Digital Health Market (By Component: Software, Hardware, and Services; By Technology: Telehealthcare [Telehealth and Telecare], mHealth [Apps and Wearables], Digital Health Systems [E-prescribing Systems and Electronic Health Records], and Health Analytics) - Global Market Size, Trends Analysis, Segment Forecasts, Regional Outlook 2020 - 2027
The global digital health market was valued at US$116.39 billion in 2019 and expected to reach US$ 833.44 billion by 2027, with at a compound annual growth rate (CAGR) of 27.9% during the forecast period 2020 to 2027.
Increasing penetration of smartphones along with numerous smartphone applications related to health and fitness across the globe expected to be a key factor that drives the market growth. Rapid investment in the healthcare IT infrastructure particularly in the developing and developed nations estimated to be conducive to the market growth. For instance, in April 2020, the Asian Infrastructure Investment Bank (AIIB) awarded its first health infrastructure investment in order to recover the crisis of USD 5 Billion because of COVID-19.This expected to provide aid to the private and public entities that are suffering from the pandemic situation.
Apart from this, the outbreak of COVID-19 has imposed stringent social distancing norms and lockdowns by the governments across the globe. In this situation, digital health technologies for example telehealth provide enormous opportunities for the care service providers to treat patient by following the lockdown measures. This in turn further expected to drive the product adoption along with this also favors the market growth positively in the upcoming years.
Based on component, services captured the major market revenue accounting for nearly half of the market share in 2019. This is mainly attributed to the significant rise in the software upgradation along with rapid advancements in various software and hardware. These services include training & integration, installation, and upgradation. Further, increasing investment on digital healthcare infrastructure predominantly in the developing countries drives the demand for services during the upcoming years. Moreover, increasing demand for platforms such as Electronic Health Records (EHR) that further propels the demand for service as moat of the companies are prominently focusing on acquiring post-installation services such as staffing, optimization, training, and many other services.
Besides this, software segment accounted for nearly 35% of the total market value and expected to show robust growth over the forthcoming years. The significant growth of the segment is majorly because of increasing demand for healthcare software, fitness apps, and various healthcare analytics platform. The outbreak of COVID-19 anticipated to have a positive impact on the digital health market as it boosted the need for analytics platform to track and monitor the total number of cases across the globe. In addition to this, lockdown measure adopted by the government to control the corona cases has significantly triggered the demand for personal healthcare solutions and fitness apps that further provides impetus to the growth of the segment.
In 2019, mHealth held the leading market position and accounted for a revenue share of more than 55%. The prominent growth of the segment is majorly due to the rising penetration of internet and smartphones across the globe along with the availability of large number of health related apps in the market. Furthermore, increasing prevalence of chronic diseases along with the advancements in wearable devices significantly triggers the market growth for mHealth.
On the other side, health analytics expected to be the fastest growing segment over the forecast timeframe because of increasing advancements in the analytics platforms such as big data and other analytics software. The healthcare analytics has gained significant importance over the past few years owing to the need for monitoring and tracking the most prevalent diseases across the globe such as cancer and diabetes. Apart from this, the outbreak of COVID-19 has significantly triggered the need for analytics platform to track the disease and take preventive measures accordingly.
North America dominated the digital health market with a revenue share of around 40% in 2019. The growth of the region is mainly due to increasing number of geriatric population along with rising prevalence of chronic diseases across the region. As per the United Nations World Population Ageing report published in 2015, total population with age more than 60 years expected to reach around 28% by the end of 2050. However, the Asia Pacific exhibits the fastest growth over the forecast timeframe owing to increasing spending on healthcare infrastructure and software to promote awareness among the public.
Key Companies & Market Share Insights
The global digital health market seeks intense competition among the market participants owing to the strategic initiatives adopted by them to gain maximum market share on the global scale. Further, product innovation and regional expansion are the prime motive of these market players for cementing their foothold in the market.
Some of the prominent players in the digital health market include:
- BioTelemetry Inc
- Allscripts Healthcare Solutions Inc
- iHealth Lab Inc
- AT & T
- Honeywell International Inc
- Athenahealth Inc.
- Cisco Systems
- McKesson Corporation
- Koninklijke Philips N.V.
- AdvancedMD Inc.
- Cerner Corporation
Segments Covered in the Report
This research study comprises complete assessment of the market by means of far-reaching qualitative and quantitative perceptions, and predictions regarding the market. This report delivers classification of marketplace into impending and niche sectors. Further, this research study calculates market size and its development drift at global, regional, and country from 2016 to 2027. This report contains market breakdown and its revenue estimation by classifying it on the basis of component, technology, and region:
- Video Consultation
- LTC Monitoring
- Remote Medication Management
- Activity Monitoring
- Fitness Apps
- Medical Apps
- Glucose Meter
- BP Monitor
- Pulse Oximeter
- Neurological Monitors
- Sleep Apnea Monitor
- Digital Health Systems
- E-prescribing Systems
- Electronic Health Records
- Health Analytics
By Regional Outlook
- North America
- Asia Pacific
- South Korea
- Rest of the World
Frequently Asked Questions About This Report
Precedence Research says the global digital health market size was valued at US$116.39 billion in 2019 and expected to reach US$ 833.44 billion by 2027.
The global digital health market is growing at a compound annual growth rate (CAGR) of 27.9% during the forecast period 2020 to 2027.
Digital Healthcare function is largely based on the electronic health record (EHR), healthcare big data, electronic medical record (EMR), and many others. Digital healthcare provides smooth functioning of healthcare processes. Further, integration of artificial intelligence, machine learning, big data, and analytics platforms has prominently enhances the health functions and expected to continue the same trend over the upcoming years
Based on component, services captured the major market revenue accounting for nearly half of the market share in 2019 due to the significant rise in the software upgradation.
In 2019, mHealth held the leading market position and accounted for a revenue share of more than 55% due to the rising penetration of internet and smartphones across the globe.
North America dominated the market with a revenue share of around 40% in 2019 due to increasing number of geriatric population and rising prevalence of chronic diseases across the region.
The Asia Pacific exhibits the fastest growth over the forecast timeframe owing to increasing spending on healthcare infrastructure and software to promote awareness among the public.
Some of the key players operating in the market are BioTelemetry Inc, eClinicalWorks, Allscripts Healthcare Solutions Inc, iHealth Lab Inc, AT & T, Honeywell International Inc, Athenahealth Inc., Cisco Systems, McKesson Corporation, Koninklijke Philips N.V., AdvancedMD Inc., and Cerner Corporation among others.