Smart Hospitals Market

• February 2022, GE Healthcare, a subsidiary of General Electric Company, collaborated with AWS to provide AI-enabled diagnostic imaging cloud solutions for healthcare organizations. The company focused on providing better clinical insights and transforming healthcare quality by including accessories, such as sensor readings, genomics, lab tests, etc.

• January 2022, Francisco partners announced the acquisition of IBM healthcare data and analytics assets. This acquisition provided the company with an enhanced platform for hybrid cloud and AI strategy in the healthcare market.

In this report, the Smart Hospitals Market has been segmented by Component, Product, Connectivity, Applications, and Geography.

Smart Hospitals Market, Segmentation by Component

The Smart Hospitals Market has been segmented by Component into Hardware, System & Software, and Services.

Hardware

The hardware segment dominates the market with over 45% share, driven by increasing adoption of medical devices and advanced monitoring equipment in smart hospital environments. This includes IoT-enabled tools, RFID systems, and wearable technologies for real-time patient tracking.

System & Software

Accounting for nearly 35% of the market, this segment is propelled by the integration of AI-powered analytics and hospital information systems (HIS). These solutions enhance operational efficiency, reduce errors, and facilitate predictive healthcare management.

Services

The services segment is experiencing a growth rate above 9% CAGR, due to rising demand for technical support and consulting services in the implementation and maintenance of smart hospital infrastructure. Cloud-based support and remote monitoring are key drivers here.

Smart Hospitals Market, Segmentation by Product

The Smart Hospitals Market has been segmented by Product into Smart Pill, MHealth, Telemedicine and Electronic Health Record.

Smart Pill

The smart pill segment is gaining traction with a projected growth of over 10% CAGR, due to its role in enhancing patient compliance and enabling real-time internal health monitoring. These pills are embedded with sensors that transmit data post-ingestion, supporting precision medicine.

MHealth

MHealth holds nearly 30% of the market share, owing to the widespread use of mobile health apps and wearable health-tracking devices. It empowers patients to manage chronic conditions remotely and allows healthcare providers to deliver personalized care.

Telemedicine

With accelerated adoption post-pandemic, telemedicine accounts for around 25% of the smart hospitals market. It enables remote consultation services and continuous patient monitoring, particularly benefiting rural and underserved areas.

Electronic Health Record

The EHR segment represents over 20% of the market, driven by the digitization of medical records and improved clinical workflow integration. EHRs support real-time data access and interoperability across departments for enhanced healthcare delivery.

Smart Hospitals Market, Segmentation by Connectivity

The Smart Hospitals Market has been segmented by Connectivity into Wired and Wireless.

Wired

Wired connectivity remains vital in smart hospitals, offering stable networks and low-latency data transmission. Despite the rise of wireless systems, it still holds around 40% market share, especially in environments where consistent, high-speed performance is critical.

Wireless

The wireless segment dominates with over 60% market share, driven by the integration of IoT-enabled devices and increased reliance on cloud-based platforms. Wireless infrastructure enhances flexibility, enabling seamless communication across departments and with remote patients.

Smart Hospitals Market, Segmentation by Applications

The Smart Hospitals Market has been segmented by Applications into Remote Medicine Management, Medical Assistance, Medical Connected Imaging, Electronic Health Record & Clinical Workflow and Others.

Remote Medicine Management

Remote medicine management is gaining traction, accounting for over 25% of the application share. It enables real-time monitoring of patients and remote drug administration, improving compliance and reducing hospital visits.

Medical assistance applications play a crucial role in smart hospitals, enhancing patient engagement through AI-driven alerts and robotic process automation. This segment holds approximately 20% market share, driven by the need for streamlined care delivery.

Medical connected imaging supports real-time diagnostics and data sharing among departments, ensuring accurate and timely treatment. It contributes nearly 18% of the application segment and is growing with the adoption of PACS and AI integration.

This segment leads with over 30% share, focusing on digital record-keeping and efficient workflow automation. It improves access to medical history and supports better clinical decisions through integrated data analytics.

The ‘Others’ category includes support systems like smart beds, environmental control systems, and wearables, collectively making up around 7% of the market. These solutions contribute to personalized care and enhanced patient comfort.

Smart Hospitals Market, Segmentation by Geography

In this report, the Global Smart Hospitals Market has been segmented by Geography into five regions; North America, Europe, Asia Pacific, Middle East and Africa and Latin America.

Smart Hospitals Market Share (%), by Geographical Region

North America

North America holds the largest share of the smart hospitals market, accounting for nearly 40% due to its advanced healthcare infrastructure and rapid adoption of digital technologies. Strong government support and high investment in health IT are further propelling market growth.

Europe

Europe follows closely with approximately 25% market share, driven by growing emphasis on eHealth initiatives and rising demand for telemedicine. Countries like Germany and the UK are leading the shift toward intelligent hospital systems.

Asia Pacific

The Asia Pacific region is experiencing the fastest growth, with an expected CAGR of over 20%, fueled by rising healthcare spending and increasing adoption of smart medical devices in countries like China, India, and Japan.

