AI market is set to reach $52bn in 2024 as medical device companies invest in AI technologies, says GlobalData

The market for Artificial Intelligence (AI) is set to benefit from the COVID-19 pandemic and the rise in recent investments in AI and machine learning (ML) by top medical device companies. The global market value for AI is projected to grow to $52bn in 2024, according to GlobalData, a leading data and analytics company.

Kevin Dang, Medical Devices Analyst at GlobalData, comments: “AI is ubiquitous, and it was only a matter of time for this technology to be adopted by the medical device industry. The COVID-19 pandemic was one of the catalysts for this adoption, as many businesses and hospitals felt its impact and it became necessary to adopt a new strategy to improve the diagnosis and treatments of patients.”

Two companies that recently invested in AI and ML are Medtronic and Philips. Medtronic acquired Medicrea, a spinal surgery company which has an AI database containing over 6,000 surgical cases. This was an enormous boost to Medtronic’s portfolio as it emphasizes AI-driven surgical planning, spinal implants and robotic-assisted surgery. In December, Philips agreed to acquire BioTelemetry, a medical technology company that specializes in cardiac monitoring services. This includes wearable heart monitors and AI-based data analytics. This deal will allow Philips to tap into the market growth by expanding its remote monitoring business beyond hospitals and into patient homes.

Dang concludes: “While AI may come across as overhyped, the potential use cases for this technology is boundless. Major medtech companies are investing millions of dollars in AI and will continue to reap the rewards. Through expanding their portfolios to include this new technology, this will result in more efficient diagnosis and treatment of patients, which leads to time saved and lower costs.”

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