Digital Health Market Report

Digital Health Market Size:

The global digital health market size reached US$ 421.7 Billion in 2023. Looking forward, IMARC Group expects the market to reach US$ 1,794.7 Billion by 2032, exhibiting a growth rate (CAGR) of 16.9% during 2024-2032. The market is propelled by the increasing diagnosis of chronic diseases among individuals, rapid shift toward value-based care, significant technological advancements and innovation, and rising healthcare costs and demand for efficiency.

Digital Health Market Analysis:

• Major Market Drivers: Significant technological advancements such as the development of artificial intelligence (AI), Internet of Things (IoT), and wearable devices, rising healthcare costs and rapid shift toward value-based care are some of the major factors driving the digital health demand.
• Key Market Trends: Some of the major factors driving the market is the rising number of individuals diagnosed with chronic diseases which leads to a rise in the demand for remote patient monitoring along with the exponential increase in telehealth services.
• Geographical Trends: North America holds the largest digital health market share due to the significant technological advancements in the healthcare infrastructure, and favorable regulatory environment. Europe holds the second largest share in the market on account of its robust healthcare setting and numerous initiatives including the European Union’s Digital Single Market strategy.
• Competitive Landscape: AirStrip Technologies Inc., AT&T, Athenahealth Inc., eClinicalWorks, iHealth Lab Inc., Kininklijke Philips N.V., McKesson Corporation, Omron Healthcare (Omron Corporation), Oracle Corporation, Qualcomm Technologies Inc., and Veradigm LLC., are among some of the key players in the digital health industry.
• Challenges and Opportunities: The digital health industry encounters a constantly developing and complicated regulatory landscape. Another challenge often faced by the industry is ensuring the data privacy of patients. On the other hand, digital health recent opportunities include, the rapid growth of the industry in confluence with the integration of big data analytics and artificial intelligence (AI).
   

Digital Health Market Trends:

Significant Technological Advancements

Constant technological upgradations in the industry represent a major factor driving the digital health market growth. Significant technological advancements such as the integration of artificial intelligence (AI), Internet of Things (IoT), and cloud computing is propelling the market. These technologies allow the advancement of refined digital health solutions that influence predictive modeling, data analytics, and machine learning algorithms in order to transform the healthcare industry. Other than this, collaborations between digital health companies helps in expansion of the market. For instance, on February 13, 2023 Veradigm and HealthVerify entered into a collaboration to develop real-world evidence and enhance patient care for individuals diagnosed with diabetes and cardiovascular illnesses. This strategic step uses their respective expertise and resources to address complex healthcare challenges and create advancements in the industry.

Rising Number of Individuals Diagnosed with Chronic Diseases

The rising prevalence of chronic diseases including cardiovascular diseases, diabetes, and respiratory conditions act as a threat to the healthcare industry globally. According to a report published by the WORLD HEALTH ORGANIZATION, 42 million individuals succumb to chronic illnesses every year, which makes 74% of global deaths. The significant rise in these numbers leads to a high demand for digital healthcare solutions which are able to prevent, manage, and treat these conditions. Technologies in this industry allow better management of these diseases by including mobile health apps, remote patient monitoring, and wearable devices. Other than this, patients suffering with such chronic illnesses are empowered through these technologies as they are able to track their health parameters and receive customized interventions remotely.

Increasing Healthcare Expenditure

Healthcare expenditures is continuously increasing, particularly in developing nations, on account of factors such as rising chronic diseases, aging population, and significant developments in medical technology, thereby contributing to the digital health market revenue. According to the PRESS INFROMATION BUREAU, the current health expenditure of India is INR 540246 crores. The technologies in this industry act as reliable solutions to combat the rising healthcare prices by maximizing healthcare delivery, improving patient engagement, and minimizing excessive utilization of healthcare services. For instance, telemedicine platforms allow virtual consultations, eliminating the need for in-person-visits and related healthcare expenditures. Moreover, these digital healthcare tools are also capable of identifying areas of inefficiency in within the healthcare structure, thus creating a positive digital health market outlook.

Digital Health Industry Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the global, regional, and country levels for 2024-2032. Our report has categorized the market based on type and component.

Breakup by Type:

• Telehealth
• Medical Wearables
• EMR/EHR Systems
• Medical Apps
• Healthcare Analytics
• Others
   

Telehealth accounts for the majority of the market share

The digital health market report has provided a detailed breakup and analysis of the market based on the type. This includes telehealth, medical wearables, EMR/EHR systems, medical apps, healthcare analytics, and others. According to the report, telehealth represented the largest segment.

