Healthcare IT Market Size, Share, and Trends 2024 to 2034

Healthcare IT Market Size and Growth 2024 to 2034

The global healthcare IT market size accounted for USD 276.82 billion in 2024 and is predicted to be worth around USD 1,330.64 billion by 2034, growing at a CAGR of 17% from 2024 to 2034.

Healthcare IT Market Key Takeaways

• NorthAmerica led the global market with the largest market share of 40% in 2023.
• By product type, the healthcare provider solutions segment held the largest share in the prepaid card market for 2023.
• By end user, the healthcare payers segment dominated the prepaid card market in 2023.

U.S. Healthcare IT Market Size and Growth 2024 To 2034

The U.S. healthcare IT market was valued at USD 66.25 billion in 2023 and is predicted to be worth around USD 379.93 billion by 2034, growing at a CAGR of 17.21% between 2024 to 2034.

North America is esteemed largest shareholder for the healthcare IT market in 2023. The region is observed to sustain the dominance with the growing consumer adaption rate.  Increasing buying power, improved access to the digital technologies, higher penetration of internet, and increased adoption of the smart devices are some of the major factors that has propelled the growth of the North America healthcare IT market.

Asia Pacific is observed to grow at the fastest rate in the healthcare IT market during the forecast period. Asia Pacific is seen to become home to more than half of the global population which provides a huge consumer base. The rapid urbanization, rising disposable income, busy and hectic lifestyle, rising penetration of the internet, and the increasing adoption of the smartphones are some of the significant macroeconomic factors that drives the growth of the healthcare IT market in Asia Pacific. Moreover, the countries like China and India are showing promising growth opportunities for the market players owing to the strong economic growth in the region. This is attributed to the growing government and economic initiatives for the automating and digitalizing the different healthcare organizations task including pharmacies, hospitals, nursing homes and other healthcare related organizations.

Healthcare IT Market Growth Factors

Healthcare IT or healthcare information technology is a branch of IT which includes designing, developing, creating, and maintaining of information systems in clinics, hospitals and other healthcare sectors. For transforming and improving healthcare, healthcare IT offers various opportunities and advantages like reducing human errors, improving clinical outcomes, improving practice efficiencies, tracking data over time and facilitating care coordination. The factors driving the growth of the healthcare IT market around the globe are adoption of cloud technology related HCIT services, surge in demand regarding mHealth and telehealth solutions from the huge number of smartphone users, application of numerous healthcare reforms such as affordable care act (PPACA) and patient protection and rapid rise in elderly population and subsequent rise in the number of chronic diseases.

Furthermore, adoption of preventive care and high customer demand along with rising funding for numerous startups of mobile health is fostering the market growth. In addition, rising improvements in network infrastructure and rising network coverage are further boosting the market growth. Advancements in technology, with the growth of healthcare, for the purpose of improving the infrastructure of IT, like the implementation of IoT, AI are the factors further fueling the growth of the market.

Report Scope of the Healthcare IT Market

Rise in demand for quality healthcare solutions and services, rise in acceptance of telehealth and mHealth practices, surge in demand for improved patient care& patient safety, and growth in government initiatives to promote HCIT propels the growth of the global healthcare IT market. As rise in concerns regarding the patient data security& safety serve as the main roadblocks in the healthcare IT market owing to the surge in cyber-attacks globally, and safeguarding the patient information is a major challenge for healthcare market players. Rise in investment in the Asia-Pacific region provides an enormous market potential and propel the growth opportunities for the healthcare IT market.

COVID-19 was recognized in the end of December in Hubei province of Wuhan city in China. This highly contagious infection, triggered by severe acute respiratory syndrome coronavirus, can be transmitted from humans to humans. The COVID-19 pandemic has resulted in global lockdowns, therefore impacting every industry vertical as a result. As per the report of the United Nations Human Rights, the COVID-19 pandemic has threatened all the members of the society. In resultant, health care systems are highly affected, and the effective conveyance of medical treatment and care to all the patients has become a global healthcare challenge. The COVID-19 epidemic is an unknown global public health challenge and is anticipated to have a positive impact on the healthcare IT request for R&D of vaccines and antiviral medicines. The request for healthcare information technology is primarily driven by the rising prevalence of COVID-19 cases encyclopedically, government authorizations, support, and enterprise for HCIT results, the adding use of big data in healthcare, high returns on investment for HCIT results, and the need to dock raising healthcare costs. Due to social distancing the COVID-19 epidemic is furnishing openings for telehealth results, social distancing is the only being result developed so far able of minimizing exposure. In this regard, telemedicine and mHealth represents a effective, and affordable option.

