Artificial Intelligence in Indian Healthcare Market 2024-2028

Artificial Intelligence in Indian Healthcare Market 2024-2028

Market Insights:

The rapid expansion of smartphones and internet access, supported by government initiatives, has driven significant growth in India's digital health market. The country witnesses 200,000–300,000 telemedicine consultations daily, not limited to major cities. Digital healthcare promotes patient-centric care, engagement, awareness, treatment adherence, and data access. Challenges persist in rural areas with low healthcare staffing levels and inadequate facilities. Over 70% of India's population residing in rural areas faces limited access to high-quality diagnostic services. Looking ahead, by 2030, the government envisions 3,000 health technology businesses generating 40 million jobs. Initiatives like NITI Aayog validating AI in eye care and AI-powered solutions for managing diabetes showcase the country's commitment to leveraging technology for healthcare improvements. In terms of revenue, the AI in healthcare market in India was valued at INR 1,083.45 Bn in 2023. It is expected to reach INR 2,160.87 Bn by 2028, expanding at a compound annual growth rate (CAGR) of ~13.57% during the 2024 – 2028 period.

Market Influencers:

Market drivers:

The emergence of digitization, significant computing capabilities, and advanced machine learning models empower healthcare providers to utilize patient data for risk assessment, identification of at-risk individuals, and prioritization of their treatment. Networks centered on artificial intelligence analyze patients' health records, offering real-time medical data and solutions. AI holds the potential to enhance healthcare services and reduce costs, ultimately resulting in more precise and focused diagnoses. AI-enabled systems have the capability to efficiently conduct specific tests, including the analysis of CT scans and other routine procedures in hospitals, ensuring accuracy.

Market Challenges:

The healthcare sector in India displayed reluctance towards embracing digital technologies, a contrast to other data-intensive industries. Additionally, the domestic market heavily depends on global companies for technical support in terms of innovation and technology. The implementation of the Electronic Health Record (EHR) policy in India lacks standardization, resulting in variations in the interpretation of digitized data. As digitization advances swiftly, cybersecurity emerges as a notable hurdle for the healthcare industry's growth. The sector is witnessing a rising number of social engineering and email spoofing attempts, targeting human nature and behavior. Incidents such as the disruption of patient care, breaches in unsecured medical databases, and targeted attacks on healthcare websites are becoming more frequent.