Connected Healthcare Market Size

Connected Healthcare Market Size Snapshot

Note – Market size depicts the revenue generated over the financial year

The Connected Health Market is poised for significant growth, with a market size of $ 0 billion in 2025, and is anticipated to reach $ 1,200 billion by 2034, registering a CAGR of 30.32% over the forecast period. This growth is mainly driven by the rising demand for remote patient monitoring, telemedicine services, and integrated healthcare solutions to improve patient outcomes and operational efficiency. The major factors that are anticipated to fuel this growth include advancements in IoT, the proliferation of wearable devices, and the rising emphasis on individualized medicine. The real-time data collection and analysis offered by these technological trends have helped healthcare organizations to deliver more proactive and individualized care. In order to capitalize on these opportunities, the key players in the market, such as Philips, Medtronic, and IBM Watson Health, are continuously investing in the development of new products and services and entering into strategic collaborations. The collaboration between technology companies and healthcare organizations to develop integrated platforms that help to improve patient management and care delivery is expected to further boost the growth of the market.

Regional Market Size

Regional Deep Dive

The Connected Health Market is growing rapidly across different regions, driven by technological advancements, the rising demand for remote patient monitoring and the shift towards value-based care. In North America, the market is characterized by a high uptake of digital health solutions, a strong healthcare system, and a favorable regulatory framework. In Europe, telehealth services and digital therapeutics are experiencing significant growth, influenced by the European Union’s initiatives to integrate digital health across Europe. In the Asia-Pacific region, the market is rapidly developing, driven by the rising penetration of smartphones and wearable devices. Middle East and Africa are seeing a rise in investment in health technology, while Latin America is gradually adopting connected health solutions, driven by a need to increase access to care and improve the efficiency of care delivery.

North America

• The United States government has enacted the 21st Century Cures Act, which encourages the use of health information technology and interoperability, and which has a considerable effect on the implementation of connected health care solutions.
• Major companies such as Teladoc Health and Amwell are expanding their telehealth services in response to the increased demand for virtual care solutions after COV-19.
• AI and data analysis in health care are transforming patient care. IBM's Watson Health is at the forefront of bringing AI to clinical care.

Europe

• The Commission’s Digital Health Action Plan aims to promote the use of digital health across the member states, and to encourage collaboration and innovation in the field of connected health.
• Germany and France are investing heavily in the digital health of their citizens. In France, the Ma Santé 2022 program promotes the digitalization of health care.
• Digital medicines are increasingly being licensed by the European Medicines Agency (EMA). They offer the prospect of new treatments that take advantage of the advantages of digital health.

Asia-Pacific

• In China, the National Health and Family Planning Commission has launched a number of policies to promote telemedicine and digital health, which have greatly increased the popularity of such systems in both urban and rural areas.
• The number of health-related mobile applications has been increasing in India, with Practo and mfine leading the way in making medical care accessible to the masses.
• The Australian government is investing in a digital health program, which includes the My Health Record system. This system is intended to improve the access to patient data and to facilitate its exchange between health care institutions.

MEA

• Health Data Law, a new law under the Ministry of Health and Prevention, aims to enhance the use of digital health tools and improve the management of patient data.
• Vision 2030 is investing heavily in telehealth and connected medical equipment.
• The tele-health platform, Vezeeta, has become popular in this region.

Latin America

• The Ministry of Health is promoting telemedicine projects to improve access to care in remote areas. This will have a significant impact on the connected health environment.
• IT has been able to make it possible to offer cheap medical services, and to drive the adoption of connected health.
• The COVID pandemic has accelerated the acceptance of telemedicine in Latin America. Many countries are now introducing laws that favour virtual medicine.

Did You Know?

“In 2023, more than 70% of U.S. hospitals have adopted telemedicine, a sharp increase from 18% before the pandemic.” — American Medical Association

Segmental Market Size

During the last decade, the global market for connected health has grown steadily, mainly due to the increased demand for remote patient monitoring and telehealth services. This market plays a key role in enhancing patient engagement and improving health outcomes, especially after the CoViD pandemic which has accelerated the adoption of digital health solutions. The rise in chronic conditions requiring continuous monitoring and the increased support for telehealth initiatives, such as the development of reimbursement policies in different regions, are the main drivers of the market.

This stage is now at a transition from pilots to large-scale implementation, and is spearheaded by the likes of Teladoc and Amwell in the United States. The most important applications are the remote monitoring of diabetes and the use of telemedicine for mental health. The trend towards value-based care and the use of artificial intelligence in diagnostics will further drive this growth. The market for health sensors and cloud-based health information systems will play an increasingly important role in this evolution, making it easier to exchange data and improving the patient-doctor relationship.

Future Outlook

The connected health market will grow at a remarkable pace between 2025 and 2034, from $11 billion to $1.2 billion, at a strong compound annual growth rate (CAGR) of 30.32%. This growth will be driven by the growing use of telehealth services, remote patient monitoring and the integration of the Internet of Things (IoT) into the healthcare system. In 2034, it is expected that more than 70% of health care institutions will be using connected health solutions, significantly improving patient engagement and care delivery efficiency.

Artificial intelligence and machine learning will play a crucial role in optimising the operation of the health care system and in personalising the care of the patient. Moreover, the implementation of favourable government policies and regulatory frameworks will accelerate the penetration of digital health. Emerging trends such as the increasing popularity of wearables and the growing emphasis on preventive care will also contribute to the market’s growth. The Connected Health Market is destined to revolutionise the way health care systems operate in the coming decade.