Internet of things (IoT) in Healthcare Market Size, Share & COVID-19 Impact Analysis, By Component (Devices, Software, and Services), By Application (Telemedicine, Patient Monitoring, Operations and Workflow Management, Remote Scanning, Sample Management, and Others), By End-User (Laboratory Research, Hospitals, Clinics, and Others), and Regional Forecast, 2021-2028

Global internet of things (IoT) in healthcare market size was USD 71.84 billion in 2020 and is projected to reach to USD 446.52 billion in 2028, at a CAGR of 25.9% during 2021-2028. The global market exhibited a significant growth of 24.1% in 2020 compared to the average year-on-year growth during 2017-2019. The rise in CAGR is attributable to this market’s demand and growth, returning to pre-pandemic levels once the pandemic is over. The global impact of COVID-19 has been unprecedented and staggering, with the internet of things in healthcare witnessing a positive impact on demand across all regions amid the pandemic. 

The IoT in healthcare connects all the devices and operating machinery together and allows data transfer and storage using the internet. The growing demand for connected medical devices and automated remote patient care is likely to drive market growth. For the past several years, the healthcare sector of several developed countries has shifted its approaches to electronic health record systems from paper-based clinical records. The rapid development in technologies encourages the government to invest in IoT to enable healthcare services to be remotely available. Hence, government initiatives supporting technology development and acceptance are expected to drive the substantial growth for IoT in healthcare market.

COVID Impact

Increasing Adoption of IoT Technology amid COVID-19 to Surge Demand 

The global novel coronavirus pandemic has caused significant changes in the healthcare industry. Owing to the risk of getting infected while diagnosing or treating patients, many hospitals and diagnostic centers have started adopting IoT-based systems. For instance, according to the World Health Organization (WHO), in 2020, medical staff and patients at a field hospital in Wuhan, China, started adopting Cloud-Mind’s AI-synched smart medical devices such as bracelets and rings. These wearable devices are used to monitor vital signs in the infected patient, such as heart rate, temperature, blood oxygen level, and more during the Covid-19 pandemic.

The rapid spread of the virus and a limited number of medical staff led the government to take quick initiatives to adopt advanced technologies, including IoT, artificial intelligence, blockchain, and machine learning. These technologies help doctors to consult, diagnose, and treat patients even in remote locations. Similarly, various IoT-based healthcare solution providers invested in offering smart technology for safeguarding frontend workers.

For instance, in April 2020, GE Healthcare, in partnership with Microsoft Corporation, launched cloud-based patient monitoring software for COVID-19 wards. The solution collects data from all the connected multiple devices and systems and offers alerts for at-risk and ventilated patients. This helped the healthcare workers to remotely handle patients’ health by reducing self-exposure to the virus. The outbreak of coronavirus boosted more IoT applications in the healthcare industry. Thus, post-pandemic, the demand for IoT in healthcare sector is likely to witness exponential growth.

LATEST TRENDS

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Rising Awareness of Self Health Monitoring and Measurement to Propel Market Growth

People worldwide are becoming more aware of self-health management due to the increasing issues in the early stage of life. The rising awareness about health is pushing the young and active population to adopt wearable devices. With the advent of wearable medical devices, it has become easy and accessible to monitor health concerns. For instance, as per the International Diabetes Federation (IDF), the majority of the world suffers from diabetic issues. Still, 46% of patients are not diagnosed in time. Thus, people are shifting towards wearable medical devices to keep regular health checks. The companies such as Dexcom and Eversense are the first to receive approval from the FDA for glucose monitor devices, which helps monitor the sugar levels for 90 days.

These IoT-based wearable devices are also helping in monitoring and alerting remote patients with chronic illnesses. For instance, in July 2018, a wearable defibrillator Zoll LifeVest 4000, was launched to monitor abnormal heartbeats (arrhythmias) in adults and children. This wearable device helps in analyzing sudden cardiac arrest. Thus, with the effectiveness of IoT devices, people are adopting these devices for health monitoring, which is expected to drive the growth of the market.

DRIVING FACTORS

Integration of Artificial Intelligence with IoT in Healthcare to Drive Market

IoT technology utilizes artificial intelligence (AI) capabilities to offer advanced solutions for healthcare providers, such as improving operational efficiency, prediction enhancement, automation, and optimization. The medical device manufacturers are also integrating AI technology into the devices to offer patient-centric devices. The AI-enabled IoT devices help healthcare providers in diagnosing and predicting the ailment in real-time. For instance, by improving the scan quality, AI can support healthcare workers in promptly diagnosing difficult scans such as cancers.

