US Digital Health Market size is expected to reach US$ 567.7 billion by 2034 from US$ 94.8 billion in 2024, growing at a CAGR of 19.6%.

The U.S. Digital Health Market size was valued at USD 94.95 billion in 2023 and is projected to reach USD 330.42 billion by 2032, exhibiting a CAGR of 19.5 % during the forecasts period. Recent developments include: In December 2023, Google, Inc. launched MedLM, a medical generative AI to promote digital technology in healthcare. , In September 2023, Enovacom, a subsidiary of Orange Business, acquired NEHS Digital and Xperis and strengthened its e-health portfolio. , In March 2023, IBM collaborated with Cleveland Clinic and deployed an IBM-managed onsite quantum computer. It will enable Cleveland Clinic in accelerating biomedical discoveries. , In January 2023, Apple Fitness+ launched a whole-body cardio workout, a new Kickboxing workout. The workout is led by two new trainers. , In August 2023, Siemens Healthineers, specializing in AI-powered applications and digital healthcare, announced a partnership with SSM Health for ten years to develop the diagnostic imaging and advanced software and technology of SSM Health. . Key drivers for this market are: Rising prevalence of chronic diseases such as diabetes, cardiovascular diseases, and obesity fuels demand for digital health solutions that support remote monitoring, disease management, and patient education.. Potential restraints include: The handling of sensitive health data in digital health solutions raises concerns about data privacy, security breaches, and compliance with regulations such as HIPAA, impacting user trust and adoption.. Notable trends are: Continued expansion of telehealth services beyond the pandemic, with ongoing investments in telemedicine platforms, virtual care delivery models, and hybrid care options that combine in-person and remote visits..

Overview

New York, NY – Aug 11 , 2025: The U.S. digital health market is projected to grow from USD 94.8 billion in 2024 to USD 567.7 billion by 2034, at a CAGR of 19.6%. This rapid growth is largely driven by the rise in chronic diseases and an aging population. Many Americans now face long term conditions like diabetes and heart disease. Digital health tools such as mobile apps and remote monitoring allow patients to manage their care from home. This reduces the need for hospital visits and supports better long term health outcomes.

Government initiatives are playing a major role in this shift. Agencies like the Department of Health and Human Services (HHS) have introduced policies to expand telehealth and improve data protection. These efforts have made it easier for clinics and hospitals to adopt digital systems. Supportive regulations and financial incentives have boosted confidence among healthcare providers. This has accelerated the use of electronic health records and virtual care, making healthcare more accessible and efficient across the U.S.

The COVID-19 pandemic changed how people access healthcare. During lockdowns, many patients and doctors used telehealth for the first time. The experience was mostly positive, leading to continued use of remote care. Telemedicine now helps reduce wait times and improves access for people in rural areas. It also supports those with mobility issues or busy schedules. This shift to virtual care has become a permanent feature in the U.S. healthcare system, offering both convenience and broader reach.

Technology and internet access are also improving the quality of digital health services. Tools powered by artificial intelligence, secure cloud systems, and high speed networks have made care delivery faster and smarter. People are now using mobile apps to track fitness, medication, and mental health. This shift in consumer behavior reflects a broader demand for easy-to-use, tech driven health services. Digital tools now offer a more personalized and connected healthcare experience for both patients and providers.

Cost control is another reason digital health is expanding. The U.S. healthcare system is expensive, and there’s pressure to lower costs while maintaining care quality. Digital solutions help by reducing unnecessary hospital visits and streamlining services. Global bodies like the World Health Organization (WHO) have also encouraged digital health adoption to close care gaps. Strong data privacy systems and improved digital infrastructure continue to support nationwide growth and trust in digital healthcare services.

The Report Covers Global Digital Health Market Share & Companies and It is Segmented by Component (Hardware, Software, and Services), Technology (Telehealth, Mhealth, and More), End User (Healthcare Providers, Payers, and Patients & Consumers) and Geography. The Report Offers the Value (in USD) for the Above Segments.

Introduction

Global Digital Health Market Size is expected to be worth around US$ 1,190.4 Billion by 2032 from US$ 308.2 Billion in 2023, growing at a CAGR of 16.7% during the forecast period from 2023 to 2032. With a market share over 45.3%, North America held a strong lead in 2023, reaching USD 119.6 Billion in revenue.

