How Has the Generative AI In Healthcare Market Size Evolved in Recent Years?
The generative ai in healthcare market has seen considerable growth due to a variety of factors.
• In the past few years, there has been a significant expansion in the generative AI in healthcare market size. The forecast predicts an increase from $2.36 billion in 2024 to $3.26 billion in 2025, which corresponds to a compound annual growth rate (CAGR) of 37.7%.
Factors contributing to this growth during the historic period involve enhanced healthcare data analytics, augmented demand for personalized medication, a surge in requirement for AI-equipped healthcare solutions, a growing need for individualized treatment regimens, and an escalated process of drug discovery and development.
What Is The Forecast For The Generative AI In Healthcare Market Size?
The generative ai in healthcare market is expected to maintain its strong growth trajectory in upcoming years.
• The market size for generative AI in healthcare is anticipated to experience substantial growth over the coming years. It's projected to reach $11.6 billion by 2029, with a compound annual growth rate (CAGR) of 37.4%.
This surge in growth during the forecast period can be linked to the rise in medical imaging techniques, increased use of AI-driven monitoring systems, expanding globalization, a higher number of patients, advancements in modern medical treatments, and an increase in virtual patient simulation. The forecast period is expected to witness key trends like enhancement in medical imaging, growth of telemedicine and remote monitoring, increased robustness and generalization, progression in generative AI algorithms, sophisticated cardiac data analysis, analysis of healthcare data, and real-time health surveillance.
What Are The Essential Drivers Behind The Growth Of The Generative AI In Healthcare Market?
The surge in the desire for personalized medicine is predicted to fuel the expansion of the generative AI in healthcare market. Personalized, or precision, medicine, is a revolutionary method of medical treatment that takes into account the unique differences in genes, environment, and lifestyle for each individual. The growth in demand for this personalized care can be attributed to multiple factors such as advancements in the field of genomics, a better comprehension of disease processes and a desire for treatments that are more effective and specific. Generative AI in healthcare leverages algorithms to sift through enormous quantities of patient data, including their genetic mappings and medical past, to devise tailor-made treatment pathways and prognoses that cater to every patient's specific needs and attributes. For example, in February 2024, the Personalized Medicine Coalition, an organization based in the UK that endorses the uptake of personalized medicine, reported that the FDA's Center for Drug Evaluation and Research sanctioned 16 new personalized treatments for rare disease sufferers in 2023, a significant increase from 6 in 2022. The approved custom treatments included seven drugs specially constructed for cancer therapy and three others targeted at numerous different diseases and conditions. Therefore, it's evident that the rising demand for personalized medicine is propelling the growth of the generative AI in healthcare market.
How Is The Global Generative AI In Healthcare Market Divided Into Key Segments?
The generative AI in healthcare market covered in this report is segmented –
1) By Component: Solutions, Services
2) By Function: AI-Assisted Robotic Surgery, Virtual Nursing Assistants, Aid Clinical Judgment Or Diagnosis, Workflow And Administrative Tasks, Image Analysis
3) By Application: Clinical, System
4) By End User: Hospitals And Clinics, Clinical Research, Healthcare Organizations, Diagnostic Centers, Other End Users
Subsegments:
1) By Solutions: Diagnostic Imaging Analysis, Drug Discovery And Development Tools, Personalized Treatment Planning, AI-Powered Clinical Decision Support
2) By Services: Consulting and Advisory Services, Implementation And Integration Services, Support And Maintenance Services, Training And Education Services
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Which Emerging Market Trends Are Altering The Generative AI In Healthcare Industry?
Leading businesses in the generative AI sector for healthcare are prioritizing the formation of strategic alliances to foster innovations and secure an advantage within their marketplace. These partnerships become pivotal in the progression of generative AI within healthcare, harnessing the collective abilities and assets of diverse organizations to create deep-rooted solutions, amplify the productivity of clinical procedures, and tackle primary healthcare difficulties. Google, an American technology firm, joined forces with Mayo Clinic, an American non-profit dedicated to clinical practices, to implement generative AI in healthcare in June 2023. The goal of this collaboration is to capitalize on the promising conveniences of generative AI in order to smooth-over operations and enhance healthcare service delivery, this is achieved by extracting previously unattainable data and introducing real-time, bespoke interactions. The inaugural focus will be on 'Enterprise Search' in Gen App Builder, with the goal of boosting clinical procedures and patient results while upholding adherence to the HIPAA (Health Insurance Portability and Accountability Act).
Who Are the Key Players In The Generative AI In Healthcare Market?
Major companies operating in the generative AI in healthcare market report are:
• Alphabet Inc.
• Microsoft Corporation
• Amazon Web Services Inc.
• Johnson & Johnson Services Inc.
• Siemens AG
• Intel Corporation
• IBM Watson Health Corporation
• Ernst & Young Global Limited
• Oracle Corporation
• Nvidia Corporation
• Harman International Industries Inc.
• Epic Systems Corporation
• Persistent Systems Private Limited
• Tempus Labs Inc.
• Eleks Inc.
• NioyaTech LLC
• Saxon Global Inc.
• Verge Genomics Inc.
• PathAI Inc.
• BenevolentAI Ltd
• Abridge AI Inc.
• Absci Corporation
• Atomwise Inc.
• Syntegra
• Insilico Medicine
• Neuralink Corporation
• DiagnaMed Holdings Corp.
What Are The Regional Insights Into The Generative AI In Healthcare Market?
North America was the largest region in the generative AI In healthcare market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the generative AI in healthcare market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
