Global Digital Therapeutics Market Research Report: Forecast (2024-2030)

Market Definition

Digital therapeutics are software-based interventions that aim to treat, manage, or prevent medical conditions. They utilize digital platforms, like mobile apps or wearables, to deliver evidence-based therapies, often incorporating elements of cognitive behavioral therapy, education, and monitoring.

Market Insights & Analysis: Global Digital Therapeutics Market (2024-30):

The Global Digital Therapeutics Market is estimated to grow at a CAGR of around 20% during the forecast period, i.e., 2024-30. The market growth has been primarily attributed to the high healthcare costs, which have increased the adoption of digital therapeutic solutions that offer remote & scalable interventions to prevent or manage conditions, thus reducing the need for expensive in-person care.

Further, there has been widespread availability of smartphones across the world and this has successfully propelled the adoption of digital therapeutics across nations. For instance, as per the Global System for Mobile Communications Association (GSMA), in 2023, about 4.3 billion people, which is 54% of the global population, own a smartphone. With that, the commercialization and clinical application of digital therapeutics (DTx) has significantly increased, accelerating the overall Digital Therapeutics Market.

Moreover, the surge in the demand for these digital therapeutics solutions has led to an increment in the number of strategic activities, including acquisitions & mergers by the key companies, to gain a share in the lateral Digital Therapeutics Market. For instance, in 2023, Sidekick Health, a global leader in digital health innovation, announced the strategic acquisition of Aidhere, a leading developer of prescription digital therapeutics (PDT) based in Germany. Hence, these efforts by global companies are anticipated to drive the Digital Therapeutics Market growth in the coming years as well.

Global Digital Therapeutics Market Driver:

Increasing Prevalence of Preventable Chronic Diseases to Infuse the Market Growth – There has been a significant prevalence of preventable chronic diseases, such as diabetes, cardiovascular diseases (CVDs), etc., across the globe. For instance, as per the International Diabetes Federation (IDF), worldwide, approximately 537 million adults aged between 20-79 years were living with diabetes in 2021. Further, the total number of patients with diabetes is projected to rise to 643 million by 2030 & 783 million by 2045.

Digital therapeutics assist patients to effectively manage diabetes by offering personalized management strategies, including blood glucose tracking & medication reminders. As a result, the demand for diabetes-based digital therapeutics, such as BlueStar by WellDoc, Livongo Diabetes Program, etc. has increased. This has further propelled the overall Digital Therapeutics Market.

Global Digital Therapeutics Market Opportunity:

Integration of Virtual Reality (VR) Technology in Digital Therapeutics – The integration of virtual reality (VR) technology holds promising prospects within the Global Digital Therapeutics Market. It offers immersive solutions for the treatment & management of various conditions, such as strokes, post-traumatic stress disorder (PTSD), obsessive-compulsive disorder (OCD), anxiety disorders, substance abuse, etc. With the prevalence of these diseases on the rise, integrating VR into therapeutic interventions presents an opportunity to enhance patient engagement & adherence to treatment plans. Also, by immersing users in simulated environments, VR facilitates behavior change, pain management, and cognitive therapy, thereby expanding the scope of digital therapeutics into new therapeutic areas and improving overall healthcare outcomes. Hence, the Global Digital Therapeutics Market would experience profitable opportunities in the coming years.

Global Digital Therapeutics Market Challenge:

Data Privacy & Security Challenges Limiting Adoption of Digital Therapeutics – Digital therapeutics depend heavily on the collection and analysis of extensive personal health data. However, this reliance introduces significant risks of unauthorized access and breaches within the complex digital ecosystem. These risks encompass various concerns, including unvetted or intrusive targeted advertising and the potential for making sensitive inferences about individuals' behavior and health conditions based on their data. Particularly in the realm of mental health, where privacy & confidentiality are principal, these risks are amplified. Consequently, the apprehension surrounding data privacy & security is obstructing the acceptance and demand for digital therapeutics, adversely affecting the overall Digital Therapeutics Market.

