U.S. Digital Health Market Size, Share & Trends Analysis Report By Technology (Tele-Healthcare, MHealth, Healthcare Analytics), By Component (Services, Software), And Segment Forecasts, 2022 - 2030

The U.S. Digital Health market size was valued at US$ 66.7 billion in 2021 and is expected to hit US$ 549.6 billion by 2030, growing at a compound annual growth rate (CAGR) of 26.12% from 2022 to 2030.

Growth Factors:

The supportive environment for digital healthcare services and improved internet connectivity to deliver remote healthcare services using digital routes are anticipated to drive the market growth over the forecast years. In addition, growing smartphone adoption in the U.S. has also driven manufacturers to invest and capitalize on their growth opportunities in the digital health industry. For instance, in recent years, several applications have been launched, such as Doctors on Demand, Amwell, Garmin Connect, AssistRx, GoogleFit, etc. in the U.S.

For instance, the U.S. Department of Health and Human Services’ Office of the National Coordinator for Health Information Technology, in 2021, invested USD 73 million to collect COVID-19 data and strengthen the public health IT workforce in the underrepresented communities. In addition, a significant demand has been observed for telemedicine and telehealth over the past couple of years by the healthcare fraternity. The service providers and developers of the market are constantly working to develop web-hosted and cloud-based platforms to seamlessly deliver virtual care services to enhance patient care in remote locations. The demand for video consultations is increasing as they minimize the need for face-to-face visits and commuting to the healthcare facility. These smartphone applications are providing benefits to the patients to store their healthcare information, track their fitness & health records, and can connect to a doctor anytime throughout the treatment process. Furthermore, the increased awareness regarding the benefits of adopting remote digital services and health & fitness apps, specifically during the COVID-19 pandemic, supported the market growth. For instance, as per the Sensor Tower report, health and fitness apps installations have been increased by 22% from 332 million in 2019 to 405 million in 2020 in the U.S. Several government initiatives to improve digital health platforms and encourage app developers and healthcare providers for the development of better remote healthcare solutions will also drive the market.

Report Scope of the U.S. Digital Health Market

This, in turn, reduces the costs of availing healthcare. Furthermore, the continuous lockdowns and travel bans due to the COVID-19 pandemic also contributed to the high adoption of telehealth services. For instance, the CivicScience survey reported that the telemedicine adoption rate has continuously increased from 11% in February 2020 to 28% in April 2020 and 32% and 35% in June 2020 and July 2020 respectively in the U.S due to the COVID-19 pandemic. Moreover, the digital technology giants present in the U.S., such as Google, IBM, and Apple, are continuously focusing on the development of solutions to improve the virtual healthcare experience with enhanced data security features, which is also supporting the market growth.

The growing number of mobile subscriptions and rising smartphone penetration are expected to bolster the market growth over the coming years. According to an eMarketer report, the smartphone penetration has increased to 88% in 2021 from 76% in 2016. The increasing smartphone adoption is also driving the mHealth applications and service usage in the country. In addition, a rise in the development of mHealth apps and their easy availability are also supporting the market growth. According to eMarketer, about 87.4 million consumers use health and fitness apps in the country. The availability of low-cost or free mobile health applications also drives the adoption of digital healthcare.

The growing adoption of mHealth apps by healthcare providers to improve the quality of care through real-time patient engagement is also supporting market growth. For example, Glooko, Inc., provides calorie and glucose monitoring services to the patient for the remote management of chronic disorders. As per the data published by OrthoLive, in 2019, 93% of healthcare professionals believed that mobile health applications can improve patients’ health. Moreover, the increasing geriatric population, rising prevalence of chronic disorders, and the growing trend of preventive healthcare have driven several initiatives to be undertaken by the government. The growing COVID-19 disease cases have attracted the market players to invest in digital health solutions and virtual care.

For instance, according to the report of Rock Health a full-service seed fund, the investments in digital health have increased by 72% in 2020 from 2018. In addition, the growing industrial developmental activities, such as acquisitions and mergers, in the digital healthcare sector are also anticipated to accelerate the market growth. For instance, the number of acquisitions and mergers has been increased to 145 in 2020 from 113 in 2019. One of the major mergers in the telehealth industry was the merger of Livongo Health and Teladoc in 2020 worth USD 18.5 billion. The ongoing COVID-19 pandemic is creating multiple challenges for the healthcare delivery systems.

