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Healthcare IT - Global Market Trajectory & Analytics

  • ID: 2832329
  • Report
  • February 2022
  • Region: Global
  • 1205 Pages
  • Global Industry Analysts, Inc

FEATURED COMPANIES

  • Agfa Healthcare NV
  • athenahealth, Inc.
  • Cerner Corporation
  • CPSI
  • eClinicalWorks
  • GE Healthcare

Global Healthcare IT Market to Reach $484 Billion by 2026


Healthcare technology aims at enhancing outcomes and improving community health and care quality. Technology is only a tool to support healthcare and a sustainable success necessitates a clear vision, proper publicly defined scale, communication of plans, user engagement and buy-in, accountability and schedule for implementation, along with post-live optimization. Rapid increase in applications and devices is leading to a new realism in healthcare. IoT is set to proliferate into almost all areas of human life including healthcare, increasing its efficiency. However, technology developments in healthcare are also creating challenges, especially in terms of vulnerability and risks. Ensuring the performance and availability of healthcare services right through hospital networks, clinics, medical buildings, insurer/payer systems and in public/private cloud data centers is also critical. Network services would become virtualized, while enterprises are expected to turn into `as-a-service` model in the next few years. Currently, around one-third of the enterprises are employing `as-a-service solutions. In fact, a number of healthcare applications are currently available and are implemented `as a service,` especially EMR solutions. The use of cloud storage `as a service` is also growing on account of its agility and flexibility, which is essential for maintaining multitude of large imaging files. Healthcare applications are rapidly gaining importance as disruptions are not tolerated and could impact patient care. Studies indicate that approximately 40% of the companies are using the services of two or more public cloud providers, largely to prevent disruptions, leading to delay and loss of time.

Amid the COVID-19 crisis, the global market for Healthcare IT estimated at US$276.8 Billion in the year 2022, is projected to reach a revised size of US$484 Billion by 2026, growing at a CAGR of 15.1% over the analysis period. Services, one of the segments analyzed in the report, is projected to grow at a 15.2% CAGR to reach US$306.8 Billion by the end of the analysis period. After a thorough analysis of the business implications of the pandemic and its induced economic crisis, growth in the Software segment is readjusted to a revised 15.8% CAGR for the next 7-year period. This segment currently accounts for a 29.5% share of the global Healthcare IT market. Governments across the world are focusing efforts on promoting the use of information technology (IT) in hospitals. Increasing government support for healthcare IT in the form of stimulus packages and initiatives such as ARRA (American Recovery and Reinvestment Act); introduction of healthcare reforms such as ICD-10, and ACOs; government policies aimed at lowering healthcare costs such as PPACA; and increasing automation of healthcare organizations are all favoring growth in the healthcare IT market.



The U.S. Market is Estimated at $100.3 Billion in 2022, While China is Forecast to Reach $29.4 Billion by 2026


The Healthcare IT market in the U.S. is estimated at US$100.3 Billion in the year 2022. The country currently accounts for a 36.2% share in the global market. China, the world's second largest economy, is forecast to reach an estimated market size of US$29.4 Billion in the year 2026 trailing a CAGR of 22% through the analysis period. Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at 12.5% and 14.5% respectively over the analysis period. Within Europe, Germany is forecast to grow at approximately 14.6% CAGR while Rest of European market (as defined in the study) will reach US$34.5 Billion by the end of the analysis period.

The COVID-19 situation prompted a large number of healthcare practices and hospitals to embrace virtual care, with federal and state governments announcing wavers and changes to existing guidelines for removing barriers to virtual service payments. The fraction of Medicare primary care visits handled using the virtual technology increased dramatically from just 1% from the pre-pandemic phase to around 43.5% during the outbreak. The technology was adopted by private insurers as well as acute care patients to interact with their family members. With enhanced patient satisfaction rate with remote visits, virtual modalities including telehealth are poised to witness increasing uptake in the post-pandemic phase. The shift requires healthcare organizations to recognize that the rising competition from unconventional players like direct-to-consumer telehealth services is poised to limit their ability to fully control and own these service delivery pathways. These organizations are also required to rethink existing processes to accommodate low-cost delivery of digital services owing to reduced margins as a result of high competition along with pricing pressure.

