HEALTHCARE EQUIPMENT MARKET SIZE (2023 - 2030)

The healthcare equipment market was valued at USD 450.7 billion in 2023 and is estimated to register a revenue of USD 665.89 billion by 2030. The market is anticipated to witness a compound annual growth rate (CAGR) of 5% over the forecast period of 2023 - 2030. As the prevalence of chronic illnesses grows and healthcare organisations place a higher emphasis on early detection and treatment. Moreover, a growing number of patients are having diagnostic and surgical procedures which is eventually driving the healthcare equipment market growth.

INDUSTRY OVERVIEW

One of the most important aspects of patient therapy in a hospital is the equipment employed. The equipment used in hospitals has an impact on a variety of activities and is a crucial aspect in determining the efficacy of treatments. Furthermore, it has an impact on patients' perceptions and therapy. Medical devices are electronic devices that transfer signals corresponding to physical, chemical, or biological impulses from a patient's body. Healthcare equipment and technologies can provide patients with evidence-based therapy solutions. Healthcare equipment can be used for a variety of purposes, such as diagnosis, monitoring, and treatment. Medical technology advancements help in the accurate diagnosis of a variety of medical indications, leading to accurate treatment. Arthritis, liver inflammation, cancer, renal illnesses, diabetes, chronic pain, sciatica, and other nerve problems are all on the rise, which is pushing increasing demand for healthcare equipment. According to the Indian Council of Medical Research (ICMR), the Institute for Health Metrics and Evaluation, and the Public Health Foundation of India, 72 million Indians have Type-2 diabetes in 2019, with the number expected to nearly double to 134 million by 2025 if current unhealthy eating habits are maintained. Additionally, the International Diabetes Federation estimates that there were 463 million diabetics worldwide in 2019. The healthcare equipment business is predicted to grow as a result of these high results. On the other hand, the high cost of medical equipment is expected to stifle market growth to some extent. Furthermore, reimbursement issues in the medical device industry, as well as severe constraints, impede medical device market growth.

COVID-19 IMPACT ON THE HEALTHCARE EQUIPMENT MARKET

The COVID-19 outbreak has both good and bad effects on the market. Countries are still in danger of becoming infected by a severe pandemic. The bulk of pharmaceutical and biotech companies are focusing their research and development efforts on developing new medications or leads to treating the coronavirus infection. COVID-19 wreaked havoc on the supply chain, causing global shortages of critical medical equipment. As a result, several nations have taken actual actions to address shortages, such as importing equipment or producing medical devices domestically. Furthermore, manufacturing vital medical devices in the United States is meant to remove trade barriers while simultaneously maintaining product quality and market stability. On the other side, counterfeiting and overpricing of imported healthcare facilities are anticipated to hinder the market's growth. Several medical devices, on the other hand, showed a dramatic spike in demand during the pandemic. Ventilators, for example, were in high demand among COVID–19 patients because they are a critical tool for patients in critical situations.

MARKET DRIVERS: 

The market is expanding due to the rising trend of high healthcare spending, as well as the rapidly changing healthcare landscape

A growing geriatric population, more per capita disposable income, and a higher quality of life are all connected to increasing healthcare costs. Medical expenditures are much higher in the 60+ age group than in the 15–30 age group. The global old population is rapidly increasing, resulting in longer life expectancies but also a host of comorbidities. Although healthcare infrastructure throughout the world is growing and improving, affordability and accessibility barriers prevent healthcare and medical equipment from reaching the vast majority of people. Healthcare funding must be increased to address the issue of low accessibility and affordability. Significant increases in overall healthcare spending are intended to boost access to healthcare equipment facilities and encourage medical device producers to engage in R&D and innovation. As a result, the aforementioned factors are anticipated to affect market growth positively.

