|
Forecast Period
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2024-2028
|
|
Market Size (2022)
|
USD 32.07 billion
|
|
CAGR (2023-2028)
|
7.86%
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Fastest Growing Segment
|
mHealth
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|
Largest Market
|
Germany
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Market
Overview
Europe Digital Health Market has valued
at USD 32.07 billion in 2022 and is anticipated to project impressive growth in
the forecast period with a CAGR of 7.86% through 2028. The Europe Digital
Health Market refers to the rapidly growing sector within the healthcare
industry that utilizes digital technologies, such as mobile apps, wearable
devices, telemedicine, electronic health records (EHRs), and data analytics, to
improve the delivery of healthcare services, enhance patient outcomes, and
streamline healthcare operations.
Key
Market Drivers
Rising Healthcare Costs
The European healthcare landscape is
undergoing a significant transformation, and at the heart of this change is the
soaring cost of healthcare. With aging populations and an increasing burden of
chronic diseases, healthcare expenditure in Europe has surged in recent years.
In response to these escalating costs, digital health technologies have emerged
as a powerful and innovative solution. The ever-increasing healthcare costs are
putting pressure on governments, insurers, and healthcare providers to seek
more cost-effective solutions. Digital health technologies, including
telemedicine, remote monitoring, and health apps, offer a way to deliver
healthcare services more efficiently. Patients can access care remotely,
reducing the need for expensive in-person visits, which ultimately lowers the
overall cost of care. Digital health solutions empower individuals to take a
more proactive approach to their health. Wearable devices and health apps allow
people to monitor vital signs, track their fitness, and manage chronic
conditions. By enabling preventive care and early intervention, these
technologies can help avoid costly hospitalizations and emergency treatments,
which are a significant contributor to rising healthcare costs.
Chronic diseases are a major driver of
healthcare costs in Europe. Digital health tools such as remote patient
monitoring devices enable healthcare providers to keep tabs on patients' health
conditions without frequent in-person visits. This not only reduces the strain
on healthcare facilities but also allows for earlier identification of health
issues, potentially preventing expensive complications. Non-adherence to
prescribed medications is a costly problem in healthcare. Digital health apps
can send reminders and track medication adherence, ensuring that patients
follow their treatment plans. This reduces the chances of disease progression,
hospital readmissions, and the associated costs. The administrative burden on
healthcare contributes significantly to the overall cost. Electronic health
records (EHRs) and other digital health management systems streamline
administrative tasks, reduce paperwork, and minimize errors. This enhanced
efficiency can result in significant cost savings for healthcare providers and
institutions. Telehealth is a prime example of how digital health can provide
cost-effective access to healthcare services. Patients can consult with
healthcare professionals remotely, reducing the need for physical
infrastructure and staff. It also minimizes the indirect costs associated with
in-person visits, such as travel and time off work. Many European governments
recognize the potential of digital health in curbing healthcare costs. They are
actively supporting the adoption of digital health solutions by offering incentives
and subsidies to healthcare providers and organizations that embrace these
technologies. Digital health generates vast amounts of patient data, which can
be harnessed for better decision-making. Analytics and artificial intelligence
can be used to identify cost-saving opportunities, optimize resource
allocation, and tailor healthcare interventions to individual patient needs.
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Growing Aging Population
Europe is experiencing a demographic
shift of unprecedented proportions – a rapidly aging population. As life
expectancy increases and birth rates decline, the proportion of elderly
citizens in Europe is expanding. While this demographic change poses challenges
to healthcare systems, it also presents opportunities for growth in the digital
health sector. Aging is often accompanied by a higher prevalence of chronic
diseases and complex health issues. The growing aging population results in a
higher demand for healthcare services. Digital health technologies offer innovative
solutions to cater to the unique needs of elderly individuals, including remote
monitoring, telemedicine, and health management apps. Telehealth and
telemedicine have gained significant traction, particularly during the COVID-19
pandemic. These technologies enable elderly patients to consult with healthcare
providers from the comfort of their homes, reducing the need for frequent
visits to medical facilities. This convenience is particularly valuable for
seniors with mobility issues. Digital health solutions, such as wearable
devices and remote monitoring systems, allow healthcare professionals to
remotely track vital signs, medication adherence, and overall health status.