Technology Insights

The telehealthcare segment dominated the market with the highest revenue share of more than 37.04% in 2021 owing to the increased adoption of digital healthcare platforms to provide remote care for geriatric individuals and patients with chronic diseases. In addition, the investments in telehealthcare platforms have been skyrocketed due to the COVID-19 pandemic, which further fueled the segment growth. Increasing penetration of the internet and the growing number of smartphone users create a supportive environment for telehealth adoption, which, in turn, is anticipated to drive the segment growth in the coming years. Increasing consumer & provider willingness to use telehealth and regulatory changes in favor of reimbursement of telemedicine & telehealth services will also support the segment growth.

The segment is also anticipated to register the fastest CAGR during the forecast period owing to the growing trend of using digital platforms, such as telehealth and telecare services, for the elderly or vulnerable population to manage their health conditions. The benefit of using telehealthcare facilities, such as remote patient care and management, minimization of disease transmission chances, and care cost reduction is also anticipated to drive the segment growth during the forecast period. In addition, increasing telehealth product development activities, growingR&Dinvestments, and growing startup funding are some of the factors expected to boost the segment growth.

Component Insights

In 2021, the services segment dominated the market and accounted for the highest revenue share of more than 37.6% owing to an increase in the number of software upgrades and rapid preference for the advancements of software & hardware. The development of a range of digital platforms for diagnosis, monitoring, prevention & wellness is also anticipated to support the segment growth. Growing demand for functionally improved software platforms and the increasing application updating services provided by the developers is also supporting the segment growth. Increasing activities of the service providers, such as training, installation, and education of the digital health platforms to hold their strong position in the market will boost the market growth.

The growing demand and increasing preference for post-installation services, such as training, staffing, optimization, and other services, are expected to accelerate the segment growth. The software segment is expected to register the fastest CAGR over the forecast period. This is owing to the increasing software development activities by the service providers and developers to provide better digital healthcare services. In addition, the growing adoption of healthcare software by consumers and service providers to enhance patient care quality is anticipated to drive the segment growth over the forecast period.

Moreover, the growing need for efficient management of institutional workflows in healthcare institutions, such as hospitals and clinics, will further drive the demand for functionally advanced software. The increasing shift of trends toward value-based care, mainly in economically developed countries like the U.S., and the growing preference for the development of healthcare IT infrastructure are also anticipated to accelerate the software segment growth over the forecast years.

Some of the prominent players in the U.S. Digital Health Market include:

• Apple, Inc.
• AT&T
• Airstrip Technologies
• Allscripts
• Google, Inc.
• Orange
• Qualcomm Technologies, Inc.
• Softserve
• MQure
• Samsung Electronics Co. Ltd.
• Telefonica S.A.
• Vodafone Group
• Cerner Corp.
• McKesson Corp.
• Epic Systems Corp.
• NextGen Healthcare, Inc
• Greenway Health LLC
• CureMD Healthcare
• Hims
• Computer Programs and Systems, Inc.
• Vocera Communications
• IBM Corp.
• Siemens Healthcare GmbH
• Cisco Systems, Inc.

Segments Covered in the Report

This research report offers market revenue, sales volume, production assessment and prognoses by classifying it on the basis of various aspects. Further, this research study investigates market size, production, consumption and its development trends at U.S. for the period of 2017 to 2030

• By Technology
• Tele-healthcare

• Telecare

• Activity Monitoring
• Remote Medication Monitoring
• Telehealth
• LTC Monitoring
• Video Consultation
• mHealth
  • BP Monitors
  • Glucose Meter
  • Pulse Oximeter
  • Sleep Apnea Monitor
  • Neurological Monitors
  • Activity Trackers/ Actigraphs
  • Medical Apps
  • Fitness Apps
  • Types of Services
• Wearables
• mHealth Apps
• Services

• Monitoring Services

• Independent Aging Solutions
• Chronic Disease Management and Post-Acute Services
• Diagnosis Services
• Healthcare Systems Strengthening Services
• Others
• Types of Participants
• Mobile Operators
• Device Vendors
• Content Players
• Healthcare Providers
• Healthcare Analytics
• Digital Health Systems
• Electronic Health Records (EHR)
• E-Prescription
• By Component Mode
• Hardware
• Software
• Services

Key Points Covered in U.S. Digital Health Market Study:

• Growth of U.S. Digital Health in 2022
• Market Estimates and Forecasts (2017-2030)
•  Brand Share and Market Share Analysis
•  Key Drivers and Restraints Shaping Market Growth
•  Segment-wise
•  Competition Mapping and Benchmarking
•  Recommendation on Key Winning Strategies
•  COVID-19 Impact on Demand for U.S. Digital Health and How to Navigate
•  Key Product Innovations and Regulatory Climate
•  U.S. Digital Health Consumption Analysis
•  U.S. Digital Health Production Analysis
• U.S. Digital Health and Management