Health Informatics Market By Type (Clinical Informatics, Nursing Informatics, Pharmacy Informatics, Dental Informatics, Public Health Informatics, Consumer Health Informatics, Research Informatics, Others), By Application (Electronic Health Records (EHR), Computerized Provider Order Entry (CPOE), Clinical Decision Support Systems (CDSS), Telehealth & Telemedicine, Population Health Management, Data Analytics & Predictive Modeling, Patient Engagement Solutions, Others), By Component (Hardware, Software, Services), By Function (Data Storage & Management, Clinical Workflow Management, Decision Support & Knowledge Management, Care Coordination, Others), and By End User (Hospitals & Clinics, Diagnostic & Imaging Centers, Research & Academic Institutes, Ambulatory Care Centers, Others), Global Market Size, Segmental analysis, Regional Overview, Company share analysis, Leading Company Profiles And Market Forecast, 2025 – 2035
Published Date: Aug 2025 | Report ID: MI3517 | 210 Pages
What trends will shape Health Informatics Market in the coming years?
The Health Informatics Market accounted for USD 41.83 Billion in 2024 and USD 47.20 Billion in 2025 is expected to reach USD 157.97 Billion by 2035, growing at a CAGR of around 12.84% between 2025 and 2035. The health informatics market is a concept that defines the business that deals with the utilisation of information technology in the collection, storage, administration, and analysis of health data to enhance the provision of care and healthcare. It includes electronic clinical health records (EHRs), telemedicine, clinical decision support systems, and exchanges of health information. The necessity to effectively use healthcare services, the rise of digitalisation in hospitals, and the intensification of governmental programmes drive this market. The development of AI, big data, and interoperability solutions also helps it gain momentum. Health informatics is vital in improving clinical care, cost-saving, and evidence-based decision-making.
What do industry experts say about the Health Informatics market trends?
“Health informatics is central to the learning health system concept, where data continuously inform improvements in patient care and health outcomes.”
- Dr. Chuck Friedman, PhD – Chair, Department of Learning Health Sciences, University of Michigan
“Health informatics is the backbone of modern healthcare, enabling data-driven decision-making and improving care quality through interoperability and advanced analytics.”
- Dr. Edward H. Shortliffe, MD, PhD – Professor of Biomedical Informatics, Columbia University
Which segments and geographies does the report analyze?
Parameter | Details |
---|---|
Largest Market | North America |
Fastest Growing Market | Asia Pacific |
Base Year | 2024 |
Market Size in 2024 | USD 41.83 Billion |
CAGR (2025-2035) | 12.84% |
Forecast Years | 2025-2035 |
Historical Data | 2018-2024 |
Market Size in 2035 | USD 157.97 Billion |
Countries Covered | U.S., Canada, Mexico, U.K., Germany, France, Italy, Spain, Switzerland, Sweden, Finland, Netherlands, Poland, Russia, China, India, Australia, Japan, South Korea, Singapore, Indonesia, Malaysia, Philippines, Brazil, Argentina, GCC Countries, and South Africa |
What We Cover | Market growth drivers, restraints, opportunities, Porter’s five forces analysis, PESTLE analysis, value chain analysis, regulatory landscape, pricing analysis by segments and region, company Market share analysis, and 10 companies. |
Segments Covered | Type, Application, Component, Function, End User, and Region |
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What are the key drivers and challenges shaping the Health Informatics market?
How does digitization improve healthcare efficiency, accuracy, and coordination?
The digitisation of healthcare is associated with a major positive effect on efficiency due to the minimisation of manual paperwork and automation of habitual functions. Electronic health records (EHRs) enable quicker access to patient data, and this reduces the administrative time by up to 30%, according to education research. Computerised physician order entry (CPOE) enhances accuracy and can help to decrease medication errors by more than 50%, based on research by the U.S. Agency for Healthcare Research and Quality.
