The global digital therapeutics (DTx) market is growing at a considerable CAGR of 29.0% during the forecast period. Increasing investment related to digital therapeutics, rising technological advancements in mobile healthcare are considered as the prime factors affecting and driving the market. The increasing focus associated with costs-controlled healthcare facilities along with growing preventive in healthcare is also estimated to be the key factor that is contributing significantly towards the growth of the market. However, in emerging economies lack of awareness regarding digital therapeutics and privacy concerns related to patient data is the major factor constraints that are hindering the growth of the global digital therapeutics (DTx) market across the globe. 

Moreover, increasing benefits from ongoing development in emerging economies is one of the key factors that are creating opportunities in the market. New product launches in the market are likely to drive the growth of the global digital therapeutics (DTx) market. For instance, in April 2021, one of the companies named Welldoc had partnered with Dexcom which is a provider in real-time continuous glucose monitoring (CGM). Through this partnership, the company has introduced a new integrated offering in order to drive improved health for people associated with Type 2 diabetes.    

Impact of COVID-19 Pandemic on the Global Digital Therapeutics (DTx) Market

The global digital therapeutics (DTx) market is positively affected by the COVID-19 pandemic since December 2019. This is due to increasing awareness regarding the importance of digital health that has increased the demand related to DTx devices and software across the globe.

Segmental Outlook 

The global digital therapeutics (DTx) market is segmented based on product type, sales channel, and application. Based on product type, the market is segmented into software and device. By sales channel, the market is segmented into b2c and b2b. Further, based on the application the market is segmented into preventive applications and treatment/care-related applications. 

Global Digital Therapeutics (DTx) Market Share by Application 2020 (%)

Based on the application segment, the treatment/care-related applications hold a significant share in the market. This is owing to the growing number of incidences of chronic diseases such as Arthritis, Asthma, Cancer, Chronic Obstructive Pulmonary Disease (COPD), Cystic Fibrosis, and Diabetes among others along with increasing adoption of advanced technologies and investments in digital therapeutics for effective treatment are some of the factors that are driving the growth of the segment in the market.

Regional Outlooks

The global digital therapeutics (DTx) market is analyzed based on the geographical regions that are contributing significantly to the growth of the market. Based on the geography, the market is segmented into North America, Europe, Asia-Pacific, and the Rest of the World. North America held a considerable share in 2020 in the global digital therapeutics (DTx) market. In North America, rising investments in digital therapeutics are one of the prime factors affecting the growth of the market in the region. Additionally, the increasing incidences of chronic diseases along with the existence of a large number of players are some other main factors that are providing support to the growth of the market in the region.

Global Digital Therapeutics (DTx) Market, by Region 2021-2027

Asia-Pacific will have Considerable Growth in the Global Digital Therapeutics (DTx) Market

Asia-Pacific region is expected to witness significant growth opportunities for the market. Increasing initiatives by government across the region is likely to drive the growth of the regional market. Additionally, key market companies expanding their reach along with rising health care expenditure in this region, especially in South Korea, China, and India are also impacting the market. Moreover, rising awareness regarding various healthcare applications for a better outcome is another factor that is also contributing to the growth of the market.

Market Player Outlook

Key players of the global digital therapeutics (DTx) market are Otsuka Pharmaceutical Co., Ltd., Livongo Health, Omada Health, Inc., WellDoc, and Pear Therapeutics, Inc. To survive in the market, these players adopt different marketing strategies such as product launches and mergers and acquisitions. For instance, in July 2020, one of the companies named Ayogo Health Inc. that is considered a behavioral science-based digital health company had done a partnership with Baxter International Inc. for the purpose of enlarging the support to the patients suffering from kidney disease through digital health solutions. For this purpose of enhancing the assistance to patients with kidney failure, the combination would be there of Ayogo Health Inc.’s behavior-based digital platform name as LifePlan with Baxter’s expertise in renal care to build mobile apps and digital solutions.

In March 2021, Pear Therapeutics Inc. had done the collaboration with one of the providers of tufts health plan and addiction treatment named Spectrum Health Systems. This collaboration will support in providing solutions for easier treatment access and innovation in care.

In January 2019, Otsuka Pharmaceutical Co., Ltd. had entered into a collaboration agreement with Click Therapeutics, Inc. for the purpose of treatment-related with Major Depressive Disorder (MDD). Through this the Click Therapeutics, Inc. will display the ability to discover and validate a software application in order to deploy it with Otsuka's expertise in developing approved prescription therapies for patients, so that unmet medical requirements could be improved.

The Report Covers

    • Market value data analysis of 2020 and forecast to 2027.

    • Annualized market revenues ($ million) for each market segment.

    • Country-wise analysis of major geographical regions.

    • Key companies operating in the global digital therapeutics (DTx) market based on the availability of data, information related to new product launches, and relevant news is also available in the report.

  • Analysis of business strategies by identifying the key market segments positioned for strong growth in the future.

    • Analysis of market-entry and market expansion strategies.

    • Competitive strategies by identifying ‘who-stands-where in the market.