Medical Electronics Market Size, Share and Growth Analysis

Updated on : October 22, 2024

Medical Electronics Market Size & Growth

The global medical electronics market size is expected to be valued at USD 11.1 billion in 2024 and is projected to reach USD 15.7 billion by 2029, growing at a CAGR of 7.2% during the forecast period from 2024 to 2029.

In the global medical electronics market, key drivers include The rise in healthcare expenditures, which is fueling the growth of the medical electronics market. Furthermore, the increasing popularity of telemedicine offers a significant opportunity to boost the demand for telehealth and remote monitoring devices. Nonetheless, the market is encountering challenges from cybersecurity threats due to heightened connectivity, which poses risks to sensitive medical information and equipment.

Medical Electronics Market Forecast to 2029

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Medical Electronics Market Trends and Dynamics:

Driver: Booming automotive sector to fuel market growth

The average life expectancy has been increasing worldwide for decades. The UN estimates that in 2018 it was 71 years, and by 2023, this number has risen to 73.3 years. In some countries such as Japan, Germany, or Denmark, where more than 15% of the population belongs to elderly people (those aged 60 years or more), there are even higher proportions of such individuals – in Japan alone, they account for over 30%. According to the UN’s predictions, there were about 610 million seniors (aged 65+) globally, or 8 percent of the total population back in 2015; however, these figures are expected to reach 1.2 billion (14 percent) by 2030 and could grow further to 1.8 billion around 2060 (18%). Such growth in the elderly population is expected to propel the growth of medical devices and equipment and positively the development of the medical electronics market.

Restraint: High cost of developing medical devices

The high cost of developing medical devices can pose a barrier to the growth of the medical electronics market up to a certain extent. The research and development process, such as conceptualization, prototyping, testing, and regulatory compliance, requires a large amount of financial investments. Furthermore, specialized equipment, a skilled workforce, and adherence to stringent regulatory standards are necessary elements in the development of medical devices. Small-scale companies have limited financial resources, and owing to this lack of resources, the growth of the medical electronics market could be potentially hampered.

Opportunity: Increasing adoption of telemedicine and remote patient monitoring

The growth in telemedicine adoption is expected to boost the development of the medical electronics market. Telehealth consultation and remote patient monitoring require IoT-based and technologically advanced medical devices. Companies are focusing on developing such devices for enhanced accuracy and connectivity in reading patients' vitals. The increasing trend of telemedicine helps to manage several chronic diseases and improve healthcare services in urban and rural areas of multiple nations across the globe. This trend is expected to create a need for advanced medical devices and significantly propel the medical electronics market.

Challenge: Threat of cyber attacks in advanced medical devices

Health-based technology is facing a critical problem regarding hackers and other cyber threats. This is because these machines and gadgets have become part of a web system that uses digital platforms. Unauthorized people may view patients' personal information and shut down critical medical procedures, among other significant threats. Patient privacy and lives are endangered due to potential tampering with the settings of such devices. Healthcare currently depends too much on old IT systems, which usually do not have strong enough security defenses that could worsen these weak points. Much must be done to ensure medical devices are safe from hacking.

Medical Electronics Market Ecosystem

The medical electronics market is dominated by established and financially sound manufacturers with extensive experience in the industry. These companies have diversified product portfolios, cutting-edge technologies, and strong global sales and marketing networks. Leading players in the market include Analog Devices, Inc. (US), TE Connectivity (Switzerland), Texas Instruments Incorporated (US), STMicroelectronics (Switzerland), and NXP Semiconductors (Netherlands), among others.

Medical Electronics Market Segmentation

The sensors segment in the medical electronics market is anticipated to grow with the highest CAGR

Based on the component, the sensors segment is expected to grow with the highest growth rate over the forecast period. Advanced medical devices are highly dependent on medical sensors such as temperature, pressure, blood glucose, blood oxygen, ECG, image, motion, heart rate, and flow sensors, among others. These sensors are deployed in various medical devices and equipment to perform their function and provide the output on these devices. Furthermore, the advancements in sensors, including MEMS-based sensors, are expected to fuel their adoption in the healthcare vertical. The growth of the sensor segment is fuelled by these factors, which complement the revenue growth of the medical electronics market.

