Healthcare Digital Twins Market Size, Share & Trends Analysis Report By Type (Process & System Digital Twin, Product Digital Twin), By Application, By End-use, By Region, And Segment Forecasts, 2022 - 2030

Report Overview

The global healthcare digital twins market size was valued at USD 462.6 million in 2021 and is expected to expand at a compound annual growth rate (CAGR) of 25.6% from 2022 to 2030. Digital twins are used in healthcare to build digital representations of healthcare data such as lab results, hospital environment, and human physiology. The representations help to optimize costs, improve efficiency, and anticipate future demand. These are some of the key factors that are anticipated to drive the demand for the technology during the forecast period. Digital twins help in the transformation of the healthcare industry by adopting a real time interactive and integrated approach for data capturing, effective interventions, and offering real time data backed feedback. Rising adoption of medical records, sensors, mobile applications, and wearables in the healthcare industry to monitor patient data is anticipated to drive the demand for this technology. The data generated from these applications can be used to develop simulations to test drugs and medical devices. Despite the varied applications of digital twins, the adoption of the technology in the healthcare sector is still in a nascent stage.

Rising adoption of this technology in the healthcare sector and the positive approach of the healthcare professionals towards the adoption of the technology are anticipated to drive the market. For instance, according to an article by AI Multiple, dated May 2022, 66% of the healthcare professionals expect increasing investments in digital twins, the adoption of which helps to improve the performance of healthcare organizations, facilitate personalization of medicine, provide customizations, and enable the development of new devices and medications. The technology has a tremendous opportunity for the development of personalized medicine based on the genetic makeup, behavior, and anatomy of an individual. For instance, Swedish researchers have been mapping mice RNA into various digital twin models with the aim to personalize the diagnosis and treatment of arthritis in humans.

Rising number of security breaches in healthcare institutions and high investments required to support the infrastructure of the technology are some of the restraining factors for the market. For instance, according to an article by Consulting Engineer, the cost of a digital twin for a Grade A commercial building of about 60,000 sq. m. can cost USD 1.2 to 1.7 million, and the costs rise to USD 3 to 4.2 million for complex and larger facilities measuring 200,000 sq.m. This is anticipated to hamper the growth of the market during the forecast period.

The COVID-19 pandemic had a positive impact on the market growth. Digital twins have been adopted by healthcare facilities after the pandemic in order to optimize workflows and predict the efficiency of the facilities to deal with the increased patient inflow which was observed during the pandemic. Pharmaceutical companies leveraged the technology to develop vaccines in order to keep up with the increased demand. The digital twins were used to develop live replicas of the physical processes in the vaccine process to improve the efficiency of the processes.

Type Insights

Process and system digital twins dominated the market in 2021 with a share of over 65.0%. Factors such as the use of artificial intelligence, virtual reality, and mixed reality to optimize the processes are expected to contribute to the market growth. Process and system digital twins allow the doctors to work on holograms, which help them to work in both virtual as well as physical models. The holograms receive data from all the processes, which represent the entire system.

Product digital twin is anticipated to expand at a rate of 28.7% over the forecast period. Rising demand for electronic manufacturing devices and IoT sensors across the healthcare sector is anticipated to drive the demand for the products during the forecast period. Product digital twins provide a virtual representation of the product that helps to understand the characteristics and performance of the product in a simulated environment. The use of this technology eliminates the need for multiple prototypes, reduces the development time, and improves the quality of the manufactured products.

End-use Insights

The hospitals and clinics segment held the largest share of over 30.0% in 2021. Digital twins are used in healthcare facilities to enable optimization of hospital staff and detect bed shortages in the facility. This enables the staff to make informed decisions, which helps to increase the efficiency of resource utilization while reducing costs. For instance, IBM Process Mining software generates a digital twin that can be used to create replicas of businesses in healthcare facilities and run simulations in order to identify challenges that may occur in the future.

The clinical research organizations segment is estimated to register the fastest growth rate of 26.3% during the forecast period. Clinical research organizations perform precise R&D functions for biotech and pharmaceutical functions. This technology helps these organizations to test the efficiency and dosage of the drugs on the twins before the actual trials have been conducted. This is anticipated to reduce the time and costs required for the trials while maintaining regulatory compliance. For instance, AI models trained on historical data are being used by companies to create digital twins that can predict the patient outcome over the course of the trial if they were treated with the current standard of care as compared to a placebo.

