Introduction

The healthcare sector has been transformed by digital health innovation, but the medical device industry has often lagged behind. Traditionally focused on hardware, medtech companies have been slower to adopt artificial intelligence (AI), generative AI, and digital health solutions compared to other areas in healthcare. However, this trend is beginning to shift, as more firms recognize the significant advantages of embracing AI, digital endpoints, and partnerships with digital health startups. These changes are being driven not only by technological advances but also by a growing demand for more integrated, data-driven healthcare solutions.

Galen Growth’s latest report provides a comprehensive analysis of the digital health transformation within the medtech industry, examining how AI and generative AI (GenAI) are reshaping diagnostics, treatment delivery, and patient management. The report delves into the potential of these technologies to enhance efficiencies, improve patient outcomes, and expand access to healthcare.

In addition to technological trends, the report highlights key shifts in strategic partnerships, with medtech companies increasingly teaming up with digital health innovators to bring advanced diagnostic and therapeutic tools to market. It also explores regional trends, noting that while the US leads in digital health and medtech collaborations, Europe and the Asia-Pacific regions are making substantial progress.

Key insights from the report

1. The medical device industry is increasingly embracing AI and digital health innovation, though it has historically lagged behind other healthcare sectors.
2. From 2020 to 2023, AI-driven partnerships in the medical device sector increased significantly, highlighting the growing role of technology in healthcare.
3. Medical diagnostics and health management solutions are key areas where digital health is revolutionising the medical device landscape.
4. The rise of remote trials and the use of digital endpoints has led to increased interest from medical device companies in partnering with digital health ventures focused on clinical trial management.
5. The US leads in digital health partnerships with medical device companies, while Europe and Asia-Pacific are gradually catching up.

This report is powered by HealthTech Alpha, a leading provider of comprehensive data and insights in the digital health sector. With a focus on the evolving landscape of healthcare technology, HealthTech Alpha harnesses its extensive database and expertise to analyze trends and innovations that are shaping the future of medtech. By leveraging robust data analytics and market intelligence, HealthTech Alpha enables stakeholders—from investors to medical device manufacturers—to make informed decisions and strategically navigate the complexities of digital transformation in healthcare. Through this collaboration, the report offers valuable perspectives on the intersection of digital health and medtech, equipping readers with the knowledge to understand and engage with this rapidly changing industry.