Global Alzheimer Drugs Market Analysis

The Global Alzheimer Drugs Market size stood at around xx Bn in 2023 and is projected to reach US $xx Bn by 2033, exhibiting a CAGR of xx% during the forecast period.

The Global Alzheimer Drug Market Analysis Executive Summary

Alzheimer’s disease is a chronic neurodegenerative illness that is noticeable by the formation of the senile plaques and neurofibrillary tangles which leads to reduced size of the brain. It is the most prevalent type of dementia, a progressive worsening of memory, thinking, behaviour, and the ability to perform daily tasks. The initial symptoms are somewhat subtle and include having no memory of recent events; in advanced stages, the patient develops severe dementia which affects basic bodily functions. Unfortunately, there are medications available to manage the frequency of symptoms, but there is no cure for the condition. In later stages, serious complications such as dehydration, malnutrition, or infections may arise, any of which can be life-threatening. Counselling and other support services may be provided based on the needs of the patient and their caregivers. 

Every 3 seconds, someone develops dementia. In 2020, over 55 million people worldwide had dementia, a number expected to nearly double by 2030. Most cases are in developing countries, with 60% in low and middle-income regions, projected to rise to 71% by 2050, particularly in China, India, and nearby regions. Common Alzheimer's medications include Donepezil, Rivastigmine, Galantamine, and Memantine. Newer FDA-approved drugs like Lecanemab and Donanemab target beta-amyloid proteins for early treatment. Recent M&A activities indicate a trend towards market consolidation, with companies like Merck expanding partnerships, such as with Cerevance, to diversify their portfolios. This comes as countries enhance dementia strategies and improve Alzheimer's diagnosis and treatment. As the market advances, businesses are focusing on joint ventures and product development, though challenges like regulations and reimbursement remain key hurdles.    

Global Alzheimer Drug Market Dynamics

Market Growth Drivers

Currently, over 55 million people worldwide are living with dementia, with more than 60% residing in low- and middle-income countries. Each year, nearly 10 million new cases are reported. Since Alzheimer's primarily affects older individuals, this increase can largely be attributed to the aging population. The diagnosis and treatment of Alzheimer's disease are receiving significant funding for research and development. For example, funding for the NIH increased to $3.348 billion in 2022 from $3.059 billion in 2021. Alzheimer's can now be diagnosed earlier and with greater accuracy because to the growing use of biomarkers in diagnosis and medication research. It is anticipated that this pattern will encourage the development of novel treatments.

Opportunity

Research on Alzheimer's disease biomarkers holds significant promise for enhancing early diagnosis, disease staging, and monitoring treatment responses. Biomarkers can facilitate rapid diagnosis, enabling early treatment and paving the way for disease-modifying therapies (DMTs) that target the underlying causes of Alzheimer's. Ongoing investment in DMTs is essential for addressing patient and healthcare system needs. Furthermore, digital health technologies, such as remote monitoring and cognitive assessment apps, present the potential to improve patient care by delivering real-time data for personalized treatment strategies.

Market Restraints

The regulatory landscape, characterized by rigorous approval processes and protracted trials, can also discourage investment. Controversies surrounding the approval of Aduhelm raise concerns about drug efficacy, impacting market confidence. The high costs associated with new disease-modifying treatments (DMTs), such as Leqembi and Aduhelm, further limit patient access and burden healthcare systems. The underdiagnosis and misdiagnosis of Alzheimer's worsen these challenges, highlighting the necessity for effective diagnostic tools. Alzheimer's manifests differently in individuals, complicating the development of standardized treatments. Researchers must ensure that trial participants are adequately comparable to yield valid results, complicating the design of clinical trials and the development of medications.

Competitive Landscape for Alzheimer Drug Market in Global

Key Players

• AbbVie
• Novartis AG 
• Biogen Inc.
• H. Lundbeck A/S
• Otsuka Pharmaceutical Co., Ltd. 
• F. Hoffmann-La Roche AG
• Eli Lilly and Company

Recent Developments:

July 2024, FDA approves new Alzheimer's treatment, Kisunla (donanemab) from Eli Lilly.

July 2023, Lecanemab was fully approved by the FDA as a treatment for early Alzheimer’s disease. This means that it can now be given to patients with early Alzheimer’s disease in the USA. The drug is being marketed under the name Leqembi.

Mergers and Acquisitions

August 2024, Linus Health, a digital health company enabling early detection of cognitive impairment, Alzheimer’s, and other dementias, today announced its acquisition of Together Senior Health (Together), a brain health company delivering evidence-based solutions for individuals with cognitive decline, Alzheimer’s disease, and related dementias. Together will be a wholly-owned subsidiary of Linus Health.

August 2022, Merck & Co. has struck a deal with Boston-based Cerevance to acquire one of its research programs and work together on discovering new protein targets in the brain. Under the agreement, Cerevance will receive an initial payment of $25 million, with the potential to earn up to an additional $1.1 billion if specific development and commercial milestones are achieved.

Healthcare Policies and Regulatory Landscape for Alzheimer Drug Market in Global

Policy changes and Reimbursement scenario

The regulatory landscape for Alzheimer's drugs is evolving, especially in the U.S. and Europe. In 2022, CMS introduced a policy for covering FDA-accelerated drugs like Aducanumab, with coverage under specific conditions, sparking debate over treatment costs and access. European countries like Germany and France are also closely evaluating the clinical benefits of new Alzheimer's drugs before approving reimbursement. In March 2024, the FDA issued revised guidance encouraging the use of surrogate endpoints in early-stage Alzheimer's drug development. Early consultation with the FDA is advised to ensure these endpoints meet regulatory standards.  Overall, there is a shift towards evidence-based regulation, requiring clear proof of clinical benefit for broader adoption and reimbursement of Alzheimer's therapies.