Medical Device Service Market

The aging population globally is a substantial driver of the Global Medical Device Service Market Industry. As the demographic shifts towards an older population, the prevalence of chronic diseases increases, necessitating advanced medical devices for diagnosis and treatment. This demographic trend creates a heightened demand for medical device services, as older adults often require ongoing maintenance and support for their medical equipment. The World Health Organization indicates that by 2030, the number of people aged 60 years and older will reach 1.4 billion. Consequently, the market is poised for growth, with a projected CAGR of 9.64% from 2025 to 2035, reflecting the increasing need for reliable medical device services.

Emerging markets present a promising opportunity for the Global Medical Device Service Market Industry. Countries in Asia-Pacific, Latin America, and Africa are witnessing rapid economic growth, leading to increased healthcare investments. As these regions develop, the demand for medical devices and their servicing is expected to rise significantly. For example, the Asia-Pacific region is anticipated to experience substantial growth due to rising disposable incomes and improved healthcare access. This shift could contribute to the overall market growth, with projections indicating a potential expansion to 131.8 USD Billion by 2035. Companies that strategically position themselves in these emerging markets may benefit from this upward trend.

Regulatory compliance remains a critical driver in the Global Medical Device Service Market Industry. Governments worldwide are enforcing stringent regulations to ensure the safety and efficacy of medical devices. Compliance with these regulations necessitates regular servicing and maintenance, which in turn fuels demand for medical device services. For example, the FDA in the United States mandates rigorous quality control processes for medical devices. As the industry adapts to these regulations, the market is expected to grow significantly, with projections indicating a rise to 131.8 USD Billion by 2035. This regulatory landscape compels manufacturers to invest in comprehensive service solutions to meet compliance standards.

The Global Medical Device Service Market Industry is poised for remarkable growth, with projections indicating a market size of 47.9 USD Billion in 2024 and an anticipated increase to 131.8 USD Billion by 2035. This growth trajectory suggests a compound annual growth rate (CAGR) of 9.64% from 2025 to 2035. Such figures underscore the increasing reliance on medical devices and the corresponding need for maintenance and servicing. As healthcare systems evolve and expand, the demand for comprehensive service solutions will likely intensify, creating opportunities for companies to innovate and enhance their service offerings.

The Global Medical Device Service Market Industry is experiencing a surge in demand due to rapid technological advancements. Innovations in medical devices, such as telemedicine and remote monitoring systems, are transforming patient care. For instance, the integration of artificial intelligence in diagnostic equipment enhances accuracy and efficiency. As these technologies evolve, the need for specialized service and maintenance increases, driving market growth. By 2024, the market is projected to reach 47.9 USD Billion, indicating a robust expansion trajectory. This trend suggests that companies must adapt their service offerings to keep pace with technological changes, ensuring they remain competitive in the evolving landscape.

Rising healthcare expenditure across the globe is significantly impacting the Global Medical Device Service Market Industry. Increased investment in healthcare infrastructure and services leads to a higher demand for medical devices and their associated services. Countries are allocating more resources to enhance healthcare delivery, which includes the procurement of advanced medical technologies. For instance, the healthcare expenditure in the United States is projected to reach approximately 20% of GDP by 2025. This trend indicates a growing market for medical device services, as healthcare providers seek to ensure the longevity and reliability of their equipment, thereby driving the overall market growth.

Based on the Region, the global Medical Device Service is segmented into North America, Europe, Asia-Pacific and Rest of the World. Major demand factors driving the North America market are the increasing incidences of various Diseases across the Globe and Rising Strategic Initiatives by Market Players. The US accounts for a relatively high share and is likely to continue contributing sizably to the North America market in the coming years. An aging population in North America contributes to the rising demand for medical devices, including diagnostic machines, surgical instruments, and home healthcare devices.

Older adults are more likely to require continuous medical monitoring and intervention, escalating the need for effective maintenance services to ensure device uptime and reliability. According to the World Bank, in 2023, people aged over 65 years old across the US accounted for 17.6% of the total population, which had increased from 11.8% in 1985. Similarly, as per the U.S. Census Bureau, the population aged 65 and older is projected to reach 77 million by 2034, surpassing the number of children for the first time in U.S. history, which increases the maintenance requirements in hospitals and care homes.

FIGURE 3: MEDICAL DEVICE SERVICE MARKET VALUE BY REGION 2024 AND 2035 (USD BILLION)

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Further, the countries considered in the scope of the Application Tracking System Market are the US, Canada, Germany, France, the UK, Spain, Italy, China, India, Japan, South Korea, Australia, Middle East, Africa, Latin America and others.

Many global, regional, and local vendors characterize the Medical Device Service Market. The market is highly competitive, with all the players competing to gain market share. Intense competition, rapid advances in technology, frequent changes in government policies, and environmental regulations are key factors that confront market growth. The vendors compete based on cost, product quality, reliability, and government regulations. Vendors must provide cost-efficient, high-quality products to survive and succeed in an intensely competitive market.

The major competitors in the market are GE HealthCare, Medtronic, Koninklijke Philips N.V., Agiliti Health, Inc., Carestream Health, Drägerwerk AG & Co. KGaA, Canon Medical Systems Corporation, Stryker, Siemens Healthineers AG, LTE Scientific Ltd., are among others. The Medical Device Service Market is a consolidated market due to increasing competition, acquisitions, mergers and other strategic market developments and decisions to improve operational effectiveness.