Global Digital Neuropsychiatric Therapeutics Market Size (2024– 2030)

The Global Digital Neuropsychiatric Therapeutics Market was valued at USD 44.63 Billion and is projected to reach a market size of 62.80 Billion by the end of 2030. Over the forecast period of 2024-2030, the market is projected to grow at a CAGR of 5%. The rising prevalence of neuropsychiatric conditions, technological advancements in the healthcare sector, and rising investment in the development of digital neuropsychiatric therapeutics devices by major companies are majorly driving the growth of the market.

Industry Overview:

Neuropsychiatry is the branch of medicine that comprises the disciplines of neurology and psychiatry and the treatment of pathologies involving both. Neuropsychiatry is also referred to as behavioral neurology. Common neuropsychiatric disorders include cognitive deficits, seizures, migraine headaches, attention deficits, and different types of palsy. Digital therapeutics are evidenced-based behavioral treatments that are capable of preventing or managing a disease or disorder. With their rapid evolution, DTx in healthcare is used to enhance several key functions including delivery of health information, offering cognitive or motivational support, and enhancing treatment with drugs or other medical technologies.

The advancement in technology in the healthcare sector is accelerating the growth of the digital Neuropsychiatric therapeutics market. Digital neuropsychiatric therapeutics optimize the time of administrative tasks and routine communication, and at the same time, it reduces the pain associated with the traditional therapeutic methods as it makes the monitoring easier and more accurate. With the help of smartphones, tablets, and other digital communication devices, digital neuropsychiatric therapeutics technologies can be used for therapy and rehabilitation purposes.  Virtual reality-based interventions can help in creating interactive exercises for the improvement of memory and spatial cognition. Furthermore, smartphone or iPad-based training applications aid in speech and language rehabilitation in patients with aphasia. Digital health tools have the potential to transform healthcare for the prevention, treatment, and management of several neurological conditions. Major companies operating in the digital neuropsychiatric therapeutics market are focusing on developing technologically advanced solutions to gain a strong foothold in the market. The growing demand for high-quality outcomes has fuelled the need for digital therapeutics in the clinical field which is anticipated to drive the growth of the digital neuropsychiatric market in the coming years.

Impact of COVID-19 outbreak on Digital Neuropsychiatric Therapeutics Market

The COVID-19 pandemic placed a dramatic burden on managed healthcare and neurological and psychiatric disease care. The COVID-19 pandemic has increased the adoption of remote health technologies including telemedicine in neurosciences which have even received a recommendation from the World Health Organization (WHO) and the Centers for Disease Control and Prevention (CDC). The pandemic mandated adaptability of the entire healthcare system and the benefits offered by telehealth and telemedicine were subjected to deep scrutiny at scale. Positive experiences were observed by both patients and healthcare providers from routine check-ups, to the use of cognitive-behavioral therapy for mental disorders, and management of complex diseases including multiple sclerosis and other psychiatric conditions. The advent of new therapeutic approaches to address pain points was identified during the COVID-19 pandemic. As the pandemic unfolded, the impact on the mental health of citizens globally became evident. COVID-19 infection rates and reduction in mobility were also associated with increased incidence of major depressive disorder. The pandemic has highlighted telehealth and telemedical approaches for the management of neurological diseases and psychiatric illnesses to be treated at scale. The concept of homecare for neuropsychiatric disorders is likely to gain a lot of traction. Ongoing technological innovations that enable patients to integrate care beyond the planned episodic clinic visits are likely to be well received.

MARKET DRIVERS:

Technological advancements in the healthcare sector are driving the market growth

Information technology has the potential to work in conjugation with the drugs for providing the maximum benefit of the treatment to the patients. Patients can take care of their health with easy-to-use apps and monitoring devices. The treatment of chronic diseases with the traditional method has become a challenge for healthcare workers and manufacturers owing to its increasing burden. Thus, the integration of innovative technology or digital therapeutics helps in the treatment of a large number of populations suffering from chronic diseases. Start-ups are introducing innovative ideas to attract investors. All such factors are likely to boost market growth.

The rising prevalence of neuropsychiatric conditions is fuelling the market growth

The prevalence of chronic diseases and neuropsychiatric conditions is rising around the world, creating immense opportunities for healthcare and digital therapy players to invest in the innovation and launch of technologically advanced devices to enhance the digital neuropsychiatric therapeutics demand across the globe. Developed nations have a massive demand for neuropsychiatric treatments owing to these health emergencies and the adoption of the latest digital technologies. Such regions are increasing their resources to pay more attention to the treatment of rare conditions.

MARKET RESTRAINTS:

Privacy and security concerns are likely to hamper the digital neuropsychiatric therapeutics market growth

According to the General Data Protection Regulation (GDPR) in Europe and the Health Insurance Portability and Accountability Act (HIPAA) in the US, each person owns his information. These regulatory bodies have established a right to restrict the flow of data and the right to have data erased, which is not, always possible. Despite the regulations by HIPAA and GDPR, several mobile technologies do not have data protection provisions. Users are not always aware of the risks associated with digital technologies thus can lead to an increase in cybersecurity risks, such as the transmission of sensitive information without encryption.

Lack of awareness related to digital neuropsychiatric therapeutics can pose a challenge to the market growth

The lack of awareness related to digital neuropsychiatric therapeutics in emerging and underdeveloped nations can hamper the market growth.  Developed countries and underdeveloped nations usually have a low awareness and limited access to Digital health care facilities which limits their adoption of digital neuropsychiatric therapeutics. Prominent players in the market need to invest in promotion and awareness at a product-specific level for the growth of the digital neuropsychiatric market.