The patient monitoring device to dominate the medical electronics market over the forecast period

There is a need to constantly monitor patients' vital signs to detect and record changes in patient well-being and fuel the growth of patient monitoring devices. These devices include Blood Glucose Monitors, Cardiac Monitors, Hemodynamic Monitors, Respiratory Monitors, Multi-parameter Monitoring Devices, Neuromonitoring Devices, and Digital Thermometers. These devices are most commonly used across multiple medical facilities and in-home healthcare settings. Growing demand for these devices is expected to fuel the growth of the medical electronics market soon. Moreover, the rising prevalence of chronic diseases is boosting the demand for patient monitoring devices. Thus, it is positively influencing the medical growth of the electronics market.

The non-invasive procedures hold largest share in the medical electronics market

The medical electronics market's non-invasive procedures segment dominates over the forecast period. Compared to invasive procedures, non-invasive procedures have multiple benefits, including lower complications in critical surgeries, a shorter time of recovery, and better patient comfort. Furthermore, healthcare professionals anticipate practicing non-invasive medical procedures to achieve a sophisticated level of diagnostic and therapeutic medical methods and devices used during the practice. Non-invasive equipment or devices include blood glucose monitors, wearable health monitors, and imaging systems such as MRI, CT, and ultrasound scanners. These factors are increasing investments in non-invasive medical devices and fostering the revenue growth of this segment in the medical electronics market.

Medical Electronics Industry Regional Analysis

North America region in medical electronics market to dominate the market growth

The North American region holds the largest share of the medical electronics industry, owing to the high healthcare expenditure coupled with robust growth in medical infrastructure. The US accounts for the most significant healthcare spending country in the world. Also, countries such as Canada and Mexico are witnessing substantial increases in the healthcare industry. Both public and private organizations are investing in the advancement of medical facilities. In addition, the presence of major manufacturers of medical devices and services across the region boosts the economic development of the medical electronics market in North America.

Medical Electronics Market by Region

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Top Medical Electronics Companies - Key Market Players

 The medical electronics companies is dominated by players such as

• Analog Devices, Inc. (US),
• TE Connectivity (Switzerland), 
• Texas Instruments Incorporated (US), 
• STMicroelectronics (Switzerland),
• NXP Semiconductors (Netherlands).

Medical Electronics Market Report Scope

Medical Electronics Market Highlights

The study categorizes the medical electronics market based on the following segments:

Recent Developments in Medical Electronics Industry

• In February 2024, Analog Devices, Inc. (ADI) partnered with Taiwan Semiconductor Manufacturing Company (TSMC) through its subsidiary Japan Advanced Semiconductor Manufacturing, Inc. to secure long-term wafer capacity for advanced technology nodes, strengthening ADI's hybrid manufacturing network and enhancing its ability to meet customer demands. This collaboration aims to help ADI secure a reliable supply of advanced technology nodes, enhancing its ability to meet the high precision and performance requirements of the medical electronics market, thereby supporting innovations in medical devices and healthcare solutions.
• In November 2023, STMicroelectronics and DuPont collaborated to develop the DuPont Liveo Smart Biosensing Patch prototype, a smart wearable device for remote biosignal monitoring. This innovative patch integrates ST's multifunctional microsensors and control electronics into DuPont's flexible design to enhance patient-centric healthcare solutions and outcomes. This collaboration enhanced STMicroelectronics' medical electronics offerings by integrating their advanced microsensors and control electronics into DuPont's flexible patch design, enabling precise and reliable remote biosignal monitoring.
• In June 2023, care.ai partnered with SAMSUNG to integrate its AI-powered patient monitoring platform into SAMSUNG's healthcare grade displays, aiming to create smarter, more responsive care environments in hospitals and care facilities. This collaboration enabled SAMSUNG to expand its presence in the medical electronics market by offering high-fidelity virtual visits and smart care automation through integrating care.ai's innovative technology with SAMSUNG DISPLAYS.
• In May 2023, Infineon Technologies AG (Germany) acquired the Stockholm-based startup Imagimob AB, a leading platform provider for machine learning solutions for edge devices. This enhances its AI capabilities, augmenting pressure sensor offerings with advanced machine learning for predictive maintenance and optimized performance, enabling tailored and adaptive functionalities for specific applications and environments.
• In January 2023, SAMSUNG developed the world's first touch-integrated OLED display and started using touch-integrated panels in place of plastic touch film. It has developed OCTA (On-Cell Touch AMOLED) technology, which integrates the touch sensor directly into the panel, eliminating the need for separate touchscreen panels.

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