Related Experiment Video
Updated: Mar 12, 2026

Fragmenting Bulk Hydrogels and Processing into Granular Hydrogels for Biomedical Applications
Published on: May 17, 2022
Fragmentation in the biopharmaceutical industry
Andrew D Goldsmith1, Francisco E Varela1
1Pfizer, Inc., 235 E 42 St, New York, NY 10017, USA.
Biopharmaceutical mergers and acquisitions (M&A) have not led to industry consolidation. Analysis reveals increased market fragmentation, with more companies entering the market than exiting due to M&A activity.
Area of Science:
- Pharmaceutical industry analysis
- Biopharmaceutical market dynamics
- Innovation economics
Background:
- Recent biopharmaceutical mergers and acquisitions (M&A) have raised concerns about industry consolidation.
- Questions exist regarding the impact of M&A on drug development and innovation.
Purpose of the Study:
- To investigate the true level of consolidation within the biopharmaceutical industry.
- To assess the impact of mergers and acquisitions on market competition and innovation.
Main Methods:
- Analysis of biopharmaceutical consolidation trends using prescription sales data.
- Examination of industry fragmentation using noncommercial and independent metrics.
- Comparison of market data from 2003 to 2015.
Main Results:
- The biopharmaceutical industry was more fragmented in 2015 than in 2003, contrary to consolidation concerns.
- Increased fragmentation was observed across commercial, noncommercial, and independent market metrics.
- Market growth and new company entries outpaced player reduction from M&A.
Conclusions:
- Despite a high volume of mergers and acquisitions (M&A), the biopharmaceutical market has become more fragmented.
- The perception of consolidation is masked by a dynamic market with significant company entry and growth.
- The industry remains competitive, fostering drug development and innovation.
Related Concept Videos
Drug Products: Biologics, Biosimilars and Interchangeables
Pharmaceutical Alternatives: Polymorphic Form-Related and Particle Size-Related Therapeutic Nonequivalence
Biopharmaceutical Factors Influencing Drug Product Design: Overview
Bioavailability Enhancement: Drug Stability Enhancement and GI Retention
Factors Influencing Drug Absorption: Pharmaceutical Parameters
Pharmaceutical Equivalents