Application Insights

The asset and process management segment held the largest share of over 35.0% in 2021. This can be attributed to increasing adoption by the hospitals and healthcare facilities to make informed decisions about the assets that need maintenance or repair. The technology also helps to create digital records of the physical assets that can be used by the members in the facility to ensure that the assets are being used to their optimum functionality.

Drug discovery is anticipated to expand at a CAGR of 29.9% during the forecast period. Digital twins are used by pharmaceutical companies to improve and streamline manufacturing processes and for drug development. The technology provides real time data about each process and enables the manufacturers to make changes in manufacturing steps in order to improve the efficiency of the process. These factors are anticipated to drive the segment during the forecast period. Pharmaceutical companies use digital twin technology during the pandemic to accelerate the development of vaccines through the use of real time data provided by digital twin technology.

Regional Insights

North America dominated the market in 2021 with a share of over 45.0%. High rate of adoption of automation and digital solutions in healthcare facilities across the region is expected to fuel the market growth in the region. The presence of key players in the region such as IBM Corporation, Microsoft, and IQVIA is anticipated to boost the adoption of the technology. Further, the availability of digital infrastructure in the region due to lucrative funding and favorable government initiatives are key factors that are anticipated to drive the demand for the technology in the region.

Asia Pacific is estimated to register the fastest growth rate of 29.4% during the forecast period. Rising investments by venture capitalists, private investors, and non-profit organizations in AI-based technology are anticipated to drive the market in the region. Moreover, rising penetration of IoT devices in the region is anticipated to drive the market demand during the forecast period. For instance, according to an article by AuManufacturing, of the total IoT devices used in various industries, 30.3% of IoT devices are used in healthcare. IoT devices have varied applications in healthcare, which range from serving as a safety measure for personal records to portable health monitoring.

Key Companies & Market Share Insights

Rising competition in the market owing to innovative product offerings by key players, entry of newer players, and increasing number of startups has led to high market growth. Various regulatory norms and favorable initiatives by governments for boosting digital health are also impacting the competitive landscape.

For instance, in May 2020, Atos partnered with Siemens to develop a process digital twin for the pharmaceutical industry. The solution will be based on a digital replica of pharma production process powered by advanced analytics, AI, and IoT and is designed to improve flexibility and efficiency of manufacturing pharmaceutical products. Such initiatives are anticipated to boost the competition, thereby supporting the market growth over the forecast period. Some prominent players in the global healthcare digital twins market include:

• Atos

• Dassault Systems (3DS System)

• Microsoft

• Philips Healthcare

• Unlearn.AI, Inc.

• PrediSurge

• QiO Technologies

• Verto Healthcare

• ThoughWire

• Fasttream Technologies

• Twin Health

Healthcare Digital Twins Market Report Scope

Global Healthcare Digital Twins Market Segmentation

This report forecasts revenue growth at the global, regional, and country levels and provides an analysis of the latest industry trends and opportunities in each of the sub-segments from 2016 to 2030. For the purpose of this study, Grand View Research has segmented the global healthcare digital twins market report on the basis of type, application, end-use, and region:

• Type Outlook (Revenue, USD Million, 2016 - 2030)

  • Process & System Digital Twin

  • Product Digital Twin

• Application Outlook (Revenue, USD Million, 2016 - 2030)

  • Asset And Process Management

  • Personalized Medicine

  • Drug Discovery

  • Others

• End-use Outlook (Revenue, USD Million, 2016 - 2030)

  • Clinical Research Organizations (CROs)

  • Hospitals And Clinics

  • Research & Diagnostic Laboratories

  • Others

• Regional Outlook (Revenue, USD Million, 2016 - 2030)

  • North America

    • U.S.

    • Canada

  • Europe

    • Germany

    • U.K.

    • France

    • Italy

    • Spain

    • Russia

  • Asia Pacific

    • Japan

    • China

    • India

    • Australia

    • Singapore

    • South Korea

  • Latin America

    • Brazil

    • Mexico

    • Argentina

  • MEA

    • South Africa

    • UAE

    • Saudi Arabia