Conor Stewart
Research expert covering health & pharmaceuticals in the UK & Europe
Medical technology industry - statistics & facts
Medical technology plays a role in the lives of everyone. It includes most of all, medical devices which simplify the prevention, diagnosis, and treatment of diseases and illnesses. The most well-known medical technology products are, among others, pacemakers, imaging instruments, dialysis machines, and implants. The global medical technology industry was worth over 567 billion U.S. dollars annually. Established centers of this industry include North America and Western Europe. The United States is home to the world’s largest medical technology companies. As of 2022, Abbott Laboratories had the largest global revenue at over 31.2 billion U.S. dollars. The main focus of devices manufactured by the Chicago-based company are diagnostics, cardiovascular, and diabetes care. Two other medtech companies that round off the top three largest companies –Medtronic and Johnson & Johnson – are both based in the United States. Although, industry trends show that Asia, and in particular China, is about to play a more prominent role in the years to come.
Cardiology devices had a global market value of almost 75 billion U.S. dollars in 2024, with a forecast to reach over 95 billion U.S. dollars by 2028. The impact of artificial intelligence has already been felt in healthcare, but will continue to grow in importance in the industry. AI can be of tremendous help with analyze medical data and images, potentially delivering more accurate diagnoses and better care. A further positive effect of this is that healthcare professionals can spend more time with patients instead of other tasks.
Leading segments in medical technology
The strongest segments within the industry are in vitro diagnostics (IVD), cardiology, diagnostic imaging, and orthopedics. IVD accounted for an 18 percent share of the total medical technology industry. Diagnostics is one of the most important parts of healthcare and IVDs can detect a range of conditions, diseases, and infections. The devices which comprise the IVD industry can range from small, simple tests that can be used in the home to complex laboratory appliances.Cardiology devices had a global market value of almost 75 billion U.S. dollars in 2024, with a forecast to reach over 95 billion U.S. dollars by 2028. The impact of artificial intelligence has already been felt in healthcare, but will continue to grow in importance in the industry. AI can be of tremendous help with analyze medical data and images, potentially delivering more accurate diagnoses and better care. A further positive effect of this is that healthcare professionals can spend more time with patients instead of other tasks.
Impact of COVID-19 on Medtech
The COVID-19 pandemic had a massive impact on the medical technology industry, as it did in many other industries. The IVD segment experienced massive growths in revenue during the years 2020 and 2021, mainly fueled by increased demands for tests, both rapid and PCR tests. Furthermore, the pandemic increased interest and demand in digital health solutions. While funding in digital health had been increasing in the years leading up to the pandemic, it really took off in 2021 with investment of almost 45 billion U.S. dollars. This is more than the entire funding between 2010 and 2017. The digital health tools that have seen the largest increase in use since the pandemic have been telemedicine, patient portals, and mobile apps. The pandemic may have played a role in the growth of these tools, but they remain very relevant and thriving in a post-pandemic world.