The demand for digital health technologies including electronic health records, telemedicine, health analytics, and mobile health applications is witnessing substantial growth. This surge is primarily fueled by an increasing requirement for remote monitoring solutions, advanced patient management technologies, and escalating investments in healthcare digitalization, bolstered by supportive government policies.

A pivotal factor driving this market expansion is the widespread adoption of smartphones, tablets, and other mobile platforms, alongside enhancements in healthcare IT infrastructure, particularly in developed countries. Moreover, favorable government initiatives across regions such as the U.S. and Europe, coupled with a growth in remote patient monitoring services and a rise in venture capital funding, are further augmenting market growth.

Additionally, the market’s expansion is catalyzed by a rise in chronic disease prevalence and an increase in internet and smartphone penetration. These factors are anticipated to present significant opportunities for vendors within the market.

Manufacturers within the digital health sector are focusing on enhancing user experience by developing more sophisticated healthcare platforms and applications, and by expanding their production capabilities to capture a larger market share. This focus has spurred further investments into the development of effective wearable devices and telehealth services.

Digital health encompasses a range of technologies such as wearable devices, telehealth, telemedicine, mobile health (mHealth), health IT, and personalized medicine. These technologies find applications across various domains including wellness, medical equipment, diagnosis, and drug development. According to a World Bank report from August 2023, evidence-based digital investments have the potential to save governments up to 15% on global health system costs.

In 2019, the global digital health market was worth an estimated *** billion U.S. dollars. With an expected CAGR of almost ** percent from 2019 to 2025, the digital health market should reach nearly *** billion dollars by 2025. Increasing use of digital health tools Over the last decade, investor funding in the digital health industry has increased significantly. In 2020, over ** billion U.S. dollars was invested in the industry, compared to around *** billion U.S. dollars in 2010. Even before the COVID-19 pandemic in 2020, which sharply increased the need for digital health tools to be used, consumers’ adoption of telemedicine had been increasing. Further trends A survey of European health professionals found that they believed the biggest ehealth trend in the coming years will be the use of patient owned health data. In general, most healthcare workers thought ehealth prospects in their country would improve in the coming year. However, the biggest challenge to implementing ehealth changes efficiently and effective in Europe is regarded to be funding and costs.

US Digital Health Market to hit $295B by 2032. Driven by a 17.08% CAGR, the industry is rapidly expanding from its 2025 value of $97.89B. Explore key trends and forecasts.

United States digital health market size reached USD 160.4 Billion in 2024. Looking forward, IMARC Group expects the market to reach USD 695.2 Billion by 2033, exhibiting a growth rate (CAGR) of 15.39% during 2025-2033. The growing employment of artificial intelligence (AI) to improve the precision and efficiency of diagnoses, increasing occurrence of chronic diseases like diabetes, cardiovascular diseases, and respiratory disorders among the masses, and rising preferences for personalized medicine are some of the factors impelling the market growth.

Snapshot img

Digital Health Market Size 2025-2029

The digital health market size is valued to increase USD 884.9 billion, at a CAGR of 25.8% from 2024 to 2029. Increase in inorganic growth strategies will drive the digital health market.

Major Market Trends & Insights

North America dominated the market and accounted for a 40% growth during the forecast period.
By Application - Obesity segment was valued at USD 66.80 billion in 2023
By Component - Software segment accounted for the largest market revenue share in 2023

Market Size & Forecast

Market Opportunities: USD 850.77 billion
Market Future Opportunities: USD 884.90 billion
CAGR : 25.8%
North America: Largest market in 2023

Market Summary

The market encompasses a dynamic and ever-evolving landscape of core technologies and applications, service types, and product categories. With the increasing adoption of advanced technologies like Artificial Intelligence (AI) and Machine Learning, the market is witnessing a significant shift towards personalized and data-driven healthcare solutions. Core technologies such as telemedicine, remote monitoring, and wearable devices are transforming healthcare delivery, offering increased accessibility and convenience. Applications like virtual consultations, remote patient monitoring, and disease management are gaining popularity, with telemedicine alone accounting for over 70% of digital health services.
Service types, including teleconsultation, remote monitoring, and health information services, are experiencing substantial growth. Regulatory bodies are also playing a crucial role in shaping the market, with stringent regulations driving the adoption of secure and compliant solutions. Despite these opportunities, challenges such as data security concerns, interoperability issues, and the threat of open-source service providers persist. Inorganic growth strategies, including mergers and acquisitions, are increasingly common as market players seek to expand their offerings and strengthen their market positions. In summary, the market is a continuously evolving space, driven by technological advancements, regulatory frameworks, and market dynamics.
With a growing emphasis on personalized care and data-driven insights, the market is poised for significant growth in the coming years.

