Vaccine manufacturing is a highly complex process compared to small molecules. Currently, the penetration of CDMO is less than 20% of overall manufacturing value with ample opportunity for growth. The pharma and biotech industries are increasingly outsourcing the development and production of vaccines. Big pharma companies usually turn to CDMOs for high volume vaccine manufacture, risk mitigation, and fill and finish activities, but biotech companies generally lack internal capabilities on process development and in-house manufacturing facilities qualified with GMP or BSL1 or BSL2 levels. Also, large pharma may struggle to meet rising demand for new technology vaccines like viral vector and mRNA. Smaller biotech companies' growing interest in developing innovative vaccines for illnesses including shingles, RSV, and infectious diseases will also present growth prospects for vaccine CDMOs.