PUBLISHER: The Business Research Company | PRODUCT CODE: 1672287
PUBLISHER: The Business Research Company | PRODUCT CODE: 1672287
AI in healthcare denotes the utilization of machine learning and cognitive algorithms to enhance treatment methods and patient outcomes. It finds application across various healthcare facets such as medical diagnostics, drug discovery, clinical trials, pain management, and overall patient improvement.
AI in healthcare offerings primarily comprises hardware and software. Within these offerings, AI products leverage diverse algorithms including deep learning, querying methods, natural language processing, and context-aware processing. Medical device manufacturers harness AI-based technologies to innovate hardware products, aiding healthcare providers and enhancing treatments. Technology firms focus on developing AI algorithms tailored for healthcare solutions. The applications of AI in healthcare are widespread, encompassing robot-assisted surgery, virtual nursing aides, support in administrative workflows, fraud detection, dosage error reduction, identification of clinical trial participants, and preliminary diagnoses. Key users of AI in healthcare span hospitals, diagnostic centers, pharmaceutical and biopharmaceutical companies, healthcare payers, and individual patients.
The Artificial Intelligence in healthcare market research report is one of a series of new reports from The Business Research Company that provides artificial intelligence in healthcare market statistics, including artificial intelligence in healthcare industry global market size, regional shares, competitors with artificial intelligence in healthcare market share, detailed artificial intelligence in healthcare market segments, market trends and opportunities, and any further data you may need to thrive in the artificial intelligence in healthcare industry. This artificial intelligence in healthcare market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.
The artificial intelligence in healthcare market size has grown exponentially in recent years. It will grow from $18.16 billion in 2024 to $24.18 billion in 2025 at a compound annual growth rate (CAGR) of 33.2%. The growth in the historic period can be attributed to growing number of collaborations and partnerships, rising prevalence of chronic diseases, increasing implementation of AI in radiology, the growing adoption of artificial intelligence for cost-efficient drug discovery, and rising funding in artificial intelligence in healthcare.
The artificial intelligence in healthcare market size is expected to see exponential growth in the next few years. It will grow to $72.85 billion in 2029 at a compound annual growth rate (CAGR) of 31.7%. The growth in the forecast period can be attributed to an increase in the geriatric population, the growing adoption of digital transformation in healthcare, and increasing government initiatives for supporting artificial intelligence in healthcare. Major trends in the forecast period include the use of AI for clinical trials, AI for rare diseases treatment, AI for drug adherence, AI in target selection, leveraging AI-based models in pre-clinical studies, investments in AI-driven biotech firms, rise in merger and acquisition activity, the emerging role of CROs in AI ecosystems, the introduction of new artificial intelligence (AI) tools, the introduction of AI innovation labs.
The growing adoption of precision medicine is a key driving factor for the integration of artificial intelligence in the healthcare market. Precision medicine utilizes information about an individual's genetics, along with environmental and lifestyle factors, to tailor diagnoses and therapies for patients. It is particularly prevalent in oncology, and as the incidence of cancer rises, the demand for AI in precision medicine is expected to increase. For example, in February 2024, the Personalized Medicine Coalition, a U.S.-based non-profit organization, reported that the FDA approved 16 novel personalized therapies for patients with rare diseases in 2023, up from six in 2022. Consequently, the rise in precision medicine adoption is propelling growth in the artificial intelligence healthcare market.
The rise in government initiatives to support artificial intelligence in healthcare is anticipated to drive growth in the AI healthcare market. Countries like India and China are launching various initiatives aimed at enhancing AI applications in healthcare. For example, in April 2022, the Indian government focused on leveraging AI to monitor disease outbreaks across the country. A tool currently being developed in collaboration with the National Centre for Disease Control (NCDC) will scan health-related media reports to create a database tracking 33 diseases monitored under the Integrated Disease Surveillance Programme (IDSP), some of which have epidemic potential. Additionally, in September 2022, the National Institutes of Health (NIH), a U.S.-based federal agency dedicated to medical research, introduced the Bridge2AI program, investing $130 million over four years to advance the use of AI in biomedical and behavioral research. This initiative aims to create ethically sourced, AI-ready datasets and standards by bringing together diverse research teams. Therefore, the increase in government initiatives supporting artificial intelligence in healthcare is expected to promote market growth.
