The IoT Chip Market in Healthcare is estimated at US$1,507.165 million for the year 2019. Rising healthcare expenditure is boosting the adoption of digital technologies including Internet of Things (IoT), artificial intelligence (AI), virtual/augmented reality (VR/AR), and 3D printing among others. In the healthcare sector, digital technology is helping in developing sustainable healthcare systems and providing cheaper and more effective solutions for various diseases. As such, the IoT chip market in healthcare is flourishing worldwide. The Internet of Things (IoT) has opened up a wide range of opportunities in the healthcare industry. The growing adoption of connected devices across this sector has significantly boosted the demand for this technology.
The emerging popularity of remote healthcare solutions is another major driver of IoT chip market in healthcare. The growing global aging population, especially in developed countries, has augmented the demand for home healthcare solutions. According to the World Bank Data, the population ages 65 and above of the total population have increased from 7.49% in 2008 to 8.87% in 2018. Moreover, the rising prevalence of chronic diseases is also leading patients to shift to remote healthcare solutions and services in order to reduce spending on regular hospital visits. As the use of cellular technology is maturing, people are opting for innovative mobile health services which is positively impacting the growth of IoT chip market in healthcare. Increasing investments in R&D to develop innovative remote health solutions is further contributing to the market growth. For example, in 2018, researchers at Griffith University in Australia collaborated with Huawei and Tonwo Health Clinic Technology to develop wearable devices that will help patients to manage chronic conditions.
Companies are actively involved in growth strategies in order to expand their global market share which is also fuelling the growth of IoT chip market in healthcare. Recently in April 2020, Sony has entered into a collaborative partnership with Norwegian telecommunications firm Telenor, and Ericsson to build Internet of Things (IoT) devices for the healthcare market. Under this partnership, Sony will provide sensors using its Visilion advanced tracking solution, Telenor will supply the SIM cards and networking tools which work globally, and Ericsson will provide its IoT Accelerator Platform which enables businesses to connect and manage billions of devices. Mexican Biotix Labs has also partnered with Spanish health tech Fixme to combine IoT technology and physiotherapy in Mexico. Physiotherapists will be using a device for measuring the range of movement of the patient’s limbs to better understand the healing process.
The recent COVID-19 pandemic outbreak has further impacted the growth of the IoT chip market in healthcare. With clinicians and researchers focusing on treatment breakthroughs, IoT and related technologies have become mainstream applications. With the mandatory quarantine of patients with symptoms of COVID-19, healthcare workers are using IoT devices to remotely monitor patients’ vitals in an isolation ward. With the rapid and global spread of this virus, it has become more vital than ever for healthcare organizations to reap the advantage of advanced technologies available such as IoT in order to combat this disease.
A sudden surge in the demand for telemedicine is further driving the market growth. Companies, as well as academic institutions, are conducting various research in order to come up with effective use of IoT to combat this global pandemic. For example, the University of Hong Kong has been successful in using a commercial AI and IoT platform from Biofourmis for monitoring COVID-19 positive patients. Australia’s largest running LoRaAN network operator, the National Narrowband Network Co (NNNCo), has recently partnered with Belgian Applications and Solutions Provider, WMW, to bring IoT solutions to the country, including those that can assist in the battle against coronavirus spread.
By geography, IoT Chip market in healthcare is segmented as North America, South America, Europe, Middle East, and Africa (MEA), and Asia Pacific (APAC). North America accounted for the major market share in 2019 and will remain at its position until the end of the forecast period. Early adoption of new technologies along with the presence of well-established healthcare infrastructure in the U.S. is the major factor behind the growth of this regional market. In December 2019, Cerner partnered with Medigate on IoT and medical device security with continuous monitoring of network activity. This will lead to the creation of a detailed inventory of connected devices, offering hospitals more in-depth visibility. The booming aging population in the U.S. and Canada coupled with increasing investments in telehealth solutions is also escalating the market growth across this region. According to the U.S. Population Reference Bureau Report 2016, the number of Americans aged 65 and above is projected to double from 46 million in 2016 to 98 million by 2060.
APAC regional market will witness a noteworthy CAGR during the forecast period on account of increasing investments in IoT and the rapid adoption of digitalization across the healthcare sector in countries like China, India, and Australia. There have been continuous efforts to increase the adoption of IoT solutions to enable better and efficient patient monitoring and improve connected systems. In April 2019, the National Association of Software and Services Companies (NASSCOM), through its Center of Excellence- Internet of Things (CoE-IoT), announced its strategic partnership with GE Healthcare in order to bring digital healthcare solutions in the Indian market.
Prominent key market players in the IoT chip market in healthcare include Intel Corporation, Qualcomm Technologies, Inc., Texas Instruments Incorporated, Cypress Semiconductor Corporation, and NXP Semiconductors among others. These companies hold a noteworthy share in the market on account of their good brand image and product offerings. Major players in the IoT Chip market in Healthcare have been covered along with their relative competitive position and strategies. The report also mentions recent deals and investments of different market players over the last two years.