Digital Health Market Size, Share & Trends Analysis Report By Technology (Healthcare Analytics, mHealth, Tele-healthcare, Digital Health Systems), By Component (Software, Hardware, Services), By Region- Global Industry Analysis, Share, Growth, Regional Outlook and Forecasts, 2023-2032

The global digital health market size was estimated at USD 211.9 billion in 2022 and is expected to surpass around USD 1,176.63 billion by 2032 and poised to grow at a compound annual growth rate (CAGR) of 18.7% during the forecast period 2023 to 2032.

Key Pointers:

• In 2022, North America dominated the industry with a revenue share of 44.9%. 
• Asia Pacific is estimated to witness the fastest growth rate during the forecast period. 
• By technology, the telehealthcare segment dominated the market with a revenue share of 41.9%. 
• The segment is also expected to show the fastest CAGR of 23.7% over the forecast period. 
• By component, the service segment accounted for the largest revenue share of 45.11% in 2022.

Digital health Market Report Scope

Increasing penetration of smartphones, improved internet connectivity with the introduction of 4G/5G, advancement in healthcare IT infrastructure, rising need to curb healthcare costs, rising prevalence of chronic diseases, and the increase in accessibility of virtual care are some of the major factors to fuel the market growth. Furthermore, key players focus on introducing advanced applications to improve user experience. For instance, in July 2021, Teladoc Health collaborated with Microsoft to integrate its Solo platform with the Microsoft Teams environment to improve clinician and patient access across the virtual healthcare space.

Government initiatives to spread digitalization across the healthcare sector throughout the globe are further driving the market. For instance, during the 2022 budget session, the Government of India introduced a digital health ecosystem under Ayushman Bharat Digital Health Mission (ABDM). Similarly, in October 2021, France government announced that they will invest over USD 652 million to expand their digital health infrastructure on a national level.

At present, telehealth and telemedicine services are receiving recognition from the healthcare industry and government bodies. Governments across the globe are introducing new initiatives to promote digital health. For instance, during the 2022 budget session, the Government of India introduced a digital health ecosystem under Ayushman Bharat Digital Health Mission (ABDM). The government invested more than 3.5 million in this program in order to advance the digital healthcare infrastructure.

The growing penetration rate of chronic diseases such as CVD, cancer, diabetes, and others further fuels the market growth as chronic conditions require continuous monitoring and digital health platforms help in monitoring chronic conditions from any place and at any time. Furthermore, COVID-19 impacted the market positively as a large percentage of the patient population opted for telemedicine and telehealth solutions due to infection risks and lockdown scenarios. 

In 2022, telehealthcare dominated the market with a revenue share of 41.5%. The market growth can be attributed to the rising penetration of smartphones, and improvement in internet connectivity. Advancements in the healthcare IT infrastructure and the launching of new platforms and solutions further fuelled the segment’s growth. 

In 2022, North America dominated the industry with a revenue share of 44.9%. North America is one of the very first regions to adopt smart healthcare solutions, including various technologies such as mobile apps, smart wearables, and eHealth services, like EHR & telemedicine services, for remote access to information on serious & chronic healthcare conditions. Factors such as rapid growth in the adoption of smartphones, advancements in coverage networks, rise in the prevalence of chronic diseases, increase in geriatric population, rise in costs of health care, acute shortage of primary caregivers, and increase in need for improved prevention & management of chronic conditions are responsible for the growth of digital health services in the region. 

Technology Insights

By technology, the telehealthcare segment dominated the market with a revenue share of 41.9%. Telehealth services are witnessing a surge in demand owing to the growing need to accurately monitor health & fitness, securely store healthcare information, and real-time population management. Upgradation of telehealth hardware and software components is contributing to the growth of the services. The growing trend of software upgradation for the inclusion of wide healthcare applications also contributes towards the growth of the market. The development of a range of platforms for monitoring, diagnosis, and wellness & prevention of diseases is also a key factor boosting the market.

Moreover, growing investments in digital infrastructure particularly in developing countries drive the demand for the market in order to implement successful telehealth platforms. Companies are also introducing newer ways to provide services to their clients which in turn positively impact market growth. For instance, in February 2022, GlobalMed introduced Transportable Audiology Backpack to facilitate remote telehealth audiology examinations for extended patient care.

