Global Artificial Intelligence (AI) in Healthcare Market Trends, Forecast Report 2025-2037
Artificial Intelligence in Healthcare Market size is anticipated to expand from USD 49.71 billion to USD 6.64 trillion, exhibiting a CAGR of around 45.3% throughout the forecast period, from 2025 to 2037. In the year 2025, the industry size of artificial intelligence in healthcare is evaluated at USD 67.8 billion.
The market growth can be ascribed to spiking number of elderly people with the need for assisted living facilities, the rising influx of large and complex healthcare data across the world, and increasing technological advancements in human-aware AI systems. National Library of Medicine published data showing that nearly 1.5 million geriatrics live in nursing homes while around 1 million spend their lives in assisted living facilities.
Growing healthcare expenditure and skyrocketing spending on artificial intelligence will boost the market growth. As of 2021, AI funding across the globe was estimated to be nearly USD 18 billion which was a significant increase from about USD 650 million in 2011. Moreover, government of every nation is more active to develop the healthcare infrastructure of their countries. According to statistics released by the World Bank, the healthcare expenditure was stated to be USD 1,121.9 per capita.
Artificial Intelligence (AI) in Healthcare Sector: Growth Drivers and Challenges
Growth Drivers
- Significant Decrement in the Number of Physicians- For instance, the USA faced a shortage of physicians between 35,000 and 100,000 in recent decades.The world is projected to face a shortage of physicians and doctors owing to the constant growth in the population. Hence, AI becomes the next step to fill this gap by providing the requisite medical services to the people. Certain applications such as end-to-end drug discovery, diagnosis, consulting, storing, and transcribing medical documents can be initiated with the adoption of AI in healthcare.
- Rising Prevalence of Neurological Disorders- As of 2019, around 500,000 deaths were caused by neurological conditions in the USA, out of which, 200,000 of them were men and 300,000 were women.
- Increasing Geriatric Population across the Globe- Based on the report provided by the World Bank, the global geriatric population reached 747,238,580 in 2021.
- Skyrocketing Utilization of AI in Pharmaceuticals- As of 2020, more than 58% of respondents from the healthcare and pharmaceutical industry stated to AI is very helpful to enhance the quality of medical services.
- The Increasing Healthcare Data and Growing Complexities - As per the estimations, over 28% of the world’s data is being generated by the healthcare industry.
Challenges
- Concerns Regarding Data Privacy the increasing adoption of AI in every sector is owing to data privacy concerns. Patient health data is protected by federal laws in many countries. All the AI platforms are regulated by governments and regulatory authorities. Some vendor centers are not secure to avoid data breaches which is a major challenge for market growth.
- Lack of Skilled Workforce to Develop AI
- Requirement for Higher Initial Investment
AI in Healthcare Market: Key Insights
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Base Year |
2024 |
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Forecast Year |
2025-2037 |
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CAGR |
45.3% |
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Base Year Market Size (2024) |
USD 49.71 billion |
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Forecast Year Market Size (2037) |
USD 6.64 trillion |
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Regional Scope |
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Artificial Intelligence in Healthcare Segmentation
Application (Drug Discovery, Medical Imaging, Electrocardiography, Medical Research, Personalized Medicine)
The virtual assistance segment in the AI in healthcare market is poised to observe massive growth during the forecast period. The segment growth is due to growing utilization of virtual assistance for medical consulting, the growing geriatrics population, and increasing healthcare expenditure. For instance, more than 7 billion digital voice assistants were functioning across the globe in 2024.
Our in-depth analysis of the global market includes the following segments:
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By Technology |
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By Offering |
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By Application |
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By End-User |
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Customize this ReportArtificial Intelligence (AI) in Healthcare Industry - Regional Synopsis
The Asia Pacific region AI in Healthcare market is estimated to account for largest revenue share by the end of 2037. The growth of the market can be attributed to growing geriatric population and expansion of healthcare infrastructure in the region. For instance, the geriatric population in Asia is poised to reach approximately 900 million by 2050. Furthermore, the rising adoption of AI technology in the healthcare sector will hike the market revenue.
Companies Dominating the Artificial Intelligence (AI) in Healthcare Landscape
- NVIDIA Corporation
- Company Overview
- Business Strategy
- Key Product Offerings
- Financial Performance
- Key Performance Indicators
- Risk Analysis
- Recent Development
- Regional Presence
- SWOT Analysis
- Philips International B.V.
- Micron Technology, Inc.
- Siemens Healthcare GmbH
- Crunchbase Inc.
- Genger.io, Inc.
- Welltok, Inc.
- Google LLC
- Medtronic plc
- General Electric Company
In the News
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Philips International B.V. to display the clinical solution and data with enhanced efficiency at TCT 2022. These solutions are mainly designed to promote clinical confidence.
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Siemens Healthcare GmbH to introduce a study that has been conducted to evaluate and monitor the accuracy of diagnosis of non-contrast flat detector CT. Moreover, the non-inferiority results of flat detector CT are estimated to support the management approach in acute ischemic stroke.
Author Credits: Radhika Pawar
- Report ID: 1429
- Published Date: Jan 17, 2025
- Report Format: PDF, PPT