Hardware Segment to Reach $61.4 Billion by 2026


In the global Hardware segment, USA, Canada, Japan, China and Europe will drive the 13.2% CAGR estimated for this segment. These regional markets accounting for a combined market size of US$22.6 Billion will reach a projected size of US$53.9 Billion by the close of the analysis period. China will remain among the fastest growing in this cluster of regional markets. Led by countries such as Australia, India, and South Korea, the market in Asia-Pacific is forecast to reach US$5.4 Billion by the year 2026, while Latin America will expand at a 15% CAGR through the analysis period.

Select Competitors (Total 353 Featured) -

  • Agfa Healthcare NV
  • Allscripts Healthcare, LLC
  • Anju Software, INC.
  • athenahealth, Inc.
  • Carestream Health, Inc.
  • Cerner Corporation
  • Change Healthcare
  • CPSI
  • DXC Technology
  • eClinicalWorks
  • Epic Systems Corporation
  • GE Healthcare
  • HealthCare Management Systems
  • McKesson Corporation
  • Medidata Solutions
  • Omnicell, Inc.
  • Philips Healthcare
  • Vizient Inc.

What's New for 2022?

  • Global competitiveness and key competitor percentage market shares
  • Market presence across multiple geographies - Strong/Active/Niche/Trivial
  • Online interactive peer-to-peer collaborative bespoke updates
  • Access to the publisher's digital archives and Research Platform
  • Complimentary updates for one year
Frequently Asked Questions about the Global Market for Healthcare IT

What is the estimated value of the Global Market for Healthcare IT?

The Global Market for Healthcare IT was estimated to be valued at $276.8 Billion in 2022.

What is the growth rate of the Global Market for Healthcare IT?

The growth rate of the Global Market for Healthcare IT is 15.0%, with an estimated value of $484.0 Billion by 2026.

What is the forecasted size of the Global Market for Healthcare IT?

The Global Market for Healthcare IT is estimated to be worth $484.0 Billion by 2026.

Who are the key companies in the Global Market for Healthcare IT?

Key companies in the Global Market for Healthcare IT include Agfa Healthcare NV, Allscripts Healthcare, LLC, Anju Software, INC., athenahealth, Inc., Carestream Health, Inc., Cerner Corporation, Change Healthcare, CPSI and eClinicalWorks.
Note: Product cover images may vary from those shown

FEATURED COMPANIES

  • Agfa Healthcare NV
  • athenahealth, Inc.
  • Cerner Corporation
  • CPSI
  • eClinicalWorks
  • GE Healthcare

