The U.S. digital therapeutics market size is projected to reach USD 5.41 billion by 2027, expanding at a CAGR of 22% during the forecast period 2020 to 2027.
The U.S. digital therapeutics market size was valued at USD 1.01 billion in 2019, according to a new report by Vision Research Reports.
Technological advancement in healthcare IT, increasing demand for integrated healthcare system, and cost effective patient care are driving the market growth. The need for cost-effective healthcare is increasing due to rising healthcare expenditure. Digital health technology is being encouraged and preferred to avoid unnecessary costs and promote cheaper & alternative means of healthcare delivery, thus propelling the market. Moreover, rising demand for remote monitoring services due to increasing incidence of chronic diseases worldwide is one of the factors propelling market growth. Digital therapeutic applications allow patients to manage and treat diseases without constant medical intervention, thereby drastically reducing healthcare expenditure.
Increasing number of smartphone users in the U.S. is projected to drive market growth. The country has the highest smartphone and 4G adoption rates. Awareness regarding smart health tracking is also expected to increase due to rapidly rising smart healthcare devices. Digital therapeutics can offer on-demand care to patients, with the ability to diagnose and treat patients earlier. Moreover, biopharmaceutical companies are collaborating with digital therapeutic provides to give patients a better quality of care, thereby propelling the growth of the market.
Diabetes dominated the application segment with a revenue share of over 22% in 2019. The growth can be attributed to increasing incidence of this diseases and demand for self-management and constant monitoring
Patients segment dominated the end-use segment with a share of around 31% in 2019 owing to increased adoption of healthcare IT services through Artificial Intelligence (AI) driven smartphone apps
In the wake of COVID 19 pandemic, patients with chronic diseases are facing challenges in managing medications, visiting healthcare providers, and maintaining a balanced diet. DTx therapy can be useful in managing patient conditions remotely
Some of the prominent players in the U.S. digital therapeutics market include:
Proteus Digital Health, Inc.
Omada Health, Inc.
Livongo Health, Inc.
Click Therapeutics, Inc.
Akili Interactive Labs, Inc.