Digital pathology is an image based environment that involves managing, analyzing and interpreting digital information contained in a glass slide. Digital pathology is an emerging technology which offers substantial improvement in various applications such as drug discovery and development, diagnostic tests and academic and research purposes. Digital pathology is emerging at a rapid pace in the healthcare industry and is expected to overcome challenges in clinical practices, research and medical education. Advancements in information technology that enhances the prospects of improved connectivity and increasing favorable healthcare reforms are the major reasons that accentuate the uptake of digital pathology systems market. In addition, increasing workload of pathologists and rising healthcare spending has triggered the growth of digital pathology systems market globally. However, sampling error, high initial setup cost and stringent regulatory compliance might hamper the approval process of these systems and thereby reduce the uptake of digital pathology systems. The global digital pathology systems market was valued at USD 228.9 million in 2013 and is estimated to reach an estimated value of USD 492.8 million in 2020, growing at a CAGR of 11.9% from 2014 to 2020.
Based on technology, the digital pathology systems market is segmented as virtual microscopy and telepathology. In 2013, virtual microscopy segment contributed the largest market share and is expected to grow at the highest growth rate during the forecast period from 2014 to 2020. This growth was mainly attributed to digitization of microscopic slides coupled with increasing preference for utilization of virtual microscopy for disease diagnosis and drug discovery.
In 2013, disease diagnosis application segment accounted for the largest market share of the global digital pathology systems application market. This growth was mainly due to accurate and efficient diagnostic test results and rapidly analyzing slides in a short span of time with few diagnostic errors. However, increasing adoption rate of digital pathology among research communities for biomarker profiling and tumor morphological studies supports the growth of digital pathology systems in academic research application area during the study period from 2014 to 2020.
Geographically, North America accounted for the largest market share of digital pathology systems market in 2013 and is expected to grow at a steady growth rate during the forecast period from 2014 to 2020. This market dominance was mainly due to increasing workload of pathologist, increasing use of companion diagnostics and favorable reimbursement policies. For instance, College of American Pathologist stated that, most of the computer assisted image analysis pathology tests are reimbursed under Medicare policy in the U.S. Europe accounted for the second largest market in 2013 and is expected to grow at the lowest CAGR during the study period due to economic downturn. Rising geriatric population in European Union is one of the major market drivers in this region as geriatric group are more prone to be diagnosed with cancer.
Asia-Pacific is expected to grow at the highest CAGR from 2014 to 2020. This growth was mainly attributed to increasing geriatric population, rising healthcare awareness and increasing drug development activities in this region. For instance, in September 2013, Asia-Pacific International Academy of Pathology (APIAP) congress was held in Busan, South Korea. The primary agenda of this conference was utilization of pathology for the development of personalized medicine. The conference was hosted by the Korean division of IAP and countries participated includes Australia, China, Hong Kong, India, Indonesia, Japan, Korea, Pakistan, Philippines, Singapore, Taiwan and Thailand. Thus, arrangement of such conferences would help in increasing awareness in emerging economies. Moreover, companies are investing huge amount in Asian countries as these economies offer immense opportunities for the digital pathology systems on account of factors such as presence of large potential cancer patient population base coupled with continuous economic development. Major players operating in this market include Leica Biosystems, Olympus Corporation, Ventana Medical Systems, Inc., Philips Healthcare, GE Healthcare, Mikroscan Technologies, Inc. among others.
Global Digital Pathology Systems Market: Snapshot
The global market for digital pathology systems is expected to witness an increase in demand over the coming years due to greater digitization in the healthcare industry. It has become extremely important to ensure precision during the diagnosis, testing, and analysis of diseases. The digital pathology systems help in making the process more effective and agile by interpreting information with great adroitness and accuracy. Besides core medical testing, the academic arena of research is also resorting to the usage of digital pathology systems. It is safe to say that pathology finds its application across all the domains of medicine, thus, expanding the scope of the market. Furthermore, healthcare professionals are now concentrating on reducing manual work by relying entirely on technological advancements in medicine. This brings digital pathology systems to the fore, offering growth spaces to the market players.
The market can have segmented based on the type of technology, application, and regions. Each of these categories have key segments that play a vital role in channeling the market. The significance of each regional market is included in the report to know the most lucrative regional pockets.
The report makes key assertions with regards to the future fettle of the market. Each of the prognostications made in the report are in sync with the historic, contemporary, and tentative future trends of the market. Furthermore, the possible hindrances lying in the market have also been expounded to caution the analyst and market players. Since digital pathology systems are swiftly being installed across several healthcare units, there are tremendous opportunities resting for market players.
Global Digital Pathology Systems Market: Key Trends and Opportunities
Drug discoveries have surfaced on the global landscape and scientists look for better ways of effectuating the process. Digital pathology systems can identify novel drugs that has bolstered the demand within the market. Moreover, these systems also help in devising apt treatment mechanisms for different patients, which further establishes their relevance in the healthcare industry. One of the most important factors that have propelled demand within the market is the need to diagnose cancer in its early stages. The digital pathology systems have shown commendable success in detecting cancer that has sealed the credibility of these systems amongst medical professionals.
Global Digital Pathology Systems Market: Regional Outlook
The market for digital pathology systems can be segmented into North America, Asia Pacific, Europe, and the rest of the world. North America captured the highest market share in 2013 on account of its historic finesse in healthcare. In the coming years, Asia Pacific is expected to lead other regions in terms of market growth due to an increasing geriatric population, expansive drug development activities, and betterment of healthcare facilities. The various national governments within the region are making concerted efforts to enhance the health index of the population, which is also propelling the demand for digital pathology systems.
Global Digital Pathology Systems Market: Competitive Landscape
The key market players are engaging in core research and development to gain a greater market share. The offerings of each of the players are expected to play an integral in deciding the competitive landscape. The current market players are Mikroscan Technologies, Inc.,Philips Healthcare, Ventana Medical Systems, Inc., Leica Biosystems, and Olympus Corporation.
Global Digital Pathology Systems Market: By Technology
- Virtual Microscopy
- Static Telepathology
- Dynamic Telepathology
Global Digital Pathology Systems Market: By Application
- Drug Discovery and Development
- Disease Diagnosis
- Academic Research
Global Digital Pathology Systems Market: By Region
- North America
- Asia Pacific
- Rest of the World (RoW)