Report: Global Market for Connected Health Devices Projected to Reach $612B by 2024 | Healthcare Informatics Magazine | Health IT | Information Technology Skip to content Skip to navigation

Report: Global Market for Connected Health Devices Projected to Reach $612B by 2024

August 15, 2016
by Heather Landi
| Reprints

The global connected health and wellness devices market is forecasted to reach $612 billion by 2024, in part driven by increasing incidences of chronic diseases that require continuous health monitoring, according to a Grand View Research report.

In the next eight years, the demand for wearable medical devices and remote patient monitoring will increase due to both the shifting consumer preference towards a healthier lifestyle combined with the rise in lifestyle-associated diseases, according to research from the San Francisco-based market research and consulting firm.

The global market in 2015 stood at $123 billion, and the research report points to a number of trends that will spur further growth, such as the mass adoption of mHealth devices and the focused approach towards the adoption of Internet of Things (IoT) devices, including sensors and mobile communication devices. At the same time, skyrocketing healthcare costs, and an increased focus on reducing these costs, along with a growing awareness of connected health devices, is pushing healthcare organizations to incorporate innovative digital health strategies to meet the high patient volumes.                                       

And, in general, there is a rising demand among healthcare organizations and health plans for greater access to patient health information which is a key factor in the connected health and wellness devices market growth.

In addition, government and non-profit organizations are creating future growth opportunities for digital health solutions with supportive initiatives, such as Healthcare Research and Quality (AHRQ) offering funds to expand health information systems.

The report also looked at several areas of growth. The healthcare IT segment, with a 46 percent market share, held the largest market share of the overall global connected health market, and the research report attributes this to the increasing need to meet the regulatory compliances and initiatives taken by the government. In addition, the benefits associated with the implementation of these services, such as high returns on investments and ease of access, are anticipated to boost the segment growth.

“The health information exchange segment is expected to exhibit a positive growth trend owing to the gradual rise in the acceptance of the patient-centric approach by healthcare providers and the demand for quality care services in the near foreseeable future,” the research report stated.

Over the next eight years, the healthcare analytics segment also is expected to show lucrative growth, owing to the rising pressure on hospitals to curb the spiraling healthcare costs, the availability of big data analytics, and the penetration of electronic health record systems in medical settings. “The growing need to improve value-based outcomes in the healthcare sector and the adoption of the patient-centric approach are the factors propelling the segment’s growth,” the report stated.

The report also looks at specific product segments. The software and services category in the wellness and health segment held the largest share of over 45 percent of the product segment in 2015 due to the incorporation of the value-based healthcare delivery system.

In addition, the introduction of technologically advanced personal medical devices will spur market growth through 2024. The report specifically calls out advanced ECG monitors, such as the device launched by Aerotel Medical Systems in February 2014, which is incorporated to enable the seamless transmission of patient ECG records directly to the doctor’s email account.

And, the individual consumer segment is anticipated to grow to $200 billion with a compound annual growth rate of 20 percent, due to an ongoing preference for personal medical devices to aid with continuous monitoring of chronic conditions such as type 2 diabetes and hypertension. Consumers are showing a preference for these devices, such as connected glucose monitors and insulin pumps, to help reduce hospital stays and costs of the treatments. “In addition, the rise in the preference of geriatric patients towards home healthcare creates the demand for connected health & wellness devices over the forecast period,” the report stated.

Looking at end-users, the research findings indicate that hospitals dominated the end-use segment as of 2015 with market revenue of more than $49 billion. The report credits this to the increasing adoption rate of EHR records and remote patient monitoring systems for effective management of chronic diseases and for enhanced operational efficiency.

The report calls out key players in the connected health and wellness devices market like Omron Healthcare, McKesson Corporation, Philips Healthcare, GE Healthcare, Fitbit, Medtronic and Apple.

“These market players are focusing on the development of cost efficient and technologically advanced devices, which offer comfort to the users. New product development and strategic alliances including partnership agreements, promotional activities, and acquisitions are instrumental in keeping market rivalry high,” the report stated.

Get the latest information on Health IT and attend other valuable sessions at this two-day Summit providing healthcare leaders with educational content, insightful debate and dialogue on the future of healthcare and technology.

Learn More



ONC Roundup: Senior Leadership Changes Spark Questions

The Office of the National Coordinator for Health IT (ONC) has continued to experience changes within its upper leadership, leading some folks to again ponder what the health IT agency’s role will be moving forward.

Media Report: Walmart Hires Former Humana Executive to Run Health Unit

Reigniting speculation that Walmart and insurer Humana are exploring ways to forge a closer partnership, Walmart Inc. has hired a Humana veteran to run its health care business, according to a report from Bloomberg.

Value-Based Care Shift Has Halted, Study Finds

A new study of 451 physicians and health plan executives suggests that progress toward value-based care has stalled. In fact, it may have even taken a step backward over the past year, the research revealed.

Study: EHRs Tied with Lower Hospital Mortality, But Only After Systems Have Matured

Over the past decade, there has been significant national investment in electronic health record (EHR) systems at U.S. hospitals, which was expected to result in improved quality and efficiency of care. However, evidence linking EHR adoption to better care is mixed, according to medical researchers.

Nursing Notes Can Help Predict ICU Survival, Study Finds

Researchers at the University of Waterloo in Ontario have found that sentiments in healthcare providers’ nursing notes can be good indicators of whether intensive care unit (ICU) patients will survive.

Health Catalyst Completes Acquisition of HIE Technology Company Medicity

Salt Lake City-based Health Catalyst, a data analytics company, has completed its acquisition of Medicity, a developer of health information exchange (HIE) technology, and the deal adds data exchange capabilities to Health Catalyst’s data, analytics and decision support solutions.