- Healthcare data analytics will continue to present lucrative opportunities for vendors of cutting-edge software, services, and devices, according to a new series of market reports.
The healthcare industry’s appetite for the Internet of Things (IoT), big data analytics tools, and cognitive computing capabilities will grow at rapid rates over the next decade or so as providers work to equip themselves with infrastructure that will help them succeed with value-based care.
Big data in healthcare sector generated $3.75 billion in revenue during 2014
Big data analytics will continue to be a lucrative investment opportunity as the market experiences a rapid 22.07 percent compound annual growth rate (CAGR) until 2022, says Market Research Future.
Descriptive, predictive, and prescriptive analytics tools will all be in high demand as providers seek new strategies for reducing costs, improving utilization rates, and boosting patient outcomes.
Security will be a top concern for healthcare organizations that wish to avoid negative headlines after a data breach or ransomware attack. Analytics tools that help to detect potential threats and ensure the security of protected health information (PHI) will be a focus for hospitals and ambulatory care providers.
Global spending on clinical analytics to reach $36.6 billion by 2025
Investment in clinical analytics software, services, hardware, and outsourcing expertise will thrive over the next eight years, says Research and Markets, driven by spending in the hospital, payer, and ambulatory environments.
Projected to expand at a 13.1 percent CAGR, the clinical analytics market will bring payers and providers closer into alignment as they invest together in pay-for-performance reimbursement contracts and deliver models.
Leading companies in the space include Allscripts, Cerner, IBM, Oracle, SAS, Inovalon, McKesson, Optum, and Verisk Analytics.
Internet of Things market to become a $135.87 billion juggernaut
Wearable devices, mHealth apps, home monitoring equipment, and a new generation of sensors that can be implanted, swallowed, or worn on the skin are predicted to be wildly popular with patients and providers the world over, according to Research and Markets.
The global Internet of Things in healthcare market was worth $20.15 billion in 2015, but is slated to expand at a 21.2 percent CAGR to reach more than $135 billion by 2025.
North America’s swiftly growing chronic disease population has sparked a high level of growth in the regional marketplace, with Europe close behind.
Top providers of Internet of Things software and services include Microsoft, IBM Watson Health, GE, Medtronic, Verily Life Sciences (Alphabet-Google), and Siemen Healthcare.
These companies will offer patient monitoring tools, clinical workflow products, fitness and wellness solutions, and medication management applications that will aim to improve adherence to chronic disease management programs and improve patients’ overall health.
Behavioral health software market slated for 14 percent CAGR
As providers seek to address the holistic concerns of patients in an effort to reduce spending and forestall the development of chronic diseases, behavioral healthcare is likely to become more closely integrated into the traditional medical care continuum.
Providers are responding to this trend by purchasing behavioral health software options that integrate with or supplement their existing electronic health record (EHR) infrastructure. The adoption of integrated software offerings will outpace purchases of stand-alone products, the report predicts.
Top EHR vendors, including Epic Systems, Cerner Corporation, NextGen, and Allscripts will join more narrowly-focused health IT vendors in providing the documentation and patient management tools required to bring mental and behavioral healthcare into the primary care ecosystem.
A steady 14 percent CAGR is likely until 2022, says the report, driven in part by the need for regular maintenance and updates to behavioral health software systems.
Interest in artificial intelligence sparks race for cognitive computing systems
A consolidated market, wherein the top five companies hold 79 percent of the market share, awaits consumers looking for artificial intelligence, machine learning, and cognitive computing tools.
Machine learning has exploded onto the healthcare scene in the past few years, quickly reaching a nearly $10 billion valuation by 2016, says Transparency Market Research.
By 2025, a 23.5 percent CAGR will result in a $60.06 billion opportunity for vendors that manage to break into a highly competitive environment.
IBM, SAP, Google, Microsoft, and Oracle currently have a firm grip on the market, offering cognitive systems, content analytics and discovery software to providers looking for innovative ways to predict risks and support clinical decision-making.
Advances in natural language processing, voice-driven engagement, and social media analytics are also making it more attractive for providers to invest in machine learning tools, the report says. Both on premise and cloud-based “machine learning as a service” offerings will continue to be in high demand for the foreseeable future.