For seniors living independently or in assisted living facilities, this provides
peace of mind and allows for timely intervention when health issues arise. Many
seniors prefer to age in place, remaining in their homes rather than moving to
nursing homes or assisted living facilities. Digital health technologies
support this preference by enabling remote care coordination, medication
management, and fall detection systems, all of which contribute to safe and
independent living. The elderly population often accounts for a significant
portion of healthcare expenditures due to their complex healthcare needs.
Digital health solutions can help reduce these costs by preventing hospital
readmissions, complications, and unnecessary emergency room visits through
timely interventions and improved care management. Digital health is not
limited to physical health. It also addresses cognitive health and mental
wellness. Apps and platforms for brain training, memory enhancement, and mental
health support are gaining popularity among seniors, promoting overall
well-being. Digital health tools can facilitate communication and coordination
between family members and caregivers. Caregivers can remotely monitor the
health and safety of their elderly loved ones, receive alerts in case of
emergencies, and access resources for caregiving support. Many European
governments recognize the potential benefits of digital health for seniors and
are investing in initiatives that support its adoption. These initiatives
include funding for digital health programs and research to ensure that the
aging population benefits from these technologies.
Technological Advancements
In today's rapidly evolving digital
landscape, technological advancements are driving innovation across various
industries. In healthcare, Europe's digital health market is experiencing
unprecedented growth, thanks to a confluence of breakthrough technologies. The
ubiquity of smartphones and smart devices has revolutionized healthcare access
and delivery. Patients can now use their smartphones to access health
information, monitor vital signs, and even consult with healthcare
professionals through telehealth applications. These devices have become an
integral part of modern healthcare, providing convenience and real-time data.
Wearable health devices, including smartwatches, fitness trackers, and medical-grade
wearables, have gained widespread popularity. These devices can continuously
monitor various health metrics, such as heart rate, sleep patterns, and
physical activity, providing users with valuable insights into their
well-being. This real-time data collection empowers individuals to take
proactive steps towards better health and enables healthcare professionals to
track patient progress remotely. The Internet of Things (IoT) has paved the way
for remote patient monitoring systems. These interconnected devices can
transmit critical health data securely to healthcare providers, allowing for
early intervention and reducing the need for in-person visits. IoT-enabled
medical devices, such as blood glucose monitors and blood pressure cuffs, have
become essential tools for managing chronic conditions. AI and machine learning
algorithms are revolutionizing diagnostics, treatment, and healthcare
operations. These technologies can analyze vast amounts of medical data quickly
and accurately, aiding in disease detection, treatment planning, and predictive
analytics. AI-powered chatbots and virtual health assistants also enhance
patient engagement and support. Data security and privacy are paramount in
healthcare. Blockchain technology provides a secure and immutable ledger for
health records, ensuring the integrity and confidentiality of patient
information. European healthcare systems are increasingly adopting blockchain
to protect patient data and streamline data sharing between providers.
Telemedicine platforms have witnessed tremendous growth, especially during the
COVID-19 pandemic. These platforms leverage video conferencing technology to
facilitate remote consultations with healthcare providers, making healthcare
more accessible and reducing the need for physical visits to healthcare
facilities. Technological advancements in 3D printing are revolutionizing
healthcare by enabling the production of customized prosthetics, implants, and
medical devices. This technology has the potential to reduce costs, improve patient
outcomes, and accelerate the development of patient-specific treatments. Health
apps and electronic health records (EHRs) are becoming increasingly
sophisticated. Patients can use apps to track their health, medication
adherence, and manage chronic conditions. EHRs streamline healthcare
administration, enabling secure and efficient access to patient data across
different healthcare providers.
