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Overview
eHealth Market size is forecast to reach $201.36 billion by 2025, growing at a CAGR of 23.35% during the forecast period 2019-2025. Increasing adoption of smartphones and IOT enabled devices by medical practioners and rising developments in the healthcare IT along with favorable government regulations are the major factors driving the growth of the market. High prevalence of chronic diseases and growing need to manage regulatory compliance through the use of eHealth solutions will further enhance the overall market demand of ehealth systems during the forecast period.
Key Takeaways
- North America dominates the eHealth Market owing to high technological adoption and favorable government initiatives to the healthcare industry.
- Increasing penetration of smartphones and smart wearable devices and initiatives by the government organization and healthcare communities to create awareness about the use of ehealth is likely to aid in the market growth of eHealth.
- Detailed analysis on the Strength, Weakness and opportunities of the prominent players operating in the market will be provided in the ehealth market report.
- High capital cost along with the installation of advanced systems in developing countries will create hurdles for the ehealth market.
Type - Segment Analysis
Electronic Health records(EHR) held
the largest share in the ehealth market in 2018 and will grow at a CAGR of 16.7%
during the forecast period 2019-2025.This is mainly owing to the factors such
as growing adoption rate of EHR by many
developed and developing countries. EHR also improves the quality of treatment
and provides healthcare providers with flexibility in terms of quick access to
patient records, better decision support, medical monitoring and quality
reporting in real time. Therefore, these benefits contributed to EHR's
worldwide growth. Supportive government initiatives for EMR implementation
across the globe and increased government incentives are also some of the factors
supporting the growth of this segment. Health Information(Health informatics)
system is estimated to be the fastest growing segment during the forecast
period 2019-2025, owing to rising government initiatives to promote digital
health and shift towards patient-centric healthcare delivery.
Services - Segment Analysis
Remote monitoring services holds
a major share in the ehealth market in 2018 and is estimated to grow at a CAGR
of 11.3% during the forecast period 2019-2025. High preference for home
healthcare and rehabilitation due to convenience services can be attributed for
the growth of the segment. Increasing geriatric population and rising
prevalence of chronic diseases are also the factors that is helping in the growth
of the market. With the emergence and introduction of cloud-based technology in
healthcare, the share of the services segment has risen up significantly and
support services provided by the healthcare IT companies.
Geography - Segment Analysis
North America dominated the ehealth market with a share
of more than 42.3%, followed by Europe. High technological IT infrastructure
along with favourable government initiatives from American Health Information
Community (AHIC) are some of the factors driving the growth of the market.
Implementation of HITECH Act and
HIPAA Act and promoting the use of electronic health data will foster market
growth in the region. Rise
in the prevalence of chronic diseases, and increase in geriatric population
will also support the growth of the market. Europe is also having a significant
share in the ehealth market owing to the rising demand for the innovative
technologies and systems for the effective management of chronic ailments such
as diabetes, orthopaedics, cancer and favourable government initiatives such as
implementation of e-Health law that aims at creation of electronic health card
and setting up infrastructure for telemedicine.
However, Asia-Pacific is estimated to grow at a higher
CAGR during the forecast period. This is owing to the increasing penetration of
smartphones and smart wearable devices and rising adoption of mHealth services
among the healthcare practitioners. Increasing government investments &
reforms to modernize healthcare systems, rising medical tourism, implementation
of eHealth programs and increasing disposable incomes are also some of the
factors that will support the growth of the eHealth market in this region.
Drivers – eHealth Market
- Technological Advancements in Healthcare
The key factors driving the
growth of the ehealth sector are rapidly changing technology across healthcare
IT, including cloud-based storage systems coupled with booming adoption of
smartphones, laptops and tablets by healthcare providers and hospitals. Increasing healthcare IT
innovation along with supporting regulations has facilitated the adoption of
various healthcare technologies such as electronic medical records (EHR) and
remote monitoring, and wearable which is driving the growth of the market.
Everything is
registered with the help of the internet from recording the patient entry to
discharge. IoT is a major driver of market growth in personal e-Health.
- Initiatives by government associations and increasing venture capitalists funding in start-ups.
Initiatives by the
government organization and healthcare communities to create awareness about
the use of digital health and easier government regulations for the adoption of
various healthcare IT solutions will boost the market. Raising venture capital
and funding from healthcare providers to the start-ups that provide such
services will further fuel the market growth.
Challenges – eHealth Market
- High cost of devices & security concerns
High capital cost and installations of technologically
advanced systems will hamper the market growth. Rising security concerns for
data such as cyber-attacks and unauthorized access to information technology
(IT) systems can also hinder ehealth market growth in the coming years.
eHealth Industry Outlook
Product launches, merger acquisitions and R&D
activities are key strategies adopted by players in the ehealth market. In
2018, the ehealth market share is consolidated by the top ten players present
in the market. Ehealth top 10 companies are Allscripts, Athenahealth, Epic Systems,
IBM, GE Healthcare, Cerner, Optum, Philips, Siemens Healthineers, McKesson,
Medtronic, and Cisco Systems among others.
Acquisitions/Product Launches
- In June 2018, Siemens Healthineers announced that it will assist Swiss Post with eHealth solution for electronic health records. Working in partnership with Siemens Healthineers will enable Swiss Post to provide new eHealth services for its customers. Siemens Healthineers has already put a number of major eHealth projects in place in Europe, including a large proportion of the electronic health record in Austria.
- In January 2019, BioTelemetry acquired Geneva Healthcare for $65 million. Remote patient monitoring company BioTelemetry announced in January to acquire startup Geneva Healthcare which is a maker of remote monitoring for implantable cardiac devices, for $45 million in upfront cash with additional performance-based earn-out considerations of no less than $20 million.
- In April 2019, CFC, a specialist insurance provider announced that its market-leading eHealth insurance product will be available to digital healthcare organizations worldwide including the UK.
- EHR and health software company PointClickCare Technologies acquired post-acute care management company QuickMar.