The need for portable devices is increasing as the focus shifts to homecare settings

The rising prevalence of chronic diseases, as well as the treatment of those who suffer from them, is putting tremendous strain on healthcare systems across the world. The entire cost of treating a patient in a hospital is substantially higher, and longer hospital stays are associated with a bigger financial burden. Market companies are investing aggressively in the research and development of new and easy-to-use medical equipment for the treatment of chronic diseases, citing government attempts to relocate patients to home care settings as justification. Their efforts have resulted in the creation of portable and wearable technology that patients may utilise at home without the need for professional assistance.

MARKET RESTRAINTS:

The high cost associated with the healthcare equipment likely to restrict the market growth

The medical device industry has seen considerable changes in terms of new technology and design upgrades during the previous decade, among other things. The high cost of these types of equipment, including increased purchase and maintenance costs, results in an overall increase in device cost and ownership. Some complicated devices are linked to several various components, such as chips, batteries, sensors, and other accessories, all of which must be serviced regularly. As a result, the patient's financial burden is increased because the total cost of ownership is higher. Medical device reimbursement has also been a stumbling obstacle in underdeveloped countries' adoption of this technology.

Creating a networked ecosystem and designing appropriate medical gadgets is a complex process

There is a growing demand for compact, lightweight, and more portable medical equipment that is of greater quality and cost-effectiveness in the specialized healthcare time. Electromagnetic compatibility is also required for medical devices. This includes both emission and immunity to transmitted electromagnetic waves, as well as design-related electromagnetic compatibility procedures. Medical electronics should be designed in such a way that they do not obstruct the operation of medical equipment. The Internet of Medical Things (IoMT) is gaining popularity in the field of advanced medical science. Connected medical devices must be incorporated into the existing healthcare system, which will necessitate extensive collaboration from a wide range of stakeholders throughout the IoMT ecosystem. The Internet of Medical Things (IoMT) is a network that connects medical equipment, software applications, health systems, and services. The medical electronics ecosystem involves the collaboration of multiple service providers who must work together to work appropriately and efficiently. When it comes to serving end-users, however, these service providers and multiple stakeholders frequently run into issues. It's one of the many variables that can play havoc on the system's overall performance, leading to a complete failure.

HEALTHCARE EQUIPMENT MARKET REPORT COVERAGE:

This research report on the healthcare equipment market has been segmented and sub-segmented based on By Device Type, By End User and By Region.

HEALTHCARE EQUIPMENT MARKET – BY DEVICE TYPE

• Diagnostic Imaging Equipment

• Electrosurgical Equipment

• Orthopedic Devices

• Cardiovascular Devices

• Diagnostic Imaging

• IVD

• MIS

• Diabetes Care

• Ophthalmic

• Dental

• Nephrology

• General Surgery

• Endoscopic Devices

• Laboratory Equipment

• Others

Based on types, the healthcare equipment market is segmented into Diagnostic Imaging Equipment, Electrosurgical Equipment, Orthopedic Devices, Cardiovascular Devices, Diagnostic Imaging, IVD, MIS, Diabetes Care, Ophthalmic, Dental, Nephrology, General Surgery, Endoscopic Devices and Laboratory Equipment among others. Attributing to the increasing usage of real-time diagnostic testing for accurate identification of chronic and infectious illnesses such as diabetes, cancer, HIV/AIDS, and others, the in-vitro diagnostics (IVD) sector is poised to develop at a faster CAGR throughout the projection period. Cardiology devices are also estimated to gain considerable market share in the healthcare equipment industry throughout the forecast period. Heart problems and other health conditions, which are among the leading causes of death worldwide, are detected and treated using cardiovascular devices. Some of the most often used cardiovascular devices are ECGs, defibrillators, pacemakers, cardiac rhythm management devices, catheters, grafts, heart valves, and stents. One of the key reasons supporting the rise of the cardiology devices market is the growing frequency of coronary heart diseases, such as heart attacks and cardiomyopathy, which cause a global burden of cardiac mortality. Moreover, advancements in surgical robot technology, as well as increased use by healthcare professionals, are expected to drive the minimally invasive surgery (MIS) market ahead throughout the forecast period. Furthermore, the growing incidence of diabetes and retinal diseases in the general population is predicted to boost the usage of diabetic care and ophthalmic equipment, propelling the healthcare equipment market forward throughout the forecast period.