Wearable Health Devices
Wearable health devices have emerged as
game-changers in the healthcare industry, significantly impacting the way
individuals monitor and manage their health. In Europe, these innovative
technologies are not only transforming personal wellness but are also playing a
pivotal role in expanding the digital health market. Wearable health devices,
such as smartwatches, fitness trackers, and health-specific wearables, empower
individuals to take control of their health. These devices enable users to
track vital health metrics like heart rate, sleep patterns, steps taken, and
even ECG data, fostering a proactive approach to health management. As
individuals become more health-conscious, there is a growing demand for
wearable devices that seamlessly integrate into their daily lives. One of the
key advantages of wearable health devices is their ability to provide
continuous, real-time health data. This constant monitoring offers a
comprehensive view of an individual's health trends, allowing for early
detection of anomalies or changes that may indicate potential health issues.
This aspect of continuous monitoring is particularly beneficial for managing
chronic conditions, ensuring timely interventions. The rise in chronic
diseases, such as diabetes, hypertension, and obesity, presents a significant
healthcare challenge in Europe. Wearable health devices play a crucial role in
managing these conditions. They allow patients and healthcare providers to
track important parameters, facilitating better disease management and reducing
the risk of complications. Wearable health devices have the potential to revolutionize
remote patient monitoring. Healthcare providers can remotely monitor patients'
vital signs, medication adherence, and overall health status. This not only
reduces the burden on healthcare facilities but also enables early intervention
in case of deteriorating health, potentially preventing costly
hospitalizations. Preventive care is a cornerstone of modern healthcare, and
wearable devices support this concept by promoting healthy behaviors. These
devices encourage users to stay active, maintain a healthy lifestyle, and
adhere to wellness goals. Many wearables offer features like guided workouts,
nutrition tracking, and stress management, contributing to overall health and
well-being. The data generated by wearable health devices is a valuable resource
for healthcare professionals and researchers. Advanced analytics and artificial
intelligence can process this data to identify trends, risk factors, and
personalized treatment options. These insights lead to more effective, tailored
healthcare interventions. Wearable health devices facilitate better
communication between patients and healthcare providers. Patients can share
their device-generated health data with their doctors, allowing for more
informed discussions during appointments and enhancing the quality of care. The
growing demand for wearable health devices is driving innovation and
competition in the market. Companies are continually developing new features
and improving existing devices to meet consumers' evolving needs. This market
growth fosters an ecosystem of innovation, benefiting both consumers and
healthcare providers.
Key
Market Challenges
Data Privacy and Security Concerns
Data privacy and security are paramount
in healthcare, given the sensitive nature of patient information. Europe's
stringent data protection laws, including the General Data Protection
Regulation (GDPR), set high standards for safeguarding personal health data.
Digital health companies must navigate complex regulatory requirements and
invest in robust cybersecurity measures to ensure compliance and maintain
public trust.
Interoperability Issues
The digital health landscape is a
fragmented ecosystem, with numerous platforms, devices, and applications.
Ensuring seamless data exchange and interoperability between these systems
remains a significant challenge. Lack of standardized data formats and
protocols can hinder the sharing of crucial patient information across
different healthcare providers and institutions.
Healthcare Provider Adoption
While digital health solutions offer
significant benefits, their adoption by healthcare providers can be slow.
Resistance to change, concerns about the impact on traditional healthcare
models, and the need for staff training all contribute to the reluctance of
some healthcare institutions to fully embrace digital health technologies.
Digital Divide
Despite the growth of digital health,
not all segments of the population have equal access to technology or the
digital literacy necessary to use these tools effectively. The digital divide
can exacerbate health inequalities, as those without access may miss out on the
benefits of digital health solutions.
Key
Market Trends
Telemedicine Evolution
Telemedicine is no longer a novelty but
an integral part of healthcare delivery. As technology improves, telemedicine
is evolving to provide more sophisticated and specialized care. We can expect
to see expanded telehealth services in various medical specialties, including
mental health, dermatology, and cardiology. Moreover, the integration of
telemedicine platforms with electronic health records (EHRs) will streamline
patient care and improve data management.
