The Global AI in Healthcare Market Size is expected to surpass USD 750 Million by 2018. The industry is expected to cross over US$ 10 Billion by 2025 end.
Artificial intelligence (AI) is largely seen as fourth industrial revolution. Healthcare is one such sector where AI is gaining higher traction. The industry has shifted from medical products based era to real-time outcome based care and now to predictive and preventative care modellings (AI, Augmented reality and Robotics). Intelligent solutions will be the backbone of the future healthcare industry. Early entrants will be able to maximize their business reach and create a brand recognition in the sector. It is due to this that many AI based startups has emerged in last few years. Over 250 companies emerged in Healthcare AI market post 2015. The numbers are expected to further increase with technological advancement and overall profitability margins from the sector.
There are thousands of data across various healthcare field that are unstructured. Successful structuring of data could not only save time but also maximize the operational output. Much of the demand for AI is expected to be seen in drug discovery programs.
Bekryl’s market research report, Global Artificial Intelligence in Healthcare Market Size Analysis and Industry Opportunity, finds North America to account for 58% of global sales in 2018. North America is pioneer in AI with most of the engaged companies are headquartered in the region. Furthermore, U.S. national healthcare expenditure is expected to increase from 17.9% in 2017 to 19.9% of total GDP by 2025. AI in healthcare will reach over US$ 5.5 billion by 2025 in U.S. This could potentially save over US$ 120 billion to US healthcare economy. Percent penetration will rise not only among medical devices and biotech companies but also hospitals, payers and insurance companies.
Some key trends from the global Healthcare AI market:
Trend#1: Artificial Intelligence companies are focusing on partnership/acquisition to strengthen their business presence and product portfolio
In the last few years, the competition has heighted in the Healthcare AI market with emergence of many new entrants. Leading companies are either going for mergers & acquisitions or partnership with small and midsize companies so as to ensure long term sustainability. For instance, in June 2018, EarlySense acquired cardiac predictive analytics (eCART) developed by Dana Edelson. Another company – Athenahealth – partnered with NoteSwift to offer AI powered HER (electronic health record) documentation. In the same year, 3M entered in partnership with C3 IoT to offer artificial intelligence based solutions for healthcare sector.
Trend#2: Innovative Product Development
Product development has been at the core of the strategy for most companies. Product and service offering differentiation could help company to expand its business presence organically. Various companies are coming with innovative product offerings so as to create their own niche in the segment. For instance, in January 2018, CLEW Medical developed healthcare predictive analytics software to analyze critical health situation. Another company – Beyond Verbal – developed emotions based analytical tool. The company is working on product development that could predict illness through user’s voice modulation.
Some key Global Healthcare AI Market Players are General Vision, Inc., Icarbonx Co. Ltd., Intel Corporation, IBM Corporation, Next It Corp., Nvidia Corporation, Oncora Medical, Inc., Enlitic, Inc., Alphabet Inc., Atomwise, Inc., Cyrcadia Health, Inc., Lifegraph Ltd., Microsoft Corporation, Modernizing Medicine Inc., Welltok, Inc., and Zebra Medical Vision Ltd.