Global Statistics Representing Healthcare IT Services Market Scenario
Healthcare IT services are dramatically influencing patient care as well as the delivery, efficiency, and cost of healthcare. Healthcare services and infrastructure have emerged as a priority for governments around the globe, with countries making significant investments to improve the overall healthcare landscape. According to the Centers for Medicare & Medicaid Services, U.S. healthcare spending grew 3.9% in 2017, reaching a value of USD 3.5 trillion.
Increasing funding activities to implement various healthcare IT platforms will aid the growth of the healthcare IT services. In accordance to PitchBook Data, Inc., in 2017, the U.S. healthcare industry saw a high level of private equity investment, and till July 2018, equity firms in the U.S. invested USD 624 billion.
The global healthcare IT services market is expected to grow at a CAGR of 18.6% during the forecast period, 2019–2023.
Growing Adoption of EHRs Drives Demand for Healthcare Analytics
According to Practice Fusion, approximately 90% of office-based physicians in the U.S. had adopted Electronic Health Records (EHRs) as of 2017. In light of the growing preference towards EHRs, various market players, including IBM, CGI, MedeAnalytics, and Epic Systems, are providing innovative solutions in healthcare analytics. Overall, the adoption of EHRs is driving the growth of the healthcare analytics segment.
Prevalence of Digital Health Trend
The ‘Digital Health’ trend is bolstering the growth of healthcare providers. The trend has introduced the use of artificial intelligence (AI) and machine learning to improve identification of those at risk and delivery of personalized treatments. The advent of such technologies is broadening the scope of IT in healthcare by offering new and innovative growth parameters.
Growth of Medical Imaging
Rising awareness regarding preventive care has led to advancements in imaging technology. This momentum, coupled with the proliferation of diagnostic centers, is driving the demand for medical imaging services in the market.
With High Awareness & Healthcare Expenditure, North America Accounts for the Largest Market Share
Growing awareness about the advantages associated with the implementation of information technology in healthcare, coupled with an increase in healthcare expenditure, is the key factor driving market growth. According to WHO, in 2016, Mexico’s healthcare expenditure was 5.47% of its GDP. The market is also creating job opportunities in the region. For instance, according to the U.S. Bureau of Labor Statistics, the need for medical and health services managers will grow 17% till 2024, much faster than the average for all occupations.
Demand for Better Healthcare Delivery in Europe to Drive Growth of Healthcare IT Services
Healthcare IT services are relatively developed in England, Italy, the Netherlands, Scandinavian countries, and Germany. The increasing prevalence of chronic diseases and an aging population drive improvements in the European healthcare sector. According to UN’s World Population Prospects, the proportion of Europeans aged 65 years and older will develop from 16% in 2000 to 24% by 2030. Therefore, European countries are revolutionizing their healthcare sectors with innovative e-solutions to cater to the growing demand for medical services.
Asia-Pacific to Register the Most Rapid Growth Amid Burgeoning Investments & an Aging Population
Asia-Pacific’s growing geriatric population is driving the growth of the healthcare IT market. in accordance with the UN Economic and Social Commission for Asia and the Pacific, by 2050, 1.3 billion people in the region will be considered as aging. Additionally, governments, private sectors, and non-profit organizations in the region are aggressively investing in the healthcare IT market. For instance, in 2017, China’s Tencent launched an AI-powered diagnostic medical imaging service known as the AI Medical Innovation System (AIMIS).
Some of the prominent players in the global healthcare IT services market are McKesson Corporation, Allscripts, GE Healthcare, Cerner Corporation, Siemens Healthcare GmbH, Becton, Dickinson and Company, Novartis, Global Healthcare Exchange (GHX), Epic System Corporation, Egton Medical Information Systems (EMIS), Atos SE, MedeAnalytics Inc., Koninklijke Philips N.V., Merge Healthcare, CGI Inc, Agfa Healthcare, and HP Development Company, L.P.
Healthcare IT Services Market Segmentation