Medical Devices
The medical device industry is poised for steady growth, with global annual sales forecast to rise by over 5 percent a year, reaching nearly US$800 billion by 2030. This robust expansion reflects the increasing demand for innovative new devices, such as wearables, and services like health data management. The rise of lifestyle diseases, coupled with economic development in emerging markets, particularly in China and India, is unlocking significant growth potential.
However, despite these promising growth prospects, the sector faces substantial challenges, particularly regarding pricing pressures. Governments worldwide are striving to reduce healthcare costs, focusing on the most expensive segment: hospitals. This cost-reduction drive means they seek to pay less for medical devices while demanding proof of greater value, such as better patient outcomes and improved efficiency. Consequently, the responsibility for many purchasing decisions has shifted from clinical experts to economic buyers who prioritize cost-effectiveness over clinical benefits.