Product type Insights

Based on the product type, healthcare provider solutions is anticipated to be the largest growing segment during the analysis period due rise in adoption of electronic health records (EHR) and other sanitarium information systems by healthcare providers. The request is anticipated to witness significant growth owing to the rise in demand for quality healthcare services and solutions, increase in acceptance of mHealth and telehealth practices, surgel in demand for bettered patient safety and patient care, and increase in government action to promote HCIT, and rise in adoption of cloud technology in healthcare.

End User Insights

On the basis of end user, the global healthcare IT request is segmented into healthcare providers and healthcare payers. The healthcare provider segment is subdivided into hospitals, itinerant care centers, individual and imaging centers, apothecaries, and others. The healthcare payer segment is further divided into public payers and private payers. The healthcare provider segment is likely to be the near fastest growing segment during the analysis period. Also, the healthcare payers segment is likely to capture the high growth rate till the forecast period 2032. In healthcare providers, hospitals are the largest segment in the HCIT request. This is owing to the demand for multitudinous HCIT results among hospitals in order to manage the adding burden of managing patient information in hospitals.

Key Market Developments

• In October 2021, the key player named Medtronic introduced its new Open Innovation Platform (OIP) in order to come across the patient requirements in the Asia-Pacific region. The major aim of the OIP is at bringing collaboration which is strategies in healthcare technologies from uncountable stakeholders and innovators across the Asia-Pacificre gions in the areas of medical technology and digital health. This strategy is likely to bring an add-on value to the business portfolio and also it will maintain business relations long term in nature, thereby firming its presence in market.

Healthcare IT Market Companies

• Allscripts healthcare solutions Inc.
• AthenahealthInc.
• Cerner corporation
• Epic system corporation
• General electric company
• Infor, inc.
• KoninklijkephilipsN.V.
• Mckesson corporation
• Oracle corporation
• Unitedhealthgrowp

Segments Covered in the Report

By Type

• Healthcare Provider Solutions
• Clinical Solutions
• Electronic Health/Medical Records
• Vendor Neutral Archive (VNA)
• Computerized Physician Order Entry
• Clinical Decision Support Systems
• Radiology Information Systems
• Radiation Dose Management Solution
• Specialty Management Information Systems
• Medical Image Processing & Analysis Solution
• Healthcare IT Integration Systems
• Practice Management Systems
• Laboratory Information Systems
• Digital Pathology Solutions
• Mobile Health (mHealth) Solutions
• Telehealth Solutions
• Healthcare Payer Solutions
• Pharmacy Analysis and Audit
• Claims Management
• Fraud Management
• Computer-assisted Coding Systems
• Payment Management
• Patient Billing Management
• Provider Billing Management
• Provider Network Management
• Member Eligibility Management
• Customer Relationship Management
• Medical Document Management
• Other
• HCIT Outsourcing Services
• Provider HCIT Outsourcing Services
• Medical Document Management Services
• Pharmacy Information Management Services
• Laboratory Information Management Services
• Revenue Cycle Management Services
• Others
• IT Infrastructure Management Services
• Operational HCIT Outsourcing Services
• Supply Chain Management Services
• Business Process Management Services
• Others
• Payer HCIT Outsourcing Services
• Claim Management
• Customer Relationship Management Services
• Billing System
• Fraud Detection
• Others

By End User

• Healthcare Providers
  • Hospitals
  • Ambulatory Care Centers
  • Diagnostic & Imaging Centers
  • Pharmacies
  • Others
• Healthcare Payers
  • Private Payers
  • Public Payers

By Geography

• North America
• U.S.
• Canada
• Europe
• U.K.
• Germany
• France
• Asia-Pacific
• China
• India
• Japan
• South Korea
• Malaysia
• Philippines
• Latin America
• Brazil
• Rest of Latin America
• Middle East & Africa (MEA)
• GCC
• North Africa
• South Africa
• Rest of the Middle East & Africa