As per the report published by MarketDataForecast, the global digital health market size is predicted to grow at a remarkable CAGR of 19.04% from 2020 to 2025. This market is estimated to worth USD 312.6 billion by the end of 2025. Technological advancements in Healthcare is primarily hiking the growth rate of the market. People are adopting new technology like never before, which has led many businesses to become more popular and new businesses being invented. People can monitor their health at home without going outside now and maintain their health with various health monitoring apps and fitness apps.
Digital healthcare is the convergence of digital technology and healthcare to enhance the efficiency of healthcare delivery. Digital healthcare interconnects the health system to improve the use of computation technologies, smart devices, analysis techniques, and communication, which help healthcare professionals and patients. This technology includes both software and hardware solution and services such as telemedicine, web-based analysis, mobile application, and remote monitoring sensors.
MARKET DRIVERS
Factors such as increasing usage of smartphones, rising standards of healthcare IT infrastructure in different nations, and growing focus on fitness are majorly driving the global digital health market.
The rising elderly population and creating awareness over the benefits of digital healthcare systems are also propelling the demand of the market tremendously. Patients with chronic diseases can need healthcare services continuously where this can be provided by digital healthcare very quickly. The digital health can help to compensate for the shortage of healthcare professionals worldwide. According to the WHO, the healthcare professional’s deficit can rise to 9.9 million by 2030.
The government and the regulatory bodies worldwide are funding to develop digital healthcare services, which is estimated to favor market growth. The growing usage of virtual reality devices in pain management and the increasing adoption of artificial intelligence and machine learning in healthcare are also contributing well to the demand for the digital health market. The use of big data in healthcare stores patient information and analyzing the data, so it lowers the medication errors next time. The data collected by the hospital can be used in the research of the medical devices and also predict disease in a patient with a previous medical history. These factors are projected to escalate the growth of the digital health market.
Furthermore, the increase in the smartphone and smart devices has led to the introduction of apps that can help us monitor our body vitals like blood pressure and heart rate and the number of calories burned during the day. Other types of apps allow us to do physical exercise and yoga correctly. The easy user interface is the prominent feature of these apps, contributing a lot to the market growth.
The recent outbreak of COVID-19 further actively drives the growth of the global digital health market. In recent times, increased adoption of remote monitoring has been noticed in hospitals worldwide, as most chronic patients need continuous monitoring. They are most likely to get infected by the coronavirus.
MARKET RESTRAINTS
The healthcare is not yet fully digitalized; only 7% of healthcare in the world is digitalized, which is a major restraining factor for the market growth. Rising concern towards privacy and increasing data threats are hampering the growth rate of the market. The cost of installation and software is costly, and the services related to technology are expensive.
One of the significant challenges to the market players is introducing more apps that can be operated on basic smartphones and not on expensive and more advanced smartphones to increase their accessibility. A lot of population is still below the poverty line, and they do not have access to smart devices, thus limiting the reach of the digital health market.
COVID 19 has boosted the digital health market around the world. The lockdown ensured that people remained at home during the pandemic, and thus people were not able to visit gyms, do physical exercise, and yoga. The lockdown resulted in launching new apps or made the old apps famous, associated with the fitness market. The smartphones ensured that this growth rises at a reasonable rate, and now to avoid being exposed to viruses, people have now started to do exercises at home. Many gym chains also introduced their apps to provide services to their existing customers and new customers. The instructors have also started taking online classes privately now. There are many apps now that also offer diet charts and apps that provide real-time data of COVID positive cases near the person to take proper precautions.
The situations caused by the COVID-19 outbreak positively influenced online pharmacies and markets related to Healthcare IT. Many countries had opted for the lockdown to restrict the Coronavirus spread in their countries at a global level. The impact of Covid-19 has doubled the increase of online consultations, video calls with the doctors, which ease up the regulations associated with remote consultation, which is favoring the global digital health market.
REPORT COVERAGE
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REPORT METRIC |
DETAILS |
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Market Size Available |
2019 to 2025 |
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Base Year |
2019 |
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Forecast Period |
2020 to 2025 |
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Segments Covered |
By Technology, Component and Region |
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Various Analyses Covered |
Global, Regional & Country Level Analysis, Segment-Level Analysis, Drivers, Restraints, Opportunities, Challenges, PESTLE Analysis, Porter’s Five Forces Analysis, Competitive Landscape, Analyst Overview on Investment Opportunities |
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Regions Covered |
North America, Europe, Asia Pacific, Latin America, Middle East and Africa |
This market research report on the global digital health market has been segmented and sub-segmented into the following categories.
Digital health Market - By Technology:
Based on technology, the health analytics segment had the most significant market shares in the global market in 2019. The rise in the number of infection rate is a substantial factor for the segment to grow in the forecast period. These health analytics also helps to analyze the patient's data so the data could be used again if the patient needs it. The demand for health analytics is increasing due to COVID-19. Health analytics is also used to track the spared of the coronavirus through various applications.
The digital health system had the second largest market share in 2019. Growing demand for telemedicine and the rise in the in-home care settings are majorly fuelling the growth of this segment. There is a demand for paperless patient records, such as electronic health records (EHRs).