The process of coordination is simplified because digital platforms facilitate the sharing of patient data smoothly and improve the quality of clinical decisions and continuity. In India, millions of patient records have been integrated into the Ayushman Bharat Digital Mission, which has provided interoperability and better access to services. Both operational and environmental benefits are evident in hospitals that are paperless, as they report saving thousands of trees per year. A combination of these government-backed programmes leads to increased efficiency, accuracy, and coordination of healthcare.
What role does AI play in advancing diagnostics and analytics?
Artificial Intelligence (AI) is changing the way healthcare is done in diagnostics and analytics through faster, more accurate diagnosis of diseases and custom treatment plans. Medical images can be analysed using AI algorithms, which detect abnormalities earlier than traditional methods to improve patient outcomes. The U.S. National Institutes of Health (NIH) has noted that AI tools have demonstrated up to a 20% gain in diagnostic accuracy in such conditions as cancer. According to the Centres for Disease Control and Prevention (CDC), AI can analyse large volumes of health data and monitor disease trends and streamline the delivery of care.
Artificial intelligence minimises human error, speeds up clinical decision-making, and improves predictive analytics, which are essential in the management of chronic conditions and pandemics. Colleges such as MIT and Stanford have documented high progress in AI-based diagnostics, highlighting that it can help lower the cost and ensure quality. The developments make AI a fundamental element in the development of health informatics and accessibility of healthcare across the globe.
Why are training, infrastructure, and investment barriers for small providers?
The small healthcare providers lack training, infrastructure, and investment, which pose significant hindrances to the adoption of health informatics. According to government statistics, fewer than 1 in every 10 rural health facilities has even bare-bones digital equipment and connectivity, which limits the application of digital health solutions. Small providers are often constrained by their budgets, meaning that they must assess their clinical needs at the moment instead of upgrading and enhancing technology.
Trained health informatics professionals in rural settings are in short supply, with most of the educational opportunities remaining to be restricted. This is a weakness in terms of digital preparedness, which limits the quality and effectiveness of patient care, generating differences in urban and rural healthcare services. To resolve these barriers, a concerted effort is needed to enhance funding, infrastructure, and training of the workforce to allow wider adoption of health informatics in small healthcare environments. Otherwise, small providers will be left even further behind in the changing digital healthcare environment.
How can IoT devices transform remote, real-time patient monitoring?
Remote patient monitoring is fundamentally changing the IoT devices because it allows vital health data to be collected and sent in real-time, thereby improving timely clinical decisions and patient outcomes. The U.S. Centers for Disease Control and Prevention (CDC) explains that chronic illnesses, including diabetes and heart disease, impact almost 6 out of 10 adults, and most of them need continuous checking. The IoT-based gadgets, such as wearable sensors and connected monitors, will enable healthcare providers to monitor the health of patients remotely to decrease the number of hospital readmissions and emergency visits.
According to the National Institutes of Health (NIH), remote monitoring may enhance patient compliance with treatment plans and disease management by giving personalised feedback. Moreover, the U.S. Department of Health and Human Services mentions that IoT technologies can close the disparities in rural access to healthcare by providing a continuous service outside the conventional clinical environment. This live connectivity facilitates information-intensive health informatics that enhances proactive healthcare systems, which eventually reduces healthcare expenses and improves the quality of life of patients.
How do emerging markets benefit from health tech infrastructure growth?
The growth of the health tech infrastructure is highly beneficial to emerging markets as it enhances the accessibility, quality, and efficiency of healthcare. The World Health Organisation emphasises that digital health tools in the low- and middle-income world can provide an opportunity to manage patient data better and extend telemedicine to remote regions. The National Digital Health Mission of India is designed to deliver digital health IDs to 1.3 billion citizens and simplify access to medical records, and reduce the administrative burden.
