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Healthcare Artificial Intelligence Market size to surpass $70Bn by 2032

Published Date: November 29, 2022

The AI in healthcare market size is expected to reach over USD 70 billion by 2032, as per a new research report announced by Global Market Insights Inc.

Increasing reliance on digital assistants and other advanced technologies will proliferate the deployment of AI in healthcare. As administrative workloads continue to rise, hospitals and medical practices are leveraging voice-enabled digital assistants to reduce physician burnout. Apart from easing the administrative burden, healthcare AI is well-placed to revolutionize medical research, considering its ability to rapidly evaluate deep datasets. With the rise in clinical research associated with disease development and diagnosis, the application potential of artificial intelligence in healthcare will further expand globally.

Despite these advances, AI technology still faces some technical limitations. As the technology is dependent on data networks, the systems are susceptible to security threats. Such drawbacks may limit the use of AI across the healthcare industry to some extent. However, the capability to aid healthcare professionals in diagnosing and addressing medical issues to optimize critical decision-making is likely to promote its adoption in real-time health data analytics applications.

High chronic disease burden boost AI use in therapy planning applications

The healthcare artificial intelligence market share from therapy planning applications is set to depict over 28% CAGR through 2032. The growing datasets of digital information related to patient health and the increasing number of cancer patients adopting radiation therapy as treatment are among the major growth drivers. Based on data from the National Cancer Institute, over 60% of cancer patients require radiation therapy. Since AI-based tools can make radiation treatment planning more effective without a heavy dependence on CT, healthcare AI is expected to gain significant momentum as a therapy planning tool.

Browse key industry insights spread across 139 pages with 79 market data tables & 11 figures & charts from the report,Artificial Intelligence in Healthcare Market Anal By Application (Medical Imaging & Diagnosis, Drug Discovery, Therapy Planning, Hospital Workflow, Wearables, Virtual Assistants), COVID-19 Impact Analysis, Regional Outlook, Application Potential, Price Trends, Competitive Market Share & Forecast, 2023 – 2032” in detail along with the table of contents:

Healthcare artificial intelligence industry from precision medicine and other applications was valued at over USD 141.5 million in 2022. Other applications include dosage error reduction, digital consultation, AI-assisted robotic surgery, and precision medicine. Based on data from the Genetic and Rare Diseases Information Center, 30 million or 1 in 10 people in the U.S. have a rare disease. This will foster the adoption of precision medicine to reduce disease burden and consequently boost the implementation of artificial intelligence and machine learning in healthcare.

Government investments to promote healthcare AI development in North America

North America held over 50% share of the healthcare artificial intelligence market in 2022, on account of the increasing government funding for healthcare following the COVID-19 outbreak. As per statistics from the U.S. Centers for Medicare and Medicaid Services, in 2020, healthcare spending from the federal government surged by 36%. This funding, alongside the strong presence of tech companies including Microsoft Corporation, IBM Corporation, and NVIDIA Corporation will contribute to the usage of healthcare AI in the region.

Mergers and acquisitions by major players to define market landscape

iCarbonX, Atomwise, Inc., Cyrcadia Health Inc., Modernizing Medicine, IBM Corporation, Insilico Medicine Inc, NVIDIA Corporation, Sophia Genetics, Virgin plus, and Nanox are among the key players operating in the healthcare artificial intelligence market. These companies are emphasizing strategic mergers and acquisitions to increase their presence in the global market.

Authors: Sumant Ugalmugle, Rupali Swain