The segment is also expected to show the fastest CAGR of 23.7% over the forecast period. Remote patient monitoring is gaining popularity owing to the increasing prevalence of chronic conditions, such as diabetes and cardiovascular diseases, and rapid advancements in technology. The geriatric population is also estimated to grow globally during the forecast period, which in turn is anticipated to boost the demand for remote patient monitoring services. Moreover, many platforms are offering remote patient monitoring features, which in turn are supporting segment growth. Government support and policies promoting healthcare digitization, along with growing healthcare IT spending are major factors driving the telehealth segment.

Component Insights

By component, the service segment accounted for the largest revenue share of 45.11% in 2022. The growth of the segment can be attributed to the growing demand for different services such as training, staffing, installation, maintenance, and others. Continuous advancement in software solutions is leading to rising requirements for installation and training services. Key players provide a wide range of pre-installation and post-installation services either in packages or as standalone, thereby boosting segmental growth. 

However, the software segment is projected to grow with the fastest CAGR of 19.9% in the forecast period. The major factor that attributes to the segment growth is the rapid adoption of these software solutions by patients, hospitals, healthcare providers, and insurance payers. Furthermore, the incorporation of deep learning and machine learning techniques & AI functionality enhances the personalization levels of healthcare which is further boosting the market growth. AI and machine learning are incorporated into digital health for assisting the conclusive disposition of patients through remote analysis. Moreover, an AI chatbox is deployed to provide the latest healthcare information.

Regional Insights 

North America dominated the market in 2022 with a revenue share of 44.9%. North America is one of the very first regions to adopt smart healthcare solutions, including various technologies such as mobile apps, smart wearables, and eHealth services, like EHR & telemedicine services, for remote access to information on serious & chronic healthcare conditions. Factors such as rapid growth in the adoption of smartphones, advancements in coverage networks, rise in the prevalence of chronic diseases, increase in geriatric population, rise in costs of health care, acute shortage of primary caregivers, and increase in need for improved prevention & management of chronic conditions are responsible the growth of the industry. 

Asia Pacific is estimated to witness the fastest growth rate during the forecast period. The rising adoption of eHealth platforms and increased healthcare spending in the region is expected to drive the growth of these services. Rising demand for remote patient monitoring and other telehealth services owing to an increase in government spending on healthcare is expected to propel the industry growth in the Asia Pacific. According to The World Bank estimates, in 2019, China’s healthcare spending was recorded at 5.9% of its GDP, while India’s healthcare spending was recorded at 3.2% of its GDP and Japan's was at 10.9. The growing involvement of key market players in Asia Pacific has boosted the adoption of digital apps and platforms in the region. 

Some of the prominent players in the Digital health Market include:

• Cerner Corporation (Oracle)
• Allscripts
• Apple, Inc.
• Telefónica S.A.
• Mckesson Corporation
• Epic Systems Corporation
• QSI Management, LLC
• AT&T
• Vodafone Group
• AirStrip Technologies
• Google, Inc.
• Samsung Electronics Co., Ltd.
• HiMS
• Orange
• Qualcomm Technologies, Inc.
• Softserve
• MQure
• Computer Programs and Systems, Inc.
• Vocera Communications
• IBM Corporation
• CISCO Systems, Inc. 

Segments Covered in the Report

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2032. For this study, Nova one advisor, Inc. has segmented the global digital health market.

By Technology 

• Tele-healthcare
  • Tele-care
    • Activity Monitoring
    • Remote Medication Management
  • Telehealth
    • LTC Monitoring
    • Video Consultation
• mHealth
  • Wearables
    • BP Monitors
    • Glucose Meters
    • Pulse Oximeters
    • Sleep Apnea Monitors
    • Neurological Monitors
    • Activity Trackers/ Actigraphs
  • mHealth Apps
    • Medical Apps
    • Fitness Apps
  • Services
    • mHealth Service, By Type
      • Monitoring Services
        • Independent Aging Solutions
        • Chronic Disease Management & Post-Acute Care Services
      • Diagnosis Services
      • Healthcare Systems Strengthening Services
      • Others
  • mHealth Services, By Participants
    • Mobile Operators
    • Device Vendors
    • Content Players
    • Healthcare Providers
• Healthcare Analytics
• Digital Health Systems
  • EHR
  • E-Prescribing Systems

By Component 

• Software
• Hardware
• Services

By Region

• North America
• Europe
• Asia-Pacific
• Latin America
• Middle East & Africa (MEA)