AI in healthcare market was valued at $8.23 billion in 2020, and is estimated to reach $194.14 billion by 2030, growing at a CAGR of 38.1% from 2021 to 2030. Artificial intelligence assists machines to perform any task without human interventions. It uses different algorithms and software that help the machine to inculcate perception and reasoning for various situations. AI is widely applicable in the healthcare sector for various purposes such as drug discovery and precision medicine. In addition, it is used to analyze a patientโs medical data, predict disease onset, and personalize treatment provided to the patient.
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Some of the key players operating in the global AI in healthcare market include Welltok, Inc., Intel Corporation, Nvidia Corporation, Google Inc., IBM Corporation, Microsoft Corporation, General Vision, Inc., Enlitic, Inc., Next IT Corporation, and iCarbonX.
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Artificial intelligence technologies are widely being employed by policymakers, and medical professionals to manage the outbreak effect and accelerate its early detection, prevention, response, recovery and to pace the research. Furthermore, the companies are increasingly focusing on expanding their geographical reach and introducing newer, innovative solutions through various strategies, including partnerships, product launches, and collaborations. In April 2020, Microsoft investment USD 20 million to help in COVID-19 research with the use of artificial intelligence technology and data sciences, mainly focusing on hospital resources, diagnostics, and other critical areas. In addition, rise in investments in AI by start-ups propels the market growth. For instance, Analytics 4 life, a Toronto-based start-up, raised around USD 29.0 million to develop a new medical imaging technology, using AI algorithms for cardiac diagnostics.
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By offering segment, the Artificial intelligence in healthcare market is divided into hardware, software, and services. The software segment was the major revenue contributor in 2020 and is anticipated to remain dominant with a CAGR of 37.7% during the forecast period. Surge in adoption of AI-driven healthcare informatics solutions and healthcare operational support by hospitals and other healthcare service providers are expected to drive the market growth owing to the increased development of AI-based software solutions.
By region, the Artificial intelligence in healthcare market is analyzed across North America, Europe, Asia-Pacific, and LAMEA. North America accounted largest share in 2020, and is expected to remain dominant throughout the forecast period with A CAGR of 35.6%. Rise in number of government initiatives and increase in investments by various private companies to improve clinical outcomes, achieve better information exchange, and cost drive the growth of Artificial intelligence in healthcare market.
The impact of the COVID-19 pandemic has positively affected various healthcare-related markets, one of them being AI in healthcare. At present, AI technologies are playing a crucial role to combat the pandemic.
Though the use of AI in healthcare is not a new notion, its application in the COVID-19 outbreak situation has proven its prospects in the sector. The AI tools are rapidly being used to detect & diagnose the virus and retort to the outbreak through personalized information and learning.
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- By offering, the software segment was the highest contributor to the market in 2020.
- By application, the robot-assisted surgery segment was the highest contributor to the market in 2020.
- By end user, the healthcare providers segment is projected to grow at a significant CAGR of 37.2% from 2021 to 2030.
- By region, North America garnered largest revenue share of 35.6%.in 2020, whereas Asia-Pacific is anticipated to grow at the highest CAGR of 44.5% during the review period.
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