Healthcare cloud infrastructure market size to reach $142 billion by 2028
The global healthcare cloud infrastructure market size is expected to reach $142 billion by 2028, according to ResearchAndMarkets. The market is expected to expand at a CAGR of 16.7% from 2021 to 2028.
The growing trend of healthcare digitalization, rising expenditures, overburdened health systems, rising traffic on the network, growing data siloes, and the emergence of remote working is contributing to the demand for healthcare cloud infrastructure systems and solutions.
Organizations are rapidly adopting hybrid cloud models to integrate several operations and functions in a multi-cloud environment to improve facility management. These advanced computing solutions allow organizations to safely and securely manage data and deliver optimum care with enhanced operational & clinical outcomes.
The COVID-19 pandemic exposed the shortcomings of the overburdened health systems, reaffirmed the need to adopt advanced computing systems and several other advanced IT technological solutions to pave their path towards digitalization. These solutions allow organizations to optimize workflows, improve resource management, enhance cost optimization, efficient handling of growing network traffic, and risk mitigation. Key players are constantly devising their merger & acquisition and collaboration strategies to align their research & development goals to further innovate and expand their product portfolios.
The services segment dominating the market
The services segment dominated the market due to the easy accessibility of outsourcing these services from vendors since healthcare organizations lack the required technology skillset and expertise. Advanced computing systems provide these organizations with enhanced scalability, flexibility, and secure data management, which positively impacts the market growth.
The available services in the cloud infrastructure market are Software-as-a-Service (SaaS), Infrastructure-as-a-Service (IaaS), and Platform-as-a-Service (PaaS). However, the hardware segment is expected to grow significantly over the forecast period owing to the rising demand for hardware platforms with high computing power.
However, care providers dominated the end-use segment in 2020 owing to benefits offered by advanced computing systems such as secure off-site data collection & management, availability of outsourcing of IT solutions. However, the payer’s segment is anticipated to record the fastest growth rate owing to the rising adoption of advanced computing systems in risk assessment, fraud detection, secure data collection & storage, and claims settlement.
North America dominated due to the presence of advanced IT infrastructure, increased IT spending, and the large presence of key market players. The emergence of specialized start-ups in the Asia Pacific region is expected to further drive market growth.
Healthcare cloud infrastructure market report highlights
- The market size is expected to be valued at $142 billion by 2028 due to the emergence of advanced technological solutions and widespread adoption of cloud computing
- In the component segment, the services segment dominated the market in 2020 owing to the growing trend of outsourcing these services since healthcare organizations lack the desired skillset and personnel
- The healthcare providers segment dominated the market in 2020 owing to the growth in hospital connections over cloud infrastructure and enhanced off-site data management
- North America dominated in 2020 due to the presence of key market players, advanced infrastructure, increasing health IT spending, and rising adoption levels