According to Acumen Research & Consulting, the global Medical Software Market size was worth US$ 41.2 Billion in 2021 and is projected to be worth around US$104.1 Billion by 2030, growing at a CAGR of 10.9% in the coming years
Medical software market overview
The medical software market is a rapidly expanding industry that offers a diverse range of software products and services for a variety of healthcare applications. Electronic health record (EHR) systems, telemedicine software, medical billing and coding software, practice management software, and other products fall into this category.
Factors such as increasing technology adoption in healthcare and rising demand for efficient and cost-effective healthcare solutions are the two major factors that are driving the global medical software market value.
Global medical software market revenue collected US$41.2 Billion in 2021, with a 10.9% CAGR between 2022 and 2030.
Medical software market statistics
- Global medical software market revenue collected US$41.2 Billion in 2021, with a 10.9% CAGR between 2022 and 2030
- According to the International Diabetes Federation statistics, 537 million adults (20-79 years) or one in ten have diabetes. This figure is expected to increase to 783 million by 2045.
- The North American medical software market occupied over 37% share in 2021
- Asia-Pacific medical software market growth is projected to record above 11% CAGR from 2022 to 2030
- Based on software type, the EHR sub-segment occupied a share of approximately 20% in 2021
- Among applications, the hospitals sub-segment gathered over US$ 12 billion in 2021
- The increasing adoption of technology in healthcare is a key trend in the medical software market that fuels the industry demand
Medical software market dynamics
Patient growth drives the medical software market value
The expanding pool of patients refers to the growing number of people seeking medical attention. This growth can be attributed to a variety of factors, including population growth, ageing populations, and the rising prevalence of chronic diseases.
As the population grows and ages, so does the demand for healthcare services, potentially resulting in a larger pool of patients. Furthermore, as the number of people suffering from chronic diseases such as diabetes and heart disease grows, so does the demand for healthcare services.
This growing pool of patients may drive the growth of the medical software market, as healthcare providers will need to manage a greater volume of patients and their associated data, which medical software can help with. This includes practice management software, electronic health records (EHR) systems, and telemedicine software, which can assist healthcare providers in managing and organising patient data, scheduling appointments, and providing remote care.
It is also worth noting that this growing pool of patients may put a strain on the healthcare system, necessitating the need for more innovative solutions to enhance the efficiency and effectiveness of healthcare delivery, which is where medical software can help.
EHRs adoption driving the medical software industry growth
EHRs typically include patient demographics, medical history, medications, allergies, lab results, and other vital health information. In addition, they usually include tools for appointment scheduling, ordering examinations and procedures, and generating reports.
One of the primary advantages of EHRs is that they enable healthcare professionals to quickly and easily access patient information, which can improve care quality and reduce the risk of errors. Furthermore, by eliminating the need for paper records, EHRs can help healthcare providers save time and money, as well as improve collaboration and communication among healthcare professionals.
However, implementing EHRs can be difficult because it necessitates a significant investment in technology and staff training. Furthermore, there are concerns about patient information security and privacy, as well as a lack of standardisation among different EHR systems that can make it challenging for healthcare providers to share patient information.
Medical software market share
Electronic health records (EHRs) are expected to have the highest market share from 2022 to 2030, according to the medical software market forecast. Another sub-segment expected to produce significant revenue in the medical software market is practice management software. Telemedicine software, which allows medical practitioners to provide remote medical care to patients via video conferencing and other technologies, is also gaining traction in the medical software market.
Based on application, the hospitals sub-segment captured a considerable market share in 2021 and is expected to do so in the coming years. Ambulatory care centres are also expected to grow in the future, owing to rising demand for advanced medical imaging software and the adoption of government EHR regulations.
The providers sub-segment accounted for the largest market share, whereas the patients sub-segment is likely to attain significant market growth from 2022 to 2030.
Medical software market regional outlook
The North American market for medical records is one of the largest and most mature markets globally. According to recent reports, The North American medical record market is expected to dominate the global market and hold the largest market share due to the presence of major players and the high adoption of advanced technologies in the healthcare sector in the region.
The Asia-Pacific medical record market is predicted to be the fastest-growing market globally due to the increasing adoption of advanced technologies in the healthcare sector in the region, as well as the growing demand for EHR systems.
A large population, rising healthcare expenditures, and an ageing population are also expected to drive market growth in the region. In the near future, the region's growing number of hospitals, clinics, and healthcare centres is expected to increase the adoption of EHR systems.
Medical software market players
Some prominent medical software companies covered in the industry are Allscripts Healthcare, Athenahealth, Cerner Corporation, CureMD Healthcare, Epic Systems, eClinicalWorks, First Databank, GE Healthcare, Henry Schein, IBM, McKesson Corporation, and Siemens Healthcare.