Global Digital Therapeutics Market (2024-30): Segmentation Analysis

The Global Digital Therapeutics Market study by MarkNtel Advisors evaluates & highlights the major trends & influencing factors in each segment & includes predictions for the period 2024–2030 at the regional level. In accordance to the analysis, the market has been further classified as:

Based on the Product

• Software
• Hardware

The Software category held a major share of the Global Digital Therapeutics Market. The growth owes to the increased prevalence of chronic & infectious diseases necessitating the adoption of scalable & cost-effective solutions, such as digital therapeutics. Also, the aging population at risk for several chronic diseases demands effective solutions, such as digital therapeutics for managing chronic conditions, promoting adherence to treatment plans, and enabling remote monitoring. Hence, this becomes more crucial for elderly individuals, who may have mobility restrictions or require frequent healthcare interventions, thereby driving the demand for digital therapeutic software.

Based on Application

• Preventive
  • Pre-Diabetes
  • Obesity
  • Smoking Cessation
  • Others
• Treatment
  • Cardiovascular Diseases (CVDs)
  • Central Nervous System Diseases
  • Diabetes
  • Musculoskeletal Diseases
  • Others

The Treatment segment held a significant share of the Digital Therapeutics Market. The development has been attributed to the increasing number of patients with various diseases & disorders, including neurological diseases, diabetes, cardiovascular diseases, etc. For instance, according to the Alzheimer’s Disease International Organization, the number of people with Alzheimer’s will almost double every 20 years, reaching 78 million in 2030 and 139 million in 2050, up from 55 million in 2020. As a result, the demand for digital therapeutics would increase, driving segmental market growth.

Additionally, the search for newer approaches to combat substance misuse has led to the adoption of digital therapeutics such as Pear Therapeutics’s reSET and reSET-O, designed to support recovery from substance and opioid use disorder, thereby accelerating market growth.

Global Digital Therapeutics Market (2024-30): Regional Projection

Geographically, the Global Digital Therapeutics Market expands across:

• North America
• South America
• Europe
• The Middle East & Rest of Africa
• Asia-Pacific

North America accounts for the largest share of the Global Digital Therapeutics Market. The dominance has been attributed to the growing prevalence of various preventable chronic diseases, such as obesity, cancer, diabetes, etc. For instance, as per the International Diabetes Federation, the number of diabetes cases is expected to increase to 57million and 63 million by 2030 & 2045, respectively, up from around 50 million in 2021 in the North America region. With that, the adoption of digital therapeutic solutions is going to increase and would drive the regional market growth.

Furthermore, the presence of several patients with various neurological diseases such as hyperactivity disorder (ADHD), Parkinson's disease, etc. has increased the adoption of digital therapeutics that offer cognitive training exercises or symptom monitoring tools for the betterment of patients. For instance, Parkison's Foundation stated in 2022 that, each year nearly 90,000 people are diagnosed with Parkinson's disease in the US. With that, the North America Digital Therapeutics Market has witnessed enormous growth.

Global Digital Therapeutics Industry Recent Development:

• 2024: Otsuka Pharmaceutical, Co. Ltd. and Click Therapeutics, Inc., announced that the US Food and Drug Administration (FDA) has cleared Rejoyn™ (developed as CT-152), the first prescription digital therapeutic authorized for the treatment of major depressive disorder (MDD).
• 2023: 2Morrow® Inc., was awarded USD 1.9 Million NIH Grant to Develop a Digital Therapeutic for Patients with Chronic Pain.

Gain a Competitive Edge with Our Global Digital Therapeutics Market Report

• The Global Digital Therapeutics Market Report by MarkNtel Advisors provides a detailed & thorough analysis of market size, growth rate, competitive landscape, and key players. This comprehensive analysis helps businesses gain a holistic understanding of the market dynamics & make informed decisions.
• This report also highlights current market trends & future projections, allowing businesses to identify emerging opportunities & potential challenges. By understanding market forecasts, companies can align their strategies & stay ahead of the competition.
• The Global Digital Therapeutics Market Report aids in assessing & mitigating risks associated with entering or operating in the market. By understanding market dynamics, regulatory frameworks, and potential challenges, businesses can develop strategies to minimize risks & optimize their operations.