AI technology such as deep learning, natural language processing, and machine learning helps analyze the patient’s health. The integration of artificial intelligence with IoT in healthcare offers better detection and treatment capabilities and improved patient experience, which is also promoting the adoption of these technologies in the healthcare industry. For instance, during the lockdown in 2020, many hospitals implemented AI with IoT in three applications of telemedicine such as telediagnosis, healthcare information technology, and patient monitoring. This boosted the tracing and treatment facility of the hospital and government. Thus, the integration of artificial intelligence with IoT in healthcare is expected to boost the market growth.

RESTRAINING FACTORS

Limitation in Protecting Privacy to Restrict Market Growth

The market is likely to face challenges regarding data privacy and varying algorithms. The healthcare industry is already at a high risk of a data breach due to the amount of patients' personal and health data it stores. IoT in healthcare uses machine learning, deep learning tools, smart and connected devices, and more for optimizing gathered insights. These tools exploit the user's sensitive data such as patient history, ailment data, insurance information, and payment transaction data. Further, as per the report of CheckPoint Technologies Ltd, due to the security risk of IoT in medical, millions of US patients are affected by healthcare breaches. Thus, the growing attacks on healthcare data are likely to hamper the demand for the technology.

SEGMENTATION

By Component Analysis

Growing Remote Monitoring Solutions to Drive Demand for Efficient Software

By component, the market is segmented into devices, software, and services.

The services segment is expected to gain a rapid growth rate during the forecast. This is owing to the rising implementation of IoT services that help in increasing operational efficiency along with driving cost reduction. The increasing demand for efficient data flow, enhanced medical systems, and improved decision-making capabilities will drive the demand for the segment.

The devices segment is likely to gain significant growth during the forecast period due to rising self-monitoring health trends. The growing demand for wearable devices is expected to surge the demand for connected medical devices in the healthcare industry.

The software segment is likely to dominate the segment share due to the growing technology applications in the industry. The IoT software used for monitoring the health of the patient and maintaining the device is expected to witness continuous growth during the forecast period. Based on software, the market is segmented into remote device management, data analytics, compliance and security, asset performance management, and others (data storage, electronic health record, etc.). Data analytics and remote device management to gain remarkable growth during the forecast period. The data analytics software is gaining traction in the healthcare industry due to its application in diagnosing patients and analyzing the collected information.

Compliance and security are anticipated to gain steady growth owing to the rising number of threats on the patient’s data due to cyber-attacks. Similarly, the implementation of asset performance management is also increasing in hospitals to help reduce machine downtime and minimize maintenance costs.

By Application Analysis

Availability of Advanced Wearable Medical Devices to Drive Remote Patient Monitoring

By application, the market is segmented into telemedicine, patient monitoring, operations and workflow management, remote scanning, sample management, and others (predictive device maintenance, medication management, etc.).

The patient monitoring segment is likely to witness the highest CAGR, followed by operations and workflow management during the forecast period. The increasingly connected medical devices and instruments are leading towards high adoption of operations & workflow management applications. Similarly, the growing number of wearable devices to track the real-time health of patients is likely to fuel the demand for patient monitoring.

The adoption of telemedicine is growing owing to the introduction of smart devices, the superior quality of video streaming, and the availability of internet facilities at remote locations. Apart from this, remote scanning is widely used in high-end medical imaging systems such as magnetic resonance imaging (MRI) devices, computerized tomography (CT) scans, and others. Health providers can directly access the patient’s report instantly from the data for further consultation.

By End-User Analysis

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Healthcare Industry’s Inclination Towards Advanced Technologies to Fuel Hospital Growth

By end-user, the market is categorized into laboratory research, hospitals, clinics, and others (clinical tests, pathology, etc.).

The hospitals segment is expected to dominate the segment share. The adoption of IoT has increased customer experiences owing to the instant and real-time attention provided through connected devices. Thus, hospitals are extensively investing in IoT technology.

The rising adoption of wearable devices is expected to fuel IoT-powered clinics. Similarly, with its capabilities to provide real-time data analysis, laboratory researchers have started integrating the technology with the research work.

REGIONAL INSIGHTS

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Geographically, the market is fragmented into five major regions such as North America, Europe, Asia Pacific, the Middle East & Africa, and Latin America. They are further categorized into countries.