The Tele-healthcare segment is estimated to progress at a promising CAGR during the forecast period. The digital health boom has helped us in active monitoring of us and other people's health to take timely action in case of an emergency. The vitals then allows the physicians to provide medication to the patients without being physically present with the doctor. In telehealth, there is LTC monitoring and video consultation. The patients are now consulting with their physicians on online video calls rather than being physically present to avoid the virus. It is expected to grow at a reasonable rate and currently has the second-largest market share among other segments.
The mhealth segment is sub-divided into wearables and apps. The penetration of wearable devices in the market has boosted the digital health market around the world. These wearable devices include glucometers, BP monitors, Pulse Oximeters, Sleep Apnea Monitors (PSG), Neurological Monitors, and Activity trackers. The wearable devices have become a lot popular due to increasing awareness among people about their health. Many companies have improved their technology to make these devices smaller and have multiple functions. The big tech giants have also introduced their products in the market, making the competition more tuff and thus benefiting the customers.
Digital health market - By Component:
Based on the component, the global digital health market was dominated by the software segment with a market share of 40% in 2019 and predicted to continue its dominance throughout the forecast period. Rising requirement levels of EHRs, fitness, and medical apps are majorly supporting this segment’s growth. The continuous development in the IT sector is propelling the market growth in the segment. Many old tech companies are in this market, and the new companies have also entered this market, or they can outsource their software developments to other big players.
The hardware segment was accounted for 29.4 billion in 2019 and estimated to showcase a promising CAGR during the forecast period. Now we can see significant tech companies entering the hardware business like wearable devices business to capture the untapped market. There is also the emergence of new players that are providing effective and cheap hardware devices.
The services segment is expected to witness a healthy rate during the forecast period due to the growth in hardware and software and constant up-gradation growth. The service segment has many sub-segments like diet-related, consultation related, health monitoring related, and exercises related. The increase in population, along with the health-conscious population, has fuelled the growth of this market.
Digital Health Market - By Region:
Regionally, the global digital health market was dominated by North America in 2019. It is majorly attributed to factors such as rapid growth in the adoption of smartphones, advancements in coverage networks, a rise in the prevalence of chronic diseases, and an increase in the geriatric population. The artificial intelligence (AI) and the IT industry are well developed in this region and introduce innovative healthcare solutions. The governments of this region are taking initiatives to promote the digitalization of healthcare. The US FDA is also regulating and promoting digital healthcare to improve the healthcare facility provided to the patient. There is a rise in smartphone use, especially healthcare apps in this region, which is predicted to propel the market growth in this region.
Following North America, the European region has let the global market in 2019 and is expected to grow faster than North America due to modern healthcare services advancements. The government initiatives have also helped the market grow at a faster pace. The European Commission is working to provide the citizen with the benefits of digital healthcare. Digital healthcare Europe is an initiative that promotes innovation in digital healthcare.
The Asia Pacific market is estimated to grow at a prominent CAGR from 2020 to 2025. The growth is attributed to the high population in countries like India and China. The region is still very new to the technology in terms of reach but can become number one in the long term. There is a rise in the adoption rate of digital healthcare in the region. The governments in the area are adopting digital healthcare in the system. Countries like India, China, and Japan have a modern infrastructure for digitalization.
KEY MARKET PLAYERS:
Notable companies dominating the global digital health market profiled in this report are Apple Inc., AirStrip Technologies, Google Inc., Orange, Allscripts Healthcare, LLC, Mckesson Corporation, Athenahealth Inc., At&T Inc., Biotelemetry, Inc., Cerner Corporation, Cisco Systems, Inc., Koninklijke Philips Nv, Eclinicalworks, Ihealth Lab, Inc. and General Electric Company.
RECENT MARKET DEVELOPMENTS
On June 23, 2020, Happify Health and AHA partner collaborated and released the heart health-focused digital mental health program. The partnership between this digital health and cardiovascular health organization targets to lessen the stress and encourage healthy benefits of the employee with high blood pressure and high cholesterol.
On June 11, 2020, Athenahealth has launched a new EHR-embedded telehealth tool to enable the professionals to conduct virtual visits without downloading separate software or using another third-party app.
On April 20, 2020, Google Inc. has announced the accessibility of technology to make it more comfortable for patients to access their health information through third-party apps. Google Healthcare API will need them to make it more convenient for patients to see and use their digital health data.
On February 18, 2020, Allscripts Inc. has made a partnership with Manorama Info solutions to develop a coupled healthcare management information system and health information exchange platform.
On November 14, 2019, Apple launched its new research app, which will claim advance science by collecting information from the users of the iPhone and Apple watch wearers.
On October 31, 2019, Google Cloud made a partnership with Suki’s digital clinical assistant technology for its artificial intelligence, machine learning, and clouded computing healthcare products. Based on the partnership, Suki will carry out administrative tasks for physicians like clinical documentation or information retrieval from an EHR, which is based on the customers'/patients' voice commands.
On October 15, 2019, Allscripts Healthcare solutions have announced that North well Health has enlarged its engagement with the comprehensive Allscripts sunrise inpatient platform.
On October 01, 2019, OnMed made a strategic alliance with Athena health Inc. to intensify digital security in Telemedicine.
On May 17, 2017, Partners Healthcare and GE Healthcare partnered to launch a 10year association to incorporate Artificial Intelligence of every aspect of the patient journey. It will develop within a short period, validate and integrate strategically.
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