The ambulatory services have positively impacted the U.S. healthcare system, making healthcare more accessible, efficient, and cost-effective for patients and providers alike. The number of inpatient admissions has significantly decreased in the past years due to the shifting of procedures toward ASCs. In the U.S., more than 65% of surgeries are performed in ASCs. This is primarily due to high inpatient hospitalization costs and the rise in adoption of advanced technologies by ASCs, enabling rapid & cost-effective treatment provision. Growing pressure from payers and Medicare has also increased the number of people opting for diagnostic tests in nearby ambulatory community care units, not city hospitals.
More people have been getting outpatient surgeries at ambulatory surgery centers (ASCs) in recent years. These centers are popular because they cost less than other places for orthopedic surgeries. A study published in March 2022 found that between 2013 and 2018, the number of orthopedic surgeries performed at ASCs increased from 31% to 34%. The study also showed that there was a small yearly increase in the use of ASCs for specific surgeries and it is becoming a more popular choice for outpatient surgeries, especially for outpatient surgical procedures.
In the last ten years, there has been a growing demand for ambulatory surgery centers, particularly multi-specialty centers. This is partly due to the increasing elderly population, which may require more surgical procedures. A recent report by OR Manager, based on CMS statistics from January 2020, found that 57 million surgical procedures were performed in the U.S. that year. Less than 20% of these procedures were done in outpatient hospital facilities, indicating a shift in demand toward ambulatory surgery centers.
The COVID-19 pandemic had a high impact on the market. The U.S. government introduced guidelines for ambulatory surgery centers in response to the pandemic. In March 2020, the Center for Medicare & Medicaid Services recommended complete halts on nonessential surgery. This resulted in huge financial losses for ambulatory surgery centers, as the majority of revenue-generating surgeries performed at these centers were nonessential. However, there was a positive impact on the demand for ambulatory surgery centers. Patients preferred ambulatory surgery centers due to the lower risk of infection and lower surgery cost than hospitals.
Based on specialty, the market is segmented into orthopedics, cardiology, respiratory, pain management/spinal injections, gastroenterology, ophthalmology, plastic surgery, otolaryngology, obstetrics/gynecology, dental, podiatry, and others. The orthopedics segment accounted for the largest market share of 10.1% in 2022. This can be attributed to the improving diagnostic methods & imaging technologies in orthopedic surgeries and constant developments by the market players in this segment.
In February 2023, Spire Orthopedic Partners entered into a partnership agreement with the Orthopedic Associates of Dutchess County, making Spire one of the biggest orthopedic platforms in the U.S. This would help the company better serve the existing patients and meet the growing demand.
The otolaryngology segment is expected to witness the fastest growth during the forecast period, owing to patients' increasing adoption of ASCs for their Ear, Nose, and Throat (ENT) surgery. In the U.S. around 9% of the total otolaryngology cases are performed in ASCs. Thus, an increasing number of patients with Otolaryngology is anticipated to drive market growth.
Based on ownership, the market is segmented into physician-owned, hospital-owned, and corporate-owned. The physician-owned segment accounted for the largest market share of 22.9% in 2022. This can be attributed to its advantages, such as exclusively focusing on a small number of procedures in a single setting and the capability to bring concerns directly to the physicians who have proper knowledge about every patient’s case.
Ambulatory surgery centers offer maximum professional control over the clinical setting and the standard of patient care. Some of these factors are responsible for contributing to the rise in patient footfall toward physician-owned ambulatory surgical centers for performing their procedures, thereby driving the market growth.
The hospital-owned segment is expected to witness the fastest growth during the forecast period, owing to the migration of patients from inpatient hospital settings to hospital-owned ASCs. Furthermore, strategic initiatives undertaken by key players increase their market share by acquiring physician offices and outpatient facilities. For instance, In February 2022, Mayo Clinic announced a USD 432 million expansion in Jacksonville, Florida, which will upgrade an existing facility with 121 inpatient beds. This investment is expected to drive market growth.
Based on center type, the market is segmented into single-specialty and multi-specialty. The single-specialty segment accounted for the largest market share of 22.7% in 2022. This can be attributed to the presence of a large number of single-specialty ASCs in the U.S. According to the Report to the Congress: Medicare Payment Policy, the number of single-specialty ambulatory surgical centers in the U.S. was more than 2,890 in 2017. They offer patients a more convenient and cost-effective alternative to hospital-based care, and provide more specialized care, as they focus exclusively on one type of surgery.
Surgeries performed in single-specialty ASCs include cataract surgery, hernia repair, joint replacements, colonoscopies, and other minimally invasive procedures. These facilities must comply with strict regulations and standards for patient safety & quality of care. Moreover, these centers are likely to have a high reimbursement per procedure.
The multi-specialty segment is expected to witness the fastest growth during the forecast period, owing to a comprehensive and patient-centered approach to surgical care, providing a range of services under one roof and helping streamline patients' healthcare experience. Unlike single-specialty ASCs, a multi-specialty center has 50 to 100 surgeons. Thus, the benefits associated with multi-specialty ASCs are expected to drive market growth.
Based on device type, the market is segmented into cardiology, orthopedics, pain management/spinal injections, ophthalmology, plastic surgery, spinal surgery, respiratory, and others. Orthopedic procedures have been shifted towards outpatient centers. This shift has been caused by the pandemic and Medicare's increasing compliance to reimburse procedures conducted at ASCs. Thus, observing an opportunity in this trend, medical device companies are now providing financing plans for equipment and even assembling design teams to assist as an increasing number of physicians establish ASCs.
