Digital Health Market - By Component, By Technology, By End Use - Global Forecast 2025 – 2034

Digital Health Market Size

The digital health market was valued at USD 312.9 billion in 2024. The market is expected to grow from USD 387.8 billion in 2025 to USD 2.19 trillion in 2034 at a CAGR of 21.2% from 2025 to 2034. This substantial growth of the market is emphasized by the growing adoption of advanced digital technologies in the healthcare sector coupled with the growing investment in digital tools such as in big data analytics, artificial intelligence (AI), and other tools reinforcing the market growth.
 

In addition, expanding the internet access and smartphone penetration facilitating seamless access to advanced digital health platforms further expands the market growth. The increasing adoption of digital healthcare in the market is further driven by the growing prevalence of chronic diseases, intensifying the need for remote healthcare monitoring solutions.
 

According to the data from the World Health Organization (WHO), cardiovascular diseases (CVDs) are the most common cause of death worldwide, accounting for around 17.9 million deaths annually. These findings emphasized the spurring necessity for regular heart monitoring, thus prompting adoption of advanced remote monitoring devices such as ECG accessory monitors and smartphone-linked blood pressure cuffs is expected to make it possible to monitor in real-time, offering timely treatment actions. The use of such modern solutions in electronic health systems is expected to improve the management of chronic disease stimulating growth in the digital health industry.
 

Digital health refers to the integration of digital health technology to enhance patient care, improve efficiency and modernize the medical process. It comprises a broad range of digital health technologies including telehealthcare encompassing telecare and telehealth solutions, mobile health (mHealth) solutions encompassing wearables, connected medical devices, and mHealth apps, health analytics and digital health systems. These digital health solutions enable real-time health monitoring, personalized treatment plans, and improved disease management solutions. This digital health transformation explores opportunities in delivering healthcare services, allows for patient participation, and self-management improving access to healthcare services and lowers the costs.
 

Digital Health Market Trends

The surge in the use of mobile health applications, telemedicine, and online health monitoring has increased the utilization of smartphones and the use of the internet.
 

• The adoption of sophisticated technologies presented potential in-patient engagement, gaining traction of several healthcare organizations in real-time health disease management and remote monitoring that has rapidly shaped the industry shift.
   
• For example, as per the GSM Association report titled ‘Mobile Economy 2023’ revealed that the mobile usage and internet connection is projected to reach 6.3 billion users by 2030 from 5.4 billion in 2022. Additionally, smartphone penetration is predicted to reach up to 92% by 2030 from 76% in 2022. The rising penetration rate and adoption of smartphones is meant to enhance mHealth software functionalities transforming to the growth of the digital health industry.
   
• Similarly, a cross-sectional study conducted among 390 undergraduate medical students over a period of two months published in the Journal of Medical Sciences found the proportion of participants using an mHealth app was 31.8%. The mHealth devices wear through and used by the participants were smartphones, enabling 100% usage, with approximately 54% of the participants using smartwatches, 32.2% using wrist bands, and 13.7% having blood pressure monitoring devices. These results depicted the increasing usage of advanced digital health technologies among the participants, with expanding awareness for mHealth applications.
   
• Moreover, growing data security concerns, high integration costs, complication with the interoperability issues between different healthcare systems expects to limit the market growth. In addition, the limited digital awareness among the elderly population and the limited internet access in rural areas further limit the expansion of the market.
   

Digital Health Market Analysis

Based on component, the global market is segmented hardware, software, and services. The market was valued at USD 238.4 billion in 2023. The services segment dominated the market and was valued at USD 93.5 billion in 2023, estimated to generate revenue of USD 122.8 billion in 2024 witnessing its prominence throughout the forecast period at a CAGR of 21.3%.
 

• The remote monitoring, telehealth services, and advanced healthcare analytics technology adoption are booming the market increasing the demand for digital health services.
   
• In addition, the intensified implementation of AI, cloud computing, internet of things (IoT), and other digital health services in the healthcare sector to improve operational productivity and enhanced patient engagement solutions further strengthening the prominence in the market.
   
