Medical Device Connectivity Market To Generate $11,879.4 Million Revenue by 2030

The global medical device connectivity market revenue is expected to reach USD 11,879.4 million by 2030, exhibiting a CAGR of 24.8% during 2024–2030. This can be ascribed to the increasing funding for medical infrastructure, the mounting automated workflow, the rising number of strategic collaborations and partnerships, the surging prevalence of chronic diseases, and the growing elderly population.

The novel coronavirus outbreak has led to an increase in medical infrastructure spending since it has made individuals more interested in-home healthcare, a rise in the demand for remote patient monitoring, and more accurate and efficient patient analysis to improve healthcare treatments. Also, the increase in the market demand is caused by the desire to lower costs through shorter stays in medical premises and fewer office visits and readmissions.

Moreover, companies are increasingly adopting strategies, such as collaboration, partnership, and acquisition, to gain a competitive edge in the market. For instance, in 2021, Koninklijke Philips N V acquired Capsule Technologies Inc., a major supplier of medical device integration and data technologies for hospitals and healthcare organizations, to increase its dominance in patient care management connectivity solutions for hospitals. Similarly, in 2020, Cerner Corporation collaborated with Xealth to support health systems in selecting, managing, and deploying digital tools and apps while providing physicians with access to remote monitoring and more direct patient involvement.

Hospitals Dominate the Industry

Based on end user, the hospitals category accounted for the largest revenue share, of 55%, in 2023. This is due to the expansion of the healthcare industry, the rising number of hospitals, the presence of favorable insurance plans and reimbursement policies, the growing elderly population, a large footfall of patients, and the availability of advanced medical equipment in hospitals. Furthermore, the rising incidence of chronic diseases including diabetes, hypertension, and heart illnesses, the high purchasing power of hospitals for modern medical device connectivity solutions, and the surging emphasis on providing high-quality patient care and safety are also expected to boost the market growth in this category.

Asia-Pacific Market To Exhibit the Fastest Growth

During the forecast period, the APAC market is expected to grow at the highest CAGR. This can be ascribed to the rising R&D spending for the development of cutting-edge healthcare infrastructure, several government measures for improving healthcare facilities, increasing per capita income, the presence of a large patient population, the surging prevalence of infectious and non-infectious disease, the rising awareness regarding early disease diagnosis, and the growing research and development activities in the region.

Moreover, in the U.S., the healthcare sector is currently becoming more consolidated, and both huge national and regional healthcare systems are growing in size. Since the PPACA's implementation in the U.S. in 2010, healthcare businesses there have been required to use sophisticated healthcare IT solutions. Also, healthcare businesses in the country are witnessing expanding patient bases and maximizing the use of existing resources to reduce the cost of healthcare delivery. Due to these factors, the demand for medical device connectivity solutions is high in the U.S.

Some of the key players in the market include Cerner Corporation, Medtronic plc, Masimo Corporation, Koninklijke Philips N.V., GE Healthcare, Stryker Corporation, iHealth Labs Inc., Cisco Systems Inc., Lantronix Inc., and Silicon & Software Systems Ltd.