The medical mlectronics market is set to grow from its current market value of more than $73.3 billion to over $169 billion by 2025; as reported in the latest study by Global Market Insights, Inc.
The availability of medical equipment and devices on lease will escalate their demand among healthcare professionals, thereby positively influencing the industry growth. Most of the medical electronics available in market are expensive due to integration of advanced technology. Hospitals, diagnostic centers, and individual medical practitioners are reluctant to buy them due the huge investment required, and it takes good amount of time to recover the cost. The direct purchase cost of technologically advanced medical devices is high, and the cost of entire healthcare setup can rise steeply.
Increasing adoption of technologically advanced medical electronic devices in emerging economies such as India and China will significantly boost the industry growth during the analysis period. Although medical electronic devices are expensive, several government initiatives and favorable FDI policies will trigger the adoption of these devices among the healthcare professionals. However, stringent regulations enforced on the companies involved in manufacturing of medical electronic devices will restrain the industry growth in coming years.
The respiratory care devices segment was valued over US $6 billion in 2018 and is expected to see considerable revenue growth during the forecast timeframe. Growth can be attributed to the increasing prevalence of respiratory diseases such as COPD and asthma. According to Global Asthma Network, asthma kills around 1000 people every day globally, driving the demand for respiratory care devices and thereby propelling segmental growth in foreseeable future.
The clinics segment will experience 13.2 percent growth during the forecast timeframe. Considerable segmental growth will result from a high adoption rate for medical electronic equipment due to the advent of innovative and cost-effective devices. For instance, ultrasound equipment typically designed for hospitals are now being deployed at clinics. Portable ultrasound machines cost less than full-sized equipment. Cost-containment pressure from regulatory authorities is driving innovation aimed at introducing cost effective devices with improved performance, which, in turn, will boost the segment growth.
The medical electronics market in China witnessed a 13.4 percent growth during the analysis period and is anticipated to grow exponentially over the forecast timeframe. A growing geriatric population is expected to drive the growth. According to China News Service, by the end of 2017, there were around 241 million people in the age group of 60 years and above. The majority of the elderly population base suffers from chronic ailments, raising the demand for medical electronics accelerating the industry growth.
The medical electronics market in Germany accounted for 27.6 percent of the revenue share of European market. Technological integrations by the local players operational in medical electronics market have ensured its country share. Additionally, German regulations raise entry barriers for new industry players to establish themselves further benefiting local companies in earning sustainable profits.
Key industry players in medical electronics industry include Allengers Medical, Boston Scientific, Carestream Health, FUJIFILM Medical Systems, GE Healthcare, Hitachi High Technologies, Corporation Maxim Integrated, Medtronic, Olympus Corp., Philips Healthcare, and others. These companies implement strategic initiatives that include collaborations, new product launches, and mergers and acquisitions to acquire potential market share.