Medical Device Connectivity Market is estimated to be valued at USD 5.54 Bn in 2025 and is expected to reach USD 27.62 Bn in 2032, exhibiting a compound annual growth rate (CAGR) of25.8% from 2025 to 2032.
The global medical device connectivity market growth can be driven by an increase in inorganic growth strategies such as acquisition by key market players. For instance, in January 2021, Koninklijke Philips N.V., a Netherland-based medical technology company, announced that it had acquired Capsule Technologies, Inc., a global provider of medical device integration, clinical surveillance, and patient monitoring for hospitals, to enter into patient monitoring devices market. Capsule’s Medical Device Information Platform - comprised of device integration, vital signs monitoring, and clinical surveillance services - connects almost all existing medical devices and EMRs in hospitals through a vendor-neutral system.
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U.S.-China Technology Trade Relations and Semiconductor Supply Chain |
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European Union Medical Device Regulation (MDR) and Cybersecurity Framework |
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Rising Healthcare Cybersecurity Threats and Data Breaches |
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The market is segmented into wired hardware, wireless hardware, and software. Out of which, the wireless hardware segment is expected to dominate the global medical device connectivity market with 43.0% share in 2025 and this is attributed to an increase in the product launches by key market players.
The market is segmented into hospitals, home healthcare, and others. Out of which, the hospital segment is expected to dominate the market over the forecast period and this is attributed to an increase in the number of hospitals globally.
Among all segmentation, the end user segment has the highest potential due to an increase in the number of hospitals. For instance, in 2022, according to the data published by American Hospital Association, there were 6,093 hospitals in the U. S. in 2020, and total admissions in all the U.S. hospitals were more than 33,356,853, in 2020.
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North America is projected to maintain its dominant position in the global medical device connectivity market, holding approximately 34.80% of the market share over the forecast period. This leadership is driven by the presence of major industry players such as Medtronic, GE Healthcare, Cerner Corporation, and Koninklijke Philips N.V., who continue to invest in advanced connectivity solutions.
The region benefits from a robust healthcare infrastructure and high adoption rates of integrated medical devices, enabling efficient data exchange between systems. Ongoing technological innovations and a strong regulatory framework further support steady market growth across North America.
The Asia Pacific (APAC) region is expected to be the second-largest market for medical device connectivity during the forecast period. Growth is fueled by the rising prevalence of chronic diseases, particularly cancer, and increasing investments in healthcare digitization.
For instance, according to an article published in the National Library of Medicine (August 2025), more than 2.3 million breast cancer (BC) cases were diagnosed in the Asia Pacific region in 2020. Expanding hospital networks, government initiatives to modernize healthcare systems, and the growing adoption of advanced connected medical devices are key drivers of APAC’s market expansion.
The United States leads the North American market with advanced healthcare IT infrastructure, widespread integration of connected medical devices, and strong support from regulatory bodies. Leading companies headquartered in the U.S. continue to drive innovation, ensuring a steady demand for medical device connectivity solutions.
China is a major growth engine for the Asia Pacific region, supported by large-scale healthcare investments, the rapid adoption of connected technologies, and a growing prevalence of chronic illnesses. Efforts to modernize healthcare data management systems further drive demand for connectivity solutions.
India’s market is expanding rapidly, driven by government-led healthcare digitization initiatives, increasing hospital infrastructure, and a rising patient population with chronic conditions. Local and international players are introducing cost-effective connectivity solutions to meet growing demand.
Japan benefits from a technologically advanced healthcare system and strong adoption of digital health technologies. The country’s aging population and increasing focus on home healthcare solutions also bolster the demand for medical device connectivity.
| Report Coverage | Details | ||
|---|---|---|---|
| Base Year: | 2024 | Market Size in 2025: | USD 5.54 Bn |
| Historical Data for: | 2020 To 2024 | Forecast Period: | 2025 To 2032 |
| Forecast Period 2025 to 2032 CAGR: | 25.8% | 2032 Value Projection: | USD 27.62 Bn |
| Geographies covered: |
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| Segments covered: |
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| Companies covered: |
Medtronic, GE Healthcare, Capsule Tech Inc., Cerner Corporation, Koninklijke Philips N.V., Digi International Inc., Cisco System Inc., Siemens Healthineers, Honeywell International Inc., Medshift, and Drägerwerk AG & Co. KGaA |
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| Restraints & Challenges: |
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In the end user segment, hospitals segment held a dominant position in the Asia Pacific region due to an increase in the number of hospitals in this region. For instance, according to an article published by Asian Hospital & Healthcare Management, in December 2022, there were more than 36,570 hospitals in China, in year 2021.
The major factors that can hamper the growth of the global medical device connectivity market over the forecast period include the high cost of medical device connectivity setup for small healthcare organizations. The cost of interoperability and connectivity solutions for various medical devices is significantly high.
Small-scale healthcare organizations need help to use internet connectivity to medical devices. This is mainly because of difficulties implementing multiple networks with health setups, wireless connectivity options, and the constant need to install subsequent security layers to prevent data breaches. The high price of this service is hampering the market growth. Key market players should focus on launching cost effective medical devices connectivity solution for small and medium scale organizations.
An increase in the prevalence of cancer which requires constant patient monitoring is expected to increase the demand for its early diagnosis and monitoring which in turn is expected to drive the global medical device connectivity market growth during the forecast period. For instance, according to data published by the American Cancer Society, in 2021, 1.9 Million new cancer cases were diagnosed in 2021 in the U.S. out of which 281,550 were breast cancer.
Increasing product launches by key market players is expected to drive market growth over the forecast period. For instance, on April 27, 2023, Honeywell International Inc., a U.S.-based multinational conglomerate corporation, announced that they have launched a new real-time health monitoring system, which captures and records patients’ vital signs both within the hospital setting and remotely. It uses advanced sensing technology to monitor vital signs via a skin patch, which connects the data instantaneously to healthcare providers on mobile devices and an online dashboard.
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About Author
Manisha Vibhute is a consultant with over 5 years of experience in market research and consulting. With a strong understanding of market dynamics, Manisha assists clients in developing effective market access strategies. She helps medical device companies navigate pricing, reimbursement, and regulatory pathways to ensure successful product launches.
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