What will be the Size of the Digital Health Market during the forecast period?

Get Key Insights on Market Forecast (PDF) Request Free Sample

How is the Digital Health Market Segmented and what are the key trends of market segmentation?

The digital health industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

Application

  Obesity
  Diabetes
  Cardiovascular
  Respiratory Diseases
  Others


Component

  Software
  Services
  Hardware


End User

  Patients
  Providers
  Payers
  Others


Geography

  North America

    US
    Canada


  Europe

    France
    Germany
    Italy
    UK


  APAC

    China
    India
    Japan
    South Korea


  Rest of World (ROW)

By Application Insights

The obesity segment is estimated to witness significant growth during the forecast period.

Digital health, a sector that integrates wireless technologies into traditional medical activities, is experiencing significant growth and innovation. According to recent studies, the adoption of wireless health technologies has increased by 18.3%, with 30.7% of healthcare providers reporting the use of wireless medical devices. This trend is expected to continue, with industry experts projecting a 27.1% rise in the implementation of wireless health solutions over the next few years. One of the key wireless technologies driving this growth is 4G, which enables seamless communication between various medical devices and platforms. Bluetooth Low Energy (BLE) is another popular technology, offering low power consumption and high data transmission speeds. For instance, Dexcom's G4 Platinum continuous glucose monitoring system transmits data wirelessly within a 6-meter range, allowing for real-time monitoring and analysis. Wireless radio-frequency identification (RFID) technology is another essential component of digital health, facilitating efficient tracking and monitoring in healthcare settings. HIPAA compliance is a crucial consideration in this context, ensuring the secure handling and transmission of sensitive health data.

Request Free Sample

The Obesity segment was valued at USD 66.80 billion in 2019 and showed a gradual increase during the forecast period.

Beyond wireless communication, digital health encompasses various applications such as augmented reality surgery, medical device integration, digital therapeutics, mHealth interventions, sleep monitoring devices, pharmacov

The Global U.S. Digital Health Market Size Was Worth USD 82 Billion in 2023 and Is Expected To Reach USD 277 Billion by 2032, CAGR of 13%.

The revenue in the digital health market in the United States was modeled to stand at ************* U.S. dollars in 2024. Following a continuous upward trend, the revenue has risen by ************* U.S. dollars since 2017. Between 2024 and 2029, the revenue will rise by ************* U.S. dollars, continuing its consistent upward trajectory.Further information about the methodology, more market segments, and metrics can be found on the dedicated Market Insights page on Digital Health.

The global digital health market surges from USD 288.70 billion in 2024 to reach massive USD 2,121.82 billion by 2034, accelerating at a transformative CAGR of 22.1% with AI-powered medical solutions.

The global digital health market size is projected to grow from USD 329.39 billion in 2025 to USD 1183.79 billion by 2033, exhibiting a CAGR of 17.34%.
Report Scope:

The U.S. Digital Health Marketsize was valued at USD 133.41 USD Billion in 2023 and is projected to reach USD 480.83 USD Billion by 2032, exhibiting a CAGR of 20.1 % during the forecast period. Recent developments include: April 2023 – A new collaboration ‘Digital Health Action Alliance’ (DHAA), was launched by Mercer and the World Economic Forum (WEF) to research new technologies that can help reduce premature deaths due to non-communicable diseases (NCDs), particularly cardiovascular disease., April 2023 – Digital.Health, a new platform and resource for health and medicine, announced its launch, including a searchable database of digital health-related companies, solutions, and resources., March 2022 – GE HealthCare announced the introduction of the Edison Health Platform integrated artificial intelligence engine to enable hospitals and healthcare systems to effectively deploy the clinical, workflow, analytics, and AI tools, which would support improving care delivery, promoting high-efficiency operations, and increasing revenue growth., January 2021 – The American Telemedicine Association and the Digital Medicine Society (DiMe) launched a new virtual healthcare initiative, ‘Impact,’ to cultivate an ecosystem of organizations that view virtual care as their primary mission.. Key drivers for this market are: Introduction of Cost-effective Manufacturing Processes to Drive Market Growth. Potential restraints include: Cybersecurity Risks Associated with Patient Data Can Hamper Market Growth Prospects. Notable trends are: Increasing Number of Hospitals and ASCs Identified as Significant Market Trend.

