Healthcare IT Market By Products & Services (mHealth, Healthcare Analytics, Telehealth, Others) By Component (Software, Hardware, Others) By End-user (Healthcare Providers, Healthcare Payer) Regional Analysis & Forecast - 2026

Introduction

Healthcare information technology (IT) is defined as applying the process of information involving both computer hardware and software dealing with the storage, sharing, retrieval, and use of data, healthcare information, and knowledge for communication and decision-making. The main goal of the health IT market is to maintain records that contain the patients’ health information and then delivering it to doctors, patients, or their families, safely and efficiently. These systems will minimize the use of paper significantly and increase the organization's operational efficiency while ensuring regulatory compliance. They will help to deliver quality healthcare and also provides improved clinical outcomes by doing clinical studies and administration of drugs faster and quicker to the patient. Healthcare IT market facilitates improved patient care and enhanced communication and information exchange between various entities including physicians, staff, families of residents, residents, and pharmacies

Market Overview

The overall global Healthcare IT market is expected to grow at a significant compound CAGR rate of xx% from USD xxx billion in 2018 to USD xxx billion in 2026. The rising demand for paperless technology, the social media emergence and its impact on the healthcare IT industry, a growing patient data volume, an increase in developing technologies, and the high demand for quick and efficient healthcare systems and processes are driving the need for HCIT market. Additionally, increased funding from governments, various initiatives are taken by the associations for the improvement of healthcare services and infrastructure, and growing investment for the development of healthcare infrastructure in developing nations are the other factors adding the growth to the market. For instance, between April 2000 and June 2015, the Indian healthcare sector received foreign investment worth USD 3.1 billion

Increasing demand for advanced healthcare services and rising adoption of artificial intelligence in the healthcare industry will boost the healthcare IT market across the forecast period. Artificial intelligence has the potential to determine disease outbreak, accelerate the new drug development process and improve overall healthcare outcome, which will propel the growth of the healthcare IT market over the forecast years. From 2005 to 2018, the social networking sites participation had more than quadrupled, and the adoption rate had gone high that showed a positive impact on the growth of the market

Currently, healthcare systems across the globe are focusing on reducing rising healthcare expenditure while providing quality care. The advent of information technology in the healthcare and life sciences industries has improved process efficiency in healthcare systems. The major share of the growth is expected to be fuelled by public sector spending, specifically by Medicare and Medicaid. Social security and Medicaid are expected to exceed government revenues. On Jan 3, 2019, Cerner has collaborated with CoverMyMeds to integrate patient-specific information into the electronic health record (EHR) for providers to review prescription pricing information with their patients at the point of care

Since the IT implementation in healthcare, the volume of data has been continuously increasing; the storage and maintenance costs of data are improved over the last few years. In addition, healthcare institutions lack skilled IT professionals to handle this massive amount of data. Hence, the increasing cost, along with a lack of skilled professionals, has compelled several institutions for opting to the maintenance and support services provided by healthcare IT players. However, issues about data integrity and safety may restrain healthcare IT market growth. Furthermore, the high cost associated with the implementation and maintenance of digital health solutions will hinder market growth in the future

Key Developments

• April 11, 2019: Royal Philips, a global leader in health technology, and Hong Duc General Hospital in Ho Chi Minh City in Vietnam announced a seven-year partnership agreement covering a comprehensive turnkey solution for high-quality general healthcare IT services


• February 1, 2019: Hawaii Health Systems Corporation (HHSC)-Kauai Region has selected Cerner to launch its integrated EHR of health care IT software solutions

Segmentation

The global healthcare IT market has been segmented on the basis of products & services, components, end users, and regions.

By-Products & Services: Radiology Information Systems (RIS), Electronic Health Record (EHR), Picture Archiving and Communication Systems (PACS), Computerized Physician Order Entry (CPOE), Vendor Neutral Archives (VNA), mHealth, Healthcare Analytics, Telehealth, Supply Chain Management, Customer Relationship Management (CRM), Fraud Management, Revenue Cycle Management, Population Health Management, Claims Management

Revenue cycle management business is accounted for significant revenue by 2026. Growing demand for health insurance, development and high preference for big data analytics will augment healthcare revenue cycle management business growth over the forthcoming years. Key industry players develop technologically upgraded software, thus increasing their preference amongst the hospitals. Telehealth industry should witness lucrative growth owing to raising awareness about the advantages associated with the implementation of telehealth services. Increasing funding for telehealth, development in telecommunication infrastructure coupled with the rising prevalence of chronic diseases will foster market growth

The services sub-segment is including both support and maintenance and professional services. The services sub-segment is holding the largest market share in 2018 and is expected to grow significantly during the forecast period

By Component: Software, Hardware, and Services

By End-user: Healthcare Providers (Hospitals, Pharmacies, Diagnostic and Imaging Centers, Ambulatory Clinical Units), Healthcare Payer (Private, Public)

Healthcare providers market is expected to account for significant revenue by 2016. Rising demand for patient care in healthcare facilities owing to increasing chronic diseases and developing healthcare infrastructure across the globe will positively influence the adoption of healthcare IT market among healthcare providers

Healthcare payer market should witness robust growth across the forecast timeframe. Increasing collaborations, investments, and engagement for the adoption of healthcare IT solutions will profoundly impact healthcare payer segment growth. With growing new technologies and substantial investment in digital health start-ups, these payers are considering the adoption of technologies that offer higher business value

By Region: North America, Europe, Asia-Pacific, Middle East & Africa, and South America

North America, being the developed region, is currently dominating the market for healthcare IT and is expected to continue to hold the significant market share for a few more years. The major factors responsible for the region's largest market share in the future are the well-established healthcare industry and good reimbursement facilities in the region. The US holds the majority of the market in the North American region due to the higher adoption of digital healthcare in the country and the rising investments done by the companies over there

The Asia Pacific market is expected to grow at the highest CAGR during the forecast period. Owing to the large patient population, especially in China and India, rising per capita income, rising awareness of advanced technologies, and increase in investments in the healthcare industry by key market players are driving the growth of the APAC healthcare IT market

The key players operating in the global healthcare IT market include Optum, Cerner, Cognizant, Change Healthcare, Philips Healthcare, Epic Systems, Dell Technologies, Allscripts, GE Healthcare, Siemens Healthcare, IBM, Athenahealth, Oracle Corporation, COnduen, Infor, Tata Consultancy Services, Wipro Limited, Conifer Health, Nuance, 3M, Inovalon, InterSystems, Leidos, Softheon, Omnicell, and Ciox Health