• In addition, the growing burden of chronic diseases has prompted the need for continuous monitoring services to bolster the digital health services market growth.
   

Based on technology, the global digital health market is categorized into telehealthcare, mHealth, health analytics, and digital health systems. In 2024, the telehealthcare segment leads the market accounting for 43.1% of market share and is expected to experience significant growth, with projections indicating to reach the revenue of USD 970.2 billion by 2034.
 

• The telehealthcare segment is further classified into telecare and telehealth. The increasing need for accessible, cost-effective and remote healthcare solutions fueled the demand of telehealthcare in the market.
   
• The notable increase in the demand for remote consultations, virtual care platforms, telemedicine and other forms of digital healthcare services surged during the COVID-19 pandemic and continued to evolve at a rapid pace.
   
• Moreover, to address the revolution in the digital health ecosystem, the primary stakeholders are continuously investing in service expansion and the advancement of the emerging technologies in the fields to gain their market share.
   
• For instance, in April 2022, Emmaus Life Sciences introduced a novel full-service telehealth solution in collaboration with strategic partners Asembia LLC, U.S. Bioservices Corporation, and UpScriptHealth. This telehealth program allowed accessibility to the patients and healthcare professionals to Endari, the company’s prescription-grade L-glutamine oral powder used in treating sickle cell disease. This program aimed to offer an pioneering telehealth services for sickle cell disease treatment solutions fostering a larger customer base.
   

Based on the end use, the global digital health market is categorized as healthcare providers, patients, payers, and other end users. The healthcare providers segment currently holds the largest market share of 44.5% in 2024 and is projected to dominate throughout the analysis period at a CAGR of 21.3%.
 

• The integration of technology in patient care and operational management within the healthcare sector is significantly upheld by the rapid adoption of digital health technologies by the healthcare providers.
   
• Integration of electronic health records (EHRs), telehealth, and mHealth services is being performed by the healthcare providers to enhance the healthcare processes, operational management and patient outcomes with limited expenses.
   
• Also, the rising need for remote monitoring and personalized treatment of patients combined with effective communication aids further solidified the position of healthcare providers in the digital health landscape.
   

In 2024, the U.S. held a significant position in the North America digital health market valuing for at USD 123.6 billion. This is an increase from USD 94.5 billion in 2023, demonstrating growth at a CAGR of 20.7% during the forecast period.
 

• The U.S. position in the market was reinforced due to the high integration rate of sophisticated technologies among healthcare providers, robust regulatory support, and healthcare spending in the country.
   
• In addition, the country’s well-established digital health infrastructure with widespread adoption of telemedicine, AI-driven diagnostic tools, remote patient monitoring (RPM) solutions, promote further strengthening the country’s position in the market.
   
• For instance, October 2023, the U.S. FDA set up a Digital Health Advisory Committee for AI/ML, augmented reality (AR) and virtual reality (VR), digital therapeutics, remote sensing devices, and remote intervention specialties within digital health technologies. This initiative facilitates the adoption of innovative digital health technologies by ensuring their safe and effective use.
   
• Similarly, in August 2023, the Digital Health Security (DIGIHEALS) was introduced by the Advanced Research Projects Agency for Health (ARPA-H), an agency within the U.S. Department of Health and Human Services (HHS) to protect the U.S. health care system’s electronic infrastructure. Through a Broad Agency Announcement (BAA), the project seeks proposals for proven technologies developed for national security and apply them to civilian health systems, clinical care facilities, and personal health devices. Hence, to overcome the data privacy and security concerns challenges, the regulatory authorities are investing efforts which in turn would propel the adoption of digital health technologies in the country.
   
• Moreover, the rising incidence of chronic disease has further stimulated the adoption of digital health technologies. For instance, according to the American Heart Association report in the year 2025, the number of CVD deaths in the U.S. for the year 2022 remained 941,652, representing an excess of 10,000 deaths when compared with the 931,578 counts for 2021. This alarming figure prompted the need for proactive diagnosis and routine heart monitoring practices which in turn increases the usage of telemonitoring tools such as blood pressure cuffs, pulse oximeters, ECG monitors and other devices. This projects to drive the digital health demand in the market.
   
