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24

Feb-2021

Digital therapeutics Market Size To Grow USD 10.7 Billion By 2025

There's DTx here to stay. It is a group of new therapeutic options that are ready to tackle chronic and other disorders that are difficult to manage. DTx is expected to have a huge effect on the delivery of healthcare and its consumption worldwide. As individuals, healthcare systems, and governments struggle to respond to the crisis, the COVID-19 pandemic has created global upheaval. Digital healthcare start-ups have taken on the key roles of caring for patients affected by the virus in the midst of all this and maintaining a functioning healthcare system as it shifts to remote care. DTx development costs are significantly lower than typical pharmaceuticals, which usually take billions to bring to market, often pushed to be just as clinically efficient as pharmaceuticals. But some time restriction of the regulation and policy is hindered the digital therapeutic market.

What are Digital therapeutics?

Digital therapeutics (DTx) provide patients with evidence-based therapeutic interventions powered by high-quality software programs to prevent, diagnose, or treat a medical disorder or illness.

They are used to optimize patient care and health outcomes separately or collaborate with medications, devices, or other therapies. DTx products leverage best practices in advanced technology related to design, clinical validation, usability, and data security. Regulatory bodies validate them as required to support product claims specialized structure, efficacy, and intended use. Digital therapeutics empower patients, healthcare professionals, and payers through high-quality, safe, and productive data-driven treatments with intelligent and usable resources to address a wide range of conditions. DTx is distinct from digital drugs or' smart pills,' which combine a prescription drug with an ingestible sensor designed to control compliance with a software application. Digital therapeutics is a subdivision of digital wellness, and digital therapeutics are not all digital health solutions. For patients, the difference between digital health and digital therapeutics is based on clinical findings. For example, consumer health-oriented technology such as step-counters and calorie-counters are not used in digital therapeutics.

Digital therapeutics Market Size (2020 to 2025)

As per our report, the global digital therapeutics market size was valued at USD 2.42 billion in 2020 and is predicted to register a CAGR of 34.62% between 2020 to 2025.

"For about ten years, digital therapeutics have been on the market, but there are only a few of them," says Megan Coder, executive director of the Arlington, Virginia-based Digital Therapeutics Alliance (DTA). The alliance, founded in 2017, is a national non-profit trade group that seeks to set standards and facilitate health care collaboration.

MARKET TRENDS:

The role of DTx in healthcare has been expanded by advances and the increasingly dominant role of mobile technology and artificial intelligence (AI) in daily lives. This exciting development would create opportunities to increase the awareness of patients about their health and their ability to play a more active role in the treatment of their illness, thereby having the opportunity to enhance health outcomes and minimize healthcare system requirements compared to traditional pharmacological interventions alone. In the next three to five years, the DTx market is projected to expand tenfold, with a projection for 2025. In the covid-19 pandemic increasing awareness of digital therapeutics in developed countries is driving the digital therapeutics market. For conditions that affect billions of individuals, digital therapeutics can be convenient and cost-effective treatments.

Increasing demand for the Digital Therapeutics (DTx) market, digital Therapeutics (DTx) has become an exciting, incredibly competitive new frontier in healthcare in just a few short years.  Health authorities, including the USFDA and the NHS, also recognize DTX's potential and promote innovation. Although the efforts of DTx companies, stakeholders, and regulators are still at an early stage, growing investments in R&D will undoubtedly very soon demonstrate the enormous potential impact of DTx. Increase in the geriatric population, increase in chronic disease incidences, increase in wireless & portable systems demand.

However, restrictions of government policy and regulation hamper the market. In terms of how the technology is regulated, how healthcare providers (HCP) respond to this paradigm shift, and how these innovations are reimbursed, this poses challenges. On the other hand, lack of knowledge and access to digital therapeutics programs in developing countries such as China, India, concerns about patient data safety, unstable payment models, and resistance from conventional healthcare providers are a restraint to some extent to the growth of this industry.

Impact of COVID-19 on Digital Therapeutics Market:

For many since the pandemic, digital therapeutics services and wellness apps have become a lifeline, as individuals were unable to leave their homes and obtain assistance in maintaining their physical and mental health. As a result, it is anticipated that the number of individuals using digital therapeutics and wellness apps will rise from 2020 to 2025. It was due to the speed at which COVID-19 spread throughout the world, putting enormous pressure on governments and healthcare systems to treat patients diagnosed with COVID-19 and continue treating patients with other medical conditions. In response to this situation, several other government bodies, particularly in the US, have relaxed or altered regulations that had previously hindered the adoption by healthcare professionals of digital therapeutics. And while there is some uncertainty as to whether these reforms will remain in place after lockdown restrictions are eased and/or COVID-19 lesser, the expansion of reimbursement structures indicates, in particular, that any attempt to fix these changes is likely to be resisted not only by developers and distributors but also by consumers who consider these technologies to be a convenient, personalized, cost-effective way to manage their healthcare. In the covid-19 pandemic, for those who are unfamiliar, DTx provides patients with evidence-based medical treatment through software applications to prevent, control, or treat a wide variety of physical, mental, and behavioral disorders. Also, people are forced to stay at home during this pandemic, which leads to less physical activity, unhealthy lifestyles, mental stress, and, in turn, a rise in the prevalence of chronic diseases. There is, therefore, an increase in demand across the globe for DTx devices and software.

REGIONAL ANALYSIS:

In 2020, the North American market had dominated the global digital therapeutics market, followed by Europe and the Asia Pacific. However, during the forecast period, the Asia-Pacific market is forecasted to grow at the highest CAGR among all the regions.

KEY MARKET PARTICIPANTS:

Some of the major market players in the Digital Therapeutics Market are Akili Interactive Labs, Inc., Fitbit, Inc. (Twine Health, Inc.), Click Therapeutics, Inc., Happify, Inc., Kaia Health, Livongo Health, Inc., Omada Health, Inc., Medtronic Plc., Pear Therapeutics, Inc., Proteus Digital Health, Inc., Resmed, Inc. (Propeller Health), Voluntis, Inc., Welldoc, In., etc.

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WRITTEN BY: Market Data Forecast

Market Data Forecast