Middle East & Africa

This region is gradually expanding its smart hospital capabilities, contributing around 7% to the global market. Government-led modernization efforts and rising focus on digital health are key growth drivers here.

Latin America

Latin America is showing steady adoption, holding nearly 8% market share. Investments in healthcare digitization and increasing demand for remote health services are boosting smart hospital initiatives across Brazil and Mexico.

This report provides an in depth analysis of various factors that impact the dynamics of Global Smart Hospitals Market. These factors include; Market Drivers, Restraints and Opportunities Analysis.

Drivers, Restraints and Opportunity Analysis

Drivers

• Digital transformation in healthcare
• Advancements in technology
• Increasing prevalence of chronic diseases

• Aging population - The aging population is a significant demographic trend worldwide, characterized by an increasing proportion of elderly individuals within society. This demographic shift is primarily driven by factors such as declining fertility rates and advancements in healthcare that have led to longer life expectancies. As a result, many countries are experiencing a demographic transition where the median age of the population is rising, posing both challenges and opportunities for healthcare systems, economies, and societies at large.

  The aging population presents several challenges for healthcare systems, including a higher prevalence of chronic diseases, age-related disabilities, and complex healthcare needs. Elderly individuals often require more frequent medical care, long-term support services, and specialized treatments for age-related conditions such as cardiovascular diseases, diabetes, arthritis, and dementia. As the proportion of elderly individuals increases, healthcare systems must adapt to meet the growing demand for geriatric care, rehabilitative services, and palliative care, while ensuring access to quality healthcare services for all age groups.

  Despite the challenges posed by an aging population, there are also opportunities for innovation, economic growth, and societal development. The silver economy, which refers to economic activities and markets related to products and services for older adults, presents significant opportunities for businesses and entrepreneurs. From healthcare technologies and assistive devices to leisure and lifestyle products, the silver economy encompasses a wide range of industries catering to the needs and preferences of elderly consumers. Moreover, the aging population brings valuable experience, knowledge, and wisdom to society, contributing to intergenerational solidarity, community cohesion, and social capital. By embracing the opportunities presented by an aging population and adopting age-friendly policies and practices, societies can promote healthy aging, improve quality of life for older adults, and create inclusive and sustainable communities for people of all ages.

Restraints

• Data privacy and security concerns
• Interoperability issues
• High implementation costs

• Resistance to change among healthcare professionals - Resistance to change among healthcare professionals is a common challenge encountered when implementing new technologies, workflows, or practices within healthcare settings. This resistance can stem from various factors, including concerns about the impact on patient care, workflow disruption, job security, lack of familiarity with new technologies, and perceived threats to professional autonomy and expertise. Addressing resistance to change among healthcare professionals is crucial for successful adoption and implementation of innovations aimed at improving patient outcomes and enhancing healthcare delivery.

  One of the key strategies for overcoming resistance to change is effective communication and engagement with healthcare professionals throughout the change process. Providing clear and transparent communication about the rationale for change, the benefits of the proposed innovations, and the potential impact on patient care can help alleviate concerns and build buy-in among healthcare professionals. Involving frontline staff in the decision-making process, soliciting their input and feedback, and addressing their concerns and objections can foster a sense of ownership and empowerment, increasing their willingness to embrace change.

  Education and training are also essential for overcoming resistance to change among healthcare professionals. Providing comprehensive training programs, workshops, and hands-on experiences with new technologies and workflows can help build confidence and competence among staff members, reducing anxiety and resistance to change. Offering continuous support and resources, such as access to training materials, peer mentoring, and technical assistance, can further reinforce learning and facilitate the transition to new ways of working.

Opportunities

• Telemedicine expansion
• Wearable devices integration
• AI-driven clinical support

• Personalized medicine growth - Personalized medicine, also known as precision medicine, is experiencing significant growth and transformation within the healthcare industry. This approach to healthcare is centered on tailoring medical treatment and interventions to individual patients based on their unique genetic makeup, lifestyle factors, environmental influences, and other personal characteristics. The growth of personalized medicine is driven by several key factors:

  Advancements in genomics and molecular biology: The rapid advancement of genomic sequencing technologies and molecular profiling techniques has enabled healthcare providers to obtain detailed insights into patients' genetic variations, biomarkers, and molecular pathways. These advancements have facilitated the development of targeted therapies and precision diagnostics that are personalized to the specific genetic profile of each patient.

  Increasing availability of healthcare data: The proliferation of electronic health records (EHRs), wearable devices, mobile health applications, and other health technologies has led to the generation of vast amounts of healthcare data. This wealth of data provides valuable information about patients' health status, medical history, treatment responses, and outcomes, enabling healthcare providers to make more informed decisions and tailor interventions to individual patient needs.

Key players in Global Smart Hospitals Market include;

• Alphabet Inc. (Google Inc.)
• Enlitic Inc.
• General Vision
• Intel Corporation
• IBM Corporation
• Microsoft Corporation
• Nonin Medical, Inc.
• Nvidia Corporation
• Next IT Corp.
• Welltok Inc.
• GE Healthcare

In this report, the profile of each market player provides following information:

• Company Overview and Product Portfolio
• Key Developments
• Financial Overview
• Strategies
• Company SWOT Analysis