The medical electronics market is expected to grow at a compound annual growth rate of 6.21% over the forecast period to reach US$79.561 billion by 2025, from US$55.425 billion in 2019. Medical electronic devices like patient monitors and so on are increasingly being sought after by various health care service points. This is due to the growing preference for minimally invasive surgical procedures that are cost-effective, patient-friendly, and safe. Thus, increasing preference for minimally invasive surgical procedures is poised to drive the growth of the medical electronics market during the forecast period.
Further various healthcare regulations that are put in place by healthcare regulators are driving the medical electronics market with pertaining to the need for research and development. Furthermore, developments on the technological side will lead to an exponential growth of the medical device market. Moreover, there’s an increasing focus on integrating advanced technology within the devices. This move stems from the increasing convenience of accurate and efficient diagnosis as well as treatment.
Moreover, in emerging economies, the provisions to subsidize medical expenditures further makes it a lucrative market for medical electronics. Considering the aforesaid, major players in this sector increasingly engaging in agreements and acquisitions to strengthen their position in this ever-evolving field of medical electronics.
For instance, in January 2020, a one-year renewable agreement has been signed by a subsidiary of Shimadzu Corporation, known as Shimadzu Medical Systems USA, and NZ Technologies of Vancouver Canada, the developers of TIPSOTM technology enabling Shimadzu to market and sell the innovative TIPSO AirPad® in the US healthcare market. TIPSO is a specialized medical technology, that has emerged from the development in the field of Interventional Radiology, carried out by the team of physicians and engineering team. Founded in 187, in Kyoto Japan, Shimadzu Corporation is a global provider of medical diagnostic equipment that includes conventional, interventional, and digital X-Ray systems. Whereas NZ Technologies Inc. is a production firm specializing in technology innovation and electro-mechanical devices, that is focused on innovating modern Human Machine Interfaces (HMI).
On the other hand, from the perspective of technology convergence in the medical electronics space, the global leader in medical technology Medtronic plc (NYSE: MDT), in December 2019 announced a complete acquisition of Klue, a software company that specializes in behaviour tracking that enables the healthcare professionals and the patients to receive information about real-time data about when a person has consumed food.
The technology brought about by Klue will be incorporated into the Medtronic Personalized Closed Loop (PCL) insulin pump system, which is currently in development. The aforementioned system has been designed with the core objective of dramatically simplifying diabetes management for the patient through interventions such as insulin delivery automation that emulates the personalized and real-time administration of the same. Further, Klue’s technology can also be leveraged to stay ahead of sudden fluctuations of glucose levels in the body, through the application of multiple daily injections (MDI).
Furthermore, on the acquisition front, in November 2019 Stryker (NYSE: SYK) announced a definitive agreement to acquire all of the issued and outstanding ordinary shares of Wright Medical Group N.V. (NASDAQ: WMGI). This was to the tune of $30.75 per share, or a total equity value of approximately $4.0 billion as well as a total enterprise value of approximately $5.4 billion (including convertible notes). Founded in 1950, Wright Medical, is a global medical device company focused on extremities and biologics. This acquisition is in light of the highly complementary product portfolio and customer base that Wright Medical brings along with it. Further with global sales approaching $1 billion, Wright Medical is a renowned leader in the fastest segments in orthopaedics.
Thus, from the aforementioned it is evident that the continuous research and development in medical electronics is bringing about a drastic change in the diagnostics methods, thus fuelling the need for innovation and designing of newer medical electronics equipment. Further, there is also an increased transactional activity among the global players of the medical electronics market.
|Market size value in 2019||US$55.425 billion|
|Market size value in 2025||US$79.561 billion|
|Growth Rate||CAGR of 6.21% from 2019 to 2025|
|Forecast Unit (Value)||USD Billion|
|Segments covered||Product Type, Diagnostics, End-user Industry, And Geography|
|Regions covered||North America, South America, Europe, Middle East and Africa, Asia Pacific|
|Companies covered||Abbott, Allengers Medical, Boston Scientific, Carestream Health, FUJIFILM Corporation, GE Healthcare, Hitachi High Technologies Corporation, Medtronic, Philips Healthcare, Shimadzu Corporation, Siemens Healthcare, Stryker|
|Customization scope||Free report customization with purchase|
Frequently Asked Questions (FAQs)
Q1. What is the size of the medical electronics market?
A1. Medical Electronics Market was valued at US$55.425 billion in the year 2019.
Q2. What will be the medical electronics market size by 2025?
A2. The medical electronics market is expected to reach a market size of US$79.561 billion by 2025.
Q3. What are the growth prospects for the medical electronics market?
A3. The global medical electronics market is expected to grow at a CAGR of 6.21% over the forecast period.
Q4. How is the medical electronics market segmented?
A4. The medical electronics market has been segmented by product type, diagnostics, end-user industry, and geography.
Q5. What is the base year considered in the medical electronics market report?
A5. 2019 has been taken as the base year in the medical electronics market report.
Hitachi High Technologies Corporation
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