Telehealth dominates the market on account of its vast adoption and versatility in providing remote healthcare services. With constantly rising developments in technology and growing demand for accessible healthcare, telehealth provides patients with an appropriate alternative for traditional in-person consultations. Other than this, the sudden outburst of the COVID-19 pandemic has led to a substantial rise in the adoption of telehealth. As per a report by the IMARC GROUP, the global telehealth market has already reached US$ 19.0 Billion in 2023 and is projected to reach US 97.3 Billion by 2032, expanding at a CAGR of 19.7% during 2024-2032.

Breakup by Component:

• Software
• Hardware
• Service
   

Service holds the largest share in the industry

A detailed breakup and analysis of the market based on the component have also been provided in the report. This includes software, hardware, and service. According to the report, service accounted for the largest market share.

Service holds the maximum number of shares on account of its all-encompassing nature which provides a wide array of offerings such as training, implementation, consulting, and maintenance. It offers customized solutions to cater to the specific needs of healthcare companies, ensuring seamless integration. Services is also gaining traction due to the rising health tech industry in developing economies, such as China and India. According to INDIA BRAND EQUITY FOUNDATION (IBEF), the India health-tech market is projected to reach 50 Billion by 2033, exhibiting a CAGR of 39%.

Breakup by Region:

• North America
  • United States
  • Canada
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
  • Indonesia
  • Others
• Europe
  • Germany
  • France
  • United Kingdom
  • Italy
  • Spain
  • Russia
  • Others
• Latin America
  • Brazil
  • Mexico
  • Others
• Middle East and Africa
   

North America leads the market, accounting for the largest digital health market share

The market research report has also provided a comprehensive analysis of all the major regional markets, which include North America (the United States and Canada); Asia Pacific (China, Japan, India, South Korea, Australia, Indonesia, and others); Europe (Germany, France, the United Kingdom, Italy, Spain, Russia, and others); Latin America (Brazil, Mexico, and others); and the Middle East and Africa. According to the report, North America accounted for the largest market share.

As per the digital health market forecast, North America is the largest region due to its robust healthcare infrastructure along with significant technological advancements, which promote innovation and adoption of digital health solutions. Other than this, key players are significantly making investment in research and development (R&D) activities, thus creating a positive digital health market overview. Moreover, portable devices such as fitness trackers, smartwatches, and home monitoring devices allow patients to monitor their health metrics, thus propelling the market growth. According to the IMARC GROUP, the North America portable medical and healthcare devices market is projected to grow at a CAGR of 7.98% during 2024-2032.

Competitive Landscape:

• The market research report has also provided a comprehensive analysis of the competitive landscape in the market. Detailed profiles of all major companies have also been provided. Some of the major market players in the digital health industry include AirStrip Technologies Inc., AT&T, Athenahealth Inc., eClinicalWorks, iHealth Lab Inc., Kininklijke Philips N.V., McKesson Corporation, Omron Healthcare (Omron Corporation), Oracle Corporation, Qualcomm Technologies Inc., and Veradigm LLC.
  
  (Please note that this is only a partial list of the key players, and the complete list is provided in the report.)
   
• Key players are constantly investing in research and development (R&D) activities to introduce novel technologies so as to meet the changing consumer needs within the healthcare structure. One of the recent digital health market recent developments include the partnership of Oracle Cerner Corporation and Nova Scotia which was formed with the intent to improve operational efficiency, enhance overall health outcomes, and modernize patient care. Other than this, these companies are also investing in initiatives such as digital therapeutics and medication adherence platforms in order to augment the traditional drug therapies and work toward enhanced treatment outcomes for patients.

Latest News:

• May 2023: Medtronic announced the acquisition of EOFlow Co. Ltd. (South Korea) to expand its footprint and improve its ability to cure patients diagnosed with diabetes.
• March 2023: GE HealthCare (US) announced its partnership with Advantus Health Partners (US) to sign a multi-year contract with the intent of expanding its access to Healthcare Technology Management Services.

Digital Health Market Report Scope:

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the digital health market from 2018-2032.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the global digital health market.
• The study maps the leading, as well as the fastest-growing, regional markets. It further enables stakeholders to identify the key country-level markets within each region.
• Porter's five forces analysis assists stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the digital health industry and its attractiveness.
• The competitive landscape allows stakeholders to understand their competitive environment and provides insight into the current positions of key players in the market.