Analyst Viewpoint: Artificial Intelligence in Medicine Market
Artificial Intelligence (AI) in Medicine is in high demand due to its potential to revolutionize healthcare. There are several reasons why AI in Medicine is becoming increasingly popular. Firstly, AI can improve diagnostic accuracy and treatment outcomes by analyzing large datasets of patient information, including medical images and electronic health records, to identify patterns and make more accurate diagnoses. Secondly, AI can automate administrative tasks, such as scheduling appointments and managing patient records, freeing up healthcare professionals to focus on patient care. Thirdly, AI can accelerate drug development by analyzing vast amounts of data, including clinical trial results and genetic information, to identify new drug targets and potential drug candidates. These benefits have made AI in Medicine a highly demanding field, and we can expect to see further advancements in this technology in the years to come.
According to MVI, the Artificial Intelligence in Medicine Market size surpassed more than USD 13.8 Billion in 2022 and is expected to exhibit a CAGR of over 38.7% through 2023 - 2032. By the end of the forecast period, the market is projected to reach a valuation of around USD 128.4 Billion.
Artificial intelligence (AI) has a significant potential to transform the field of medicine by improving clinical decision-making, patient outcomes, and the overall efficiency of healthcare delivery. AI refers to the use of computer algorithms and models to simulate human intelligence and reasoning, enabling machines to learn from data, recognize patterns, and make decisions without explicit human input. One application of AI in medicine is in the field of medical imaging, where machine learning algorithms can be trained to analyze medical images such as X-rays, CT scans, and MRI scans. This can help doctors to detect diseases or abnormalities more accurately and quickly than through traditional methods.
Another area where AI is being used is in the development of personalized medicine. By analyzing large amounts of patient data, AI algorithms can identify patterns and predict which treatments will be most effective for individual patients. This can help doctors to tailor treatment plans to each patient's unique needs and improve outcomes. AI can also be used to improve patient monitoring and early detection of medical conditions. For example, wearable devices can be used to collect data on patients' vital signs, which can then be analyzed by AI algorithms to detect early warning signs of conditions.
Covid-19 Pandemic Impact on Artificial Intelligence in Medicine Market
As of March 26, 2020, the novel coronavirus had infected over 472,529 people and claimed 21,305 lives in just a few short months. The economies and healthcare systems are under enormous pressure to control the situation. COVID-19 began in December 2019 in Wuhan, China, and has since spread to nearly 160 countries in less than three months. The WHO declared COVID-19 a pandemic on March 11, 2020.Coronavirus has already wreaked havoc on global markets, causing a shortage of hand sanitizers, counterfeiting of face masks, and numerous other disruptions in supply chain channels. The sourcing, procurement, and management of necessary medical equipment inventories have been significantly impacted by disruptions in the healthcare supply chain. China is a major supplier of a wide range of healthcare commodities, including pharmaceutical APIs and medical device components. However, with China as the pandemic's epicenter, the healthcare sector is vulnerable to COVID-19.
Furthermore, Artificial Intelligence (AI) can play a crucial role in helping healthcare systems during pandemics. One significant advantage of AI is its ability to detect and track outbreaks early. By analyzing data from various sources, such as social media, news articles, and hospital records, AI algorithms can detect early signs of an outbreak and provide early warning alerts to public health officials. This can help in tracking the spread of the disease and taking prompt action to contain it.
Healthcare cost reduction is an essential goal is the prominent factor drive the market growth
Artificial intelligence (AI) can assist in addressing the urgent need to lower healthcare costs. AI algorithms can automate tasks that were previously done manually by healthcare professionals by streamlining administrative tasks. This can save time and money spent on administrative tasks like appointment scheduling, patient record-keeping, and insurance claims processing.
AI can also help healthcare providers make more informed decisions by analyzing large amounts of data. For example, AI algorithms can analyze patient data to identify trends and patterns that can help healthcare providers make more accurate diagnoses and treatment recommendations. This can help reduce the number of unnecessary tests, procedures, and hospitalizations, which can result in significant cost savings for patients and healthcare providers. Moreover, AI can improve patient outcomes by identifying and predicting potential health risks before they become severe. This can help healthcare providers intervene earlier and prevent costly complications from developing.
Therefore, the pressing need to reduce healthcare costs can be addressed by leveraging the power of AI to automate administrative tasks, make more informed decisions, and improve patient outcomes.
The North America region held over 35% share in the global artificial intelligence (AI) in medicine market in 2022. With a robust technology ecosystem, availability of high-quality healthcare data, and supportive regulatory policies, North America has created an environment that fosters innovation in artificial intelligence (AI) in medicine industry. In the field of medical imaging, AI has been widely used to improve accuracy and efficiency. In the United States, the Food and Drug Administration (FDA) has approved several AI-powered medical imaging devices, including those for detecting breast cancer, lung cancer, and diabetic retinopathy. These devices have the potential to improve patient outcomes and reduce healthcare costs.
Another area where AI has been used is in drug discovery and development. With the availability of large datasets and advanced machine learning algorithms, AI can accelerate drug development and reduce the time and costs involved. This can help bring new treatments to patients faster and at a lower cost. Moreover, AI is being used to develop personalized medicine, where treatment plans are tailored to individual patients' needs. AI algorithms can analyze vast amounts of patient data, including genetic information, medical history, and lifestyle factors, to identify the most effective treatment for each patient.
Key Development (Product Launched/Expansion/Merger & Acquisition/Partnership):
- In December 2022, Amazon Web Services, Inc. has announced a Strategic Cooperation Agreement (SCA) with Slalom, LLC to create vertical solutions and accelerators on AWS for their customers in healthcare, life sciences, finance, energy, and media and entertainment.
- In September 2019, Novartis and Microsoft announced a multiyear partnership to transform how medicines are discovered, developed, and commercialized by leveraging data and Artificial Intelligence (AI). Novartis is also establishing an AI Innovation Lab to enable associates to use AI throughout the company.
Top companies in the global artificial intelligence in medicine market are:
- Bay Labs, Inc
- CloudMedx Inc.
- Koninklijke Philips
- General Vision
- Next IT Corp.
- Nvidia Corporation
- Google LLC
- IBM Corporation
- Siemens Healthcare GmbH
In-depth analysis of artificial intelligence in medicine market along with industry coverage and forecasting for the following segments:
Market Value, By Component
Market Value, By Technology
- Speech Recognition
- Querying Method
- Decision Management
- Natural Language Processing
- Context Aware Processing
Market Value, By Application
- Administrative Workflow Assistance
- Robot Assisted Surgery
- Virtual Nursing Assistants
- Connected Machines
- Clinical Trial
- Fraud Detection
- Preliminary Diagnosis
Market Value, By Region
- North America
- Asia Pacific
- Middle East and Africa
- Latin America