Global Medical Electronics Market Size, Share, Growth Analysis, By Application(Therapeutics and Diagnostics), By End User(Hospitals, Homecare) - Industry Forecast 2023-2030

Global Medical Electronics Market size was valued at USD 6.3 billion in 2021 and is poised to grow from USD 6.7 billion in 2022 to USD 11.5 billion by 2030, growing at a CAGR of 6.9% in the forecast period (2023-2030)

The global medical electronics market is primarily propelled by the increasing prevalence of chronic diseases and the growing aging population worldwide. Conditions like diabetes, cancer, cardiovascular diseases, and COPD drive the demand for medical devices. The aging population, being more susceptible to chronic illnesses, fuels the need for diagnostics and therapeutic medical electronic devices, including CT scanners, ultrasound machines, patient monitoring systems, pacemakers, and respiratory care devices. The rising number of ICU patients, where ventilators are crucial, also contributes to market growth.

Medical electronic devices, particularly patient monitors and diagnostic tools, witness high adoption in minimally invasive surgeries. These surgeries offer safety, comfort, and cost-effectiveness, leading to their widespread adoption and increasing demand for medical electronic devices. Strict regulations imposed on manufacturers ensure the quality and technological advancement of medical devices, further boosting their acceptance in surgical procedures and expanding the market.

Technological advancements play a vital role in driving market expansion, as major players focus on incorporating advanced technologies for precise diagnosis and treatment. However, the market's growth may be hindered by stringent regulations and trade policies associated with medical electronic devices. Despite this, the market is expected to witness significant growth during the forecast period, driven by increasing demand and continuous technological innovations.

Segments covered in this report:

Global medical electronics market is segmented on the basis of application, end user and region. On the basis of application, global market is segmented into, therapeutics and diagnostics. On the basis of end user, global market is segmented into, hospitals, homecare and clinics. On the basis of region, global market is divided into North America, Europe, Asia Pacific Latin America, and MEA.

Driver

The global medical electronics market is experiencing a surge in demand driven by the growing need for healthcare automation and digitalization. Hospitals worldwide are automating routine tasks such as admission processes, emergency room operations, and drug supply to meet increasing patient demands. Electronic devices are extensively utilized in treating non-communicable diseases (NCDs), while the rising use of imaging devices for screening, therapy, and treatment is further boosting market demand.

The market is also witnessing accelerated growth due to increased clinical trials of medical devices, leading to the development of new products. The growing digitization in healthcare is improving laboratory productivity and facilitating better integration of diagnostic test data into clinical decision-making processes. Medical electronics systems play a significant role in pharmaceutical and biotechnology companies, enabling cell and gene analysis, drug development, and DNA structural analysis. Companies are actively developing algorithms to extract and analyze data, further contributing to market expansion. These factors collectively drive the growth of the medical electronics market.

Restraint

The global medical electronics market is facing challenges related to a shortage of healthcare chipsets and a lack of expert knowledge. Currently, the industry is experiencing a chip shortage, with the medical technology sector providing only 1% of the total chip supply, leading to production delays for medical electronics manufacturers. Additionally, there is a shortage of skilled professionals with the expertise to handle medical electronic systems and equipment effectively.

To conduct essential diagnostics and clinical tests, technicians must receive proper training to understand new features and technologies. However, many healthcare professionals lack the necessary skills to use medical electronic devices accurately and efficiently. These factors are expected to hinder the market's expansion during the forecast period. The scarcity of healthcare chipsets and the need for skilled expertise may pose significant challenges to the growth of the medical electronics market..

Market Trends

Innovations in medical electronics are a prominent trend driving the market. Leading players in the industry are continuously introducing new and advanced products to enhance their market position. As an example, in November 2021, the FDA's Centre for Devices and Radiological Health (CDRH), responsible for premarket approval of medical devices in the United States, launched activities to support medical device innovators and increase patient access to innovative medical devices developed by small businesses and start-ups. This initiative is carried out through its Small Business Innovation Research (SBIR) grant program, which encourages domestic small businesses to engage in research and development with the potential for product commercialization.

Moreover, CDRH collaborates with various innovation organizations and accelerators to support early-stage entrepreneurs in developing medical devices. These efforts are driving the pace of innovation and fostering the creation of cutting-edge medical electronic devices that can significantly benefit healthcare systems and patients. This focus on continuous advancements and collaboration between industry players and regulatory bodies is expected to have a significant impact on the growth and expansion of the medical electronics market.