U.S. Digital Health Market Size, Share, Industry Analysis, Trends, Growth, 2032

U.S Digital Health Industry Prospective:

The US digital health market size was evaluated at $82 billion in 2023 and is slated to hit $277 billion by the end of 2032 with a CAGR of nearly 13% between 2024 and 2032.

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U.S Digital Health Market: Overview

Digital health includes a slew of systems aimed at improving healthcare along with making medicine personalized. Moreover, digital health includes wearable equipment, mobile health devices, telemedicine, health information technology solutions, and telehealth services. These systems assist service providers and patients by providing access to effective healthcare tools and assist healthcare professionals in making informed decisions related to the health of patients.

Key Insights

• As per the analysis shared by our research analyst, the U.S digital health market is projected to expand annually at the annual growth rate of around 13% over the forecast timespan (2024-2032)
• In terms of revenue, the U.S. digital health market size was evaluated at nearly $82 billion in 2023 and is expected to reach $277 billion by 2032.
• The U.S. digital health market is anticipated to grow rapidly over the forecast timeline owing to a surge in the acceptance of telemedicine by both patient and healthcare service providers.
• In terms of technology, the tele-healthcare segment is slated to register the fastest CAGR over the forecast period.
• Based on component, the software segment is predicted to dominate the segmental space in the U.S. in the upcoming years.
• On the basis of application, the diabetes segment is likely to register the fastest growth rate over the forecast timeline.
• Based on end-user, the healthcare customer segment is predicted to lead the segmental sphere in the U.S. in the ensuing years.

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 U.S. Digital Health Market: Growth Factors

A paradigm shift in the world of technology to prop up the market expansion over the forecast period

Technological breakthroughs such as innovations in AI and data analytics are likely to shape the growth of the U.S. digital health market. A surge in the acceptance of telemedicine by both patients and healthcare service providers will spur the expansion of the market in the U.S. Apart from this, an increase in the occurrence of chronic disorders is predicted to embellish the growth of the market in the country. Furthermore, escalating customer awareness about the benefits of digital health systems along with a focus on reducing healthcare prices is predicted to spur the expansion of the market in the U.S. Massive requirement of enhancing end-user experience along with the need for soothing patient experience is anticipated to amplify the market growth in the country.

U.S. Digital Health Market: Restraints

An increment in the data privacy concerns to halt the expansion of the industry in the U.S.

A surge in security issues and data privacy concerns can obstruct the growth of the U.S. digital health industry. Moreover, fluctuations in reimbursement policies and altering payment models can further restrain the scope of growth of the industry in the U.S.

U.S. Digital Health Market: Opportunities

AI innovations are likely to open new growth avenues for the market in the U.S.

Swift expansion of wearable systems and breakthroughs in AI is expected to open new avenues of growth for the U.S. digital health market. In addition to this, a rise in patient engagement and the need for developing apps & tools for patient empowerment will embellish the market growth trends in the U.S. An increment in the digital health solutions targeting mental health issues through virtual counseling, healthcare therapy apps, and tracking of moods of individuals will steer the growth of the market in the U.S.

U.S. Digital Health Market: Challenges

Rising prices of new systems and surging web costs can challenge the industry growth in the U.S.

Lack of standard & uniform laws governing the use of digital health devices in various states of the U.S. can lead to data leaks, thereby posing a huge challenge to the growth of the U.S. digital health industry. Moreover, growing costs of new technologies, a rise in internet costs, and less access to digital health systems in remote areas in the U.S. can challenge the growth of the industry in the country.

U.S. Digital Health Market: Segmentation

The U.S. digital health market is divided into technology, component, application, end-user, and region.                                          

In terms of technology, the U.S. digital health market is divided into mHealth, tele-healthcare, healthcare analytics, and digital health systems segments. Furthermore, the tele-healthcare segment, which accumulated approximately two-thirds of the market share in 2023, is forecast to register the fastest cumulative annual growth rate during the analysis period owing to the rise in the investments made by key players in tele-healthcare tools. Additionally, firms are accepting digital healthcare tools for offering remote healthcare services to patients with chronic ailments.

Based on the component, the U.S. digital health industry is segregated into accepting software, services, and hardware segments. Additionally, the software segment, which accrued about 46% of the industry size in 2023, is set to lead the segmental sphere in the U.S. in the upcoming years and this can be due to a rise in the up-gradation of software. Furthermore, a rise in software development activities is likely to boost the growth of online healthcare services, thereby driving the segmental surge.

In terms of application, the U.S. digital health market is segmented into obesity and diabetes segments. Furthermore, the diabetes segment, which gathered nearly 40% of the market proceeds in 2023, is likely to register the fastest cumulative annual growth rate during the expected timeline owing to a surge in the occurrence of diabetes in the geriatric population across various states of the U.S.

Based on the end-user, the U.S. digital health industry is divided into healthcare service providers, healthcare customers, and payers segments. Additionally, the healthcare customers segment, which accrued about 52% of the industry revenue in 2023, is set to lead the segmental space in the U.S. in the ensuing years and this can be owing to an immense increment in the use of digital health systems by the customers in the U.S.

U.S. Digital Health Market: Report Scope

Key Developments

• In the last quarter of 2023, Google, Inc. introduced MedLM, a healthcare generative AI tool used for promoting digital systems in the healthcare sector.
• In the second half of 2023, Enovacom, a division of Orange Business, purchased Xperis as well as NEHS Digital along with reinforcing the e-health portfolio.
• In the first half of 2023, Apple Fitness, a subsidiary of Apple, Inc., launched a whole-body cardio workout, a new type of kickboxing workout, thereby boosting the growth of the digital health business in the U.S.

U.S Digital Health Market: Competitive Space

The U.S. digital health market profiles key players such as:

• Greenway Health LLC
• McKesson Corp.
• Apple Inc.
• IBM Corp.
• AT&T
• Airstrip Technologies
• Google Inc.
• Orange
• Allscripts
• Softserve
• Samsung Electronics Co. Ltd.
• Telefonica S.A.
• Siemens Healthcare GmbH
• Qualcomm Technologies Inc.
• Vodafone Group
• Cerner Corp.
• Epic Systems Corp.
• CureMD Healthcare
• HIMS
• Computer Programs and Systems Inc.
• NextGen Healthcare Inc.
• Vocera Communications
• Cisco Systems Inc.

The U.S. digital health market is segmented as follows:

By Technology

• mHealth
• Tele-healthcare
• Healthcare Analytics
• Digital Health Systems

By Component

• Software
• Services
•  Hardware

By Application

• Obesity
•  Diabetes

By End-User

• Healthcare Service Providers
• Healthcare Customers
• Payers

By Region

The U.S.

• Northeast
• Midwest
• South
• West