Europe Healthcare Information Technology (IT) Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)

Europe Healthcare Information Technology (IT) Market Analysis

The Europe Healthcare Information Technology Market size is estimated at USD 100.38 billion in 2024, and is expected to reach USD 197.55 billion by 2029, growing at a CAGR of 14.5% during the forecast period (2024-2029).

In Europe, the growing demand for paperless technology, coupled with heightened government funding for healthcare services and infrastructure, is poised to propel market growth during the forecast period. For example, in September 2022, health ministers at the WHO Regional Committee for Europe approved the Regional Digital Health Action Plan for 2023–2030. This plan, spearheaded by WHO/Europe and the European Commission, aims to develop and implement telemedicine through various policies. 

In another instance, Bertelsmann Investments, in May 2023, injected EUR 10 million (USD 11.02 million) into Patient21, a Berlin-based healthcare technology firm. Patient21's proprietary software platform streamlines the entire patient journey, enhancing treatment digitization, simplifying patient processes, and alleviating the administrative load on medical staff. Such significant investments and bolstered government initiatives underscore the anticipated growth of Europe's healthcare IT market during the forecast period.

Moreover, the strategic maneuvers of key players, including the launch of software and cloud-based healthcare services and collaborative efforts to broaden product availability, are set to further bolster the market. For instance, in June 2022, Vodori, a cloud-based software developer automating workflows for life science companies, made its European market debut. This expasion, driven by market demand, was facilitated through a long-term partnership with 3SIX Health. Vodori is leveraging dedicated resources to establish a robust European clientele spanning pharmaceuticals, biotechnology, medical devices, and diagnostics. 

Additionally, in May 2023, Hexarad, a United Kingdom-based teleradiology service provider, unveiled OptiRad, a workflow management software aimed at enhancing efficiency in radiology departments. Given the surge of advanced technologies in healthcare IT and the active penetration of key players across Europe, the demand for the healthcare IT market is set to escalate during the forecast period.

In summary, bolstered by rising investments, supportive government initiatives, and proactive strategies from key players, Europe's healthcare IT market is on track for significant growth. However, challenges loom in the form of a skilled personnel shortage and high maintenance costs, which are expected to hinder this growth trajectory.

Europe Healthcare Information Technology (IT) Market Trends

Software Segment is Expected to Witness a Positive Growth Over the Forecast Period

Europe Healthcare Information Technology (IT) Industry Segmentation

As per the scope of the report, healthcare IT is the application of information processing involving computer hardware and software that deals with the storage, retrieval, sharing, and use of healthcare information, data, and knowledge for communication and decision-making.

The Europe healthcare IT market is segmented by business segment component, delivery mode, end user and geography. By component the market is segmented into laboratory information systems (LIS), picture archiving and communication system (PACS) and vendor neutral archive (VNA), radiology information systems (RIS), cardiovascular information system (CVIS), electronic health records (EHR), telemedicine, clinical decision support system (CDSS), claims management solutions, population health management solutions, fraud analytics, provider management services, billing and accounts management services, and other business segments. Other business segments include revenue cycle management and diagnostic purposes. By delivery mode, the market is segmented into software, hardware, services. By end user, the market is segmented into payers and providers. By geography, the market is segmented into Germany, United Kingdom, France, Italy, Spain, Rest Of Europe. The report offers the value (in USD) for the above segments.