01-27-2020 09:27 AM CET | Health & Medicine | Press release from: P&S Intelligence
The key reasons behind the advance of the digital health market are the widening applications of mobile health (mHealth), rising adoption of smartphones and tablets, and increasing government support for such solutions. From its value of $73.1 billion in 2017, the market is projected to grow at a 21.1% CAGR during 2018-2023 (forecast period), to reach $223.7 billion in 2023. Digital health refers to the use of mobile devices and information technology to offer various healthcare services.
When segmented by technology, the market categories are telemedicine, healthcare analytics, electronic health record (EHR), and mHealth. Of these, mHealth led the digital health market in 2017, with a 31.5% share, which is predicted to rise to 59.1% in 2023, at a 33.5% CAGR during the forecast period. This would be due to the increasing support of governments across the world for the adoption of this technology and surging awareness of people on the subject.
Clinics, hospitals, and the individuals are the various market divisions under the end user segment. In 2017, the highest revenue share, of 52.1%, was held by the hospitals division, due to the heaviest use of such technologies at large and well-funded hospitals. During the forecast period, the fastest growth in the digital health market is expected to be witnessed by the individuals division, at a CAGR of 21.9%. This would be because of the increasing penetration of IT devices in the everyday life of people across the globe.
Globally, North America led the market during the historical period (2013-2017), owing to its advanced healthcare and IT infrastructure, surging medical spending, and growing usage of digital healthcare solutions. Asia-Pacific is predicted to observe the highest CAGR, of 26.6%, in the digital health market during the forecast period, due to the increasing geriatric population, prevalence of chronic diseases, adoption of smart phones, government investments, and grants, and improving healthcare infrastructure.
Therefore, with an even greater penetration of IT devices, digital technologies will continue to make their way into the healthcare sector.