Digital Therapeutics Market Dynamics
Growing penetration of smartphones in developing nations, rising demand for an incorporated medical system and patient-centric care, and the cost-efficiency of digital therapeutics are prominent factors fuelling the digital therapeutics market growth. As per Kepios, there were more than 4.27 billion internet users globally, which reflects around 60% of the global population. With the increase in internet users, awareness about smart health tracking is likely to increase. The adoption of digital therapeutics helps to reduce the healthcare cost incurred on patients with chronic diseases. Verily, a subsidiary of Alphabet Inc. launched a study watch with an irregular pulse monitor incorporated with iRhythm for continuous supervision.
The outbreak of the coronavirus has significantly impacted the growth of various sectors. While industries like oil and petroleum and mining experienced a huge fall in their revenues, the overall impact of coronavirus remains positive for the digital therapeutics market. The increasing demand for accessible digital health solutions, rising recognition of digital health, and growing incidences of chronic diseases have driven the digital therapeutics market during the pandemic.
Health apps are deprived of approvals in many countries, which has increased the concerns of data quality, patient security, privacy, and reliability in decisions related to treatment. As digital therapeutics solutions and services transfer information over the internet, the chances of manipulation of underlying data can compromise patient care, which may restrain the digital therapeutics market size.
Type Segment Analysis
The Software segment is predicted to dominate the market over the forecast period. The significant growth is attributed to the increasing product offerings of software and apps by the digital therapeutics’ companies for health management. For instance, Happify Health declared the introduction of Ensemble, the first transdiagnostic prescription digital therapeutic to treat patients with Major Depressive Disorder (MDD) or Generalized Anxiety Disorder (GAD).
Application Segment Analysis
The Diabetes application segment is expected to hold the largest share of the global revenue during the forecast period. Digital therapeutics can help healthcare vendors to assess the life of the patient and improve the course of treatment depending on their individual needs. According to the CDC, in 2020, approximately 34.2 people suffered from diabetes, and 10.5% of this population was from the U.S. The increasing incidences of diabetes and other chronic diseases is another factor fuelling the market growth. The obesity application segment is projected to expand at a faster CAGR over the forecast period because of the rising obese population. Digital therapeutics offer a cost-efficient solution for the treatment of chronic diseases, which is projected to drive the global digital therapeutics market growth.
Geographically, North America is expected to grow at the highest CAGR over the forecast period. This is owing to the favorable reimbursement frameworks emphasizing improving quality of life through better diagnostics. Also, as projected by digital therapeutics market report, the growing incidences of chronic diseases and the aging population in this region will drive the market. Other factors such as increasing government initiatives to encourage technological innovations, the incursion of new start-ups, and intensified investments in digital therapeutics are likely to bolster the market growth.
Various key players operating in the market include DarioHealth Corp., Omada Health, Inc., Livongo, Welldoc’s BlueStar, Happify Health, Voluntis, Propeller Health, Kaia Health Software Inc., Pear Therapeutics, Inc., and Akili Interactive Labs, Inc.
• In 2021, DarioHealth Corp. innovated Dario Move, a new digital-physical therapy solution to handle common musculoskeletal (MSK) conditions that manage high costs for employers and health plans.
• In 2021, Welldoc partnered with Dexcom to introduce a new integrated platform to help people with Type 2 diabetes. The Dexcom G6 system measures glucose levels underneath the skin’s surface, and BlueStar directs individuals through the complicated journey of living with diabetes.
• In 2021, Voluntis declared the issuance of a new patent by the European Patent Office (EPO) for intelligent patient support in drug dosing implemented in the field of diabetes to quantify insulin with Its Theraxium digital therapeutic platform.
Digital Therapeutics Market Segmentation:
Digital Therapeutics Market by Type
Digital Therapeutics Market by Sales Channel
Digital Therapeutics Market by Application
• Cardiovascular Diseases
• Neurological Disorders
• Respiratory Diseases
• Smoking Cessation
Digital Therapeutics Market by Region:
• Asia Pacific
o Rest of APAC
• North America
o United States of America
o United Kingdom
o Rest of Europe
o South Africa
o Saudi Arabia
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