Genetic testing is a technology that reveals an individual’s genetic characteristics by analyzing DNA. In recent years, technological advances and falling costs have led to a rapid growth in the consumer genetic testing market. It is increasingly being used in a variety of fields, including medicine, health management, ancestry analysis, and lifestyle optimization.
1-1. Main types of genetic testing
kinds
the purpose
Main application areas
Medical genetic testing
Risk assessment for genetic diseases and treatment decisions
Hospitals, research institutes
Direct-to-Consumer Genetic Testing
Health risk assessment, diet and exercise guidance, ancestry analysis
Healthcare companies, individuals
Forensic Genetic Testing
Criminal investigation, proof of parentage
Law enforcement, courts
Genetic testing for agriculture and livestock
Crop breeding and livestock health management
Agriculture and livestock industry
Appropriate genetic testing methods are selected according to specific purposes, and the market for genetic testing for medical and individual use is expanding.
2. Growth factors of the genetic testing market
The genetic testing market is growing rapidly, driven by multiple factors.
2-1. Technological advances and cost reductions
Over the past two decades, the cost of DNA sequencing has fallen dramatically: in 2003 it cost approximately $3 billion to sequence a human genome; today, it can be done for just a few hundred dollars. This reduction in cost is fueling the expansion of the consumer genetic testing market.
References:
Trends in sequencing costs from the National Human Genome Research Institute (NHGRI): https://www.genome.gov
2-2. Increased health awareness
There is a growing trend for individuals to understand their own health risks and prevent illness. Genetic testing is attracting attention as part of preventive medicine, as it can evaluate the risk of cancer, diabetes, cardiovascular disease, and other diseases.
2-3. The spread of direct-to-consumer genetic testing
The spread of “direct-to-consumer (DTC)” genetic testing offered by companies such as 23andMe and AncestryDNA has made it easy for ordinary people to learn their genetic information.
3. Major players in the genetic testing business
Currently, many companies have entered the genetic testing market, and competition is intensifying.
3-1. Major companies and their business models
Company name
Business Contents
Features
23andMe
Direct-to-Consumer Genetic Testing
Ancestry analysis, health risk assessment, and application to pharmaceutical business
AncestryDNA
Ancestry Analysis
Utilizing the world’s largest genealogy database
MyHeritage
Ancestry, Health Testing
Strength in the European market
Illumina
DNA sequencing technology provided
Developing analytical equipment for medical and research institutions
Helix
Providing a platform for genetic information
Focus on partnerships with medical institutions
Each company is leveraging its unique strengths to expand its market share. DTC genetic testing companies in particular are proactively using data to develop new business ventures.
4. Use of genetic data and challenges
Data collected through genetic testing is being used in many fields, including medicine, pharmaceuticals, and marketing, but at the same time, privacy issues have also come to the fore.
4-1. Examples of gene data usage
Collaboration with the pharmaceutical industry
23andMe is partnering with pharmaceutical companies to conduct drug discovery research using genetic data.
It will become easier to identify patients with specific genetic mutations, accelerating the development of personalized medicine.
Use in the insurance industry
In some countries, genetic information may be used to inform life insurance risk assessments.
However, in Japan, Europe, and the United States, there are regulations in place to prevent discrimination based on genetic information.
Providing healthcare services
A new service has been launched that combines genetic testing with a health management app to suggest optimal diet and exercise plans for individuals.
4-2. Privacy protection and ethical issues
Genetic information is highly personal data and requires strict management.
Risk of data leakage: There have been cases in the past where data from genetic testing companies has been hacked.
Issues with third-party sharing: There are calls for transparency when companies share genetic data with pharmaceutical companies and insurance companies.
Concerns about genetic discrimination : Because genetic information could lead to discrimination, legal regulation is necessary.
References:
Regulations on the protection of genetic information under the European Union’s General Data Protection Regulation (GDPR): https://gdpr-info.eu
5. Future Outlook
The genetic testing market continues to grow while balancing technological innovation and regulation. Future developments are expected in the following areas:
Combining AI and genetic analysis: Advanced data analysis is possible through machine learning.
Development of rapid genetic testing technology: Widespread use of systems that can provide results on the same day.
Advances in personalized medicine: Expanding custom-made treatments based on an individual’s genetic information.
