July 13, 2024
Digital Pathology Market

Digital Pathology Market is Estimated To Witness High Growth Owing To Artificial Intelligence Adoption

The Digital Pathology Market is estimated to be valued at US$ 884.4 Mn in 2023 and is expected to exhibit a CAGR of 12.% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Overview:
Digital pathology involves the use of digital imaging tools to analyze and interpret histopathology slides. Digital pathology helps pathologists to capture and share whole-slide images with colleagues, trainees, and researchers. It offers advantages such as digital image analysis, automated scanning, remote consultation, built-in tools for measurement and annotation. Digital pathology helps in early diagnosis, more accurate treatment decisions and better patient outcomes.

Market key trends:
One of the key trends driving the growth of the Digital Pathology Market Size is increasing adoption of artificial intelligence. Artificial intelligence can analyze large data sets of digital pathology images and assist pathologists by identifying patterns too subtle for the human eye. AI is being used for cancer detection, disease classification, biopsy interpretation and analysis of metastatic spread. For instance, Anthropic has developed an AI tool called PBCI for breast cancer detection and L unit for lung cancer detection to help pathologists analyze whole slide images. Increased investments in AI by key players is expected to drive the adoption of digital pathology solutions integrated with AI capabilities. This will support pathologists to deliver more precise and timely diagnosis.

Porter’s Analysis

Threat of new entrants: The threat of new entrants is moderate as the digital pathology market requires heavy investments in R&D and infrastructure. However, advancements in AI technologies may enable startups to enter the market.

Bargaining power of buyers: The bargaining power of buyers is high due to the presence of several established players providing digital pathology solutions. Buyers can negotiate on price and quality.

Bargaining power of suppliers: The bargaining power of suppliers is moderate as raw material suppliers have limited control over pricing. However, suppliers of specialized equipment and software have some control.

Threat of new substitutes: The threat of new substitutes is low as there are no significantly cheaper or superior substitutes to digital pathology at present.

Competitive rivalry: The competitive rivalry is high due to the presence of numerous global and regional players competing on the basis of product features and pricing.

SWOT Analysis

Strengths: Growing adoption of digital pathology solutions in hospitals and diagnostic centers due to benefits like remote consultation. Established distribution networks of key players.

Weaknesses: High set up and maintenance costs of digital pathology systems limit their adoption in small settings. Lack of skilled pathologists in developing regions.

Opportunities: Untapped growth potentials in emerging markets. Increasing partnerships between digital pathology software providers and medical device companies.

Threats: Data security and privacy concerns associated with digitized health records limit market growth. Slow replacement rate of installed analog systems.

Key Takeaways

The global digital pathology market is expected to witness high growth, exhibiting CAGR of 12% over the forecast period, due to increasing prevalence of chronic diseases. North America dominated the market in 2023 due to presence of key players and advanced healthcare infrastructure in the US and Canada. The Asia Pacific region is likely to grow at the fastest rate, registering a CAGR of over 14% between 2023 and 2030, owing to rising healthcare expenditure and improving diagnostic infrastructure in China and India.

Regional analysis: North America held the largest share of around 35% of the digital pathology market in 2023 and is projected to maintain its dominance during the forecast period. This is attributed to presence of key market players, growing adoption of AI-driven digital pathology solutions for efficient disease diagnosis, and rapid technological advancements in the US and Canada.

Key players: Key players operating in the digital pathology market are Leica Biosystems Nussloch GmbH, Â Olympus Corporation, Â F. Hoffmann-La Roche Ltd., Â Merck KGaA, Â GE Healthcare, Â Mikroscan Technologies, Inc., Â Koninklijke Philips N.V., Â Sectra AB, Â Propath UK Limited, Â Inspirata, Inc., Â Hamamatsu Photonics

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it