The global and Chinese gene sequencing industry chain represents the development of enterprises and industries.

In the 21st century, the biological industry has a technological breakthrough with molecular design, gene manipulation and genomics as its core, promoted the profound reform of the bio-industry supported by life science, and the global biological industry has entered a new period of rapid development, which is of great strategic significance to solve the major problems of population, health, food, energy and environment facing mankind.
here to understand the next gene sequencing industry chain on behalf of enterprises and industry development status quo.
the genetic sequencing industry chain gene sequencing industry upstream mainly for the equipment side, including sequencers, sequencing reagents and supplies suppliers, on behalf of the company for Illumina, Roche, Thermo Fisher, etc., more than 90% of the domestic market is dominated by imports.
gene sequencing industry is mainly for the service end of the gene sequencing service provider, including sequencing services and bioinformatics data analysis, basic research-oriented sequencing services and end-user-oriented clinical, medical sequencing services, the fastest growth rate in this field, is the main direction of domestic enterprises, showing a short-term accelerated diversification of the competitive situation.
as access standards improve, increased concentration is an inevitable trend, the future industry leader, industry model mature and with continuous layout capabilities, as well as strong bioinformatics analysis and data processing capabilities of enterprises are expected to stand out from the crowd.
gene sequencing industry downstream is the application end-user, including hospitals, third-party medical testing laboratory (independent laboratory, ICL) clinical application end, as well as universities, hospitals, research institutes, pharmaceutical companies of scientific research institutions.
from the field of application, the current relatively mature is the non-invasive prenatal diagnosis (NIPT) of reproductive health field, the future most valuable is the field of cancer screening and personalized treatment, other including genetic defects genetic testing, pathogenic genetic testing, pathogenic microbiological testing, disease risk assessment.
Note: The market value/valuation of the above-mentioned enterprises is the value at a statistical point in 2017 and does not represent the author's latest view.
1, gene sequencing industry upstream gene sequencing industry upstream for sequencers, sequencing reagents and supplies suppliers, on behalf of the company for Illumina, Roche, Thermo Fisher and other, sequencing equipment technology content and technical threshold is high, high industry concentration, more than 90% of the domestic market by the international giant products monopoly.
the global next-generation sequencer market pattern in 2013 and the global next-generation sequencer market pattern in 2016 the upstream competition of the sequencing industry is the competition of sequencers.
the world's sequencing device market, which has long been an oligopoly, has long been an oligopoly, with Illumina's largest market share, and in 2013, Illumina, which was split between Theiumina, Life Technologies and Roche. In the years that followed, Illumina continued to eat into the remaining market share, creating a dominant market share, with the upgrading and promotion of the HiSeq series of sequencers, and by the end of 2016 Illumina's market share had grown to 84%.
Looking at the history of the development of second-generation sequencing technology, we find that the development model of sequencer is mainly independent research and development and extension merger and acquisition.
in the early stage of development, because of the immature technology, enterprises are mainly independent research and development.
as markets and technologies mature, mergers and acquisitions between companies have increased, such as Illumina's acquisition of Solexa in 2006, Roche's acquisition of 454 Life Sciences in 2007, and Life Technologies' acquisition of Ion Torrent in 2010.
is precisely because of this development model, the second generation of sequencing technology in the early stage of the development of the situation of multi-strength competition, with the continuous development of excellent products and theof major mergers and acquisitions, the industry concentration is increasing, forming a strong situation.
in the short term, the industry monopoly of companies such as Illumina is hard to break, and other companies struggle to enter the sequencer market to compete.
in China, Illumina to take a number of sequencing services companies such as Berry and Kang, Anno youda and other strategies to seize the market, while through the product initiative to reduce prices and other strategies to inhibit downstream enterprises into the upstream market, so as to grasp the absolute voice, but also through downstream enterprises agent and marketing to cultivate the market.
the introduction of each new sequencer is based on the sequencing technology theory and method of breakthrough, so the sequencing instrument market technical barriers are very high, the global market has long been dominated by several large foreign sequencer manufacturers.