GLOBAL DIGITAL NEUROPSYCHIATRIC THERAPEUTICS MARKET REPORT COVERAGE:

This research report on the global Digital Neuropsychiatric Therapeutics Market has been segmented and sub-segmented based on product type, disease indication, end-user, and region.

Digital Neuropsychiatric Therapeutics Market – By Product Type

• Software
• Devices
• Others

Based on Product Type, the Digital Neuropsychiatric Therapeutics Market is segmented into Software, Devices, and Others. The Software segment is projected to grow significantly during the forecast period owing to the increased usage of smartphones, and other smart devices and the rise in the software companies’ support in minimizing healthcare costs worldwide. Some digital technologies, like virtual realities, are capable of providing their users the impression of being in a simulated space. These technologies allow the assessment of patients’ behavior in particular environments to measure symptom severity and provoke symptoms if their trigger is known.

Digital Neuropsychiatric Therapeutics Market – By Disease Indication

• Epilepsy
• Schizophrenia
• Attention Deficit Hyperactivity Disorder(ADHD)
• Amyotrophic Lateral Sclerosis (ALS)
• Seizures
• Autism Spectrum Disorder (ASD)
• Sleep Disorders
• Others

Based on Disease Indication, the Digital Neurology Therapeutics Market is segmented into Epilepsy, Schizophrenia, Attention Deficit Hyperactivity Disorder(ADHD), Amyotrophic Lateral Sclerosis (ALS), Seizures, Autism Spectrum Disorder (ASD), Sleep Disorders, and Others. Digital therapeutics in neuropsychiatry have various applications. It can be used for the treatment of ADHD in pediatrics and multiple neurological disorders in geriatrics. Digital Therapeutics can be helpful in the treatment of motor symptoms, cognition, tremor control, stroke rehabilitation, and pain management for different neurological conditions. Schizophrenia, Epilepsy, ALS, and ADHD segments are forecasted to grow significantly during the forecast period as digital therapeutics can address a larger population with such conditions.

Digital Neuropsychiatric Therapeutics Market – By End-User

• Hospitals
• Homecare
• Clinics
• Pharmaceutical Companies
• Others

Based on End User, the Digital Neuropsychiatric Therapeutics Market is segmented into Hospitals, Homecare, Clinics, Pharmaceutical Companies, and Others. The Pharmaceutical companies' segment is likely to grow significantly as they are combining their products with digital therapeutics to promote and commercialize them to increase their sales. The Hospitals and Clinics segments are projected to grow significantly over the forecast period owing to the rise in the number of patients with neuropsychiatric disorders, and the increased adoption of digitally assisted technologies in hospitals and clinics. The increase in the prevalence of neurological diseases around the world has boosted the adoption of digital neuropsychiatric therapeutics by various end-users.

Digital Neuropsychiatric Therapeutics Market - By Region:

• North America
• Europe
• Asia-Pacific
• The Middle East, Latin America, and Africa

Geographically, the North American Digital Neuropsychiatric Therapeutics Market accounts for the largest share of the global market and is anticipated to grow at a high CAGR during the forecast period. This is attributed to an increase in the number of patients diagnosed with the neuropsychiatric disorder, the growing demand for neurology digital therapeutics, and the presence of key players in the region. For instance, Pear Therapeutics is headquartered in the U.S. and operates at the intersection of biology and software technology.

The European Digital Neuropsychiatric Therapeutics Market is anticipated to account for a major share during the forecast period. Factors such as the increasing geriatric population, and rising chronic diseases in the region are boosting the market growth.

The  Digital Neuropsychiatric Therapeutics Market in the Asia Pacific is anticipated to register a high growth rate during the forecast period. This is attributed to several factors including the growing prevalence of neuropsychiatric disorders, the growing geriatric population, high penetration of smartphones, and technological advancements.

The Digital Neuropsychiatric Therapeutics Market in Latin America, the Middle East, and Africa is anticipated to grow moderately during the forecast period owing to the rising prevalence of chronic diseases, rising awareness among people for digital therapeutics, and growing penetration of smartphones, and the internet.

Major Key Players in the Market

Companies like

1. Livongo Health
2. Noom
3. Omada Health
4. Pear Therapeutics
5. WellDoc
6. Proteus Digital Health
7. Propeller Health
8. Akili Interactive Labs
9. Mango Health
10. Better Therapeutics
11. Happify
12. Kaia Health
13. Click Therapeutics

and others are playing a pivotal role in the Global Digital Neuropsychiatric Therapeutics Market.

Notable happenings in the Global Digital Neuropsychiatric Therapeutics Market in the recent past:

Partnership- In March 2022, AbbVie and Richter partnered to develop neuropsychiatric diseases therapies which include preclinical and clinical research and development works with financing to be shared by the companies. Through the partnership, the companies would develop new dopamine receptor modulators to potentially treat neuropsychiatric diseases. 

Partnership- In January 2021, Almirall, S.A. a global biopharmaceutical company based in Barcelona, partnered with Happify Health, a leader in digital therapeutics solutions to improve mental health.

Expansion- In October 2021, Pear Therapeutics announced the continuation of the expansion of its intellectual property portfolio for prescription digital therapeutics.

Product Approval- In June 2020, the FDA granted clearance to Akili’s EndeavorRxTM (AKL-T01) as a prescription treatment for children with ADHD.

Partnership- In September 2020,  Magllan Health, Inc. announced a strategic partnership with Livongo, the leading Applied Health Signals company helping people with chronic conditions to live better and healthier lives.