The global Artificial Intelligence (AI) in
Medical Diagnostics Market is projected to grow at a CAGR of 50.2% from USD 0.5
billion in 2020 to USD 3.86 billion by 2025, driven primarily by government
initiatives to increase the adoption of AI-based technologies, increasing
demand for AI tools in the medical field, growing focus on reducing the
workload of radiologists, influx of large and complex datasets, growth in
funding for AI-based start-ups, and growing number of cross-industry
partnerships and collaborations.
Pandemics such as COVID-19 require investments for
additional manpower, equipment, consumables, and other resources to ensure 100%
preparedness for safety in hospitals and, if needed, eventual treatment of
patients. The COVID-19 pandemic is an accelerator for AI technology by creating
opportunities for leveraging these tools for healthcare advancement.
These are the latest findings of MarketsandMarkets
(Maharashtra, India), a market research and management consulting firm.
On the basis of component, the AI in medical
diagnostics market was dominated by the services segment in 2020. However, the
software segment is estimated to grow at a higher CAGR during the forecast
period, as software solutions help healthcare providers gain a competitive edge
despite the challenges of being short-staffed and facing increasing imaging
scan volumes.
Based on end user, the AI in medical diagnostics
market was dominated by the hospitals segment in 2019 with the largest share of
64.1%. The segment’s large share can be attributed to the rising number of
diagnostic imaging procedures performed in hospitals, the growing inclination
of hospitals toward the automation and digitization of radiology patient
workflow, increasing adoption of minimally invasive procedures in hospitals to
improve the quality of patient care, and the rising adoption of advanced
imaging modalities to improve workflow efficiency.
Geographically, North America accounted for the
largest share of 37.6% of the global AI in medical diagnostics market in 2019.
However, the APAC market is projected to register the highest CAGR of 53.2%
during the forecast period, primarily due to the growth strategies adopted by
companies in the emerging markets, improved medical diagnostic infrastructure,
increasing geriatric population, rising prevalsence of cancer, and the
implementation of favorable government initiatives.
