The Artificial Intelligence in Healthcare Market size is projected to reach Significant Value by 2030 at a healthy CAGR of 51.9%
The Artificial Intelligence in Healthcare Market is expected to reach USD 12.22 Billion by 2030 at of 51.9% CAGR during the forecast period 2022-2030. the market worth is presumed to be around, which indicates promising growth prospects. Artificial intelligence and robotics use in diagnosing and treating pharmacological disorders is predicted to drive the growth of artificial intelligence (AI) in the healthcare market. The use of virtual assistants can assist in transforming the delivery of care for improving patient care and help in tracking patient health. In January 2021, Nuance introduced a new virtual assistant platform to simplify using AI to connect patients. The new platform addresses the need of healthcare providers and patients and delivers solutions for care. However, growing complications, high costs, and data breaches in Healthcare Artificial Intelligence (AI) are anticipated to hamper market development.
COVID-19 Impact Analysis
The Covid-19 pandemic positively impacted the demand for artificial intelligence technology in healthcare and unearthed the potential of these cutting-edge technologies. Healthcare systems widely embraced these technologies in the rapid diagnosis and detection of various virus strains and used personalized information in enhancing the management of the COVID-19 pandemic. AI/ML algorithms were used in the diagnosis sector, where these technologically driven modules were trained with datasets of chest CT images, pathological findings, symptoms, and exposure history of Covid-19 positive patients rapidly and accurately. Furthermore, AI/ML algorithms are being extensively implemented in rapid and accurate diagnosis of medical conditions after the initial implementation in detecting Covid-19 positive patients using personalized patient information and data consolidation.
Artificial Intelligence in Healthcare Market trends include the increasing concern towards cost optimization and management of the data, an increasing number of alliances between public and private organizations, and accelerated regional budgets towards the healthcare sector. Moreover, the rising opportunities in geriatric population care with the support of Al tech and imaging and diagnostics to develop data for R&D is expected to create market opportunities for artificial intelligence in the healthcare market during the forecast period.
Increasing investments by pharmaceutical and MedTech companies in artificial intelligence (AI) in healthcare to enhance their business will likely fuel the market's growth. As per the PwC data, artificial intelligence (AI) is efficient, quick, and performs operational activities at a much lower price. The Al helps medical professionals in the early diagnosis and detection of any disease. Any factors driving growth are the increasing need to minimise healthcare costs, the rising value of big data in healthcare, expanded use of precision medicine, and decreased hardware costs.This has led to growing investments by most healthcare providers in the industry. In April 2021, Nuance Communications, Inc. was acquired by Microsoft Corporation. This acquisition assisted the company in adopting the advanced cloud and Al capabilities of Nuance Communications with their expertise in the healthcare industry.
Though artificial intelligence has a lot of uses in healthcare, the adoption of Al in healthcare is limited. The reason for this is the difficulties encountered by healthcare providers. The incorporation of Healthcare Artificial Intelligence (AI) may lead to inaccuracies and construct a gap between the diagnosis and medicines specified to the patient. Another factor that hinders artificial intelligence in the healthcare market is data privacy issues. In several countries, there are certain limitations to protecting patient health data. However, problems, such as the unethical gathering of sensitive data, growing the risk of patient data safety. Thus, increasing concerns about patient safety and unethical collection of patient data hinder the overall Artificial Intelligence in Healthcare Market growth.
With the growing geriatric population, the incidence of various age-related diseases is expected to increase globally. To counter this and efficiently handle the growing burden on their respective healthcare systems, governments in several countries are increasingly focusing on adopting novel technologies. Al is one such technology that provides enhanced services, such as real-time patient data collection and monitoring for emergency care, as well as offers preventive healthcare recommendations. Moreover, Al-based tools can use health and wellness services, such as mobile applications, to monitor the movement and activities of patients. The efficient implementation of in-home health monitoring and health information access, personalized health management, and the use of treatment devices (such as better hearing aids and visual assistive devices) and physical assistive devices (such as intelligent walkers) are possible with the implementation of Al-based tools. Thus, there is growing interest in utilizing Al-based technologies to support the physical, emotional, social, and mental health of the elderly across the globe.
Based on offering, global Artificial Intelligence in Healthcare Market has been segmented into hardware, software, and services. The software category held a major share in 2021. The increased adoption of software solutions powered by artificial intelligence across healthcare units and among healthcare professionals and patients helped in this growth. However, the hardware category is the fastest-growing category due to the growing penetration of AI-based technologies in various healthcare applications such as cybersecurity, clinical trials, virtual assistants, robot-assisted surgeries, telemedicine, dosage error reduction, and fraud detection.
Based on technology, global market of Artificial Intelligence in Healthcare is segmented into machine learning, natural language processing, context-aware computing, and computer vision. The machine learning segment had a prominent share in 2021 due to the increased utilization of machine learning-based software in various healthcare applications across the globe. However, natural language processing is the fastest-growing category owing to an increase in the utilization of signal reduction, data mining, and image recognization, which are integral components of most AI protocols.
Based on application, the global market of Artificial Intelligence in Healthcare is segmented into patient data & risk analysis, inpatient care & hospital management, medical imaging & diagnostics, lifestyle management & monitoring, virtual assistants, drug discovery, research, healthcare assistant robots, precision medicine, emergency room & surgery, wearables, mental health, and cyber security. The virtual assistant category had a prominent share in 2021 due to the increasing penetration of AI-based technologies in the virtual assistant category, shortage of skilled professionals, increasing use of smartphones, and improved internet connectivity. However, healthcare assistant robots are the fastest growing category owing to an increased demand for minimally invasive surgeries where AI-assisted technologies are widely utilized.