Asia Pacific is expected to gain maximum revenue share during the forecast period. Catering to the wide demography of the countries such as China, India, South Korea, and others, the governments focus on eHealth solutions. As per the report of 2020, the government of China is adopting digital healthcare and telemedicine to provide support in rural and remote locations. India is expected to showcase a rapid growth rate during the forecast period. India’s rapidly growing population and the government’s vast digital investments are offering huge opportunities in healthcare. 

North America is estimated to account for a substantial market share after the Asia Pacific. The remarkable adoption of advanced technologies, including the internet of things across the industries in North America to fuel the market growth opportunity. The United States is likely to lead the market revenue owing to the rapid expansion of the healthcare industry. The changing lifestyle and more focus on health management are likely to drive the demand for wearable and remote patient monitoring services in the country. Europe is likely to witness significant growth during the forecast period. European countries such as France and the UK are rapidly adopting IoT in the healthcare industry. The increasing demand for mHealth, electronic health records, and telemedicine across the hospitals drives the market growth in the region.

Latin America to gain steady growth during the forecast period owing to the increasing government focus on enhancing the healthcare system of the countries. For instance, in February 2020, different Brazilian Ministries such as healthcare, innovation, and technology announced collaboration to integrate internet of things schemes in the healthcare sector.

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The Middle East and Africa is anticipated to experience significant growth in the market. The countries majorly focus on investments in healthcare sectors to drive IoT in healthcare market growth. For instance, in September 2020, HBKiCare and Sure Universal launched a universal remote healthcare IoT platform to support healthcare facilities in the United Arab Emirates (UAE) and Israel. This is expected to boost the IoT in healthcare growth in the region.  

KEY INDUSTRY PLAYERS

Key Players Focus on Offering Better Industry Specific Solution Through Strategic Partnership

The prominent players in the market are offering various IoT platforms and services to support the healthcare industry. These players are investing in research and development to provide a connected IoT solution that offers proper device management, patient care, improved clinical workflow, continuous patient monitoring, and more. The key players are strategically entering into partnership and collaboration to improve connected technology and solutions. Companies also offer a robust medical database collection that patients can use, doctors, and medical authorities for generating valuable insights.

October 2020 – Microsoft Corporation announced a strategic collaboration with ZEISS Group to enhance patient care through data-driven healthcare solutions. The companies aim to enhance treatment, device management and improve clinical workflow using a new digital connected solution.

May 2019 – General Electricity Company announced a partnership with NASSCOM to launch and offer digital healthcare solutions and services in the market. The partnership aims to flourish digital healthcare through the Center of Excellence-Internet of Things (CoE-IoT) platform of NASSCOM.

LIST OF KEY COMPANIES PROFILED:

• Amazon, Inc. (Seattle, Washington, United States)


• Cisco system Inc. (San Jose, California, United States)


• General Electricity Company (Boston, Massachusetts, United States)


• IBM Corporation (Armonk, New York, United States)


• Intel Corporation (Santa Clara, California, United States)


• Microsoft Corporation (Redmond, Washington, United States)


• SAP SE (Walldorf, Germany)


• koninklijke philips n.v. (Amsterdam, Netherlands)


• Senseonics Holdings, Inc. (Maryland, United States)


• SGH Group (Sydney, Australia)


• TeleTracking Technologies Inc. (Pittsburgh, western Pennsylvania, United States)


• Wipro Ltd. (Bengaluru, Karnataka, India)

KEY INDUSTRY DEVELOPMENTS:

• September 2020 – Intel Corporation launched enhanced IoT capabilities in the 11th Gen Core for industries, including healthcare. It offers AI-powered diagnostics and high-resolution displays using its advanced medical imaging devices.


• December 2020 – Amazon Inc. launched Amazon HealthLake, a HIPAA-eligible service for life sciences and healthcare organizations. Amazon HealthLake allows organizations to transform, store, and analyze all of their data in the cloud.

REPORT COVERAGE

An Infographic Representation of Internet of Things (IoT) in Healthcare Market

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The global market research report highlights leading regions across the world to offer a better understanding of the user. Furthermore, the report provides insights into the latest internet of things (IoT) in healthcare industry trends and analyzes technologies deployed at a rapid pace globally. It further highlights some of the growth-stimulating factors and restraints, helping the reader gain in-depth knowledge about the market.

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