Medical Devices Market Outlook 2031
The global medical devices market size was valued at USD 553.31 Billion in 2022 and is expected to surpass USD 880.69 Billion by 2031, expanding at a CAGR of 5.3% during the forecast period, 2022–2031. The growth of the market is attributed to the wide prevalence of chronic illness, increasing spending on healthcare products and treatment, and rising number of patients preferring surgical and diagnostic procedures.
A medical devices can be described as an apparatus, instrument, and material that is primarily designed for providing an affordable, quality-based, and appropriate healthcare system and promoting a healthier global population.
These devices include a range of products from small items such as bandages to complex medical programmable software used in vitro diagnostic (IVD) products or diagnosing HIV/AIDS. As per the World Health Organization’s (WHO) estimation, as many as 2 million different types of the medical devices are presently available on the global market, which is broadly classified into more than 7000 generic device groups.
X-ray machines, PET & CT scanners, and MRI & ultrasound machines are the most commonly used medical device as these devices are widely adopted for the treatment of a large number of chronic and acute diseases as well. According to a report by the American Hospital Association (AHA), more than 36.3 million patients were admitted to US hospitals in 2021 and many of these patients have undergone surgical and diagnostic procedures.
One key aspect of the rapid growth of the market is the easy approval process of the medical devices. As per the data published by the US Food and Drug Administration (FDA), around 27 new medical devices were approved in 2017 and the number has jumped to nearly 54 and 59 in 2018 and 2019-2020 respectively.
In general, the medical device is broadly divided into three classes: Class I devices, which include bandages and handheld surgical items, are meant for the diagnosis or treatment of low-risk diseases; Class II devices are meant for intermediate-risk diseases, and Class III devices are used for high-risk devices, which require life support systems.
The COVID-19 pandemic outbreak had a mixed impact on the market as the demand for chronic illnesses such as cancer and cardiovascular disease treatment had substantially declined due to fewer hospital visits from patients while the demand for some blood testing and diagnostic devices increased rapidly. During the pandemic, those medical devices associated with the diagnosis and treatment of coronavirus such as life-supporting ventilators and masks as medical clothes had spiked in demand.
As per several reports published in 2021, the COVID-19 tests market was valued at over USD 2.5 billion in the first quarter of 2020. The FDA regulated that face masks such as surgical masks and clothes used for face coverings are included in the category of medical devices if used for medical purposes.
Medical Devices Market Trends, Drivers, Restraints, and Opportunities
- Wide occurrence of road accidents and traumatic events that increase the need for wound care treatment process and surgeries are projected to propel the market during the forecast period.
- Rising number of hospital admission of patients for surgical treatment and increasing awareness of the benefits of early diagnosis of disease present key factors boosting the market.
- Increasing governments’ spending on healthcare infrastructure development and growing number of hospitals & clinics having advanced disease treatment devices, especially in developing countries are expected to fuel the market in the coming years.
- Introduction of advanced IVD, home healthcare settings, wearable devices, and monitoring devices for patients are likely to drive the market in the near future.
- High cost of medical devices, regulatory changes, and complexity in the reimbursement policies for disease treatment act as major restraining factors. These factors are anticipated to hamper market growth during the targeted period.
- Ongoing massive R&D programs and technological advancements that facilitate the latest development of innovative surgical intervention and access to remote clinics are offering lucrative opportunities for market expansion.
Scope of Medical Device Market Report
The report on the global medical device market includes an assessment of the market, trends, segments, and regional markets. Overview and dynamics have also been included in the report.
Medical Device Market - Global Industry Analysis, Growth, Share, Size, Trends, and Forecast
Types of Devices (Wound Care Devices, Surgical Equipment, Cardiovascular Devices, Orthopedic Devices, ENT Devices, Anesthesia and respiratory Devices, Dental Equipment, Ophthalmic Devices, Diagnostic Equipment, Hospital Supplies, In-Vitro Diagnostics, Patient Diabetes Care Devices, Nephrology and urology Devices, Neurology Devices, and Monitoring Devices) and End-users (Hospitals & Ambulatory Surgical Centers, Clinics, Diagnostic Centers, Pharmaceutical companies, Research laboratory, and Others)
Asia Pacific, North America, Latin America, Europe, and Middle East & Africa
Company Share, Market Analysis and Size, Competitive Landscape, Growth Factors, and Trends, and Revenue Forecast
Key Players Covered in the Report
GE Healthcare; F. Hoffmann-La Roche Ltd; Abbott Laboratories Inc.; Philips Healthcare; Johnson & Johnson Services, Inc.; Medtronic PLC; Siemens Healthineers; Stryker Corporation; Smith & Nephew PLC; Cardinal Health; Baxter International Inc.; Becton, Dickinson and Company; and Boston Scientific Corporation
Medical Device Market Segment Insights
Wide adoption for the treatment of chronic illness drives the in-vitro segment
Based on types of device, the global medical devices market is divided into wound care devices, surgical equipment, cardiovascular devices, orthopedic devices, ENT Devices, anesthesia & respiratory devices, dental equipment, ophthalmic devices, diagnostic equipment, hospital supplies, in-vitro diagnostics, patient diabetes care devices, nephrology & urology devices, neurology devices, and monitoring devices.