6. New developments in the genetic testing business
Genetic testing technology is being applied not only in the traditional medical field but also in a variety of other industries, particularly in the wellness industry, sports science, and food industry, where new markets are being formed.
6-1. Genetic testing and personalized wellness
In recent years, the wellness market that utilizes personal genetic information has grown rapidly. Genetic testing for health management purposes is being used to optimize diet, exercise, skin care, and supplements.
(1) Personalized nutrition plan using genetic testing
Genes affect the ability to metabolize nutrients. For example, the following information can be obtained:
Caffeine sensitivity: People with genes that cause them to metabolize caffeine slowly are more likely to experience insomnia and palpitations after drinking coffee.
Efficiency of fat metabolism: People with a genetic type that is poor at breaking down lipids are recommended to eat a low-fat, high-protein diet.
Alcohol decomposition ability: People with genes that allow them to metabolize alcohol slowly face increased health risks even when drinking small amounts of alcohol.
(2) Optimizing skin care using genetic analysis
An increasing number of companies are analyzing genes related to skin aging and providing optimal skin care. For example, if you have a genetic type that reduces your ability to produce collagen, you may be recommended to take vitamin C or collagen supplements.
6-2. Genetic testing and sports science
In the field of sports science, training and conditioning that utilize genetic analysis are also evolving.
(1) Training strategies for each muscle type
Muscle characteristics are determined to some extent by genes and affect sports aptitude.
ACTN3 gene : Involved in fast-twitch muscles (explosive power) and can determine whether a person is suited to sprinting or endurance.
PPARGC1A gene : Related to improved endurance and is an indicator of whether a person is suited to marathons or cycling.
By utilizing genetic testing, it will be possible to design training methods that are tailored to each individual’s characteristics, which is expected to improve sports performance.
(2) The relationship between genes and recovery
Muscle recovery ability and risk of inflammation also vary by gene. For example, certain mutations in the IL6 gene tend to prolong muscle inflammation. By choosing the appropriate recovery method based on this information, it is possible to prevent injuries and improve the efficiency of training.
6-3. Integration of genetic testing and the food industry
Products and services that utilize genetic testing are also appearing in the food industry.
(1) Genotype-specific dietary programs
There are an increasing number of services in which companies provide personalized meal plans based on genetic information. For example, a meal delivery service has emerged that takes into account the optimal balance of nutrients based on the results of genetic analysis.
(2) Development of supplements based on genotype
Businesses that utilize genetic testing to provide supplements tailored to individual metabolic characteristics are also attracting attention. For example, for people with genetically impaired vitamin D absorption, a vitamin D-enriched supplement is recommended.
7. Legal and ethical issues in gene business
As the commercial use of genetic information expands, privacy protection and legal regulations have become important themes.
7-1. Legal protection of genetic information
Because genetic information is highly confidential personal data, it is subject to strict regulations in each country.
Country/Region
Regulation details
US
The Genetic Information Nondiscrimination Act (GINA) prohibits employment and insurance discrimination based on genetic information.
EU
GDPR requires special permission to process genetic data
Japan
When using genetic information, proper management based on the Personal Information Protection Act is required.
How companies manage genetic data and the extent to which they use it are becoming increasingly important, and there is a demand for transparency.
7-2. Ethical issues in the commercial use of genetic information
Buying and Selling Genetic Information
There has been concern that some companies are selling genetic information to third parties.
The DNA data provided by consumers may be used in unintended ways.
Risk of discrimination based on genetic information
The risk that life insurance companies will change contract terms based on genetic information.
The possibility that people with genetic risk may be disadvantaged in employment.
Use in criminal investigations and privacy
In the United States, some DNA testing companies work with police to provide genetic information for criminal investigations.
The challenge is to strike a balance between privacy and maintaining public order.
8. Future Outlook for Gene Business
The genetic business is expected to continue to grow and expand into new fields.
8-1. Utilizing AI and big data
Advances in genetic data analysis using artificial intelligence (AI) may lead to more precise health risk assessments and personalized medical care.
8-2. Popularization of simple genetic testing at home
Currently, genetic testing is often performed in laboratories, but in the future, kits that allow simple testing at home are expected to become more common.
8-3. Integration with gene editing technology
When combined with gene editing technologies such as CRISPR-Cas9, it may be possible to treat genetic diseases and provide personalized treatments.
9. Expansion of Gene Business and Emerging Markets
Technological innovations in genetic testing are expanding applications beyond the traditional medical and healthcare market into new industrial sectors, particularly in education, finance, travel and even entertainment.
