5G In Healthcare Market Size & Share Analysis - Trends, Drivers, Competitive Landscape, and Forecasts (2024 - 2030)

5G In Healthcare Market Size

5G In Healthcare Market Trends & Drivers

Rising Acceptance of E-Medicine and Robot-Assisted Surgeries Drives Market

ICTs have the potential to provide patient-centric care at a low cost, better the quality of care, enhance data sharing, advise medical professionals and patients on better treatment approaches, stimulate a different user interface with patients and medical care providers, and minimalize travel time.

Moreover, e-medicine and robot-assisted surgeries are now commonly being used since the pandemic over fears of cross-contamination between patients and surgeons. Telehealth needs a network that can support real-time high-quality audio and video, for which a faster network, i.e., 5G, for now, has become imperative. In this context, Ericsson mentioned in its report that it expects a USD 100,000 million revenue opportunity by 2026 for service providers addressing medical care transformation with 5G. The expected revenue can be derived from remote monitoring, virtual remote clinics, mHealth, and robotic surgeries.

Moreover, numerous nations have started supporting telehealth by offering reimbursement policies and adopting legal frameworks. For instance, the U.S. government is focused on untying the restrictions on e-medicine in the Medicare program, including allowing patients from any location to access such services from their homes. The U.S. Department of Health and Human Services (HHS) has waived off HIPAA implementation for telemedicine, while the Drug Enforcement Administration (DEA) has eased the requirements for the e-prescription of controlled substances.

The usage of telemedicine in the U.S. was minimal before COVID-19, but during the crisis, its implementation skyrocketed. Policymakers, insurers, and health systems have looked at alternative ways to deliver services to patients in their homes, to minimize the virus transmission. This has essentially driven the demand for 5G to support an efficient telemedicine service delivery.

5G In Healthcare Market Analysis

Services Category To Witness Faster Growth

The services category will register the higher growth rate during the forecast period, of around 19%. This will be due to the mounting demand for improved connectivity in medical devices for faster and more-reliable data transfer, which is enabled by the better-quality mobile broadband and higher frequency delivered by 5G services. In addition, the rising number of new entrants will play a vital role in the category’s growth.

The hardware category contributed the higher revenue in 2022, and it is further expected to maintain its dominance during the prediction period. This can be ascribed to the growing need for the replacement and upgradation of connected medical devices, to allow them to make the optimum use of advanced technologies, and rising requirement for high- or ultra-high bandwidths, low latency, and massive connectivity. Essentially, the increasing usage of the 5G technology for effective data transmission in telerobotic surgeries, telediagnosis, and wearable devices will contribute to the market growth.

Healthcare Providers Contribute Most

Healthcare providers accounted for the largest revenue share, of 64%, in 2022, and this category is further expected to maintain its dominance in the coming years. This will be due to the growing pace of advancements in the healthcare industry, rising number of healthcare settings, such as hospitals and ASCs, mounting count of patients, rising need for e-medicine, burgeoning adoption of 5G-integrated wearable devices, and surging demand for enhanced technologies for the faster sharing and storage of large medical datasets.

Moreover, the healthcare payers category will witness significant growth in the coming years, ascribed to the burgeoning number of insurance and Medicare policyholders as well as insurance providers across all regions.

Connected Medical Devices Generate Highest Revenue

The connected medical devices category accounted for the largest revenue share, of around 44%, in 2022, and it is further expected to maintain its dominance in the coming years. This will be due to the growing trend of telemedicine, rising preference of patients for home-based care, mounting traction for personalized care, and increasing healthcare costs, as well as the growing focus of doctors on enhancing the quality of care and patient safety.

Moreover, such devices are widely used in real-time patient monitoring, to track the health status of patients and transmit the data to doctors. Hence, remote patient monitoring is gaining popularity nowadays, and it will witness fast growth in the coming years too. This Will be due to the surging health consciousness among individuals, burgeoning elderly population, mounting demand for remote health checkups, surging healthcare expenses, and increasing need for the effective delivery of chronic disease management and other medical services.

Furthermore, the category includes personal monitoring devices, which are used to collect patients’ health data; mobile applications that transmit this data to the healthcare provider; cloud databases that store the gathered information transmitted by remote patient monitoring devices, and hospital/clinic web applications, through which professionals analyze the data and prescribe medicines or share guidelines on the treatment. The whole process requires a high-speed and reliable network, such as 5G.

Regional Analysis

North America Is Prime Revenue Contributor

North America accounted for the largest 5G in healthcare market revenue share, of 36%, in 2022, and it is further expected to maintain its position in the prediction period. This is due to the well-developed healthcare infrastructure, high per capita income, surging number of industry players, technological advancements, and favorable government funding scenario for the healthcare sector. Moreover,

• The U.S. contributes the majority of the revenue to the regional market due to the mounting count of medical care providers, high R&D spending on healthcare, and developed networking infrastructure.
• In addition, the country is the hub of the IT and ICT sectors, which leads to the easy availability of 5G-enabled devices and associated network services.

APAC will register the highest growth rate in the coming years, ascribed to the burgeoning health awareness due to government efforts, improving network connectivity, growing electrical and electronics industry, where such connected devices are manufactured; and rising investment by international players in the region, which is an emerging hub for such technologies.
Furthermore,

• China, India, and Japan generate the majority of the revenue in the regional market due to their expansive patient bases, availability of cost-efficient, high-speed, and reliable networks, and rise the aging population.

Europe also accounted for a significant revenue share in 2022, due to the high acceptance of cutting-edge technologies, rising R&D spending in the medical sector, increasing health consciousness, surging number of hospitals and ASCs, and rapid launches of medical equipment integrated with 5G RF transceivers.

Germany contributes the highest revenue to the industry in Europe as it has the highest count of healthcare settings in the region, along with the high acceptance of advanced technologies.

Market Breakdown

The report analyzes the impact of the major drivers and restraints on the 5G in healthcare industry, to offer accurate market estimations for 2019–2030.

Based on Component

• Hardware
• Services

Based on Application

• Remote Patient Monitoring
• Connected Medical Devices
• AR/VR
• Connected Ambulance
• Asset Tracking

Based on End-User

• Healthcare Providers 
• Healthcare Payers

Geographical Analysis

• North America
  • U.S.
  • Canada
• Europe
  • Germany
  • France
  • U.K.
  • Italy
  • Spain
• Asia-Pacific
  • China
  • India
  • Japan
  • South Korea
  • Australia
• Latin America
  • Brazil
  • Mexico
• Middle East and Africa
  • Saudi Arabia
  • South Africa

Top 5G in Healthcare Companies