Anatomic Pathology Market - Regional Analysis
North America Market Insights
North America industry is predicted to account for the largest share of 43% by 2037, owing to well-developed healthcare facilities in the region. This growth is mainly due to the rising number of cancer cases and the use of digital pathology. Innovative trends like AI in diagnoses and funding support from Medicare rises the market share. Emerging partnerships between tech firms and healthcare providers are further accelerating innovation in precision diagnostics.
In 2024, the U.S. market for anatomic pathology has seen a drastic rise, as a result of Medicare's increased reimbursement has driven to USD 5.4 billion towards AI diagnostics. Based on the CDC data, there are 2.2 million new cases of cancer reported annually, which causes a 12.2% increase in the use of digital pathology. Private-sector investments in AI-powered pathology platforms are also contributing to faster and more accurate cancer detection.
Similarly, provincial investments in telepathology has shaped the Canada market with Ontario allocating 320.2 million for rural lab digitization. Health Canada has set aside USD 452 million for pathology automation as part of its USD 3.3 billion healthcare AI fund. This push for local reagent production is due to a 7.3% yearly rise in cancer diagnostics, according to PHAC. Workforce shortages in remote regions are being addressed by the government initiatives in focusing on the training pathologist.
Europe Market Insights
Europe is the fastest growing region in anatomic pathology market and expected to have a market share 28.3% and CAGR 5.9% in 2037. With new EU rules on digital pathology and more cancer reports are coming in, the market in Europe is set to grow by 6% each year, hitting €29 billion by 2037. Also, AI diagnostics got a boost of €2.6 billion from the regional Health Data Space initiative, making it easier to adopt these technologies in France and Germany. Cross-border collaborations are further enhancing standardization and data sharing among EU member states.
In 2024, Germany has nearly spent €4.2 billion primarily on universal biomarker testing. In 2023, pathology funding for the NHS telepathology for rural diagnostics in the UK increased to 8.1% of the healthcare budget. According to BMG, Germany's investment in universal biomarker testing is driving a 13.1% annual growth in precision diagnostics adoption across its hospital networks. Also, in order to improve the diagnostic accuracy, the country is also focusing on AI-integrated pathology workflows.
Furthermore, France is spending 7.1% of its budget on automated staining systems. According to HAS report in 2024, France also focuses on automated staining systems that has reduced lab processing times by 40.2% in major cancer centers, with plans to equip 100% of public hospitals by 2026. Italy and Spain are lagging behind because of reimbursement problems, but approvals are moving more quickly thanks to the EMA's IVDR compliance. The nation aims to become a European hub for AI-driven pathology innovation.