The study by Johns Hopkins Bloomberg School of Public Health (2022) concluded that electronic health records in sub-Saharan Africa had a 30% increase in their accuracy of diagnosis and treatment. Health tech lowers care expenses, too, by simplifying care and eliminating unnecessary hospital visits, which is critical to resource-constrained economies. Such innovations lead to health equity as underserved communities are linked with necessary health care. This infrastructure enhances the health system of the people and promotes the development of the economy in the emerging markets.
What are the key market segments in the Health Informatics industry?
Based on the type, the Health Informatics Market is classified into Clinical Informatics, Nursing Informatics, Pharmacy Informatics, Dental Informatics, Public Health Informatics, Consumer Health Informatics, Research Informatics, and Others. Clinical informatics is the most dominant section in the health informatics market. This section has a large proportion because it plays a vital role in enhancing patient care in the event of combining electronic health records (EHRs), clinical decision support systems, and data analytics.
Clinical informatics allows healthcare providers to diagnose and plan treatments and maximise workflow. It is being adopted under regulatory requirements, the increasing requirement of interoperability, and the requirement to have data underlying clinical outcomes. Since the world's healthcare systems focus on efficiency and quality care, clinical informatics remains the most prevailing force that is defining the health informatics landscape.
Based on the application, the Health Informatics Market is classified into Electronic Health Records (EHR), Computerized Provider Order Entry (CPOE), Clinical Decision Support Systems (CDSS), Telehealth & Telemedicine, Population Health Management, Data Analytics & Predictive Modeling, Patient Engagement Solutions, and Others. Electronic Health Records (EHR) is the largest segment in the Health Informatics Market. EHRs create the foundation of electronic healthcare, necessitating the centralisation of patient data, simplifying the clinical process, and enhancing communication between healthcare workers.
Government efforts and the drive towards interoperability, and the necessity of accurate, real-time patient data to promote care quality and safety are behind their widespread adoption. EHRs are still the foundations of health informatics as healthcare systems become increasingly digitised and are dedicated to data-driven care, and this segment is the most prevalent in the market.
Which regions are leading the Health Informatics market, and why?
Advanced healthcare infrastructure, high expenditure on healthcare, and substantial government support for digital health initiatives combine and dominate the North American health informatics market. The availability of large health IT firms, the prevalence of electronic health record (EHR) use, and high data security laws are some of the factors that have led to fast technological growth in this industry. Moreover, there is a highly skilled labour force, and investments in healthcare innovation and research are active in the region.
The U.S. and Canada are leading the pack, and there are many partnerships between technological enterprises and healthcare organisations. Informatics solutions are also adopted due to the patient awareness and need for customised care. North America still leads in the adoption of technology in healthcare delivery. The presence of favourable reimbursement policies and a high amount of attention to healthcare outcomes further promotes the implementation of health informatics. The proactive attitude of the region in dealing with chronic illnesses through data-driven medical models also contributes to the long-range growth of the market.
The Asia Pacific health informatics market is leading due to several factors. Growth is driven by increased investments in health IT infrastructure, the explosion of digital health programmes, and government-initiated reforms of the healthcare system. Countries such as China, India, Japan, and South Korea are rapidly embracing electronic health records (EHRs), telemedicine, and AI-driven healthcare solutions.
The need to have sophisticated informatics systems is encouraged by a large and ageing population, an increasing burden of chronic diseases, and the demand to ensure there are effective and data-driven healthcare services. Moreover, the area enjoys a good level of technology, mobile coverage, and a growing middle-income group that will be more disposed to spend on healthcare. With policy backing and alliances with technology companies, this makes the Asia Pacific is an important node in health informatics development and implementation.
What does the competitive landscape of the Health Informatics market look like?
The health informatics market is very competitive due to the fast development of digital health technologies and a growing necessity for efficient healthcare data management. Leading vendors include Epic Systems Corporation, Oracle Corporation, Meditech, and Allscripts Healthcare Solutions, which are constantly advancing their platforms to become more interoperable and data-driven and to improve the coordination of patient care.