AI and Machine Learning in Diagnostics
Artificial intelligence (AI) and machine
learning are revolutionizing diagnostics. Advanced algorithms can analyze
medical images, detect anomalies, and even predict disease progression. In
Europe, AI-driven diagnostic tools will become more prevalent, improving
accuracy and efficiency in healthcare settings. AI-powered chatbots and virtual
assistants will also play a role in patient engagement and support.
Remote Patient Monitoring Expansion
Remote patient monitoring (RPM) will
continue to grow, especially for managing chronic conditions. Wearable devices
will become more sophisticated, offering real-time data on vital signs and
enabling proactive interventions. RPM will not only enhance patient care but
also alleviate the burden on healthcare systems by reducing hospitalizations
and emergency room visits.
Digital Therapeutics Adoption
Digital therapeutics (DTx) are
evidence-based interventions delivered through software to treat, manage, or
prevent medical conditions. Europe's digital health market will witness
increased adoption of DTx solutions for conditions like diabetes, substance
abuse, and mental health disorders. These interventions will be prescribed by
healthcare providers and integrated into treatment plans.
Segmental
Insights
Technology Insights
Based on the category of Technology, the
mHealth sector captured the largest portion of revenue in 2022, primarily due
to the surge in the availability of mobile health applications related to
medical, health, and wellness, as well as the expanding user base of
smartphones. Furthermore, the widespread adoption of mobile healthcare apps and
continuous enhancements in their functionality by manufacturers are significant
contributors to this growth. Additionally, the increasing adoption of mobile
healthcare apps for various purposes such as disease management, remote patient
monitoring, medication tracking, patient follow-up, women's health, fitness,
wellness, and personal health records is expected to fuel further expansion in
this sector.
On the other hand, the healthcare
analytics segment is projected to experience the highest CAGR throughout the
forecast period. This growth is driven by the increasing advantages of
telehealthcare technology, particularly in non-emergency situations where
face-to-face interactions between patients and providers are unnecessary. The
rising preference for telehealthcare services among both medical professionals
and patients, aimed at enhancing healthcare access in remote areas and reducing
the risk of transmitting infectious pathogens through direct contact, is also
expected to contribute significantly to the segment's growth.
Component Insights
Based on the category of Component, the
services sector secured the largest portion of revenue, primarily due to the
increasing demand for various telehealthcare-related services such as
maintenance, training, staffing, and resource allocation & optimization.
Market players are increasingly emphasizing the provision of these services to
maintain their strong market positions, which is expected to stimulate the
growth of this segment. Furthermore, the development of electronic health
platforms and rising consumer expectations for improved services are also
projected to enhance the market share of this segment. The wide range of
services offered by key players before and after the installation of
telehealthcare components is also expected to expedite the growth of this
segment.
On the other hand, the software sector
is expected to register the highest CAGR in the coming years. This growth can
be attributed to the rapid adoption of software and applications among
healthcare institutions, patients, providers, and insurance payers. The
increasing availability of software for health management is also expected to
contribute to the growth of this segment. The surge in healthcare
digitalization, driven by the pandemic, is also anticipated to fuel the growth
of this segment. Additionally, improved healthcare IT infrastructure and the
rising number of smartphone and internet users in Europe are expected to
provide strong support for the rapid expansion of this segment.
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Regional
Insights
In 2022, Germany led with the highest
revenue share at 17.5%, primarily due to the expanding reach of the internet
and smartphones, along with a rising number of consumers embracing remote
digital health services. Furthermore, factors such as a growing elderly
population, evolving lifestyles, an increasing prevalence of chronic diseases,
and the widespread adoption of remote healthcare services contribute
significantly to the adoption of digital health solutions in the United
Kingdom.
