Oncolytic Virotherapy Market Size, Share & Trends Analysis Report By Virus Type (Genetically Engineered Oncolytic Virus, Oncolytic Wild Type Virus), By Application, By End-use, By Region, And Segment Forecasts, 2024 - 2030

Oncolytic Virotherapy Market Size & Trends

The global oncolytic virotherapy market was valued at USD 20.6 million in 2023 and is expected to grow at a compound annual growth rate (CAGR) of 26.4% from 2024 to 2030. The rising prevalence of cancer and growing demand for gene therapy are the major factors driving the market for oncolytic virotherapy. Also, increasing awareness of the oncolytic virus therapy and its benefits in treatments, advanced imaging technology, and rising adoption of advanced cancer treatments are the major factors expected to propel the market growth over a forecast period.

Another factor driving the market's growth is the favorable outcomes and high level of efficacy offered by oncolytic virotherapy. These virotherapies can target cancer cells while sparing nearby healthy cells by stimulating the natural killer cells. Additionally, substantial research grants are available to support research in oncolytic virotherapy. For example, in July 2022, researchers at the University of Houston's Center for Nuclear Receptors and Cell Signaling received a significant grant of USD 1.8 million from the National Institutes of Health to advance their work in oncolytic virotherapy.

Furthermore, pharmaceutical companies are conducting various clinical trials involving oncolytic viruses in combination with radiotherapy, immune checkpoint inhibitors, and chemotherapeutic agents. These trials demonstrate significant progress and positive effects in cancer treatment. For instance, in 2020, oncolytic viral drugs like T-VEC, RIGVIR, and Oncorine were approved for cancer treatments, showing promising therapeutic effects.

Virus Type Insights

Based on the virus type, the oncolytic virotherapy market is bifurcated into genetically engineered oncolytic and oncolytic wild-type viruses. In 2023, the genetically engineered oncolytic virus held the largest market share. The increasing demand for treatments such as adenovirus-based virotherapy, driven by their precision in delivering genes to specific regions, has led to the expansion of market share in this segment. Moreover, companies actively pursue collaborations and agreements to enhance their market presence. For instance, in August 2021, Calidi Biotherapeutics established an exclusive licensing agreement with the City of Hope and the University of Chicago for cutting-edge oncolytic virotherapy technology. Under this agreement, Calidi is granted exclusive commercial rights to use an oncolytic adenovirus in conjunction with a clinical-grade allogeneic neural stem cell line.

Application Insights

On the basis of application, the market is segmented into solid tumors and melanoma. The solid tumor segment held the largest market share in 2023, primarily due to the rising incidence of breast cancer, lung cancer, etc. Breast cancer, in particular, continues to be a significant contributor to mortality among women. According to the CDC, approximately 240,000 cases of breast cancer are diagnosed in women each year in the U.S. Oncolytic virotherapy represents a promising approach to enhance the effectiveness of treatment for advanced breast cancer, offering a unique platform for personalized therapies in patients. For instance, Pelareorep is an unaltered oncolytic virus administered intravenously that triggers an immune response in breast cancer patients, showing its potential in this context.

End-use Insights

Based on end use, the oncolytic virotherapy market is segmented into hospitals, specialty clinics, and cancer research institutes. The hospital segment emerged as the dominant sector in 2023 due to the proliferation of hospitals dedicated to cancer treatment. Moreover, the segment's growth is driven by heightened patient focus on efficient and timely disease management, along with government investments in medical infrastructure.

Regional Insights

North America dominated the market in 2023. The rising incidences of cancer in the U.S. is one of the major factors driving the market. As per the American Cancer Society report, in 2022, around 1.9 million new cancer cases were diagnosed, and 609,360 cancer deaths were reported in the U.S. Additionally, several other factors contributed to the market's expansion in the region. These include the growing awareness of various cancer treatment options, the availability of advanced immune-oncology drugs, and the rising healthcare expenditures in countries such as the U.S. Furthermore, companies are actively pursuing collaborations and agreements to expand their market presence. For example, Bionaut Labs and Candel Therapeutics, Inc. revealed a strategic partnership in December 2021 to explore the potential application of Bionaut's remote-controlled microscale robots for the precise delivery of Candel's oncolytic viral immunotherapy medications to specific brain tumors. Within the framework of this collaborative initiative, Bionaut Labs will utilize its micro-robotic technology to transport Candel's oncolytic viruses directly to brain tumors, employing minimally invasive methods.

Key Oncolytic Virotherapy Company Insights

Prominent market players include Biotherapeutics Ltd., Shanghai Sunway Biotech Co., Ltd., Amgen Inc; TILT Oncorus, Inc., Transgene SA, Pfizer Inc., Lokon Pharma AB Takara Bio Inc and others. These market leaders are consistently engaged in endeavors such as new product development, mergers and acquisitions (M&A), and strategic alliances to explore fresh market opportunities. The following examples illustrate some of these initiatives.

• In August of 2022, Amgen made a significant investment of USD 3.7 billion to acquire ChemoCentryx, a biopharmaceutical company. This strategic move grants Amgen access to Tavneos, a crucial therapy that has already received approval for treatment in Europe and Japan. With this acquisition, Amgen is poised to expand its presence and strengthen its position in regions like Europe and the Asia Pacific.

• In August 2021, Calidi Biotherapeutics unveiled an exclusive licensing agreement with the City of Hope and the University of Chicago for innovative Oncolytic Virotherapy Technology.