June 12, 2024
Healthcare Data Storage Market

The Healthcare Data Storage Market Is Expected To Be Propelled By Growing Adoption Of Cloud Technology

Healthcare data storage involves capturing, archiving, and retrieving medical images, patient records, and other types of healthcare data. It includes picture archiving and communication systems (PACS), archiving and retrieval of medical images, electronic medical records (EMR) systems, and other clinical and business applications. Data storage solutions help healthcare organizations securely store patient information and comply with regulatory requirements. They provide features like data protection, easy sharing of medical records between departments and locations, centralized storage and management of healthcare data, and disaster recovery capabilities. The global healthcare data storage market is dominated by traditional on-premise storage systems. However, growing adoption of cloud storage is opening new opportunities due to benefits like scalability, flexibility, and lower upfront costs. The focus on value-based care is also driving increased digitization across the healthcare industry and fuelling demand for data storage infrastructure.

The global healthcare data storage market is estimated to be valued at US$ 3.74 Bn in 2023 and is expected to exhibit a CAGR of 16% over the forecast period 2023-2030, as highlighted in a new report published by CoherentMI.

Market Dynamics:

Growing use of cloud technology in healthcare and increasing government initiatives for EHR adoption are the key drivers propelling the growth of the global healthcare data storage market. Major healthcare organizations are moving to cloud-based data storage due to advantages such as reduced operational costs, scalability, simplified system management, and regulatory compliance. Furthermore, governments across nations are launching initiatives and programs to promote widespread implementation of EHR systems. For example, under the Health Information Technology for Economic and Clinical Health (HITECH) Act of 2009, the U.S. government allocated funding of around US$ 30 billion through 2019 to accelerate EHR adoption. Increasing EHR usage is significantly driving demand for data hosting infrastructure for securely storing patient records. The rising investment on big data analytics solutions by healthcare providers to gain insights for improving care quality and clinical outcomes is also boosting requirements for advanced data storage platforms with high scalability and performance. While on-premise storage continues to dominate currently, the healthcare data storage market is expected to witness steady shift towards cloud-based solutions going forward due to their compelling value proposition.

Segment Analysis:

The healthcare data storage market can be segmented by component, storage system, architecture, end user and geography. By component, the market is segmented into hardware, software and services. The hardware segment dominates due to increasing adoption of storage systems worldwide. By storage system, the market is segmented into direct-attached storage (DAS), network-attached storage (NAS) and storage area network (SAN). The SAN segment dominates as it provides centralized platform for block level data storage. By architecture, the market is segmented into file storage, object storage and block storage. The block storage segment dominates as it provides infrastructure for mission critical applications. By end user, the market is segmented into pharmaceutical & biotechnology companies, CRO, research centers, academic & government institutes and other end users. Pharmaceutical & biotechnology companies dominate as they generate huge amount of data through research.

Global Healthcare Data Storage Market Segmentation:

  • By Type
  • Direct Attached Storage
  • Network Attached Storage (NAS)
  • Storage Area Network (SAN)
  • By Architecture
  • Block Storage
  • File Storage
  • Object Storage
  • Hyperscale Storage
  • Software-Defined Storage (SDS)
  • Others
  • By Deployment
  • On-premise
  • Cloud
  • Hybrid
  • By End User
  • Healthcare Providers
  • Healthcare Payers
  • Pharmaceutical & Biotechnology Companies
  • CROs & CDMOs
  • Others

PEST Analysis:

Political: Favorable government initiatives to promote healthcare IT are driving market growth.

Economic: Rising healthcare expenditures are prompting more investments in data storage infrastructure.

Social: Growing emphasis on EHR adoption and data privacy compliance are significant trends.

Technological: Emergence of technologies like cloud storage, artificial intelligence and machine learning are widening applications of healthcare data storage.

Key Takeaways:

The global Healthcare Data Storage Market Size is expected to witness high growth. The global Healthcare Data Storage Market is estimated to be valued at US$ 3.74 Bn in 2023 and is expected to exhibit a CAGR of 16.% over the forecast period 2023-2030.

The North America region dominates the market currently due to large healthcare expenditures and stringent regulations regarding data privacy.

Key players operating in the healthcare data storage market are Dell Inc., NetApp, Hewlett Packard Enterprise (HPE), IBM, Pure Storage, Hitachi, Ltd., Western Digital, Scality, Quantum, Drobo, Tintri, Cloudian, Excelero, StorONE, DataCore Software, Pure Storage, Inc., and Infortrend Technology Inc.

Key players like Dell Inc. and IBM have wide storage product portfolio and global presence. Dell Inc. offers storage solutions like Dell EMC Unity, Dell EMC Isilon and Dell EMC SC Series for healthcare sector. IBM offers data storage solutions namely IBM Spectrum Scale, IBM FlashSystem and IBM SAN Volume Controller for healthcare data storage needs. The growth of the healthcare data storage market is anticipated to be driven by increasing digital healthcare initiatives, adoption of electronic health records and emergence of technologies like AI and machine learning in the healthcare industry. However, concerns around data privacy and costs associated may restrain market growth.

1.Source: CoherentMI, Public sources, Desk research
2.We have leveraged AI tools to mine information and compile it