Healthcare Cloud Picture Archiving And Communication System Market Size, Share & Trends Analysis Report By Application (Cardiology, Orthopedics, Ophthalmology), By End Use (Hospitals, Diagnostic Centers), By Region, And Segment Forecasts, 2024 - 2030

Market Size & Trends

The global healthcare cloud picture archiving and communication system market size was estimated at USD 788.0 million in 2023 and is anticipated to grow at a CAGR of 8.9% from 2024 to 2030.The rising need to store, manage, and transfer the ever-increasing healthcare data is a key factor propelling the adoption of these solutions. Picture archiving and communication system (PACS) helps minimize the overloading of data and accelerates disease detection. Furthermore, the advancements in technology pertaining to healthcare solutions as well as the co-existence of healthcare IT solutions have fueled the market growth. Cloud-based PACS offers secure and safe data storage. This is because these PACSs are less vulnerable to damage caused by hardware, and thus patient data is secure.

The increasing demand for universalization of clinical and medical image storage in all formats, coupled with the heightened usage of image archiving, is expected to propel market growth. Aging is considered to be the greatest risk factor for chronic conditions. The geriatric population is highly susceptible to chronic conditions. Thus, the increasing global geriatric population in both developed and developing nations is expected to propel market growth. The increasing prevalence of corona-positive patients, along with the shortage of healthcare professionals, owing to the imposed lockdowns, has increased the necessity for improved healthcare solutions.

The ability to analyze and further transmit healthcare data and information, review images and collaborate with clinical staff & healthcare professionals during the pandemic to ensure quality clinical outcomes has boosted and favored the demand for healthcare cloud-based PACS. Furthermore, rising physicians’ flexibility for patient data accession to diagnostic images anywhere during the pandemic has further propelled the market growth. The COVID-19 pandemic had a major impact on the market growth as there was a high demand for faster and easier access to patient images & medical records, particularly from CT and MRI departments. Cloud PACS has an advantage over on-premise solutions in terms of data resiliency, seamless scalability, cost-effectiveness, and real-time backup, making it the most preferable solution for mid-size organizations.

Diagnostic imaging experts and healthcare providers are switching to cloud-native PACS solutions as imaging informatics develops to facilitate interoperability and optimize resources. Wherever information is required, the healthcare cloud PACS solutions can lower costs, support scalability, and offer secure, on-demand access, such factors help propel the market. Several manufacturers are also introducing such solutions to cater to the demand from end-use industries. For instance, in June 2023, Change Healthcare launched cloud-native PACS. A fully operated cloud-native software as a service (SaaS), Stratus Imaging PACS offers a safe, scalable solution at a simple cost per study. By switching to a fully operated cloud-native SaaS model, practices can save money on overhead and upkeep, offer dependable remote reading access, and take advantage of best practices in cybersecurity. Such innovations and upgradation in technology would likely drive the market over the forecast year.

Industry Dynamics

The healthcare Cloud PACS market is marked by a high degree of innovation, driven by the integration of advanced technologies such as AI and machine learning, enabling automated image analysis and enhanced diagnostic accuracy. For instance, in November 2023, Koninklijke Philips N.V., announced the expansion of its enterprise imaging portfolio and AI-powered solutions at #RSNA23. The newly introduced Philips HealthSuite Imaging, a next-generation cloud-based PACS, leverages Amazon Web Services (AWS) to enhance radiology and clinical workflows. This platform offers advanced features such as high-speed remote diagnostic reading, integrated reporting, and AI-enabled workflow orchestration. Delivered securely via the cloud, it also aims to reduce the IT management burden while improving operational efficiency and patient care.

“With healthcare systems under increasing pressure, the focus of clinicians’ has shifted from technical specifications towards more efficient workflows that lead to accurate diagnoses - and that’s what we are delivering here,” said Shez Partovi, Chief Innovation & Strategy Officer and Business Leader Enterprise Informatics at Philips. “By shifting from on-premises to the cloud, we can leverage the security, reliability, and unmatched breadth and depth of AWS to support healthcare organizations in their mission to deliver high quality care while easing the burden on their staff.”

-vice president of database, analytics, and machine learning at AWS

The level of M&A activities in the market is high, enabling companies to expand geographically, financially, and technologically. For instance,in August 2023, Experity, acquired OnePACS, a SaaS company in the Picture Archiving and Communication Systems (PACS) and Teleradiology sectors. This strategic acquisition enhances Experity’s leadership in urgent care Teleradiology, bridging a critical gap in on-demand care delivery.

The impact of regulations is moderate to high in the industry. Regulations play a crucial role in shaping the healthcare Cloud PACS market by ensuring data security, patient privacy, and compliance with standards like HIPAA in the U.S. and GDPR in Europe. These regulations drive the adoption of advanced security measures, increase operational costs, and influence the design of cloud solutions. Compliance requirements can also act as barriers to entry for smaller players, affecting market dynamics and innovation.