9-1. Genetic testing and the education industry
Optimizing education and learning styles based on genetic information is attracting attention.
(1) The relationship between genes and learning ability
The BDNF gene is involved in memory and learning, and some variants may enhance brain plasticity.
The COMT gene influences stress resistance and concentration and determines the ability to adapt to exams and competitive environments.
The DRD4 gene is associated with risk-taking and curiosity and influences the ability to adapt to new learning methods.
(2) Designing a lesson plan based on genotype
Some educational companies are using genetic information to develop individually optimized learning curricula and offer programs to improve memory and concentration.
9-2. Relationship between genetic information and the financial and insurance industries
There is a movement in the financial industry to use genetic information as an indicator for risk assessment.
(1) Risk assessment for life insurance using genetic information
Some life insurance companies are discussing the possibility of raising premiums for policyholders who are at high risk of genetic diseases, but many countries have laws (e.g., the GINA Act in the United States) that prohibit using genetic information as a basis for insurance contracts.
(2) Customizing health insurance using genetic information
Insurance products that take into account an individual’s genetic risk have been introduced.
A service has been launched that offers insurance premium discounts to people who actively engage in preventive medical care.
9-3. Genetic information and the travel and tourism industry
“Personalized travel” that utilizes genetic testing is attracting attention.
(1) Roots exploration tour based on ancestral analysis
Travel plans that involve visiting areas related to one’s roots based on the results of ancestral analysis are popular.
One example is “DNA travel,” which allows African Americans to explore their roots.
(2) Suggesting travel plans based on genotype
The gene (EPAS1) involved in oxygen supply capacity at high altitudes was analyzed to evaluate suitability for high altitude travel.
Based on genetic information regarding melanin production, we provide travel plans that take into account UV protection measures.
9-4. Genetic data and the entertainment industry
Entertainment services that utilize genetic information are also emerging.
(1) Music and movie recommendations using genetic data
It has been pointed out that musical preferences and emotional responses may differ depending on genotype.
For example, it has been reported that variants in the serotonin receptor gene (5-HTTLPR) affect the tendency to express emotions.
(2) Gene-based character generation game
A service is currently under development that will reflect genetic information in the parameters of in-game characters.
It may become possible to optimize gameplay based on genetic traits.
10. Commercial Use of Genomic Data and Challenges
While the use of genetic information is progressing, data management and ethical issues are becoming major points of contention.
10-1. Blockchain management of genetic data
In order to prevent the unauthorized use of genetic data, management methods using blockchain technology are being developed.
(1) Distributed data management
Decentralized data management reduces the risk of hacking and information leaks.
We are building a system that gives users complete control over their genetic data.
(2) Transparency of data transactions
Contracts when companies use genetic information will be managed on the blockchain, improving the transparency of transactions.
By being able to track data usage history, unauthorized use can be prevented.
10-2. Trading of genetic information and ethical risks
Some companies have established business models in which they anonymize users’ genetic data and sell it to pharmaceutical companies and research institutions, but this comes with the following risks:
(1) Data is distributed without the person’s knowledge
There have been reported cases of data being shared beyond the scope of user consent.
The challenge is to strike a balance between protecting personal information and commercial use.
(2) Risk of genetic discrimination
The possibility of unfavorable employment or insurance terms being imposed on you based on your genetic information.
Japan, Europe, and the United States have laws to prevent genetic discrimination, but problems can still arise in countries with lax regulations.
11. Future Possibilities of the Genetic Industry
The genetic testing market is growing rapidly and is expected to continue to grow in the future.
11-1. Integration of AI and genetic analysis
Advances in artificial intelligence (AI) technology are enabling more advanced genetic data analysis.
Health prediction through integrated analysis of genetic data and life logs (diet, exercise, sleep).
Developing a system that uses AI to assess health risks in real time and suggest optimal lifestyle habits.
11-2. Evolution of gene editing technology and development of personalized medicine
Combining gene editing technologies such as CRISPR-Cas9 with genetic testing could further advance personalized medicine.
Practical application of gene editing for disease prevention and treatment.
Preventing congenital diseases through genetic screening at the fertilized egg stage.
12. Future challenges and social impacts of the genetic industry
As genetic testing technology advances and the market expands, its impact on society cannot be ignored, especially in terms of ethical issues, privacy protection, and strengthened industry regulation.