• Moreover, high investment in AI alongside the funding of remote access telemedicine and chronic disease monitoring products have further solidified the country’s standing in the market.
   

Germany leads the Europe digital health market projecting strong growth potential.
 

• Germany showcased impressive expansion in Europe market owing to its well-established healthcare system, adoption of digital health services and strong governmental policies encouraging digitization of healthcare services.
   
• For instance, in November 2019, the grant for Digital Healthcare Act enabled healthcare practitioners in Germany to prescribe digital health applications (DiGA) to patients with statutory health insurance. Hence, through the prescription and reimbursement processes of DiGA, their adoption into the healthcare market has been simplified, which has led to the increased acceptance of digital health technologies.
   
• In addition, the rising elderly population, greater need for remote patient monitoring, and AI in healthcare increases Germany's prospects in the market.
   
• Furthermore, Germany’s competitive advantage in the digital health sector can be attributed to the presence of leading digital health firms, growing funding in health technology venture capital, and advances in diagnostic AI and wearable health technology.
   

China digital health market in Asia Pacific is estimated to grow at a significant growth rate over the next few years.
 

• The swift integration of healthcare technology and government programs are the major contributors to the growth of China.
   
• Since healthcare requirements are rising, especially in cities, the large and growing population is supporting the market growth of the country.
   
• In addition, the increasing number of elderly population in China is propelling the need for sophisticated digital health technologies due to the growing rates of chronic diseases within the aged population.
   
• As per the estimates from the National Development Bulletin on Aging, the country had close to 209.8 million people over the age 65 in 2022 making 14.9% of the population and projected to reach 425 million by the year 2057. These developments in the prevalence of chronic conditions associated with aging further exacerbated the demand for solutions to AI, advanced remote monitoring systems, and telemedicine services. As a result, China has accelerated spending on healthcare technology with a new focus on smart digital devices, AI, and remote patient monitoring tools ensuring that adequate care and attention to the Chinese elderly population.
   
• Moreover, the growing usage of smartphones and the internet in China presented the easier access to telemedicine, mHealth apps, and remote patient monitoring.
   
• Furthermore, an expansion of government modernization programs for healthcare systems as well as other digital health programs boost progress in the country.
   

Latin America: Brazil digital health market is projected to witness growth in coming years.
 

• The Brazilian digital healthcare sector is projected to grow due to rising adoption digital health technologies such as telemedicine, mhealth applications and other tools enabling remote monitoring, coupled with supportive government initiatives towards digital health infrastructure.
   
• Furthermore, the growing prevalence of chronic conditions, an increasing emphasis on proactive care, and ubiquitous smartphone and internet adoption are changing how individuals interact with health services, propelling deeper market growth.
   
• According to the Continuous PNAD IBGE reported 72.5 million households have Internet (92.5%) as of 2023 which rose by 1 percentage point (p.p.) over 2022. In parallel, the percentage of households with Internet access that reported using mobile broadband changed from 81.2% to 83.3%, which is an increase between the years 2022 and 2023. This increasing internet penetration tends to accelerate the adoption of digital healthcare solutions thereby fueling the growth in the country.
   

Saudi Arabia is anticipated to grow in the Middle East and African digital health market.
 

• Saudi Arabia is facilitated by government spending, notably in the case of the Vision 2030 framework which aims to modernize healthcare and enhance digitization.
   
• The shift to embracing telemedicine, EHRs, and mhealth services escalated the demand for telehealth services stimulating market growth.
   
• Furthermore, the expansion of internet access and smart phone usage enables the use of digital health technologies, making Saudi Arabia the leader in the Middle East market.
   

Digital Health Market Share

The top 4 market players hold approximately 40% of the market share in the global market. Leading companies such as Teladoc, Amwell, Koninklijke Philips N.V., Oracle dominated the telehealth segment offering virtual consultation and remote care solutions. The primary focus of these companies is to broaden their market base via health AI applications, wearable devices, and other cloud-based health care services.
 