The latest news is that Microsoft is acquiring Nuance Communications, which further advances its AI-based health solutions, and Oracle is acquiring Cerner to increase its presence in electronic health records. Moreover, firms such as Siemens AG and Koninklijke Philips N.V. are already pumping large amounts of money into AI and cloud-based health informatics solutions to facilitate predictive analytics and remote patient monitoring.
The competitive advantage in this market is further characterised by the capacity to provide scalable, secure, and user-friendly solutions that can accommodate the changing regulatory requirements and healthcare providers' demands. The market is also being influenced by strategic partnerships and a shift toward value-based care, which promotes the interest in making decisions based on data in the firms. Competition is likely to get worse as the healthcare systems around the world head into the digital transformation.
Health Informatics Market, Company Shares Analysis, 2024
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Which recent mergers, acquisitions, or product launches are shaping the Health Informatics industry?
- In July 2025, Altera Digital Health launched the Sunrise CarePath platform, a mobile tool integrated with the Sunrise™ EHR. It offered features like secure messaging, self-scheduling, appointment reminders, and online billing. The platform was designed to reduce care gaps, readmissions, and financial barriers for patients.
- In May 2025, Velatura Public Benefit Corporation launched Consent Manager+™, an AI-powered patient consent management tool. The solution aimed to modernize how patient consent was collected and respected. It improved interoperability by simplifying consent processes across various healthcare systems.
Report Coverage:
By Type
- Clinical Informatics
- Nursing Informatics
- Pharmacy Informatics
- Dental Informatics
- Public Health Informatics
- Consumer Health Informatics
- Research Informatics
- Others
By Application
- Electronic Health Records (EHR)
- Computerized Provider Order Entry (CPOE)
- Clinical Decision Support Systems (CDSS)
- Telehealth & Telemedicine
- Population Health Management
- Data Analytics & Predictive Modeling
- Patient Engagement Solutions
- Others
By Component
- Hardware
- Software
- Services
By Function
- Data Storage & Management
- Clinical Workflow Management
- Decision Support & Knowledge Management
- Care Coordination
- Others
By End User
- Hospitals & Clinics
- Diagnostic & Imaging Centers
- Research & Academic Institutes
- Ambulatory Care Centers
- Others
By Region
North America
- U.S.
- Canada
Europe
- U.K.
- France
- Germany
- Italy
- Spain
- Rest of Europe
Asia Pacific
- China
- Japan
- India
- Australia
- South Korea
- Singapore
- Rest of Asia Pacific
Latin America
- Brazil
- Argentina
- Mexico
- Rest of Latin America
Middle East & Africa
- GCC Countries
- South Africa
- Rest of Middle East & Africa
List of Companies:
- Epic Systems Corporation
- Oracle Corporation
- Meditech
- Allscripts Healthcare Solutions, Inc.
- McKesson Corporation
- Koninklijke Philips N.V.
- Siemens AG
- IBM Corporation
- General Electric Company
- Thoma Bravo
- Oracle Corporation
- HealthStream, Inc.
- eClinicalWorks
- Microsoft Corporation
- Athenahealth, Inc.
Frequently Asked Questions (FAQs)
The Health Informatics Market accounted for USD 41.83 Billion in 2024 and USD 47.20 Billion in 2025 is expected to reach USD 157.97 Billion by 2035, growing at a CAGR of around 12.84% between 2025 and 2035.
Key growth opportunities in the Health Informatics Market include IoT devices can transform remote, real-time patient monitoring through continuous data and timely interventions, Predictive, personalized, and preventive care models improve outcomes and reduce healthcare costs, Emerging markets benefit from health tech infrastructure by enhancing access and digital healthcare delivery.
Clinical informatics and telehealth are the largest and fastest-growing segments due to rising digital adoption and demand for remote care.
North America will make a notable contribution, driven by advanced healthcare systems, strong IT infrastructure, and supportive regulations.
Leading players include Cerner, Epic Systems, Allscripts, Philips, and GE Healthcare, known for innovation and broad health IT solutions.
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