Healthcare Informatics Market Research Report By Component (Software, Hardware, Services), By Application (Electronic Health Records, Healthcare Analytics, Telemedicine, Medical Imaging, Patient Portals), By Delivery Model (On-Premise, Cloud-Based, Hybrid), By End User (Hospitals, Clinics, Insurance Companies, Pharmaceutical Companies, Medical Device Companies) and By Regional (North America, Europe, South America, Asia-Pacific, Middle East and Africa) - Forecast to 2032

Global Healthcare Informatics Market Overview:

As per MRFR analysis, the Healthcare Informatics Market Size was estimated at 19.83 (USD Billion) in 2022. The Healthcare Informatics Market is expected to grow from 22.54 (USD Billion) in 2023 to 71.4 (USD Billion) by 2032. The Healthcare Informatics Market CAGR (growth rate) is expected to be around 13.67% during the forecast period (2024 - 2032).

Key Healthcare Informatics Market Trends Highlighted

The Healthcare Informatics market is rapidly evolving, driven by advancements in technology, increasing healthcare costs, and the growing need for improved patient outcomes. Key market drivers include the rise of artificial intelligence (AI), the adoption of electronic health records (EHRs), and the integration of wearable devices and Internet of Things (IoT) technologies.

Opportunities to be explored in the Healthcare Informatics market include the development of personalized medicine, telemedicine, and remote patient monitoring solutions. The increasing use of big data and analytics to improve healthcare decision-making is also creating new opportunities for growth.

Recent trends in the Healthcare Informatics market include the adoption of cloud-based solutions, the emergence of blockchain technology, and the growing popularity of patient portals. The increasing focus on value-based care is also driving the adoption of healthcare informatics solutions that can help providers improve outcomes and reduce costs.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Healthcare Informatics Market Drivers

Rising Demand for Improved Patient Care

The healthcare industry is constantly evolving, and with it, the demand for improved patient care. Healthcare informatics plays a vital role in meeting this demand by providing tools and technologies that can help healthcare providers deliver more efficient, effective, and patient-centered care.

For instance, electronic health records (EHRs) allow providers to access patient information quickly and easily, which can help them make more informed decisions about their care.

Telemedicine platforms enable patients to receive care remotely, which can be especially beneficial for those who live in rural or underserved areas. And clinical decision support systems can help providers identify and avoid potential medical errors.

As the demand for improved patient care continues to grow, so too will the demand for healthcare informatics solutions.

Increasing Adoption of Value-Based Care Models

The healthcare industry is moving towards value-based care models, which focus on paying providers for providing high-quality, cost-effective care. Health informatics can enable providers to succeed in value-based care models because it gives them the data and analytics necessary to keep track of their performance and improve their outcomes.

For example, a provider can use health informatics solutions to identify patients who are likely to develop costly chronic diseases, and informatics solutions can also be used to monitor the effectiveness of different care interventions.

With the increasing popularity of value-based care models, the demand for health informatics will continue to grow.

Government Regulations and Initiatives

Government regulations and initiatives are also driving the growth of the healthcare informatics market. For example, the Health Information Technology for Economic and Clinical Health (HITECH) Act, which was passed in 2009, provided billions of dollars in funding for the adoption and use of EHRs.

The Centers for Medicare & Medicaid Services (CMS) has also implemented several programs that encourage the use of healthcare informatics solutions, such as the Meaningful Use program and the Medicare Access and CHIP Reauthorization Act of 2015 (MACRA).

These government regulations and initiatives are helping to create a more favorable environment for the adoption of healthcare informatics solutions, which is driving the growth of the market.

Healthcare Informatics Market Segment Insights:

Healthcare Informatics Market Component Insights

Introduction The Healthcare Informatics Market is bifurcated into three major components: Software, Hardware, and Services. Anticipated to be the fastest-growing segment of the market in 2024, the software segment’s size is expected to account for the largest revenue share, which will be fueled by its growing adoption of electronic health records and other such software.

The demand for data analytics and business intelligence solutions in the healthcare informatics software market is one of the other factors responsible for the growth of the software segment.

Valued at $19.4 billion in 2020, the respective market, on the other hand, is expected to reach $71.4 billion by the end of 2032, progressing at a CAGR of 13.7% during the forecast period. The hardware segment of the Healthcare Informatics Market is expected to grow at a significant pace during the forecast period.

The growth in demand for various medical devices and equipment, such as MRI scanners, CT scanners, and ultrasound machines, is the foremost factor responsible for the growth of the hardware segment. The trend of these equipment and the devices' integration with the telehealth services coupled with the remote patient monitoring services will also drive their demand.

Meanwhile, the services segment of the respective market is expected to grow at a steady pace during the forecast period. The increasing number of healthcare providers’ demands for essential IT support and consulting services are responsible for the growth of this segment.

The service segments' size will also be supplemented by the increasing adoption of cloud-based healthcare solutions.

Overall, the Healthcare Informatics Market is expected to grow at a high pace during the forecast period, which is attributed to the demand for the healthcare technology and factor how the data-driven insights are rhyming highly with the increased adoption levels.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Healthcare Informatics Market Application Insights

The Healthcare Informatics Market segmentation by Application is categorized into Electronic Health Records, Healthcare Analytics, Telemedicine, Medical Imaging, and Patient Portals. In 2023, the Electronic Health Records segment held the largest market share, accounting for over 35% of the Healthcare Informatics Market revenue.

The Healthcare Analytics segment is projected to grow at the highest CAGR during the forecast period, driven by the increasing demand for data-driven insights to improve healthcare decision-making. Telemedicine is expected to witness significant growth due to the rising adoption of virtual healthcare services.

Medical Imaging is another key segment, with advanced imaging technologies such as MRI and CT scans gaining traction. Patient Portals are becoming increasingly popular, enabling patients to access their health information and communicate with healthcare providers conveniently.

Healthcare Informatics Market Delivery Model Insights

The Healthcare Informatics Market is segmented based on delivery model into on-premises, cloud-based, and hybrid. Among these, the cloud-based segment is projected to witness the fastest growth during the forecast period, owing to the increasing adoption of cloud computing solutions by healthcare providers.

The cloud-based delivery model offers several benefits, such as scalability, flexibility, and cost-effectiveness, which are driving its adoption.

The on-premises segment held the largest market share in 2023. However, its share is expected to decline over the forecast period due to the growing popularity of cloud-based solutions.

The hybrid delivery model is also gaining traction, as it offers a balance between the benefits of on-premises and cloud-based solutions.

Healthcare Informatics Market End User Insights

The End User segment of the Healthcare Informatics Market plays a critical role in driving market growth. Hospitals, clinics, insurance companies, pharmaceutical companies, and medical device companies are the key end users of healthcare informatics solutions.

Hospitals are the largest end users of healthcare informatics solutions, accounting for over 40% of the global market revenue in 2023. This is attributed to the growing need for efficient patient management, improved clinical decision-making, and optimized resource allocation.

Clinics are another significant end user segment, accounting for around 25% of the global market revenue in 2023. The adoption of healthcare informatics solutions in clinics is increasing due to the need for improved patient care coordination, streamlined workflows, and enhanced patient engagement.

Insurance companies are increasingly investing in healthcare informatics solutions to improve claims processing, reduce fraud, and enhance customer service. This segment is expected to register a CAGR of over 15% during the forecast period, reaching a market value of USD 12.4 billion by 2032.

Pharmaceutical companies are leveraging healthcare informatics solutions for drug discovery, clinical trial management, and patient adherence monitoring. This segment is expected to witness significant growth due to the rising demand for personalized medicine and the need for efficient drug development processes.

Medical device companies are using healthcare informatics solutions for product development, quality control, and patient monitoring. This segment is projected to grow at a steady pace, driven by the increasing adoption of connected medical devices and the need for remote patient monitoring solutions.

Healthcare Informatics Market Regional Insights

The regional segmentation of the Healthcare Informatics Market offers insights into the market's geographic distribution and growth potential.

North America held the largest market share in 2023, owing to the presence of well-established healthcare systems, high adoption of advanced technologies, and government initiatives to promote healthcare informatics.

Europe is another significant region, with countries such as Germany, the UK, and France actively investing in healthcare IT solutions.

The APAC region is projected to witness the fastest growth during the forecast period, driven by rising healthcare expenditure, increasing healthcare awareness, and government support for digital health initiatives.

South America and MEA are expected to contribute a smaller but growing share of the global market, as these regions focus on improving healthcare infrastructure and access to technology.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Healthcare Informatics Market Key Players and Competitive Insights:

Key players in the Healthcare Informatics Market are constantly investing in innovation and the development of new solutions to adapt to the changing requirements in the healthcare industry. Further, key players in the Healthcare Informatics Market are rapidly investing in research and development to enhance the capabilities of their products and stay ahead of the competition.

With many key players, the Healthcare Informatics Market is extremely competitive. Some of the established key players in the Healthcare Informatics Market include Cerner Corporation, Epic Systems Corporation, GE Healthcare, McKesson Corporation, and Siemens Healthineers.

These companies provide a wide range of healthcare informatics solutions, including electronic health records, clinical decision support systems and revenue cycle management systems.

One of the leading key players in the Healthcare Informatics Market is Cerner Corporation.

Cerner is one of the largest providers of health information technology solutions in the world. The company provides a wide range of products and services, including EHRs, CDSSs and RCM systems. With its solutions used by hospitals, clinics, and other healthcare providers across the world, Cerner is known for its high level of innovation.

Another major key player in the Healthcare Informatics Market is Epic Systems Corporation. Epic is a privately owned company that is engaged in the provision of EHRs, EDRs and other health informatics solutions in the country.

The company provides a wide range of products and services and is involved in the provision of CDSSs and RCM systems as well.

The company’s solutions are used by hospitals, clinics, and other healthcare providers throughout the whole of the United States. Epic has a very high level of innovation and is constantly investing in the development of new solutions to enhance the capabilities of their products and services.

Key Companies in the Healthcare Informatics Market Include:

• Siemens Healthineers


• Philips Healthcare


• GE Healthcare


• Epic Systems


• McKesson Corporation


• Athenahealth


• IBM Corporation


• NextGen Healthcare Information Systems


• Oracle Corporation


• SAP SE


• eClinicalWorks


• Microsoft Corporation


• Allscripts Healthcare Solutions


• Greenway Health


• Cerner

Healthcare Informatics Market Developments

Technological advancements, such as the integration of artificial intelligence (AI) and cloud computing in healthcare, are driving market growth. The increasing adoption of electronic health records (EHRs) and the need to improve patient outcomes and reduce healthcare costs are also contributing factors.

Key industry players are focusing on strategic partnerships and acquisitions to expand their product offerings and strengthen their market position.

Recent news developments include the acquisition of healthcare informatics company MediQuant by IMS Health in 2023, strengthening IMS Health's position in the healthcare data analytics market.

Additionally, the collaboration between Cerner and Google Cloud in 2024 aims to leverage Google Cloud's AI capabilities to enhance Cerner's healthcare informatics solutions. These developments indicate the growing significance of technology and partnerships in shaping the future of the Healthcare Informatics market.

Healthcare Informatics Market Segmentation Insights

Healthcare Informatics Market Component Outlook

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  • Software
  
  
  • Hardware
  
  
  • Services
  
  
  
  

Healthcare Informatics Market Application Outlook

• 
  
  
  
  • Electronic Health Records
  
  
  • Healthcare Analytics
  
  
  • Telemedicine
  
  
  • Medical Imaging
  
  
  • Patient Portals
  
  
  
  

Healthcare Informatics Market Delivery Model Outlook

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  • On-Premise
  
  
  • Cloud-Based
  
  
  • Hybrid
  
  
  
  

Healthcare Informatics Market End User Outlook

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  • Hospitals
  
  
  • Clinics
  
  
  • Insurance Companies
  
  
  • Pharmaceutical Companies
  
  
  • Medical Device Companies
  
  
  
  

Healthcare Informatics Market Regional Outlook

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  • North America
  
  
  • Europe
  
  
  • South America
  
  
  • Asia-Pacific
  
  
  • Middle East and Africa