Sector Spotlight - Health Tech Trends in 2023

What’s going down?
Amidst slower economic growth, and high inflation, it is no surprise that healthcare spending will fall in 2023 as compared to previous years. Nevertheless, the rapid adoption of technology and digitisation means that the industry is changing swiftly.

Why should APAC businesses care?

• The global artificial intelligence in healthcare market size is expected to surpass USD 187.95 billion by 2030. In fact, 55% of healthcare leaders in APAC are already investing heavily in AI and 82% see it as a key investment area in the next three years. In recent news, AI-powered ultrasound imaging solutions are expected to drive growth in Australia's ultrasound market due to their ability to automate procedures while continuing to deliver accurate analysis.
• Digital platforms will continue to transform healthcare in 2023 and beyond. In fact, telehealth adoption in the APAC region is expected to soar through 2024, thus proving it to be an essential facet for many healthcare players. Additionally, such platforms also improve the workflows by streamlining physicians' work, improving patient outcomes, reducing human error, and lowering costs.
• Health related applications and wearables will become more commonplace. Research has shown that the APAC market for wearable medical devices is estimated to grow from USD$1328.86 million in 2022 to USD$4140.40 million in 2027. Furthermore, these health related applications and wearables will play a more important role in healthcare in the next few years.

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Why are we at Bud excited about this?

AI continues to be a game changer and in 2023, we can expect to see more evidence of its usefulness in the healthcare sector. For example, it was recently discovered that language models similar to the ones used by ChatGPT, have been used to improve antibody therapies against COVID-19 and other viruses. Hence, we can expect to see more use cases of AI emerging in the next couple of months.

What’s next? 

The advent of technology has made health related applications and wearables more advanced and accurate. Thus, we can expect to see it play a more important role in healthcare moving forward. Additionally, as health-related apps and wearables are made available across borders, companies providing such services will need to navigate increasingly complex legal frameworks in 2023.