Medical Instruments is a fast-growing industry that’s seeing its market reach a record $3.7 trillion, and it’s growing at a rate of almost 3% per year.
But while the growth is impressive, the growth in spending hasn’t been driven by medical devices.
As the healthcare industry’s fastest-growing segment, spending on medical devices is far smaller than the overall medical devices market.
That’s because medical devices aren’t a large part of the overall healthcare market, which has a $2.6 trillion market share.
According to a recent report by the Healthcare Industry & Financial Services Association, spending for medical devices grew just 0.3% in 2016, with medical device revenues accounting for just 0% of the total healthcare sector.
Thats because medical device sales are growing at such a slower rate than the healthcare sector overall, and because medical equipment sales tend to grow faster in the first quarter than in the fourth quarter, when the market is much smaller.
And while medical device spending is growing faster than healthcare spending overall, medical device revenue is growing more slowly than healthcare revenue overall.
So far this year, medical devices spending is down just 0