The healthcare Cloud PACS market is witnessing significant geographic expansion, driven by increasing adoption in emerging markets such as Asia Pacific, Latin America, and the Middle East. These regions are embracing cloud-based healthcare solutions due to growing healthcare infrastructure, technological advancements, and rising demand for efficient medical imaging management. North America and Europe continue to dominate the market, but the expansion in these developing regions is accelerating overall market growth.

Application Insights

The cardiology segment is expected to hold the largest market share of 21.1% in 2023. Cardiology PACS can connect to cardiac imaging systems, patient Electronic Medical Records (EMR), Diagnostic Test (ECG), and cath lab hemodynamics systems, among others. They can help aggregate all cardiac patient data, waveforms, and images into one location. Technological advancements in this area are anticipated to fuel market growth over the projected period. The growth of the segment is a result of the rising prevalence of cardiac disorders, which is expected to have a significant impact on the adoption of the solutions. According to the American Heart Association in 2018, the death rate reported due to cardiac disorders in the U.S. was 217.1 per 100,000 population, which is also one of the leading causes of death in the country.

The oncology segment is expected to grow at the fastest CAGR of 9.4% during the forecast period. This can be attributed to rising incidence and prevalence of cancer cases worldwide. As per the World Cancer Research Fund International (WCRFI) data in 2020, approximately 18.1 million cancer cases were estimated, and of these 8.8 million cases were in women and 9.3 million in men. Lung and breast cancer were the most common cancers worldwide. The growing number of cancer cases has led to an increased demand for efficient and reliable systems for managing oncology-related medical images, such as radiology scans, pathology slides, and other diagnostic imaging modalities. Cloud PACS provides a secure and centralized platform for storing, accessing, and sharing these critical images across healthcare facilities.

End Use Insights

The hospital segment held the majority of the revenue share in 2023. Hospitals, with their multiple departments and specialists, require seamless access to medical images. This necessity highlights the importance of integration and interoperability in PACS systems. The growing demand for medical imaging services, combined with the need for efficient image management, has driven the expansion of PACS market in hospitals. In addition, advancements in imaging technology, such as 3D and 4D imaging, have heightened the need for these systems to handle and store large volumes of high-resolution images.

The PACS solutions seamlessly integrate with EMR/EHRs as well as help exchange patient health-related information. Moreover, the ability of PACS to deliver a comprehensive suite of clinical tools has increased workflow efficiency. Such factors are driving the growth in the segment. Moreover, technological advances in healthcare owing to rising R&D in the field of medicine are anticipated to fuel demand for healthcare cloud PACS. Increasing adoption of Cloud-based PACS in research labs due to its growing application scope across medical specialties, such as orthopedics, neurosurgery, oncology, & cardiology, fuels market growth.

Regional Insights

North America dominated the market and accounted for the largest revenue share of 38.7% in 2023. The market growth can be attributed to various factors, such as the presence of key players in the region and high investment in health care expenditure. In addition, technological advancements and high disposable income are some of the factors expected to fuel market growth over the forecast period.

U.S. Healthcare Cloud Picture Archiving And Communication System Market Trends

Healthcare cloud PACS market in the U.S. is growing lucratively over the forecast period. The U.S. plays a major role in the cloud PACS market due to its extensive network of hospitals and healthcare facilities investing in these systems to handle increasing volumes of medical imaging data. Several companies are expanding in the cloud PACS market, introducing innovative solutions that address medical image management challenges.

These emerging players are utilizing advanced technologies such as cloud computing, artificial intelligence, and machine learning to create more efficient, user-friendly, and cost-effective solutions compared to traditional PACS systems. For instance, in October 2021, Intelerad acquired Ambra Health, a global provider of Cloud PACS and enterprise imaging. Over the past 11 months, Intelerad has significantly expanded its capabilities, now managing over 50 billion images, interpreting more than 130 million exams annually, and serving nearly 2,000 customers, including all of the top 10 U.S. best hospitals.

Asia Pacific Healthcare Cloud Picture Archiving And Communication System Market Trends

Asia Pacific is anticipated to grow at the fastest CAGR over the forecast period, owing to the rapid urbanization, increasing healthcare expenditures, and a growing emphasis on technological advancements. The expanding healthcare infrastructure and rising demand for digital solutions are key drivers. In addition, government initiatives to improve healthcare delivery and the growing adoption of cloud-based solutions among healthcare providers contribute to the market's expansion in this region.

The healthcare cloud PACS market in China is advancing due to significant technological integrations enhances medical imaging interpretation efficiency and accuracy, reflecting the broader trend towards leveraging AI in healthcare. For instance, in October 2019, RADLogics Inc. announced at RSNA's annual meeting that ChainZ Medical Technology Co., based in Suzhou, China, has chosen the RADLogics Virtual Resident AI solution for integration with its Smart Cloud PACS/RIS system, used by radiologists across China. The push for advanced digital solutions, supported by the Chinese government's modernization efforts and increasing healthcare data management needs, is driving substantial growth in the healthcare cloud PACS market within China.

