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Artificial Intelligence in Healthcare Market to Hit US$ 164.16 Billion by 2030 with 49.1% CAGR | MarketsandMarkets™
The global Artificial Intelligence (AI) in healthcare market is segmented into integrated solutions, niche/point solutions, AI technology, and services, by offering. The integrated solutions segment is accounted for the largest share in 2023. The large share of this segment is attributed to the increasing demand for seamless software-service combinations that address complex healthcare challenges like workflow optimization, predictive analytics, and personalized care. These providers enable healthcare organizations to adopt AI solutions more effectively by offering end-to-end support, from implementation to ongoing system management, which reduces operational complexity and ensures regulatory compliance. Additionally, advancements in AI-powered platforms such as clinical decision support, coupled with rising investments in healthcare IT infrastructure, fuel this trend by making integrated solutions more attractive to hospitals and clinics seeking value-based care models.
Based on tools, the AI in healthcare market is segmented into machine learning, natural language processing, generative AI, computer vision, image analysis, and other tools. In 2023, the machine learning segment accounted for the largest share of the market. The large share of this segment can be attributed to the enormous availability of data, also called big data, and the increasing adoption of ML by hospitals, research centers, and other healthcare institutions to improve patient health. ML is being implemented in healthcare to deal with large volumes of data, streamline hospital administrative processes, map and treat infectious diseases, and personalize medical treatments. These advantages are poised to increase the adoption of ML in the healthcare industry.
The Artificial Intelligence (AI) in healthcare market is divided into clinical applications and non-clinical applications, by application. In 2023, the clinical applications segment is expected to demonstrate highest growth rate during the forecast period. The high adoption of artificial intelligence (AI) in healthcare for clinical applications is driven by its ability to improve diagnostic accuracy, optimize treatment plans, and enhance patient outcomes. AI-powered tools, such as predictive analytics and imaging diagnostics, support clinicians in early disease detection and personalized care, addressing growing demands for efficiency and precision in healthcare delivery. Additionally, advancements in machine learning and natural language processing enable integration into clinical workflows, while rising investments and favourable regulatory policies further accelerate adoption.
The AI in healthcare market is studied for the five major regions: North America , Europe , the Asia Pacific , Latin America , and the Middle East & Africa . The North American region dominated the market due to the high per capita healthcare expenditure, ongoing technological developments, particularly in machine learning & deep learning, the rising demand for precision medicine, and the favourable reimbursement scenario. The surging number of patients with chronic disorders and significant investments by government & private entities toward healthcare information technology further propel the growth. Moreover, the competitive scenario in North America motivates key market players to develop innovative tools, driving continuous growth in service offerings.
The prominent players operating in the Artificial Intelligence (AI) in healthcare market include Koninklijke Philips N.V. ( Netherlands ), Microsoft (US), Siemens Healthineers AG ( Germany ), NVIDIA Corporation (US), Epic Systems Corporation (US), GE Healthcare (US), Medtronic (US), Oracle (US), Veradigm LLC (US), Merative (IBM) (US), Google (US), Cognizant (US), Johnson & Johnson (US), Amazon Web Services, Inc. (US), SOPHiA GENETICS (US), Riverian Technologies (US), Terarecon (ConcertAI) (US), 3M (US), Tempus (US), Viz.ai (US). These companies adopted strategies such as product launches, product updates, expansions, partnerships, collaborations, mergers and acquisitions to strengthen their market presence in the Artificial Intelligence (AI) in healthcare market.
is one of the key players that offers Artificial Intelligence (AI) in healthcare solutions. Philips leverages AI in healthcare to deliver innovative solutions across diagnostic imaging, patient monitoring, and precision medicine. Its advanced AI-driven platforms, such as the Philips HealthSuite, enable the integration and analysis of vast clinical data, supporting personalized treatment plans and improved patient outcomes. AI capabilities are embedded in imaging tools enhances diagnostic accuracy and streamlines radiology workflows. The company's solutions focus on operational efficiencies, including workflow automation and predictive analytics, empowering healthcare providers to deliver value-based care. Philips' strong emphasis on collaboration with hospitals and technology partners further accelerates the adoption of AI in healthcare. Philips has a significant global presence, serving over 100 countries across North America , Europe , Asia-Pacific , Latin America , and Africa . Its operations are supported by a strong network of subsidiaries, including Philips Healthcare, Philips Medical Systems, and Philips Research. The company maintains strategic R&D centers in key markets and collaborates with leading medical institutions to drive innovation in health technology.
is one of the leading providers of software & tools that leverages advanced AI capabilities in healthcare to enhance patient outcomes, streamline operations, and drive innovation. Its Azure-based AI solutions support diverse applications like medical imaging, genomics, and precision medicine. Microsoft also offers healthcare-specific AI models through its Azure AI Model Catalog, designed to support hospitals and research institutions in building and deploying tailored AI solutions efficiently. Additionally, the integration of Nuance's AI-powered clinical and diagnostic tools bolsters its capacity to support healthcare providers in decision-making and care delivery. Microsoft has a strong global presence, with key operations supported through its Azure cloud infrastructure across regions like North America , Europe , Asia-Pacific , and the Middle East . Its geographic footprint enables widespread access to advanced AI tools for healthcare providers, ensuring scalability, data security, and compliance with local regulations like GDPR in Europe and HIPAA in the U.S.
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