Digital Health Market Overview

The Digital Health is anticipated to grow significantly from 2025 to 2035, driven by driven by driven by advancements in technology, increasing adoption of telemedicine, the rise of wearable devices, and the growing need for remote patient monitoring. By 2025, the digital health market size is projected to reach a value of around USD 370.4 Billion. Looking ahead to 2035, it is expected to expand further to about USD 2779.9Billion. This represents an annual growth rate of 20.1% over the ten-year period.

The digital health market analysis highlights a divers range of solutions, from mobile health (mHealth) applications to electronic health records (EHR), artificial intelligence (AI) in healthcare, big data analysis, and cloud-based healthcare services. The increase in chronic diseases, an aged global populace, and the aspiration to have affordable and cost-effective healthcare solutions are major drivers fueling the market’s expansion. Governments and healthcare systems all over the world are significantly investing in digital transformation initiatives to improve patient outcomes, reduce operational expenses, and enhance the efficiency of healthcare. In addition, the COVID-19 pandemic accelerated the adoption of digital health solutions, with emphasis on virtual healthcare services, contactless diagnostic services, and remote patient management systems. As healthcare providers and patients continue to embrace digital platforms, the digital health market trends indicate substantial market expansion in the forecasted years.

Digital Health Market Drivers and Opportunities

​Rising Prevalence of Chronic Diseases and Aging Population is anticipated to lift the Digital Health market during the forecast period

The increasing prevalence of chronic diseases such as diabetes, cardiovascular conditions, and respiratory illnesses is a major factor driving the digital health market. For instance, as per the data published by Centers for Disease Control and Prevention (CDC) in 2024, around 129 million individuals in the U.S. are living with at least one major chronic disease, such as heart disease, cancer, diabetes, obesity, or hypertension, as defined by the U.S. Department of Health and Human Services. Five of the ten leading causes of death in the country are either preventable chronic diseases or are strongly linked to them. Over the past two decades, the prevalence of chronic conditions has steadily risen, a trend expected to persist. A growing number of Americans are managing multiple chronic conditions, with 42% affected by at least two and 12% living with five or more. Beyond its personal toll, chronic disease places a significant burden on the U.S. healthcare system, accounting for approximately 90% of the nation’s annual $4.1 trillion healthcare expenditure.

Digital health solutions, remote patient monitoring, and mobile health (mHealth) applications help to treat these conditions by providing round-the-clock monitoring and real-time intervention. In addition, the rising aged population requires more sophisticated healthcare solutions, as older individuals require more visits to the doctor and long-term care. AI-assisted diagnostics, telehealth services, and smart home monitoring systems are just a few examples of digital health technologies that provide the aged with timely and effective treatments and reduce hospital visits. This transformation towards active and in-home healthcare significantly fuels the demand for digital health solutions.

Technological Advancements in Healthcare Is Driving the Growth of the Digital Health Market

The rapid growth of digital health is driven by technological advancements, such as artificial intelligence (AI), big data analytics, the Internet of Things (IoT), and cloud computing. AI-powered diagnostic tools and prediction analysis diagnose diseases faster and more accurately, improving patient outcomes. Telemedicine supported by high-speed 5G networks revolutionized remote healthcare through seamless communication between physicians and patients. Wearable devices and smart sensors now track health in real time, facilitating early detection of abnormalities such as irregular heartbeats or blood sugar levels. Blockchain technology also enhances data security and interoperability, allowing secure transmission of electronic health records (EHR) between healthcare providers. Cloud-based healthcare solutions streamline storage of medical information, offering easy access to patient data. All these technologies improve efficiency, reduce costs, and expand the availability of healthcare, driving the digital health market growth.

Expansion of Telehealth and Remote Patient Monitoring Is Poised to Create Significant Opportunities in The Global Digital Health Market

The increased demand for telehealth and remote patient monitoring presents a huge opportunity for digital health companies. With telemedicine services, patients can remotely consult doctors, breaking geographical barriers and alleviating the hospital load. The increased usage of virtual consultations, fueled by the COVID-19 pandemic, has turned telehealth into a mainstream healthcare product. Remote patient monitoring systems, comprising wearable sensors and mobile health applications, provide real-time monitoring of important parameters like blood pressure, heart rate, and glucose levels. These solutions improve the management of chronic diseases through timely intervention and prevention of emergency hospitalizations. In addition, telehealth services are in rising demand in rural and underdeveloped communities, where there is minimal access to healthcare facilities. The application of AI-based diagnostic tools and IoT-based healthcare solutions also maximizes the efficiency of remote monitoring. With governments and insurance providers continuously supporting telehealth initiatives, the industry is poised to witness huge growth, providing vast opportunities to digital health companies.

Digital Health Market Scope

Digital Health Market Report Segmentation Analysis

The Global Digital Health Market industry analysis is segmented into by Offering, by Technology, by Application, by End-user, and by Region.

The Software Segment Is Anticipated to Hold the Highest Share of the Global Digital Health Market During the Projected Timeframe.

By offering, the digital health market is segmented into software, services, applications, and hardware. Software segment is dominating the global market, and it holds a market share of around 38.2%. Due to the increased adoption of cloud-based healthcare solutions, adoption of AI, and increased demand for electronic health records (EHR). Software solutions are utilized by healthcare providers to manage patient data, comply with regulations, and enhance interoperability. AI-based healthcare software enables faster and more accurate diagnoses, and predictive analysis offers personalized treatment plans. Increased adoption of telemedicine platforms and remote patient monitoring systems also increase the demand for software.

The Tele-health segment is anticipated to hold the highest share of the market over the forecast period.