in recent years, China's sequencing enterprises have also begun to try to enter the sequencer market, there are three main models: (1) the acquisition of foreign sequencer production enterprises, on the basis of its core technology to carry out transformation and upgrading, the introduction of independent brand sequencers, to Huada Gene Co., Ltd. as the representative; "Gilling Zixin") as a representative; (3) label editing, in cooperation with foreign well-known sequencer production enterprises, on the basis of its sequencer prototype to transform, the formation of a special use of the independent brand of the sequencer, on behalf of the company is Beijing Berry and Kang Biotechnology Co., Ltd. (hereinafter referred to as "Berry and Kang"), Daan Gene and Beijing Boao Biological Co., Ltd. (hereinafter referred to as "Boao Biological") and so on.
at present, whether the domestic sequencer production enterprises, whether mergers and acquisitions or independent research and development of sequencers, compared with the mainstream sequencer in the market, there are still weak performance, higher cost and many other disadvantages.
2, gene sequencing industry chain in the middle of the industry for gene sequencing service providers, including sequencing services and bioinformatics data analysis, basic research-oriented sequencing services and end-user-oriented clinical, medical sequencing services (the fastest growth rate in this field, is the main direction of domestic enterprises), showing a short-term accelerated diversification of the competitive situation.
with the improvement of policy access standards, the increase in concentration is an inevitable trend, the future industry leader, industry model mature and with continuous layout capabilities, as well as strong bioinformatics analysis and data processing capabilities of enterprises are expected to stand out from the crowd.
3, the downstream industry downstream of the gene sequencing industry chain is the end-user, including hospitals, third-party medical laboratory (independent laboratory, ICL) clinical application end, as well as universities, hospitals, research institutes, pharmaceutical enterprises and other scientific research institutions, clinical application end and consumer-grade application end, which in the short term easy to produce commercial value is the clinical end and consumer end.
from the field of application, the current relatively mature is the non-invasive prenatal diagnosis (NIPT) of reproductive health field, the future most valuable is the field of cancer screening and personalized treatment, other including genetic defects genetic testing, pathogenic genetic testing, pathogenic microbiological testing, disease risk assessment.
the research end of the customer is mainly the major universities and research institutes of researchers, gene sequencing as a basic outsourcing services to supply researchers.
the main clients of the clinical end are doctors and patients, and precision medicine can improve the level of care.
the main customers of consumers are patients who, out of health concerns, hope to reduce health risks through genetic sequencing techniques such as disease prevention and screening, medical accompanying diagnosis, and post-treatment health indicator monitoring.
gene sequencing industry is the final end of the terminal is individual customers, but the current market is in the promotion stage, for the C-side users of the marketing cost is too high, and most of the current domestic medical institutions do not have the ability to independently provide gene sequencing services to patients, for gene sequencing enterprises to provide commercial cooperation opportunities.
the relevant medical institutions that cooperate more with the gene sequencing industry are mainly the examination departments of general hospitals or specialized hospitals, medical examination centers, third-party medical examination institutes, etc.
different gene sequencing enterprises in addition to the basic sequencing services, in the continuous development of their own unique clinical product lines (oncology, reproductive health and chronic diseases), because of the specificity of biomedical diagnostic products (high technical barriers, clinical product development difficulties), most enterprises are still in the collection of a large number of clinical biological samples and analysis, development of diagnostic products in the continuous research and development investment stage.
future gene sequencing enterprises if the development of unique clinical diagnostic products, will monopolize the market for a long time, for enterprises to bring substantial benefits.
the current development of the gene sequencing industry1, the current situation of international genomics applications (1) Global genomics application industry overview from the launch of the Human Genome Project in 1988, genomics application of the great prospect began to show in front of humans, in 1998 capillary sequencing technology came out, in 2005 the second generation sequencer was born, in 2013 the second generation sequencer listed.
