine.

Segmental Outlook

The global AI in precision medicine market is segmented by component, treatment, and application. Based on the component, the market is sub-segmented into hardware-software and services. Based on the treatment, the market is sub-segmented into oncology, neurology, cardiology, and respiratory. Further, based on application, the market is sub-segmented into drug discovery & repurposing clinical research trials, and personalized medicine. Among the applications, the sub-segment is anticipated to hold a considerable share of the market owing to the rising artificial intelligence algorithms in precision medicine and will enable a fully individualized approach to drug design, ultimately influencing clinical practice. Drug development is increasingly adapted to the heterogeneity of patients across their molecular profiles.

The Oncology Sub-Segment is Anticipated to Hold a Considerable Share of the Global AI in Precision Medicine Market

Among the various segments, the oncology segment is projected to grow during the forecasted year. The market is growing owing to effective diagnostic and therapeutic strategies as the number of cancer incidences has increased. Artificial intelligence plays a pivotal role in this domain by analyzing complex datasets, including genomic and imaging data, to facilitate early detection and personalized treatment plans. For instance, in November 2024, according to the National Library of Medicine, AI in oncology is advancing beyond algorithm development to integration into clinical practice. This review describes the current state of the field, with a specific focus on clinical integration. AI applications are structured according to cancer type and clinical domain, focusing on the four most common cancers and tasks of detection, diagnosis, and treatment. These applications encompass various data modalities, including imaging, genomics, and medical records, and conclude with a summary of existing challenges, evolving solutions, and potential future directions for the field.

Global Artificial Intelligence (AI) in Precision Medicine Market Share By Treatment, 2024 (%)

Regional Outlook

The global artificial intelligence in precision medicine market is further segmented based on geography including North America (the US, and Canada), Europe (UK, Italy, Spain, Germany, France, Russia, and the Rest of Europe), Asia-Pacific (India, China, Japan, South Korea, Australia & New Zealand, ASEAN Countries, and Rest of Asia), and the Rest of the World (the Middle East & Africa, and Latin America. Among these, Asia-Pacific is anticipated to hold a prominent share of the market across the globe, owing to the growing number of startups that focus on AI-based healthcare technologies getting support in the form of funding from both individual investors and venture capitalists. 

The North American Region is Expected to Grow at a Significant During the Forecast Period

Among all the regions North American region is the US dominant market owing to the strategic presence of major players and their collaboration, and advancement in AI technology for CAR T-cell treatment, also known as immunotherapy, uses immune system T-cells that have undergone a particular alteration to target specific forms of blood cancer. The increase is driven by improved healthcare infrastructure, significant investment in research and development, and a focus on improving patient outcomes. For instance, in May 2024, US Precision Medicine, Inc. expressed its intention to use advanced AI technology to enable independent studies demonstrating the efficacy of its small drug candidate in targeting and killing breast cancer cells.

Market Players Outlook

The major companies serving the acidity regulators market include DeepMind Health, IBM Watson Health, Exscientia plc, Tempus AI, Inc., PathAI, Inc., and others. These market players are considerably contributing to the market growth by the adoption of various strategies including mergers and acquisitions, partnerships, collaborations, funding, and new product launches, to stay competitive in the market. For instance, in September 2024, AGCO Corp. acquired an 85% stake in Trimble Inc.'s portfolio of agricultural assets and technologies for around $2 billion, aiming to expand its precision agriculture business.

Recent Development

• In March 2024, Google Cloud announced two new AI-powered tools to assist biotech companies in expediting the drug discovery process and delving deeper into artificial intelligence-driven precision medicine. The "Target and Lead Identification Suite" is the first tool that assists researchers in identifying biological targets and designing treatments around them, while the "Multiomics Suite" assists with genetic data processing.

The Report Covers

• Market value data analysis of 2025 and forecast to 2035.
• Annualized market revenues ($ million) for each market segment.
• Country-wise analysis of major geographical regions.
• Key companies operating in the AI in precision medicine market. Based on the availability of data, information related to new product launches, and relevant news is also available in the report.
• Analysis of business strategies by identifying the key market segments positioned for strong growth in the future.
• Analysis of market-entry and market expansion strategies.
• Competitive strategies by identifying ‘who-stands-where’ in the market.