Artificial Intelligence (AI)-Powered Dermatology Lesion Triaging Market Report 2025

The artificial intelligence (AI)-powered dermatology lesion triaging market size has grown exponentially in recent years. It will grow from $0.85 billion in 2024 to $1.12 billion in 2025 at a compound annual growth rate (CAGR) of 32.3%. The growth during the historic period is driven by increasing use of mobile health applications, expansion of telemedicine infrastructure, rising demand for faster and more accurate diagnosis, growth of dermatology clinics, and greater awareness of skin health and preventive care.

The artificial intelligence (AI)-powered dermatology lesion triaging market size is expected to see exponential growth in the next few years. It will grow to $3.4 billion in 2029 at a compound annual growth rate (CAGR) of 31.9%. The projected growth in the forecast period is supported by rising prevalence of skin cancer, growing awareness of early diagnosis, demand for personalized medicine, increasing healthcare digitization, and higher investment in healthcare AI startups. Key trends in this period include advancements in real-time lesion analysis, innovations in predictive dermatology models, integration of AI with electronic health records, development of mobile-based skin assessment tools, and innovations in personalized treatment recommendations.

The growing prevalence of skin cancer is expected to drive the expansion of the artificial intelligence (AI)-powered dermatology lesion triaging market. Skin cancer occurs when abnormal skin cells grow uncontrollably, typically due to damage from ultraviolet radiation from the sun or tanning beds. The rise in skin cancer cases is largely attributed to increased sun exposure, which causes ultraviolet (UV) radiation to damage the DNA in skin cells. AI-powered dermatology lesion triaging helps tackle skin cancer by enabling early and precise detection of suspicious skin lesions. It reduces diagnostic delays by providing real-time risk assessments, streamlines referrals to specialists, and supports clinical decision-making, ultimately improving patient outcomes. For example, in 2023, Cancer Australia reported approximately 8,257 new cases of melanoma, which accounted for 2.6% of all cancer-related deaths. As a result, the rising prevalence of skin cancer is fueling the growth of the AI-powered dermatology lesion triaging market.

Key players in the AI-powered dermatology lesion triaging market are focusing on developing advanced solutions such as AI-driven imaging platforms to enhance diagnostic accuracy, facilitate early detection of skin cancers, and optimize clinical workflows. These AI-powered platforms use artificial intelligence algorithms to analyze skin lesions, provide real-time diagnostic support, and assist in triaging cases based on the risk of malignancy. For instance, in June 2024, Enspectra Health Inc., a US-based health tech company, received Food and Drug Administration (FDA) Breakthrough Device Designation for its next-generation AI-powered VIO Skin Platform. This platform combines reflectance confocal and multiphoton laser scanning microscopy to generate non-invasive, real-time cellular-level images of skin tissues. It also integrates with VIO.ai NMSC, a computer-aided diagnosis and triage software, to help classify lesions suspicious for basal cell carcinoma (BCC) and squamous cell carcinoma (SCC) in high-risk populations, thereby aiding physicians in clinical decision-making and potentially reducing unnecessary biopsies.

In August 2025, Affidea B.V., a Netherlands-based healthcare services company, entered into a partnership with Skin Analytics Ltd. to enhance access to skin cancer assessments. This collaboration aims to leverage AI to accelerate and improve the detection of skin lesions, streamline specialist referrals, and support early diagnosis. Skin Analytics Ltd., a UK-based AI-driven dermatology diagnostics company, specializes in AI-powered skin lesion triaging for the early detection of skin cancer.

Major players in the artificial intelligence (AI)-powered dermatology lesion triaging market are Proscia Inc., Aysa Hospitality, SkinVision B.V., MetaOptima Technology Inc., SkinIO Inc., Skin Analytics Ltd., DermaSensor Inc., Dxcover Ltd., Skinive, Legit.Health, Veriskin, VivoSight, BelleTorus, First Derm, CureSkin, Skinopathy, DermLens AI, Enspectra Health Inc., and Dermie.AI.

North America was the largest region in the artificial intelligence (AI)-powered dermatology lesion triaging market in 2024. The regions covered in artificial intelligence (AI)-powered dermatology lesion triaging report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa. The countries covered in the artificial intelligence (AI)-powered dermatology lesion triaging market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

The sudden escalation of U.S. tariffs and the consequent trade frictions in spring 2025 are severely impacting the healthcare sector, particularly in the supply of critical medical devices, diagnostic equipment, and pharmaceuticals. Hospitals and healthcare providers are facing higher costs for imported surgical instruments, imaging equipment, and consumables such as syringes and catheters, many of which have limited domestic alternatives. These increased costs are straining healthcare budgets, leading some providers to delay equipment upgrades or pass on expenses to patients. Additionally, tariffs on raw materials and components are disrupting the production of essential drugs and devices, causing supply chain bottlenecks. In response, the industry is diversifying sourcing strategies, boosting local manufacturing where possible, and advocating for tariff exemptions on life-saving medical products.

Artificial intelligence (AI)-powered dermatology lesion triaging involves using AI algorithms and machine learning models to automatically evaluate and prioritize skin lesions according to their malignancy risk or severity. This technology allows clinicians to detect potentially serious conditions more quickly and optimize patient management. It integrates image analysis, pattern recognition, and clinical data to enhance efficiency in dermatological decision-making.

The primary components of AI-powered dermatology lesion triaging include software, hardware, and services. The software consists of AI-driven platforms and applications for automated analysis, classification, and triaging of skin lesions. These solutions can be deployed on-premises or via cloud-based systems and are used for lesion types such as benign, malignant, and pre-malignant. Applications include skin cancer detection, benign lesion identification, teledermatology, clinical decision support, and related uses, serving hospitals, dermatology clinics, diagnostic centers, research institutes, and other key end users.

The artificial intelligence (AI)-powered dermatology lesion triaging market research report is one of a series of new reports that provides artificial intelligence (AI)-powered dermatology lesion triaging market statistics, including the artificial intelligence (AI)-powered dermatology lesion triaging industry global market size, regional shares, competitors with the artificial intelligence (AI)-powered dermatology lesion triaging market share, detailed artificial intelligence (AI)-powered dermatology lesion triaging market segments, market trends, and opportunities, and any further data you may need to thrive in the artificial intelligence (AI)-powered dermatology lesion triaging industry. This artificial intelligence (AI)-powered dermatology lesion triaging market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.

The artificial intelligence (AI)-powered dermatology lesion triaging market consists of revenues earned by entities by providing services such as automated lesion risk assessment, monitoring and follow-up services, and dermoscopic image analysis services. The market value includes the value of related goods sold by the service provider or included within the service offering. The artificial intelligence (AI)-powered dermatology lesion triaging market also includes sales of AI-enabled imaging devices, lesion analysis software, cloud-based diagnostic platforms, and integrated clinical decision support systems. Values in this market are ‘factory gate’ values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

This product will be delivered within 3-5 business days.