The digital health market is experiencing significant growth across various segments, with fitness trackers leading the way. In 2024, fitness trackers are projected to generate nearly ** billion U.S. dollars in revenue worldwide, highlighting the increasing consumer interest in wearable technology for health monitoring. This trend is further supported by the widespread adoption of smartwatches, with physical activity tracking being the most common health indicator measured by European users in 2023. Growth in digital health segments While fitness trackers dominate the market, other segments are also showing promise. Digital care management, which includes online pharmacies and medication checker apps, is expected to generate around **** billion U.S. dollars in 2024. The overall digital health market is forecasted to see substantial user growth across all segments from 2019 to 2029, with the Digital Fitness & Well-Being segment projected to reach *** billion users by 2029. This growth is indicative of the increasing integration of digital solutions in healthcare and wellness practices. Investment trends and popular applications The digital health industry is attracting significant investment, particularly in major U.S. metropolitan areas. In 2022, the San Francisco metro area alone accumulated over *** billion U.S. dollars in digital health investments. However, the industry has seen fluctuations in mega deals, with the number dropping from ** in 2021 to ** in 2022. Despite this, consumer interest remains strong, as evidenced by the popularity of health and fitness apps. In 2022, Sweatcoin led the pack with ** million downloads worldwide, followed closely by the Blood Pressure App with ** million downloads.

In 2020, telemedicine was the biggest digital health sector in Asia, amounting to around **** billion U.S. dollars in market size. All segments of the digital health industry were projected to grow further until 2025, with the telemedicine market value projected to reach more than ** billion U.S. dollars that year. Telemedicine refers to an array of services providing remote support to patients via telecommunication technologies.

The revenue in the digital health market worldwide was modeled to stand at ************** U.S. dollars in 2024. Following a continuous upward trend, the revenue has risen by ************** U.S. dollars since 2017. Between 2024 and 2029, the revenue will rise by ************* U.S. dollars, continuing its consistent upward trajectory.Further information about the methodology, more market segments, and metrics can be found on the dedicated Market Insights page on Digital Health.

The global digital health market size was valued at USD 278.09 billion in 2024 and is set to expand at over 23.7% CAGR from 2025 to 2034, attributed to increased adoption of electronic health records and telehealth services.

Editor’s Choice

• The global Digital Health Market size is expected to be worth around USD 1,190.4 Billion by 2032 from USD 264.1 Billion in 2023, growing at a CAGR of 16.7% during the forecast period from 2023 to 2032.
• The US showed a 154% increase in telehealth usage in the first quarter of the year 2020.
• 76% of people over the age of 55 have used telemedicine.
• In the 2022 Survey, 80% of all respondents reported having accessed care via telemedicine at some point in their lives, up 8pp from 72% in 2021.
• 23.4 million U.S. patients will utilize remote patient monitoring services and tools in 2022.
• By 2024, remote patient monitoring services and tools are expected to reach 30 million U.S. patients.
• 80% of Americans favor remote patient monitoring and more than one-half are strongly supportive of incorporating it into medical care services.
• Approximately 30% (1266 out of 4551) of the adult population utilize wearable healthcare devices.
• The most likely groups to report using wearable healthcare devices were women 16.25%.

US Digital Health Market Size, Trends and Insights By Component (Software, Hardware, Services), By Technology (Mhealth Apps, Tele-Healthcare, Digital Health System, Others), By Application (Obesity, Diabetes, Cardiovascular Diseases, Respiratory Diseases, Others), and By Region - Industry Overview, Statistical Data, Competitive Analysis, Share, Outlook, and Forecast 2024–2033.

Reports Description

US Digital Health Market was valued at USD 93.8 Billion in 2024 and is expected to reach USD 297.8 Billion by 2033, at a CAGR of 19.3% during the forecast period 2024 – 2033.

Digital health refers to the use of digital technologies, such as mobile apps, wearable devices, telemedicine platforms, electronic health records (EHRs), and health information systems, to improve healthcare delivery, patient engagement, and health outcomes.

For more information, DOWNLOAD FREE SAMPLE Now at https://www.custommarketinsights.com/request-for-free-sample/?reportid=50459