The startups and regional players are also emerging by offering specialized services in digital healthcare, exclusively in the areas of personalized medicine and mental health solutions. The marketplace expansion is also driven by the exploding need for remote medical attention, governmental assistance as it relates to shifts in digital service provision, and the growing prevalence of long-term diseases.
 

Digital Health Market Companies

Few of the prominent players operating in the digital health industry include:

• Accenture 
• AMD Global Telemedicine
• American Well (Amwell)
• Athenahealth
• Capsa Healthcare
• Eagle Telemedicine
• Firstbeat Technologies
• GE Healthcare
• Health Catalyst
• Honeywell International
• IBM
• iHealth Lab
• Koninklijke Philips N.V.
• McKesson Corporation
• Oracle (Cerner Corporation)
• Qualcomm Technologies
• Teladoc Health
• Veradigm LLC (Allscripts Healthcare Solutions)
   
• Teladoc Health is one of the telehealth industry leaders offering real-time access through video calls, phone calls, or text messages to health professionals. Combining behavioral health with telemedicine and AI diagnostic technology has earned Teladoc Health recognition for having an advanced virtual healthcare system. The company has a strong presence in the telemedicine market, as it serves over 50 million customers across 175 countries and offers virtual consultations to everyone around the world.
   
• Amwell provides integrated telehealth services, telemedicine services to healthcare practitioners, institutes, employers, and other stakeholders. Amwell is one of the largest providers of telemedicine as it connects to more than 55 health plans partners and over 2,000 hospitals, putting it over the rest of the U.S.
   
• Philips Healthcare, a prominent in real-time patient care provisioning, focuses on integrating advanced AI-solutions into medical devices to enhance the accessibility and expand the reach of advanced healthcare technologies across the industry. For instance, in January 2025, Philips introduced an AI-enabled CT 5300 at 23rd Asian Oceanian Congress of Radiology (AOCR) 2025. This launch aimed to enhance the diagnostic imaging efficiency of the device with advanced AI integration.
   

Digital Health Industry News

• In January 2025, Doctors Inc. announced the launch of its business expansion in U.S. providing comprehensive range of digital health services. This strategic expansion signified to explore opportunities for the company in U.S. market
   
• In April 2024, Providence unveiled Praia Health, a low-code consumer platform designed to streamline the integration of third-party offerings into healthcare systems' digital experiences. By enhancing accessibility and scalability, Praia Health supports market growth and innovation.
   
• In January 2024, Eli Lilly and Company showcased LillyDirect – a digital healthcare solution designed especially for American patients afflicted with obesity, migraines, and diabetes. It features disease management tools, telehealth services, personalized care, and home delivery of certain medications. This program facilitated the management of chronic diseases by providing better and easier services.
   

The digital health market research report includes in-depth coverage of the industry with estimates and forecast in terms of revenue in USD Million from 2021 – 2034 for the following segments:

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Market, By Component

• Hardware
• Software
  • Cloud-based
  • On-premises 
• Services

Market, By Technology

• Telehealthcare
  • Telecare
    • Activity monitoring
    • Remote medication management
  • Telehealth
    • LTC monitoring
    • Video consultation 
• mHealth
  • Wearables and connected medical devices
    • Blood pressure monitors
    • Heart rate monitors
    • Blood glucose monitor
    • Pulse oximeters
    • Sleep trackers
    • Neurological monitors
    • Other wearables and connected medical devices
  • mHealth apps
    • Medical apps 
      • Womens health apps
      • Chronic disease management apps
      • Personal health record apps
      • Medication management apps
      • Remote monitoring apps
      • Other medical apps
    • Fitness apps
• Health analytics
  • Predictive analytics
  • Prescriptive analytics
  • Descriptive analytics 
• Digital health systems
  • Electronic health records (EHRs)
  • e-prescribing systems

Market, By End Use

• Healthcare providers
• Patients
• Payers
• Other end users

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • Germany
  • UK
  • France
  • Spain
  • Italy
  • Netherlands
• Asia Pacific
  • China
  • India
  • Japan
  • Australia
  • South Korea 
• Latin America
  • Brazil
  • Mexico
  • Argentina 
• Middle East and Africa
  • South Africa
  • Saudi Arabia
  • UAE