The increasing adoption of minimally invasive spinal surgeries and a surge in technological advancements within the industry is expected to witness significant growth during the forecast period. Furthermore, the segment's growth is augmented by a growing number of product launches and approvals. For instance, in June 2022, Xenco Medical broadened its range of surgical devices for ASCs by obtaining FDA clearance and introducing the Multilevel CerviKit. This expansion builds on Xenco Medical's innovative single-use cervical spine equipment, offering a wide range of implants and single-use instruments for anterior cervical spine procedures spanning 2, 3, and 4 levels.
Based on region, the market is segmented into Southeast, West, Midwest, Northeast, and Southwest. The Southeast region accounted for the largest revenue share of 10.7% in 2022. This can be attributed to the increasing popularity of outpatient surgery; there has been the creation of a significant number of physician-owned ASCs in the region. In September 2022, Intermountain Healthcare opened a new state-of-the-art ambulatory surgery center (ASC) in St. George. This new ASC is expected to provide surgical services in a convenient, patient-centered environment. Patients can expect to receive high-quality care in a facility with the latest medical technology and equipment.
Several developments in the West region have been contributing to its growth. For instance, in December 2022, USA Health received approval to build a multi procedure ASC on its West Mobile campus. It would make it easier for those living around the campus to obtain outpatient surgery services supported by academic medicine.
The Midwest region is expected to witness the fastest growth during the forecast period, owing to increasing investment in the region for developing new outpatient healthcare facilities. For instance, in January 2020, the University of Illinois Hospital and Health Science System plans to construct a new outpatient building on its main hospital campus on the West Side of Chicago. The proposed six-story building is expected to cost USD 191 million and provide additional outpatient services to patients, thereby driving market growth.
The market is moderately fragmented. Key players are adopting several strategies, including launching new centers and raising funds from investors, to strengthen their position in the market. For instance, in February 2023, the University of Rochester Medical Center Rochester opened the country’s first Orthopedics and Physical Surgery Center in Henrietta. Some prominent players in the U.S. ambulatory surgery center market include:
Envision Healthcare Corporation
Tenet Healthcare Corporation
Mednax Services, Inc.
Community Health Systems, Inc.
Prospect Medical Systems
Koninklijke Philips N.V.
Henry Schein, Inc.
Procedure revenue forecast in 2030
USD 60.8 billion
Procedure growth rate
CAGR of 6.00% from 2023 to 2030
Devices revenue forecast in 2030
USD 49.1 billion
Devices growth rate
CAGR of 9.16% from 2023 to 2030
Base year for estimation
2018 - 2021
2023 - 2030
Revenue in USD million/billion and CAGR from 2023 to 2030
Revenue forecast, company ranking, competitive landscape, growth factors, and trends
Specialty, ownership, center type, device type, region
Key companies profiled
Envision Healthcare Corporation; Tenet Healthcare Corporation; Mednax Services, Inc.; TeamHealth; UnitedHealth Group; Quorum Health; Surgery Partners; Community Health Systems, Inc.; SurgCenter; Prospect Medical Systems; Edward-Elmhurst Health; MCKESSON CORPORATION, BD, Koninklijke Philips N.V.; 3M; Olympus America; Zimmer Biomet; GE HealthCare; Abbott; Medtronic; Henry Schein, Inc.
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This report forecasts revenue growth at country levels and provides an analysis of the latest industry trends and opportunities in each of the sub-segments from 2018 to 2030. For this study, Grand View Research has segmented the U.S. ambulatory surgery center market report based on specialty, ownership, center type, device type, and region:
Specialty Outlook (Revenue, USD Billion, 2018 - 2030)
Pain Management/Spinal Injections
Ownership Outlook (Revenue, USD Billion, 2018 - 2030)
Center Type Outlook (Revenue, USD Billion, 2018 - 2030)
Device Type Outlook (Revenue, USD Billion, 2018 - 2030)
Pain Management/Spinal Injections
Regional Outlook (Revenue, USD Billion, 2018 - 2030)
b. The orthopedics segment dominated the U.S. ambulatory surgery centers market by application with a share of 27.4% in 2022. This is attributable to the increasing demand for minimally invasive orthopedic surgical procedures such as hip and joint replacement from the geriatric population.
b. Some of the key players operating in the U.S. ambulatory surgery centers market include Envision Healthcare, Tenet Healthcare, Medmax services, Prospect group, TeamHealth. UnitedHealth Group, Quorum Health Corporation, Surgery Partners, Community Health Systems, Inc., SurgCenter Development, Prospect Medical Group, and Edward-Elmhurst Health, MCKESSON CORPORATION, BD, Koninklijke Philips N.V., 3M, Olympus America, Zimmer Biomet, GE HealthCare, Abbott, Medtronic, and Henry Schein, Inc.
b. Key factors that are driving the U.S. ambulatory surgery centers market growth include increasing demand for minimally invasive surgeries (MIS), technological developments in surgical devices and equipment, and surgeons’ control over the choice of such equipment.
b. The U.S. ambulatory surgery centers procedure market size was estimated at USD 36.8 billion in 2022 and is expected to reach USD 40.4 billion in 2023. The U.S. ambulatory surgery centers devices market size was estimated at USD 24.0 billion in 2022 and is expected to reach USD 26.6 billion in 2023.
b. The U.S. ambulatory surgery centers procedure market is expected to grow at a compound annual growth rate of 6.0% from 2023 to 2030 to reach USD 60.8 billion by 2030. The U.S. ambulatory surgery centers devices market is expected to grow at a compound annual growth rate of 9.16% from 2023 to 2030 to reach USD 49.1 billion by 2030.
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