The medical technology industry is increasingly focused on patient safety, monitoring, engagement, and care coordination, according to a new report by Frost & Sullivan.
The business consulting firm estimates that the growth segments of the medical technology industry will see a combined incremental value of $64.1 billion in 2019, above the $413.9 billion traditional market size.
The firm forecasts the longer-term growth opportunity to be $173 billion by 2024, with a robust compound annual growth rate of 22.0 percent, compared to the traditional market, which is estimated to slow down from the current 5.8 percent CAGR to around 5.2 percent CAGR by 2024.
According to Frost & Sullivan, top medical technology companies are adopting the following strategies to tap into growth opportunities:
- Focus on smartphone-based solutions, which will offer a $2.11 billion opportunity by 2020. Technologies such as artificial intelligence, machine learning, augmented/virtual reality, Internet of Things, and big data analytics, coupled with existing smartphone tools like cameras and external sensors, are transforming smartphones into cost-effective diagnostic tools.
- Offer software-as-a-medical-device. These will become the building blocks of platforms of care aimed at solutions for diagnosis, surgery, surgical navigation, treatment planning, and disease management.
- Improve care coordination and information exchange for patients. Medical technology companies are building risk-sharing contracts that are enabled by data-sharing models to understand the role of vendor solutions in care and outcomes management as a part of the overall strategy to become partners with hospitals.
- Define the endpoints and measurement criteria to prevent disease adjacencies.
- Foster partnerships with smart home ecosystem participants to aid early diagnosis and disease management.
“Patient centricity is a major theme for the medtech industry … Patient safety, for instance, which traditionally involves areas such as surgical site infections, is now expanding the scope to cover diagnostics safety, pressure ulcers and preventing unnecessary emergency department admissions,” commented Sowmya Rajagopalan, advanced medical technologies global director at Frost & Sullivan.
“The medtech industry has been challenged by the lack of innovation in conventional segments, increasing focus on efficiencies, changing device ecosystem to digital enablers, and rising domestic competition in certain growth markets. This has resulted in a series of industry strategies broadly classified into increasing personalization, data and tech leverage, enhanced post-acute care coordination, and a focus on value-based care models,” Rajagopalan observed.
Date: June 25, 2019
Source: HIT Infrastructure