Radiology As A Service Market Size, Share & Trends Analysis Report By End User (Hospitals, Nursing Homes), By Service (Teleradiology, Technology Management), By Region, And Segment Forecasts, 2021 - 2028

Report Overview

The global radiology as a service market size was valued at USD 1.1 billion in 2020 and is projected to grow at a compound annual growth rate (CAGR) of 20.3% from 2021 to 2028. Increasing demand for advanced, low-cost cloud-based medical imaging services is the key driving factor for the market. In addition, the rising number of cancer cases globally increases the number of medical images, which, in turn, is expected to drive market growth. According to the National Cancer Institute (NCI), about 39.5% will be diagnosed with cancer at some point in their life. In 2018, there were 18.1 million new cases worldwide, and the number is expected to rise to 29.5 million by 2040. Further, the growing number of medical images and the low availability of radiologists around the globe are projected to propel the market growth over forecast years.

According to the Association of American Medical Colleges (AAMC) 2019 survey in the U.S., there could have a shortfall of 42000 radiologists by 2033. In addition, as per the AAMC public opinion survey in 2019, about 35% of Americans had trouble finding a doctor during the past three years. Advancements in medical imaging technology have contributed to the increasing preference for teleradiology and cloud-based imaging services. The integration of Artificial Intelligence (AI) interface with teleradiology workflows helps the radiologist more efficiently and accurately.

Radiology as a service offers 24/7 service to support and enhance the work of radiologists around the globe. The radiology as a service model also provides quality diagnostic imaging through teleradiology, cloud-based imaging, technology management, and consulting services via trained professionals. radiology as a service provides radiologists with easy access to rural district hospitals and community health centers. The COVID-19 pandemic has negatively impacted various markets. Few industries, including radiology as a service, registered a drop in demand, while many other industries had promising growth opportunities.

COVID-19 Global radiology as a service market impact: 34.8% decrease in revenue growth from 2019 to 2020

The regions, such as Europe, North America, and Asia Pacific, have been highly affected due to the COVID-19 pandemic. Due to the pandemic, there is a significant decrease in radiology procedures. With an increase in the number of coronavirus cases, radiologists and physicians are involved in the diagnosis and treatment of COVID-19. Furthermore, increasing industry consolidation activities by key service providers are anticipated to drive market growth. Key service providers are involved in acquisitions, mergers, and collaborations. In January 2021, Philips announced the acquisition of Capsule Technologies, Inc., which is a leading provider of medical device integration and data technologies for hospitals and healthcare organizations. 

Service Insights

The teleradiology service type segment dominated the market in 2020 with a revenue share of over 65%. An increase in the prevalence of several chronic diseases, such as cancer, tumor, and cardiac disorders, which, in turn, produced more diagnostic radiology images to drive the segment growth. A rise in the number of medical images coupled with the shortage of skilled radiologists across the globe is expected to drive the teleradiology segment over forecast years. According to the Royal College of Radiologists survey report, the shortfall of radiologists in the U.K. was 1,104 in 2018, which is forecasted to rise to 1,867 by 2023.

Increasing technological advancement, particularly the AI platform, provides additional insights into the teleradiology service. Service providers in the market are increasingly focusing on the introduction of advancement of technology to provide innovative teleradiology services. In March 2019, Phillips, a global leader in health technology, expanded its teleradiology service portfolio, which includes on-call radiologist services, advanced teleradiology viewing, and reporting capabilities, and related exam workflow enhancement applications.

Technology management services is among the fastest-growing segments and is expected to be a sizable segment over the forecast years. Growing demand for remote management of technology in the healthcare centers, particularly in the radiology departments, will drive the segment. radiology as a service offers service coverage and warranty coverage to the pieces of equipment and provides a high level of protection with 24/7 service support to the equipment, which allows radiologists to focus on patients.

End-user Insights

The hospitals segment dominated the global market in 2020 with a revenue share of 52.0%. Primary preference of patients for the treatment and diagnosis using different imaging modalities in the hospitals is the key factor responsible for the high revenue share of this segment. The availability of advanced equipment for urgent care, increasing imaging procedures, and the growing adoption of teleradiology services are expected to drive the segment over the forecast years.

The diagnostic imaging center was the second-largest end-user segment in 2020 owing to the high adoption of teleradiology services for various imaging procedures. The availability of high pay scale radiologists in these centers coupled with high investment for the technological advancement of medical imaging equipment is anticipated to drive the segment further.

However, the nursing home end-user segment is estimated to register the fastest CAGR of 21.5% over the forecast periods. Patients’ transportation to the radiology centers for CT, MRI, and X-ray examinations may be an exhausting and disorienting experience. Mobile radiography coupled with teleradiology service in nursing homes provides the most beneficial results, where unnecessary transport of patients back and forth to the hospital is avoided.

Regional Insights

In 2020, North America dominated the global market with a revenue share of over 49%. The highest consumer base for radiology procedures coupled with a growing number of teleradiology service providers is the factor anticipated to fuel the regional growth in the market over the forecast years. In addition, the shortage of radiologists in the U.S. as compared to the patient population is also expected to drive the market growth in this region.

Asia Pacific is estimated to grow at the fastest CAGR from 2021-2028. The growing per capita income and increasing internet users in Asian countries, such as China, India, and Singapore, are anticipated to drive the demand for radiology as a service in the region over the forecast years. Furthermore, the growing adoption of teleradiology services and telehealth services is supporting the regional market growth.

Europe accounted for the second-highest revenue share in 2020. The U.K. and Germany are the biggest consumers for teleradiology. The growing number of radiology procedures and the shortage of radiologists in this region are the major factors expected to drive the market over the forecast years. In addition, an increasing number of radiology service providers and rapid adoption of teleradiology services in Europe is anticipated to augment market growth.

Key Companies & Market Share Insights

Key players of the radiology as a service market are involved in several industry consolidation activities, such as mergers, acquisitions, and collaboration to expand their teleradiology service portfolio. For instance, In August 2021, NANO-X IMAGING LTD acquired Zebra Medical Vision a leading medical artificial intelligence (AI) developer to provide end-to-end radiology solutions. In February 2017, GE Healthcare and Teleradiology Solutions collaborated to improve advanced radiology interpretation services. Some of the major players in the global radiology as a service market include:

• Philips Healthcare (Direct Radiology)

• GE Healthcare

• Nanox.ARC

• USARAD Holdings Inc.

• Virtual Radiologic

• ONRAD Inc.

• RamSoft Inc.

• TeleDiagnostic Solutions

• Teleradiology Solutions

• National Diagnostic Imaging

• Real Rads

• Telemedicine Clinic U.K.

• Vesta Teleradiology

• DICOM Grid, Inc. (dba Ambra Health)

• Teleconsult Europe

• Medica Group PLC

Radiology As A Service Market Report Scope

Segments Covered in the Report

This report forecasts revenue growth at global, regional, and country level and provides an analysis of the latest industry trends in each of the sub-segments from 2016 to 2028. For the purpose of this study, Grand View Research has segmented the global radiology as a service market report on the basis of service type, end user, and region:

• Service Outlook (Revenue, USD Million, 2016 - 2028)

  • Teleradiology

  • Cloud-based Imaging IT Services

  • Consulting Services

  • Technology Management Services

• End-user Outlook (Revenue, USD Million, 2016 - 2028)

  • Hospitals

  • Diagnostic Imaging Centers

  • Radiology Clinics

  • Physician Offices

  • Nursing Homes

• Regional Outlook (Revenue, USD Million, 2016 - 2028)

  • 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

    • Saudi Arabia

    • UAE