Medical Equipment Maintenance Market To Generate Revenue Worth $45.1 Billion by 2030
- Published: December 2020
The increasing advancements in the medical device industry, presence of strict regulations for medical equipment maintenance, and rising awareness about preventive maintenance services are some of the major drivers boosting the demand for such services across the world. Due to all these factors, the global medical equipment maintenance market is projected to reach $45.1 billion by 2030, growing with a CAGR of 9.4% during the forecast period (2020–2030).
The outbreak of COVID-19 has negatively impacted the medical equipment maintenance industry. Due to the non-operational out-patient departments (OPDs) and diagnostic imaging centers, the use of medical imaging systems has decreased during the lockdown imposed to lower the COVID-19 spread rate, thus further reducing the demand for such services.
Imaging Equipment Category Dominated Market in 2019
Based on equipment type, the medical equipment maintenance market is categorized into imaging, electromedical, life support, surgical, and dental, out of which the imaging equipment category held the largest share in 2019. This is attributed to the fact that this equipment is used extensively for the diagnosis of various medical conditions, including tumors, neurological issues, and heart diseases.
Further, based on service provider, the medical equipment maintenance market is categorized into original equipment manufacturers (OEMs), independent service organizations (ISOs), and in-house. During the forecast period, ISOs are expected to emerge as the fastest-growing category in the global market. This can be attributed to the high price of the services offered by OEMs, which has led to the growing preference for ISOs.
Geographically, the North American region held the largest share in the medical equipment maintenance market during the historical period (2014–2019), and the same situation is predicted for the forecast period. The increasing geriatric population, growing number of hospitals, rising disease burden, and increasing adoption of medical imaging systems are some key factors supporting the growth of the market in the region. According to the data published by the American Hospital Association in January 2019, the number of registered hospitals in the U.S. was 6,210 in 2017.
Industry Players Are Focusing on Mergers and Acquisitions to Expand in Market
Medical equipment maintenance market players are actively pursuing mergers and acquisitions to enhance their market presence. For instance, in July 2019, Agiliti Inc. acquired Zetta Medical Technologies LLC, a provider of medical equipment services based in Lake Zurich III, Switzerland. Through this acquisition, Agiliti Inc. expanded into the full-service clinical engineering domain for high-end imaging devices.
Similarly, in January 2019, InterMed Group acquired Horizon CSA LLC, a U.S.-based provider of clinical engineering solutions for biomedical and imaging services at healthcare centers. The acquisition of Horizon’s portfolio makes InterMed a sizeable player on the East Coast of the U.S.
Some of the major players operating in the medical equipment maintenance market are General Electric Company, Siemens AG, Koninklijke Philips N.V., Drägerwerk AG & Co. KGaA, FUJIFILM Holdings Corporation, Hitachi Ltd., Agfa-Gevaert N.V., Agiliti Health Inc., Canon Inc., Carestream Health Inc., Shimadzu Corporation, and Sodexo SA.