Spain, on the other hand, is poised to
exhibit the most rapid growth during the forecast period. This growth can be
attributed to the increasing number of startups in the digital health sector in
Italy and robust government initiatives aimed at promoting remote healthcare
services, driving market expansion within the region. Additionally,
manufacturers' collaborations with government entities to invest in the
development of patient engagement solutions, remote monitoring platforms, and medical
video conferencing systems that facilitate patient-provider connectivity to
enhance accessibility, convenience, and continuity of care are further
bolstering the robust growth of the regional market.
Recent
Developments
- In June of 2023, Apple introduced new
health features within iOS 17, watchOS 10, and iPadOS 17, aiming to provide
users with innovative tools and empower them to manage their health
effectively. These additions include two novel features related to mental
health and vision health, offering users valuable data to gain a better
understanding of their overall well-being.
- In April 2023, Telefónica Tech and 3M
jointly launched an advanced technological solution with predictive
capabilities designed to optimize the management of Hospital Emergency
Departments (HEDs), ultimately enhancing patient satisfaction. This innovative
solution assists healthcare professionals by identifying areas for improvement,
thereby facilitating better decision-making.
- Also, in April 2023, Samsung Electronics
unveiled the Samsung Health Stack 1.0, a groundbreaking initiative in the field
of digital health research, aimed at establishing a robust healthcare research
and development ecosystem. The Samsung Health Stack supports researchers in
their digital health studies by simplifying the creation of apps, backend
servers, and analytical tools on Android and Wear OS operating systems.
- In March 2023, Cleveland Clinic and IBM
revealed the first IBM-managed quantum computer in the United States, known as
the IBM Quantum System One. This quantum computer is uniquely tailored for
healthcare research, with the goal of accelerating biomedical discoveries at
Cleveland Clinic and beyond.
- In November 2022, McKesson Canada's
Biopharma and Provider Solutions launched the EvolveHealth Digital Ecosystem,
an innovative digital solution designed to enhance and streamline specialty
patient outcomes. EvolveHealth offers a range of cutting-edge solutions to
simplify and improve the personalized care journey.
- Lastly, in June 2022, Orange and DabaDoc
jointly introduced "Orange Santé," an e-health platform catering to
both African patients and doctors. This platform provides users with convenient
features such as online appointment booking, digitalized medical records, and
payment options for remote consultations and teleconsultations.
Key
Market Players
- Apple Inc
- AT&T Corp
- AirStrip Technologies Inc
- Allscripts Healthcare LLC
- Google LLC
- Orange SA
- Qualcomm Technologies Inc
- Softserve Technologies
- Samsung Electronics Co Ltd
- Siemens Healthcare GmbH
|
By Technology
|
By Component
|
By Region
|
- Tele-healthcare
- mHealth
- Healthcare Analytics
- Digital Health Systems
|
|
- Germany
- Italy
- United Kingdom
- France
- Spain
- Greece
- Portugal
- Bulgaria
- Finland
- Croatia
|
Report Scope:
In this report, the Europe Digital Health Market
has been segmented into the following categories, in addition to the industry
trends which have also been detailed below:
- Europe Digital Health
Market, By
Technology:
o Tele-healthcare
§ Tele-care
§ Telehealth
o mHealth
§ Wearables
§ mHealth Apps
§ Services
o Healthcare Analytics
o Digital Health Systems
§ EHR
§ E-Prescribing Systems
- Europe Digital Health
Market, By
Component:
o Software
o Hardware
o Services
- Europe Digital Health
Market, By Region:
o Germany
o Italy
o United Kingdom
o France
o Spain
o Greece
o Portugal
o Bulgaria
o Finland
o Croatia
Competitive Landscape
Company Profiles: Detailed analysis of the major companies
present in the Europe Digital Health Market.
Available Customizations:
Europe Digital Health market report with the
given market data, TechSci Research offers customizations according to a
company's specific needs. The following customization options are available for
the report:
Company Information
- Detailed analysis and
profiling of additional market players (up to five).
Europe Digital Health Market is an upcoming report
to be released soon. If you wish an early delivery of this report or want to
confirm the date of release, please contact us at [email protected]