The in-vitro segment accounted for a large market share in 2021, representing a share of 15.6% of the total revenue of the market and is expected to expand at a rapid pace during the forecast period. The segment growth is attributed to the wide use of the IVD for the treatment of chronic diseases such as diabetes and cancer as well as for the diagnosis of diseases such as malaria and HIV/AIDS.
Moreover, the availability of a broad range of IVD for testing patients in the primary healthcare setting in low- and middle-income countries presents another key driver of the segment. IVDs are types of diagnostic tests conducted on blood samples and tissues using test tubes and similar apparatus to detect disease and other conditions.
Rising patient admission to hospitals fuels the hospitals & ambulatory surgical centers segment
On the basis of end-users, the market is segregated into hospitals & ambulatory surgical centers, clinics, diagnostic centers, pharmaceutical companies, research laboratories, and others. The hospitals & ambulatory surgical centers segment held a major share of the market in 2021 and is projected to register a CAGR of 10.5% of the market during the forecast period.
The segment growth is attributed to rising governments’ healthcare budgets for the development of high-class medical equipment in hospitals. Rising number of patients admitted to hospitals for diagnosis and treatment of diseases as well as the development of new multispecialty hospitals especially in developing countries further boosts the segment.
In terms of regions, the global medical device market is classified as Asia Pacific, North America, Latin America, Europe, and Middle East & Africa. North America constituted a large market share in 2021 and is expected to dominate the market during the projected period owing to the presence of a large number of patients suffering from chronic illness, rising spending on healthcare problems, and availability of well-established healthcare facilities.
Early acceptance of advanced technology for medical devices and the presence of key global players in the region further drive the regional market. On the other hand, Asia Pacific has emerged as a fast-growing market and the market of this region is anticipated to expand at a rapid pace during the forecast period owing to rising awareness regarding the benefits of early disease diagnosis and rapid development of new multispecialty hospitals and clinics mostly in emerging economies such as China and India.
The global medical device market has been segmented on the basis of
Types of Device
- Wound Care Devices
- Surgical Equipment
- Cardiovascular Devices
- Orthopedic Devices
- ENT Devices
- Anesthesia & Respiratory Devices
- Dental Equipment
- Ophthalmic Devices
- Diagnostic Equipment
- Hospital Supplies
- In-Vitro Diagnostics
- Patient Diabetes Care Devices
- Nephrology & Urology Devices
- Neurology Devices
- Monitoring Devices
- Hospitals & Ambulatory Surgical Centers
- Diagnostic Centers
- Pharmaceutical companies
- Research laboratory
- Asia Pacific
- North America
- Latin America
- Middle East & Africa
- GE Healthcare
- F. Hoffmann-La Roche Ltd
- Abbott Laboratories Inc.
- Philips Healthcare
- Johnson & Johnson Services, Inc.
- Medtronic PLC
- Siemens Healthineers
- Stryker Corporation
- Smith & Nephew PLC
- Cardinal Health
- Baxter International Inc.
- Becton, Dickinson and Company
- Boston Scientific Corporation
Key players competing in the global medical device market are GE Healthcare; F. Hoffmann-La Roche Ltd; Abbott Laboratories Inc.; Philips Healthcare; Johnson & Johnson Services, Inc.; Medtronic PLC; Siemens Healthineers; Stryker Corporation; Smith & Nephew PLC; Cardinal Health; Baxter International Inc.; Becton, Dickinson and Company; and Boston Scientific Corporation. Some of these key players have invested a large sum of money in R&D programs to enhance the performance of their devices and provide effective diagnostic results.
As per reports, a US-based leading healthcare company, Johnson & Johnson Services, Inc. had invested nearly USD 12.75 billion in R&D activities in 2020, and a US-Irish-based medical device manufacturer, Medtronic PLC also made an R&D investment worth USD 2.33 billion in the same year. The latter company accounted for a large market share in 2021 owing to its wide development of diverse product portfolio and constant upgrade of its existing products. The company also has a wide network of product distributors globally.