A report released by Portland-based firm Big Market Research on March 6 projects the artificial intelligence in medicine market will grow to $18.12 billion by 2025, advancing at a compound annual growth rate (CAGR) of 49.6 percent.
Applications of AI in medicine generated $719 million in 2017, according to the report, with software applications consuming three-fifths of the global market share that year. Software innovation is expected to dominate the space through 2025, but the researchers said AI-related hardware is projected to see the highest growth rate during the forecast period—a CAGR of 51.3 percent “due to the adoption of AI devices to analyze medical information stored in structured data such as imaging, genetic and EP (electrophysiology) data.”
“(The) shortage of skilled healthcare professionals and increase in the processing power of AI systems that is projected to help improve the efficiency of drug discovery and management of clinical trials majorly drive the growth of the global AI in medicine market,” Big Market wrote in their report, which runs 231 pages long.
“Furthermore, the growth in importance of precision medicine and rise in funding of the research and development activities for the use of AI technology in the field of medicine are expected to fuel the market growth.”
AI can fall into four primary types of tech: deep learning, querying method, natural language processing and context aware processing. Big Market projected natural language processing will remain the largest revenue generator through 2025, since it facilitates communication between medical providers and their patients. But deep learning is expected to grow the fastest of any technology, with a CAGR of 51.1 percent.
Based on application, personalized medicine was a dominant player in the AI market and is set to experience a 52.1 percent CAGR between 2018 and 2025. The researchers suggested it might rise above other applications, like drug discovery and repurposing or clinical research trials, because AI can support studies at a gene level that require advanced technologies with the ability to process “huge” amounts of data quickly. Those studies have pushed pharmacogenomic and genotyping research further, leading to the development of more personalized medicine with fewer side effects.
Key players analyzed in the report included IBM, Google, Microsoft, General Vision, BioXcel and Berg Health, among others. Find the full document here.