12-1. Ethical issues regarding genetic testing
Genetic information is one of the most sensitive types of data related to personal privacy, and so how to handle it has become a central ethical debate.
(1) The issue of “designer babies”
Combining genetic testing with gene editing technologies such as CRISPR-Cas9 could potentially lead to the creation of “designer babies,” in which parents can choose their children’s genes.
This could lead to gene editing to improve physical abilities and intelligence, and there are fears that this could lead to increased social inequality.
The birth of twins using gene editing technology has already been reported in China, sparking major debate in the international community.
(2) Genetic discrimination and social inequality
There is a possibility that “genetic discrimination” could occur, such as insurance premiums being determined based on genetic information or being used as a hiring criterion.
In order to prevent people at high risk of genetic diseases from being placed at a social disadvantage, legal regulations are being implemented in each country.
For example, the United States has enacted the Genetic Information Nondiscrimination Act (GINA), which prohibits employment and insurance discrimination based on genetic information.
12-2. Privacy and management of genetic information
Once genetic information is leaked, it cannot be retrieved, so strict data management is required.
(1) Risk of genetic data leaks
In recent years, there have been cases where DNA testing companies have come under cyberattack, resulting in large-scale leaks of personal data.
Consumers need to understand how companies manage their data and choose the appropriate services.
(2) Development of personal genetic information management systems
“Gene banks,” which allow people to manage their own genetic information, are attracting attention.
Efforts are being made to introduce systems that utilize decentralized data management technologies (such as blockchain) to ensure that no one other than the person in question can access the information.
12-3. Genetic testing and legal status
Although each country is making progress in establishing laws regarding genetic testing, the strength of regulations varies.
Country/Region
Regulation details
US
The Genetic Information Nondiscrimination Act (GINA) prohibits discrimination on the basis of genetic information
EU
GDPR requires special permission to process genetic data
Japan
Based on the Personal Information Protection Act, genetic information must be handled with care.
China
While restricting the use of genetic technology, research and development is actively promoted
There is a possibility that globally unified regulations will be required in the future.
13. Evolution of genetic testing technology and future possibilities
Genetic testing technology is improving every day, and it is expected that its convenience will increase even more in the future, leading to the development of new ways of using it.
13-1. Popularization of rapid and inexpensive genetic testing
Current genetic testing takes several days to several weeks, but advances in technology are helping to develop “real-time genetic testing” that can provide results within a few hours.
Falling costs will make genetic testing more affordable and accessible to more people.
13-2. Realization of personalized medicine
This will accelerate the development of “precision medicine,” in which individualized treatment plans are created based on genetic information.
In cancer treatment, it is becoming possible to select the most appropriate anticancer drug based on a patient’s genotype.
13-3. Integration with gene editing technology
Combining gene editing technologies such as CRISPR-Cas9 with genetic testing makes it possible to prevent and treat diseases.
In the future, “gene therapy” to prevent the onset of genetic diseases may become commonplace.
13-4. Future lifestyles and genetic testing
Smart devices that utilize genetic analysis will become widespread, making it possible to manage one’s health on a daily basis based on genetic information.
For example, we may see apps that suggest optimal meal plans based on your genotype, and wearable devices that provide exercise programs that take genetic risks into account.
14. Genetic Industry and Sustainable Society
Developments in genetic technology have the potential to be applied not only to medicine and health, but also to areas such as environmental protection and agriculture.
14-1. Genetic technology and environmental protection
Efforts are underway to conduct genetic analysis of endangered species and use the results in conservation efforts.
The development of sustainable agriculture using genetic engineering technology could potentially lead to the solution of food problems.
14-2. Economic impact of the gene industry
The market size of the genetic business is expanding rapidly, and some predictions suggest it will reach tens of trillions of yen by 2030.
It is expected that new jobs will be created and related industries will develop.
Summary
Genetic testing and related businesses are growing in a wide range of fields, including medicine, healthcare, sports, food, education, and finance. Advances in technology are enabling faster and more affordable genetic analysis, making personalized medicine and wellness a reality. However, there is a need to protect privacy, address ethical issues, and establish regulations regarding the commercial use of genetic information. In the future, it is expected that genetic testing will be used more sophisticatedly in combination with AI and gene editing technology, which will have a major impact on our lifestyles and social structure.