Augmented and Virtual Reality tech is set to be worth $4997.9mn by 2023, report finds
The US healthcare market is going through a period uncertainty. With an ageing population and shortage of medical professionals, rising drug prices, and the threat of tech giants, such as Amazon and Apple, traditional healthcare practices are being overhauled as a result of new, innovative technologies set to hit the market.
A recent report by MarketandMarkets, "Augmented and Virtual Reality in Healthcare Market has highlighted that the use of these technologies will grow from $769.2mn in 2017, to a staggering $4,997.9mn by 2023, at a CAGR of 36.6% between 2017 and 2023.
The increase in connected devices and investment in both AR and VR will see the healthcare sector drive down rising healthcare costs and deliver personalised patient care, guaranteeing a higher quality of life for those with long-term conditions.
Additionally, the use of head-mounted displays within healthcare include pre-hospital medical care, nursing care in clinical environments, as well as medical treatment in hospitals. AR and VR can help surgeons perform surgeries more, in addition to AR and VR healthcare apps which can help save lives and treat patients seamlessly.
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North America, being technologically advanced and developed, is a leading market for the cutting-edge technologies within the US. Major players in the US market for augmented reality in healthcare and virtual reality in healthcare are Google, Microsoft, DAQRI, Firsthand Technology, Atheer, Augmedix and Oculus VR.
The launch of teaching hospitals is enabling trainee physicians utilise VR technology to support their training in the operating room by merging both visual and physical training elements and creating realistic simulations, rather than utilising cadavers.
It is clear that both the US and Canada are leading the way in terms of implementing VR and AR into the healthcare space. Canadian company, AdHawk Microsystems, has recently launched its small, eye tracking motion sensor, which eliminates the need for large, camera-based eye tracking systems. It has also been reported that the use of AR smart glasses is expected to grow at a high rate to boost AR in healthcare and provide a complete, immersive experience.
Furthermore, Vancouver has recently launched its first virtual, augmented and mixed reality hub. Named The Cube, the hub will see the region become a leader in these new technologies which will no doubt further bring the healthcare industry into the modern age.
Start-ups receive $60 billion investment, smash 2020 record
Start-ups on the continent have raised a massive 43.8 billion euros ($60.9 billion) in just the first six months of 2021, according to figures from Dealroom, surpassing the record 38.5 billion euros invested last year..
This is despite the fact that the number of venture deals signed so far is around half the amount agreed in 2020. Only about 2,700 funding rounds have been raised so far this year, compared to 5,200 last year.
Prime examples in times of change
Examples are Swedish buy-now-pay-later firm Klarna which has raised more than $1.6 billion in two financing rounds, the German stock trading app Trade Republic received $900 million in May and British payments provider Checkout.com snapped up $450 million at the start of the year.
The figures suggest that European tech firms are pulling in far larger sums of money per investment than in previous years, which defies the economic uncertainty of the pandemic and boosted online services enormously.
The CEO of Checkout.com, Guillaume Pousaz, said start-ups have often been created in times of crisis, citing the emergence of several new financial technology companies in the wake of the 2008 global financial crisis.
He added that big transformational change was often the time when there is the emergence of a lot of new start-ups, sometimes when people are losing their jobs for associated reasons.
UK leading the charge
Scale-Up Europe, a group that includes the founders of UiPath and Wise, proposed 21 recommendations to help the region build “the next generation of tech giants.” Among the suggestions are tax credits to corporates for investing in start-ups and regulatory changes that adapt to new innovations.
Sebastian Siemiatkowski, CEO of Klarna, said the U.K. leads Europe when it comes to tech policy, and that there were a number of regulatory issues needing to be addressed before the European Union can produce tech giants of its own.
Siemiatkowski highlighted EU regulation of web cookies as an example of “poor regulation.” Yet, as the number of $1 billion start-ups in Europe continues to grow, the number of exits in the continent is also increasing.
This year has already seen some notable acquisitions, including Etsy’s $1.6 billion purchase of U.K. fashion resale app Depop and JPMorgan’s takeover of London robo-advisor Nutmeg.
As for stock market listings, a number of notable debuts have taken place in London in particular, including food delivery app Deliveroo, cybersecurity firm Darktrace and reviews site Trustpilot. Money transfer giant Wise, formerly known as TransferWise, plans to go public in the U.K. capital soon.