Entities within the artificial intelligence (AI) for the healthcare market are observing the introduction of innovative AI tools with significant benefits for pharmaceutical companies. Prominent corporations are strategically launching new AI-enabled tools in the drug discovery sector. Scientific communities within major enterprises are diligently developing novel tools to contribute to the global efforts in COVID-19 treatment development. In a notable example, the Aster Innovation and Research Centre, the innovation hub of the Aster DM Healthcare Group, collaborated with Intel Corporation and AI platform provider CARPL.ai in July 2022 to create an AI-powered health data platform in India.
Pharmaceutical and biopharmaceutical companies are actively pursuing acquisitions of firms possessing expertise in data science and AI. This strategic approach aims to drive innovation within the healthcare industry by enhancing decision-making processes, optimizing research and clinical trials efficiency, and creating valuable tools for stakeholders such as physicians, consumers, insurers, and regulators. In January 2022, RadNet, a provider of fixed-site outpatient diagnostic imaging services, acquired Aidence, a radiology AI company specializing in AI-enabled clinical solutions for pulmonary nodule management and lung cancer screening. In February 2022, OnlineDoctor, a leading teledermatology provider, expanded its capabilities by acquiring A.S.S.I.S.T (Automated Scientific Skin Infection Search Technology), a German startup with expertise in AI for dermatology. OnlineDoctor operates as one of Europe's premier teledermatology providers, with a presence in Switzerland, Germany, and Austria, collaborating with dermatologists, pharmacies, hospitals, and health insurance companies.
In September 2024, Stryker Corporation, a U.S.-based medical technology firm, announced its acquisition of care.ai for an undisclosed sum. This acquisition is intended to strengthen Stryker's digital healthcare strategy by incorporating advanced AI-assisted virtual care solutions into its offerings. By enhancing its expertise in smart room technology and ambient intelligence, Stryker aims to improve real-time decision-making tools that assist healthcare providers and enhance patient care outcomes. Care.ai is a U.S.-based company that specializes in artificial intelligence-driven healthcare solutions.
Major companies operating in the artificial intelligence in healthcare market include IBM Watson Health, Nuance Communications, Inc, Alphabet Inc, Concreto HealthAI, Nvidia Corporation, PathAI, XtalPi, Benevolent AI, Exscientia, OWKIN, LiveHealth, ChironX, Consure Medical, Predible Health, Lybrate, Artelus, OncoStem Qure.ai, Jiaxing Taimei Medical Technology, Ping An Health Medical Technology, YITU, iCarbonX, Insilico, Skin Analytics, Babylon Health, Cambridge Cognition, Renalytix AI, Iktos, Novartis, Gero, Ardigen, Botkin, Webiomed, Care Mentor AI, Diagnocat, Atomwise Inc, Cloud Pharmaceuticals, Bioage, NuMedii, Envisagenics, Aria Pharmaceuticals, Verge Genomics, Berg LLC, Deep Genomics, Cyclica, IQVIA, Roche, Pfizer, PRA Healthscience, Gesto, Intensicare, Didoc, Betterfly, Deenty, Examedi, Dentalink, Cero, MedPass, Pixeon, Hi Technologies, Conexa Saude, Wuru, Yerbo, BioScience, Caecus, Epitrack, GE Healthcare, Oncora Medical, Recursion Pharmaceuticals Inc, Nucleai, Pepticom, AstraZeneca, Rology, HearX Group, DilenyTech, iNNOHEALTH Technology Solutions
North America was the largest region in the Artificial Intelligence in the Healthcare market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the artificial intelligence in healthcare market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the artificial intelligence in healthcare market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Italy, Spain, Canada.
The AI in healthcare market includes revenues earned by entities by discovering links between genetic codes, powering surgical robots and maximizing hospital efficiency. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Artificial Intelligence in Healthcare Global Market Report 2025 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on artificial intelligence in healthcare market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for artificial intelligence in healthcare ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The artificial intelligence in healthcare market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The forecasts are made after considering the major factors currently impacting the market. These include the Russia-Ukraine war, rising inflation, higher interest rates, and the legacy of the COVID-19 pandemic.