Healthcare It Market

Healthcare IT Market: By Product, Services, Component, End User, and Region

Market Synopsis:

Global Healthcare IT Market is valued at USD 382.75 Billion in 2022 and estimated to reach a value of USD 1488.24 Billion by 2030 at a CAGR of 18.50% during the forecast period, 2022–2028. Healthcare is expensive and complicated. Standards for Healthcare IT systems have not been established to a point where they are widely adopted by larger healthcare providers. The lack of standards creates issues with data sharing between providers, preventing quality care and potentially putting patient safety at risk. Healthcare IT solutions are growing in popularity as the technology advances, regulations concerning electronic health records (EHR) are enforced by federal government agencies, and physicians move to widespread use of smartphones for data collection.

Growing Number of Hospitals Making Use of Advanced Technology to Provide Quality Care is Projected to Drive Growth of Healthcare IT

One of the key factors driving demand for Healthcare IT is that physician burnout has climbed to 74%. Physicians are suffering from high stress and fatigue due to their work requirements, which is beginning to influence the overall patient experience. The biggest problem physicians have at this point is that they are unable to keep up with the demands of their jobs. In fact, physicians now spend as much as 50% of their time dealing with data entry and administrative tasks. The demand for Healthcare IT is increasing significantly because there is a desire among providers to focus more on patient care and less on clerical work.

Apart from this, one of the key factors driving the demand for Healthcare IT is increased scrutiny over data security and privacy. There are many new mandates being put in place which require health care providers to keep their data secure. There is also new legislation being passed around the world concerning patient data privacy, which drives the demand for Healthcare IT even higher because there is a need to embrace and understand HIPAA compliance.

Market Segmentation:

Global Healthcare IT Market is segmented by Products & Services (Healthcare Provider Solutions, Healthcare Payer Solutions, & HCIT Outsourcing Services), Components (Services, Software, Hardware), End-User, and Region. Asia Pacific to witness fastest adoption of Healthcare IT on account of rapidly expanding healthcare infrastructure in countries like India and China, Favorable Government policies to provide quality care, and strong presence of service provider in the region.

By End-Use, Hospitals are the Largest Consumer of Healthcare IT

It has been found that the total number of operations performed annually in US hospitals will grow by 47% over the next 10 years. This growth is driven by Americans becoming more active, longer life expectancy rates and a growing elderly population. In line with this, hospitals are looking to Healthcare IT solutions to create efficiencies within their operating rooms.

The number of hospitals using smartphones in healthcare is growing rapidly. Physicians are looking for new ways to improve care delivery, enhance the patient experience through better access to services, and empower patients with information that can be used to make healthcare decisions. Mobile technology provides faster updates on treatment plans, allows the physician to communicate with specialists when needed, helps track daily medication intake, and provides access to medical databases related to a condition or disease.

By Component, Software Segment to Witnessed Lucrative Growth

Healthcare IT software solutions have become a must for today's healthcare facilities. The range of functions offered by the latest technology is widening and demand for these solutions will continue to grow in the near future. As per our findings, it indicates that revenue generated from sales of this software will keep on increasing on account of growing need for cost control, efficiency and interoperability among healthcare facilities. They are becoming the basic demands of the market. With this demand for more connectivity, communication and data management is growing day by day. The increased focus on patient safety with an aim to deliver quality care has opened up doors for new software solutions in healthcare.

North America is the Largest Healthcare IT Market

The healthcare industry has been criticized for being slow to adopt new technologies. In some countries healthcare is provided by a government or publicly run healthcare system, which can have different procedures and timetables from those of commercial providers. For multi-national organizations that are not tied to one nation's healthcare system, costs may be a significant factor. Uptake of Healthcare IT globally has increased over the last several years, yet there are still healthcare systems that are reluctant to make Healthcare IT a priority.

in North America is on the rise due to multiple factors including rising healthcare costs, patient expectations and legislative requirements. As a result, numerous healthcare organizations in US and Canada have adopted Healthcare IT systems to improve their operations. In addition to this, there are many healthcare organizations, insurance companies and Healthcare IT providers in North America who are working towards the adoption of Healthcare IT to improve patient care. Many healthcare organizations now use Healthcare IT, such as Electronic Health Records (EHRs), to help provide better healthcare services to their patients. Healthcare organizations can reduce medical errors by 12% to 40% with Healthcare IT. In the United States, healthcare organizations are incentivized by the HITECH Act via Medicare and Medicaid incentive payments to adopt Healthcare IT systems.

Key Players:

Some of the major companies operating in the Healthcare IT Market are Cerner (US), Optum (US), Change Healthcare (US), Cognizant (US), Philips Healthcare (Netherlands), Dell Technologies (US), Epic Systems (US), GE Healthcare (US), Allscripts (US), athenahealth (US), IBM (US), Oracle Corporation (US), eClinicalWorks (US), Infor (US), Conduent (US), Tata Consultancy Services (India), Conifer Health (US), Wipro Limited (India), Inovalon (US), Nuance (US), 3M (US), Carestream Health (US), InterSystems (US), Practice Fusion (US), Orion Health (US), and SAS Institute (US).

Healthcare IT Market is segmented as follows:

Healthcare IT Market is tabulated as follows: