Healthcare is rapidly evolving and the year 2018 is when new age technologies such as artificial intelligence, big data analytics, IoT, and cloud are expected to disrupt the industry. In the following slides, we look at these major technology trends that are transforming healthcare and bringing in massive improvements in the lives of both patients and doctors.
The shift from paper records to electronic health/medical records, coupled with evolving cloud-based technologies, will propel the Electronic Health Records market. According to research, the worldwide EHR-EMR market is projected to reach USD 120 billion in 2023 from USD 70 billion in 2016 by rising at the CAGR of about 10.9 percent during the period 2017-2023. Healthcare Information and Management Systems Society (HIMSS) says that more than 2.5 percent of all hospitals in the APAC region has crossed the stage 6 of EHR analysis model adoption for implementation, boosting the market for much growth. The major challenge for the sector will be to preserve data security and privacy of patients.
As more patient data will be readily available, the market for healthcare analytics will also quickly expand. The healthcare analytics market is estimated to reach USD 29.84 billion by 2022 up from USD 7.22 billion in 2016, growing at a massive CAGR of 27.3 percent during the period. Enhanced focus on data collection and analysis for the goal of providing better service to patients is the fuel behind this predicted growth. The shift from paper records to electronic health records for collecting patient data will give a major impetus to advanced big data analytics and research methodologies such as gene sequencing required for high precision treatments. Gartner says that by 2021, 25 percent of healthcare delivery organizations (HDOs) above 1 billion USD in net revenue will give real-time medical decision support based on gene sequencing.
Social media is emerging as a very important tool for patient outreach and medical support service. As people become more tech-savvy, they are seeking help and information with the help of social media platforms such as Facebook and Twitter It is also being accepted as the most cost-effective way for the healthcare industry to connect with prospective clients. In this context, Asia Pacific is one of the most prospective geographies for the healthcare social media marketing, owing to rapidly escalating the number of internet users and a strengthening technological infrastructure. A recent research survey showed that 95 percent of patient respondents reported that post joining a social media group to connect with doctors and fellow patients; they experienced a positive impact on their care.
Consulting over digital devices with healthcare providers is an area which is bound to have good growth. For factors such as scarcity of doctors, technological advancements in both software and hardware aspects of telecommunication, the market is projected to reach USD 9.35 billion by 2021 from USD 2.78 billion in 2016, at an impressive CAGR of 27.5 percent. The software segment, serving as an interface channel between the database and end users, is expected to experience the highest growth. Geographically, the Asia-Pacific market is estimated to grow at the highest annual rate during the forecast period.
Slide 5: Ensuring security across legacy platforms, cloud, and network of IoT devices
WannaCry ransomware exposed the weak security infrastructure of the healthcare industry when it disrupted 20 percent of NHS centers in the UK. It is now imperative for hospitals to adopt a strong security framework, especially in the wake of rising IoT devices and migration to cloud platforms. The IoT security market for healthcare is predicted to grow above USD 15 billion at an annual compound rate of 22 percent. Cloud is becoming extremely popular for storing and exchanging data as it is a scalable, cost-effective option. The focus in the coming years will be to create a tight framework that covers device management, including mobile phones and IoT devices. Newer technologies like Blockchain to secure sensitive medical data and records are also being explored.
Cloud computing and the Internet of Things (IoT), the two technologies are changing the face of healthcare with each passing day, making it easier for both doctors and patients. While the Cloud serves as a backend on which IoT works, together the two have created a web of interconnected medical devices, collecting, storing and analyzing critical information in real-time. Similarly, for storing and analyzing ever-increasing data generated by the healthcare industry in the coming years, it is estimated that cloud services will generate revenue of about 10 billion USD by 2021, predicts Frost & Sullivan. Surprisingly, the growth of IoT healthcare market is enormous, with about 40 billion USD market in early 2017 to more than 150 billion in 2022, says research by MarketsandMarkets.