By end-user, the global market of Artificial Intelligence in Healthcare has been segmented into hospital & healthcare providers, patients, pharmaceuticals & biotechnology companies, healthcare payers, and others. In 2021, the hospital & healthcare providers held a prominent share of the market due to an increase in usage and applications of AI systems to improve the maintenance of patient records. Besides, the patients category fuels the market due to the increased benefits of Healthcare Artificial Intelligence (AI) among patients.
Global Artificial Intelligence in Healthcare Market Share, by Region, 2021 (%)
By region, the global Artificial Intelligence in Healthcare Market has been divided into North America, Europe, Asia-Pacific, and the Rest of the World. North America accounted for the most extensive market share. Europe is projected to exhibit the highest CAGR during the review period.
North America held a prominent market share in 2021 due to advancements in healthcare IT infrastructure, the increasing role of Healthcare Artificial Intelligence (AI), widespread adoption of AI/ML technologies, favorable government initiatives for the future of Healthcare Artificial Intelligence (AI), lucrative funding options, and the existence of several key market players. Moreover, the growing geriatric population, changing lifestyles, growing prevalence of chronic disorders, increasing demand for value-based care, and rising awareness levels towards implementing AI-based technologies are bolstering the market growth in North America.
Europe was anticipated to encounter the fastest growth rate in 2021. This growth rate is attributable to the increasing innovations and development in the IT infrastructure and entrepreneurship ventures specializing in AI-based technologies. The growing investments by private investors, venture capitalists, and non-profit organizations to enhance clinical outcomes, improve data analysis and data security, and reduce prices are driving the adoption of artificial intelligence in the healthcare industry. Favorable government initiatives helping and promoting healthcare organizations and care suppliers to adopt AI-based technologies readily are the key factors enhancing Artificial Intelligence in Healthcare Market growth in this region.
The market includes tier-1, tier-2, and local players. The tier-1 and tier-2 players have global reach with diverse product portfolios. Companies such as Intel (US), Koninklijke Philips (Netherlands), Microsoft (US), IBM (US), Siemens Healthineers (Germany), and Nvidia (US) dominate the global AI in Healthcare Market due to product differentiation, financial stability, strategic developments, and diversified regional presence. The players are concentrating on supporting research and development. Furthermore, they embrace strategic growth initiatives, such as development, product introduction, joint ventures, and partnerships, to strengthen their market position and capture an extensive customer base. For instance, in March 2022, NVIDIA Corporation introduced Clara Holoscan MGX, a device that utilized the real-time applications of Healthcare Artificial Intelligence (AI) to the edge with a long-term software license. This new platform boosts innovations in the medical devices industry.
Prominent players in the global Artificial Intelligence in Healthcare Market include Google, Medtronic, Amazon Web Services, Johnson & Johnson, General Electric Company, General Vision, CloudmedX, Oncora Medical, Enlitic, Lunit, Cota, FDNA Inc., Recursion Pharmaceuticals, Atomwise (US), Welltok (US), Babylon Health, Gauss Surgical, Qventus, Desktop Genetics, Cylance, Ginger.io, and Pillo among others.
Scope of the Artificial Intelligence in Healthcare Market Report
By Offering Outlook
By Technology Outlook
By Application Outlook
By End-User Outlook
By Region Outlook
Objectives of the Study
The objectives of the study are summarized in 5 stages. They are as mentioned below:
Market Size and Forecast:
To identify and estimate the market size segmented by offering, technology, application, and end-user value (in US dollars). Also, to understand the consumption/ demand created by consumers of Healthcare Artificial Intelligence (AI) between 2022 and 2030
Market Landscape and Trends:
To identify and infer the drivers, restraints, opportunities, and challenges for global artificial intelligence in healthcre market
Market Influencing Factors:
To find out the factors which are affecting the sales of Healthcare Artificial Intelligence (AI) among consumers
Impact of COVID-19:
To identify and understand the various factors involved in the global Artificial Intelligence in Healthcare Market affected by the pandemic
To provide a detailed insight into the major companies operating in the market. The profiling will include the financial health of the company in the past 2-3 years with segmental and regional revenue breakup, product offering, recent developments, SWOT analysis, and key strategies.
|Market Size||USD 12.22 Billion|
|Forecast Units||Value (USD Billion)|
|Report Coverage||Revenue Forecast, Competitive Landscape, Growth Factors, and Trends|
|Segments Covered||Component, Application, Technology and End User|
|Geographies Covered||North America, Europe, Asia-Pacific, and Rest of the World (RoW)|
|Key Vendors||DEEP GENOMICS, Next IT Corp, General Vision, Google, NVIDIA Corporation, IBM Watson Health, Intel Corporation, Koninklijke Philips N.V, GENERAL ELECTRIC, Stryker, Microsoft Corporation, CloudMedx Inc|
|Key Market Opportunities||Emerging Players in the Market to Boost Boost Market Growth|
|Key Market Drivers||Rising Value of Big Data in Healthcare to Fuel Market Growth|
The Artificial Intelligence in Healthcare Market is predicted to grow at a 51.9% CAGR between 2022-2030.
Notable players profiled in the healthcare artificial intelligence market include Medtronic Plc., Stryker Corporation, General Vision, Inc., Johnson & Johnson, CloudMedx Inc., Google, Inc., Siemens Healthineers GmbH, General Electric Company, Deep Genomics, Inc., Microsoft Corporation, Intel Corporation, Intel Corporation, NVIDIA Corporation, Koninklijke Philips N.V., and IBM Corporation.
It finds extensive applications in automated image diagnosis, preliminary diagnosis, clinical trial, dosage error reduction, virtual nursing assistant, and robot-assisted surgery.
The Americas is projected to lead the Artificial Intelligence in Healthcare Market during the forecast period.
High maintenance and development cost, and data ownership and security issues may restrict market growth.