On the basis of Technology, the market is divided into mHealth, mHealth device, mHealth app, telehealth, digital therapeutics, preventive therapeutics, treatment therapeutics, healthcare management systems, her, healthcare analytics and e-prescribing. The telehealth segment is expected to have the largest market share of the global market for Digital Health in 2025. This is driven by increased demand for remote healthcare services and increased adoption of virtual consultations. Adoption of telehealth was driven by the COVID-19 pandemic, and telehealth became a mainstream healthcare solution as providers and patients sought safer alternatives to in-person visits.

The Chronic Disease Management Segment Dominated the Market in 2025 And Is Predicted to Grow at The Highest CAGR Over the Forecast Period.

On the basis of application, the digital health market is divided into chronic disease management, behavioral health, health and fitness, and other applications. Chronic disease management accounts for the largest market share in the digital health market due to the increased prevalence of chronic diseases such as cardiovascular diseases, diabetes, and respiratory diseases. As lifestyle diseases are on the rise, patients and physicians adopt digital solutions to manage long-term diseases efficiently. Mobile health (mHealth) applications, remote patient monitoring, and AI-based predictive analysis assist in real-time monitoring of health parameters, and early intervention reduces hospital admissions.

The Patients & Consumers segment is expected to dominate the market during the forecast period.

Based on end-user, the market is divided into providers, hospitals and clinics, long-term and assisted living facilities, payers, and patients and consumers. The digital health market is dominated by patients and consumers due to rising adoption of mHealth applications, wearable devices, and remote monitoring technologies. Rising consumer interest in preventive healthcare and self-monitoring is creating growing demand for fitness trackers, smartwatches, mobile health applications, and AI-based digital assistants.

The following segments are part of an in-depth analysis of the global digital health market:

Digital Health Market Share Analysis by Region

North America is projected to hold the largest share of the global Digital Health market over the forecast period.

North America is the largest market, accounting for an estimated 39.4% market share in the global market for Digital Health. The rationale is the region's advanced healthcare infrastructure, high adoption level of digital technologies, and robust government support. The United States and Canada have mature electronic health record (EHR) systems, extensive telehealth adoption, and growing demand for remote patient monitoring. Government initiatives, such as the Health Information Technology for Economic and Clinical Health (HITECH) Act and reimbursement policies for telemedicine services, have also supported market growth. The presence of large digital health companies, swift development of AI-based healthcare solutions, and increased awareness regarding health technologies by consumers also contribute to North America leading the market. High incidence rates of chronic diseases, including cardiovascular diseases and diabetes, in the region also contribute to demand for digital health solutions.

The Asia-Pacific (APAC) market is forecasted to grow with the highest compound annual growth rate (CAGR) due to increased smartphone penetration, rising healthcare investments, and strong government initiatives towards the adoption of digital health. China, India, Japan, and South Korea are all experiencing rapid healthcare digitalization. For instance, in August, 2023, The World Health Organization (WHO) and the G20 India presidency launched a new Global Initiative on Digital Health (GIDH) during the Health Minister’s Meeting of the G20 Summit hosted by the Government of India. The new GIDH initiative (for short, "guide") will be an action-based WHO-run network and platform to help implement the Global Strategy on Digital Health 2020–2025. The expansion of telemedicine, mHealth applications, and AI-based healthcare analytics is accelerating growth. Additionally, increased demand for remote healthcare in rural areas, rising disposable income, and a growing aged population are key drivers in the APAC market. High focus by the region on medical tourism, 5G infrastructure, and cloud-based healthcare solutions also enables high growth.

Digital Health Market Competition Landscape Analysis

The market is competitive, with several established players and new entrants offering a range of Digital Health products. Some of the key players include Abbott, AdvancedMD, Inc., AirStrip Technologies, Inc, Apple, Inc., AT&T, Inc., Athenahealth, Biotricity, Dexcom, Inc., eClinicalWorks, Fitbit, Inc. (A Google Company), GE HealthCare, iHealth Labs Inc. and others

Global Digital Health Market Recent Developments News:

In January 2024, JD Health introduced an elderly care channel on its application to provide China's elderly population with a comprehensive platform to cater to their varied healthcare needs.

In January 2024, 98point6 Technologies acquired Bright.md. to assist in accelerating the release of 98point6’s asynchronous care module. The innovation enables healthcare organizations to license an integrated, purpose-designed clinician solution to facilitate multiple delivery designs.

In April 2023, Microsoft collaborated with Epic Systems Corporation to introduce AI into EHR so that healthcare providers could increase their productivity and patient communication with AI-based solutions.

In March 2023, BlueRock Therapeutics LP collaborated with Emerald Innovations and Rune Labs, with a focus on contactless & invisible, wearable digital health innovations to advance the monitoring of Parkinson's disease.

The global digital health market is dominated by a few large companies, such as

·         Abbott

·         AdvancedMD, Inc.

·         AirStrip Technologies, Inc

·         Apple, Inc.

·         AT&T, Inc.

·         athenahealth

·         Biotricity

·         Dexcom, Inc.

·         eClinicalWorks

·         Fitbit, Inc. (A Google Company)

·         GE HealthCare

·         iHealth Labs Inc

·         Johnson & Johnson Private Limited

·         Koninklijke Philips N.V.

·         Masimo

·         Medtronic

·         Merative

·         my mhealth Limited

·         Noom, Inc.

·         Omada Health Inc.

·         OMRON Corporation

·         Qardio, Inc.

·         Siemens Healthineers AG

·         Teladoc Health, Inc.

·         Veradigm LLC

·         Others