I. METHODOLOGY


II. EXECUTIVE SUMMARY

1. MARKET OVERVIEW

  • IT Revolutionizing Healthcare Industry
  • Impact of Covid-19 and a Looming Global Recession
  • As the Race between the Virus & Vaccines Intensifies, Review of the World Economy in 2021 and Beyond
  • As the Race between the Virus & Vaccines Intensifies, Where is the World Economy Headed in 2021?
  • With IMF Making an Upward Revision of Global GDP for 2022, Companies Remain Bullish About an Economic Comeback
  • EXHIBIT 1: World Economic Growth Projections (Real GDP, Annual % Change) for 2020 through 2022
  • COVID-19 Pandemic Accelerates Digitalization in Healthcare, Driving Changes in IT Spending
  • Pandemic Expedites Healthcare Ecosystem’s Evolution for Better Care & Cost Savings
  • Adoption of Telemedicine Widens Led by Healthcare Digitalization
  • EXHIBIT 2: Top Funded Digital Health Categories (in US$ Million): 2021
  • EXHIBIT 3: Telehealth Visits in the U.S (In Million) for the Year 2020
  • EXHIBIT 4: Global Number of Telemedicine Patients (In Million) for the Years 2016, 2018, 2020, 2023 & 2025
  • Pandemic Drives Prominence of Healthcare Analytics
  • Healthcare Organizations Stay Ahead of Pandemic Needs by Exploiting Predictive Analytics
  • Importance of Sharing Healthcare Data Picks up Momentum in the Covid-19 Era
  • Companies Center Focus on Development of Innovative Digital Health Solutions
  • Mobile Healthcare Gains Momentum
  • Healthcare IT: An Introduction
  • Increasing Complexity of Healthcare Operations to Spur Demand for IT Systems
  • EXHIBIT 5: Global Healthcare IT Market (2022): Percentage Breakdown of Spending by Sector
  • Growing Emphasis on Technology Adoption to Accelerate Market Growth
  • Healthcare IT to Aid Emerging Markets Provide Better Healthcare to People
  • IT Challenges Confronting Healthcare Organizations
  • Competitive Landscape
  • EXHIBIT 6: Healthcare IT - Global Key Competitors Percentage Market Share in 2022 (E)
  • Competitive Market Presence - Strong/Active/Niche/Trivial for 385 Players Worldwide in 2022 (E)
  • Recent Market Activity
  • World Brands

2. FOCUS ON SELECT PLAYERS

3. MARKET TRENDS & DRIVERS

  • Digital Health Investments Exhibit Solid Trajectory in 2021
  • Key Areas of Funding
  • EXHIBIT 7: US Digital Health Funding in US$ Billion: 2011-2021
  • EXHIBIT 8: Number of Mega Deals (US$ 100 Million +) in Digital Health Space: 2018-2021
  • EXHIBIT 9: Top Funded Clinical Indications (in US$ Billion): 2020 & 2021
  • Direct-to-consumer and Flexible Business Models Experience Solid Gains
  • Trends in Healthcare Revenue Cycle Management
  • Growing Role of Telemedicine Apps During COVID-19 Pandemic
  • Amidst the Rise in Adoption of Telehealth/Telemedicine Services, Blockchain Emerges as a Critical Technology for the Sector
  • Healthcare Analytics Adoption to Grow Further Driven by Industry Challenges
  • Big Data Analytics Playing a Pivotal Role in Healthcare
  • EXHIBIT 10: Global Healthcare Data Generated: 2014, 2020, and 2025 (in exabytes)
  • Industry Witnesses Wider Adoption of AI & Predictive Analytics in Healthcare
  • Select Use Cases
  • “The Cloud” is a Perfect Fit for Healthcare Big Data
  • Artificial Intelligence to Stir Next Wave of Growth in Healthcare IT
  • mHealth Care: A Prominent Trend in Digital Healthcare Market
  • Rise in Integration of AI in Mobile Health Apps
  • Eminence of Cloud-based apps in the Mobile Health Care Industry
  • Mobile Medical Apps Help Address Shortage of Medical Professionals in Remote Regions
  • EXHIBIT 11: Physicians Density Per 1000 Population in Select Countries: 2019
  • Proliferation of Smart Devices Bodes Well for Market Growth
  • EXHIBIT 12: Smartphone Adoption as Share of Total Population: 2016-2021
  • Artificial Intelligence to Play a Significant Role in Automation and Improving Clinical Outcomes
  • EXHIBIT 13: Global Healthcare Artificial Intelligence Market by Application: 2021
  • AI & Machine Learning for Drug Discovery
  • Hospital Workflow Automation
  • Hacking Risks
  • Pharmacy: New Growth Area for Healthcare IT
  • IoMT: The New Healthcare ‘Tech’ Evolution
  • EXHIBIT 14: Global IoT Market (In US$ Billion) by Industry for the Years 2018 and 2022
  • EXHIBIT 15: Number of Connected Medical Devices in Million: 2018-2025
  • Healthcare IT Market Enjoys Striking Leap Forward with Increasing Influx of IoT
  • AR, VR & Mixed Reality to Revolutionize Healthcare Arena & Medical Education
  • Healthcare IT Seeks Role in Home Care & Direct Primary Care
  • Rise in Integration of Disruptive Technologies in EHR
  • Role of Blockchain Technology in EHR Evolution
  • Blockchain Enables Precision Medicine and Patient-Driven System
  • Key Technologies Likely to Impact Next-Generation EHRs
  • Rise in Use of AI to Build Smart EHR System
  • Machine Learning-based Methods Streamline Clinical Workflow
  • COVID-19 Accelerates the Shift to Smart Hospitals
  • Healthcare Bets on Advanced Technology to Push Data Interoperability to Next Level
  • Healthcare Supply Chain Management: Key to Unleash Efficiency and Cost Savings
  • Growing Significance of Healthcare supply Chain
  • Role of Supply Chain in Improving Patient Experience
  • Use of Supply Chain Components to Assess Productivity
  • COVID-19-related Disruptions Encumber and Complicate Global Healthcare Supply Chain
  • Blockchain Technology Addresses Healthcare Industry Supply Chain Challenges
  • EXHIBIT 16: Blockchain Technology by End-use Vertical: 2022
  • Group Purchasing Organizations & E-Procurement Technology Address Challenges within Healthcare Supply Chain Management
  • COVID-19 Sends Fragile Healthcare IT into Tailspin with High Risk of Cyber-Attacks
  • Increase in Healthcare Spending to Propel Demand
  • Need for Healthcare Analytics to Pivot Diverse Functions
  • EXHIBIT 17: Current & Required Healthcare Spending as % of GDP
  • EXHIBIT 18: World Healthcare Expenditure (In US$ Billion) for the Years 2017-2023
  • Rapidly Aging World Population & COVID-19 Induced Re-Focus on Aging-In-Place to Drive Demand
  • EXHIBIT 19: Aging Population Steps-Up The Burden on Healthcare: Global Aging Population Statistics for the 65+ Age Group in Million by Geographic Region for the Years 2019, 2025, 2035 and 2050
  • Key Issues Facing Healthcare IT Market
  • Data Security: A Cause of Concern
  • Complexities in Building IT Infrastructures
  • Inconsistent Regulatory Environment
  • Lack of Adequate Funding

