Artificial Intelligence Healthcare Market Expected to Grow 47 Percent

The artificial intelligence (AI) in healthcare market size is estimated to be $5,983.12 million in 2021 and is expected to witness a compounded annual growth rate (CAGR) of 47.31 percent during the forecast period 2022-2029. The rising dataset complexity and volume of healthcare data, an increase in industry-to-industry alliances and collaborations and advances in processing power are some of the key drivers for the market growth. But a lack of skilled workforce and stringent rules are expected to restrain the market growth. 

Based on offering, the market is segmented into services, hardware and software. In 2021, the software segment accounted for the largest revenue share because of ongoing software innovation that meets the needs of the healthcare industry. 

Based on end user, the market is segmented into healthcare providers, patients, pharmaceutical and biotechnology companies and payers. In 2021, the healthcare providers segment accounted for the largest revenue share owing to rise in the use and applications of AI systems to enhance patient outcomes and maintain EHR and patient records.