HEALTHCARE EQUIPMENT MARKET – BY END-USER

• Hospital

• Diagnostic Imaging Centers

• Dialysis Centers

• Ambulatory Surgical Centers

• Dental Clinics & Speciality Clinics

• Other 

Based on end-user, the healthcare equipment market is segmented into hospitals, Diagnostic Imaging Centers, Dialysis Centers, Ambulatory Surgical Centers, Dental Clinics & Speciality Clinics among others. The hospital category held a dominant position in 2020, owing to the rising number of multispecialty and community hospitals, particularly in emerging economies. As a consequence of the aforementioned factors, as well as the increasing focus placed by healthcare organisations and the government on frequent patient diagnosis and early treatment, there has been a rise in public awareness, which is driving the market's growth throughout the forecast period. Clinics and other categories are expected to grow at a significant CAGR throughout the forecast period, thanks to increased funding by public and private actors in small and medium-sized clinics and long-term care centres around the world to build healthcare infrastructure.

HEALTHCARE EQUIPMENT MARKET - BY REGION

• North America

• Europe

• The Asia Pacific

• Latin America

• The Middle East 

• Africa

Based on region, the medical device market is grouped into North America, Europe, Asia Pacific, Latin America, The Middle East, and Africa. The healthcare equipment market was led by the North American region. The healthcare equipment industry in North America was estimated to be worth USD 160.7 billion in 2020. Its prominence is attributed in part to the presence of appropriate and appealing reimbursement policies, a well-developed healthcare infrastructure, rapid adoption of contemporary medical technology, and prominent firms in the region. This is exacerbated by the growing number of people in the region receiving diagnosis and treatment as a result of increased chronic illness incidence and prevalence.

The European market is estimated to grow rapidly due to growing healthcare spending, well-established infrastructure, and greater usage of novel diagnostic and treatment technology. The market is set to grow significantly during the forecast period, thanks to a strong focus on transitioning medical treatment to home care settings and the introduction of portable medical equipment by leading industry participants in the area. The Asia Pacific is also poised to grow at a faster rate than the rest of the world, owing to the rising incidence of diseases such as cardiovascular disorders, infectious diseases, dental disorders, diabetes, and others, as well as market players' increased focus on expanding their direct presence in developing markets such as China and India to meet patient demand.

HEALTHCARE EQUIPMENT MARKET - BY COMPANIES

The market for healthcare equipment is fragmented and competitive due to the presence of many market players. Some of the prominent players operating in the healthcare equipment market are:

1. GE Healthcare

2. Siemens Healthineers

3. Koninklijke Philips N.V.

4. Medtronic plc

5. FUJIFILM Holdings Corporation

6. Canon, Inc.

7. Agfa-Gevaert Group

8. Carestream Health, Inc.

9. Drägerwerk AG & Co. KGaA

10. Hitachi Medical Corporation

11. Althea Group

12. Olympus Corporation

13. B. Braun Melsungen AG

14. KARL STORZ GmbH & Co. KG

15. Aramark Services, Inc

NOTABLE HAPPENING IN THE HEALTHCARE EQUIPMENT MARKET

• ACQUISITION- The Diagnostic Imaging-related Business of Hitachi, Ltd. (Japan) was bought by FUJIFILM Corporation in March 2021 to promote R&D, production, commercialization, and maintenance services for diagnostic imaging systems (CT, MRI, X-ray, ultrasound systems, and other medical-related goods and services).

• PARTNERSHIP- GE Healthcare (US) secured a six-year service deal with Affidea in the Netherlands in December 2019 for imaging technology.

• PARTNERSHIP- Siemens Healthineers (Germany) and Kantonsspital Baden (KSB, Switzerland) established an eight-year technology agreement in February 2021 for the acquisition and maintenance of medical imaging systems, technology management, and the growth of telemedicine solutions.