Europe Healthcare Cloud Picture Archiving And Communication System Market Trends

Healthcare cloud PACS market in Europe is growing due to increased emphasis on digital transformation and the need for efficient data management across healthcare institutions. The adoption of cloud-based solutions is supported by stringent regulatory standards and the push for interoperability among various healthcare systems. In addition, the increasing partnership and collaboration activities in the Europe to adopt cloud based PACS would likleuy drive the market growth. For instance, in July 2022, GE Healthcare and Amazon Web Services (AWS) have launched their partnership in Europe with the deployment of Edison True PACS at Royal Orthopaedic Hospital NHS Foundation Trust in England. This deployment aims to support radiologists by offering advanced productivity tools designed to increase reading speed, improve diagnostic accuracy, reduce errors, and enhance diagnostic confidence.

The healthcare cloud PACS market in UK is fueled by the National Health Service (NHS) digitization initiatives and the shift towards integrated care systems. The UK's focus on improving healthcare delivery through advanced solutions, along with investment in modernizing healthcare infrastructure, is driving the adoption of Cloud PACS. In addition, government-funded projects and increasing awareness of the benefits of cloud technology contribute to market growth.

Latin America Healthcare Cloud Picture Archiving And Communication System Market Trends

Healthcare Cloud PACS market in Latin American is poised for significant growth, fueled by strategic partnerships and technological advancements. The recent collaboration among the market players. For instance, in October 2023, Intelimed AI and DeepC highlights the region's shift towards integrating AI-driven solutions and cloud technology in healthcare. This alliance aims to enhance diagnostic accuracy and operational efficiency, addressing critical gaps in the healthcare infrastructure. Such innovations, coupled with increasing digital health investments, are driving the expansion and modernization of Cloud PACS solutions across Latin America.

Middle East & Africa Healthcare Cloud Picture Archiving And Communication System Market Trends

The healthcare cloud PACS market in Middle East and Africa is growing due to ongoing investments in healthcare infrastructure and a rising focus on digital transformation. The region's increasing demand for efficient data management solutions and the expansion of healthcare facilities are key growth factors. In addition, government initiatives to enhance healthcare services and the growing adoption of cloud-based solutions among healthcare providers contribute to market growth in MEA.

Key Healthcare Cloud Picture Archiving And Communication System Company Insights

Market players are involved in business activities, such as strategic collaborations, new product launches, and regional expansion, as emerging countries are still in the loop of adopting Healthcare Cloud PACS. These strategic initiatives are expected to present this market with future growth opportunities.

Recent Developments

• In May 2023, NADICO has introduced a next-generation, cloud-based Software as a Service (SaaS) Picture Archiving and Communication System (PACS). This solution enables radiologists and clinicians to access and view X-ray, PET, CT, MRI, and DSA scans on any device at a low cost and with minimal delay. According to the company, scan results are available for viewing within minutes of completion.

• In August 2021, GE Healthcare launched Edison True PACS, a diagnostic imaging and workflow solution aimed at enhancing the efficiency and accuracy of radiologists amidst high staff burnout and retirements. This solution helps manage capital and IT resources effectively. Currently available in the U.S., Edison True PACS is expected to roll out in additional regions starting in 2022.

“Radiologists are desperate for the latest tools to most effectively do their jobs. But organizations often lack the financial and IT resources required to access and implement them. With the launch of Edison True PACS, we have taken the first steps to provide cloud-based enterprise imaging solutions that can help transform patient care through accessible, sharable, and secure imaging data while simultaneously improving clinical and operational efficiencies.”

-senior vice president and general manager, Enterprise Imaging Solutions, GE Healthcare.

• In April 2020, Konica Minolta Healthcare Americas launched a new medical image management solution for specialty clinics called Rede PACS and Rede Mini PACS. This enhanced the company’s portfolio. Furthermore, in March 2020, Ambra Health partnered with Perspectum, a leading developer of medical image analysis technologies. This enabled the integration of the company’s Cloud PACS solution with the latter’s flagship product called LiverMultiScan.

Healthcare Cloud Picture Archiving And Communication System Market Report Scope

Global Healthcare Cloud Picture Archiving And Communication System Market Report Segmentation

This report forecasts revenue growth at global, regional, & country levels, and provides an analysis of the industry trends in each of the sub-segments from 2018 to 2030. For the purpose of this study, Grand View Research has segmented the global healthcare cloud PACS market report based on application, end use, and region:

• Application Outlook (Revenue, USD Million, 2018 - 2030)

  • Cardiology

  • Orthopedics

  • Ophthalmology

  • Oncology

  • Veterinary Medicine

  • Others

• End Use Outlook (Revenue, USD Million, 2018 - 2030)

  • Hospitals

  • Diagnostic Centers

  • Others

• Regional Outlook (Revenue, USD Million, 2018 - 2030)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • UK

    • Germany

    • France

    • Italy

    • Spain

    • Sweden

    • Denmark

  • Asia Pacific

    • Japan

    • China

    • Australia

    • India

    • South Korea

    • Thailand

  • Central & South America

    • Brazil

    • Argentina

  • Middle East & Africa

    • South Africa

    • Saudi Arabia

    • UAE

    • Kuwait