4. GLOBAL MARKET PERSPECTIVE


III. MARKET ANALYSIS

UNITED STATES

  • Healthcare IT Market Presence - Strong/Active/Niche/Trivial - Key Competitors in the United States for 2022 (E)
  • Market Analytics

CANADA


JAPAN


CHINA

EUROPE

  • Healthcare IT Market Presence - Strong/Active/Niche/Trivial - Key Competitors in Europe for 2022 (E)
  • Market Analytics

FRANCE


GERMANY


ITALY


UNITED KINGDOM


SPAIN


RUSSIA


REST OF EUROPE


ASIA-PACIFIC


AUSTRALIA


INDIA


SOUTH KOREA


REST OF ASIA-PACIFIC


LATIN AMERICA


ARGENTINA


BRAZIL


MEXICO


REST OF LATIN AMERICA


MIDDLE EAST


IRAN


ISRAEL


SAUDI ARABIA


UNITED ARAB EMIRATES


REST OF MIDDLE EAST


AFRICA

IV. COMPETITION

  • Total Companies Profiled: 353
Note: Product cover images may vary from those shown

A selection of companies mentioned in this report includes:

  • Agfa Healthcare NV
  • Allscripts Healthcare, LLC
  • Anju Software, INC.
  • athenahealth, Inc.
  • Carestream Health, Inc.
  • Cerner Corporation
  • Change Healthcare
  • CPSI
  • DXC Technology
  • eClinicalWorks
  • Epic Systems Corporation
  • GE Healthcare
  • HealthCare Management Systems
  • McKesson Corporation
  • Medidata Solutions
  • Omnicell, Inc.
  • Philips Healthcare
  • Vizient Inc.
Note: Product cover images may vary from those shown