With the significant reduction of sequencing costs and the significant increase in bioinformatics analysis capabilities, the United States and other Western developed countries have made forward-looking layoutines in this field, encouraging the development and commercialization of high-end sequencers, establishing supporting bioinformatics computing platforms, and promoting scientific research and development and clinical transformation in the genomics field.
(2) The current state of development of gene sequencing technology Since Frederick Sanger proposed the end termination method of double dnanucleotide, sequencing technology has undergone nearly 40 years of development, according to the difference sesame and progress of core technology, can be divided into three generations: the first generation sequencing technology - starting in 1977, Sanger proposed the double DNA end termination method, the same year A.M. Maxam and W. Gilber sequencing technology.
second-generation sequencing technology - Started in 2005, 454 Life Sciences developed the world's first commercial lying by Synthesis-based second-generation DNA sequencer GS 20, which kicks off the development of the gene industry. In the following years after
, the gene sequencing industry experienced intense competition, and gradually formed a more stable pattern: (a) in 2006, ABI launched solid sequencing platform.
in 2008 In vitrogen merged with ABI to form Life Technologies.
The acquisition of Ion Torrent by Life Technologies in 2010 and Life Technologies by thermo Fisher, a research service provider, in 2013, the SOLiD platform is gradually out of the market, with the main introduction of ion PGM and Ion Proton sequencing equipment, which were released in 2011 and 2012.
(b) The famous HiSeq platform series was developed after Illumina acquired Solexa in 2006 and fully received Solexa's development platform.
the second-generation high-throughput sequencer (HiSeq 2000), which was updated with technology in 2010, has seen a significant reduction in sequencing cycles and costs.
(c) Roche acquired 454 Life Sciences in 2007, Roche announced the closure of 454 sequencing business in 2013 and decided to terminate the service completely in 2016, with 454 sequencers gradually exiting the market.
(d) in 2013 Huada Gene wholly-owned acquisition of Complete Genomics, fully received the research and development platform, respectively, in 2014 launched the sequencer BGISEQ-1000, BGISEQ-100, in 2015 launched a new desktop sequencing system BGISEQ-500.
third-generation sequencing technology - the first single-molecule sequencer was introduced by Helicos Biosciences in 2008.
launched PacBio RS in April 2011 at Pacific Biosciences. Compared with second-generation sequencing, the
has the advantages of fast speed, long reading length, direct methylation of DNA sequence, no pcR amplification, no base preference, etc., but also has low accuracy, enzyme activity and other defects.
the future, third-generation sequencing technology is a long-term development trend.
the most mature technology in the commercial market of the sequencing service industry is NGS technology.
(3) The world's first gene sequencing clinical product (NIPT) was born in the United States in 2011 and currently covers four companies in the U.S. NIPT market: Sequenom, Verinata Health (acquired by Illumina in 2013), Ariosa Diagnostics and Natera. NiPT service technology of the four companies
mainly consists of two main types: (1) the detection of samples using high-throughput full gene sequencing.
testing products from Sequenom and Verinata, which use high-throughput whole-genome sequencing methods, require a relatively large amount of sequencing data, requiring more than 13 million Reads per sample.
(2) the polysmal polyseofofofofofiability of chromosomes is analyzed by means of targeted region sequencing.
the amount of sequencing data required varies depending on the size of the segment chosen for chromosomal polyploid analysis.
NIPT companies in the United States usually use two ways to pay for expenses, in the form of personal out-of-pocket expenses or personal and insurance sharing.
costs at their own expense range from $295 to $1,700.
, for example, Verinata has received more than 130 million insurance contracts in the U.S., and Sequenom has received a similar number of insurance contracts.
in Europe, the NIPT market is dominated by LifeCodexx.
the company is the only company certified by the European NIPT IVDD (In vitro Diagnostic Directive).
, in collaboration with Sequenom, adopted Sequenom's technical specifications, with a single sample of 10-30M of testing data and a cost of around 1,000 euros for a single test.
2, the current situation of domestic development (i) upstream gene sequencing instruments and reagents.