The Global Medical Terminology Software Market is estimated to be valued at US$ 1.41 Bn in 2023 and is expected to exhibit a CAGR of 17% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Medical terminology software helps healthcare organizations map their legacy data to established clinical terminology standards such as SNOMED CT, LOINC and ICD-10. This mapping enables integration of disparate healthcare applications and exchange of structured clinical data between healthcare providers, payers and other stakeholders. The software offers services such as term indexing, coding and natural language processing which assist doctors, clinicians and administrators to search clinical terms, browse term relationships and retrieve definitions.
Market Dynamics:
The growth of the global medical terminology software market is driven by the rising adoption of electronic health records (EHR) and other healthcare IT solutions. For instance, legislation such as Health Information Technology for Economic and Clinical Health (HITECH) Act in the US provides incentive payments to healthcare providers for implementation of EHR and other IT solutions. Growing focus on minimizing medical errors and improving healthcare quality has necessitated need for standardized clinical vocabularies across healthcare organizations. This is expected to drive the demand for medical terminology software in the coming years. Another major driver is the growing trend of healthcare outsourcing wherein clinical documentation services, medical coding and historical claims processing are outsourced to healthcare technology firms. This has increased the need for clinical terminology management solutions.
Segment Analysis
The global medical terminology software market is dominated by subscription-based software segment. This is because majority of healthcare organizations prefer subscription model due to advantages like easy installation, regular updates, unlimited support etc. Further, SaaS deployment model offers advantages in terms of lower costs and less maintenance efforts.
PEST Analysis
Political: Healthcare reforms in several countries are driving the need for efficient terminologies and coding systems in healthcare organizations. This is boosting demand for medical terminology software.
Economic: Rising healthcare costs is compelling providers to adopt software solutions that can improve documentation, coding and claims management. This presents opportunities for medical terminology software vendors.
Social: Growing elderly population and rising incidence of chronic diseases is increasing patient volume in healthcare facilities. This is generating need for automated systems to handle large data in an effective manner.
Technological: Adoption of artificial intelligence, cloud computing and advanced analytics is allowing integration of medical terminology software with other healthcare IT solutions. This is augmenting their demand.
Key Takeaways
Global Medical Terminology Software Market Demand is expected to witness high growth, exhibiting 17% CAGR over the forecast period, due to increasing need for maximizing revenue cycle management and optimizing clinical documentation in healthcare organizations.
Regional analysis shows that North America dominates the global market led by U.S. due to regulatory mandates for adoption of ICD-10 coding system and presence of major players in the region. Asia Pacific medical terminology software market is expected to grow at fastest pace owing to rising healthcare expenditure, increasing patient volume and expansion of healthcare IT infrastructure in emerging economies of the region.
Key players operating in the medical terminology software market are Wolters Kluwer, 3M, Apelon, Intelligent Medical Objects, Clinical Architecture, CareCom, Bitac, B2i Healthcare, HiveWorx, BT Clinical Computing, EzCoder, Acupedia, Savante International, Vocera Communications, IntraMed Abbreviation Engine, CloudPital, SoftMed Systems, DXC Technology Company, DECISIONQ, and GenoLogics. Major players are focusing on inorganic growth strategies like acquisitions to enhance their product & service offerings. For instance, in 2021, Clinical Architecture acquired Natural Language Processing firm ComprehENDE to strengthen its clinical documentation capabilities.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
