Digital Pathology Market Size, Share, Industry, Forecast and outlook (2023-2030)

Digital Pathology Market is Segmented By Product (Software, Scanners, Storage Systems, Communication Systems), By Application (Drug Discovery, Teleconsultation, Diagnosis, Training & Education), By Type (Human Pathology, Veterinary Pathology), By Technology (Whole Slide Imaging, Telepathology(Static Telepathology, Dynamic Telepathology)), By End-User (Pharmaceutical and Biotechnology Companies, Contract Research Organizations, Research & Academic Institutes, Hospital laboratories), and By Region (North America, Latin America, Europe, Asia Pacific, Middle East, and Africa) – Share, Size, Outlook, and Opportunity Analysis, 2023-2030 

Digital Pathology Market Overview

The Global Digital Pathology Market reached USD 0.9 billion in 2022 and is projected to witness lucrative growth by reaching up to USD 1.7 billion by 2030. The global digital pathology market is expected to exhibit a CAGR of  8.7% during the forecast period (2023-2030). The digital pathology market is a rapidly growing sector within the healthcare industry that involves the use of digital technology to capture, manage, and interpret pathological data.

Digital pathology market encompasses the digitization of glass slides, the development of software solutions for image analysis and storage, and the integration of these technologies into the pathology workflow. Traditionally, pathologists have relied on glass slides and microscopes to examine tissue samples for diagnosis, but digital pathology is transforming this process by enabling the digitization of slides and the remote viewing and analysis of images. This digitalization offers several advantages, including improved efficiency, collaboration, and accessibility of pathological data.

The global digital pathology market is driven by the factors such as the increasing prevalence of chronic diseases, integration of artificial intelligence (AI), increasing adoption of digital pathology to enhance lab efficiency, technological advancements in digital pathology systems, the rising geriatric population, and increasing applications of digital pathology in companion diagnostics and drug development.

Digital Pathology Market Summary

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Digital Pathology Market Dynamics

Increasing Adoption of Digital Pathology to Enhance Lab Efficiency Drives the Growth of the Digital Pathology Market

The adoption of digital pathology has been steadily increasing in recent years, and it has been driving the growth of the digital pathology market. Digital pathology involves the digitization of glass slides and enables the storage, management, and analysis of pathology images on a computer or other digital devices.

The increasing adoption of digital pathology is the potential to enhance laboratory efficiency. Traditional pathology practices involve the use of physical glass slides, which require manual handling, storage, and transportation. This process can be time-consuming and prone to errors. Digital pathology eliminates the need for physical slides and allows pathologists to access and analyze images remotely, leading to improved workflow efficiency and faster turnaround times for diagnosis.

For instance, in March 2023, Hamamatsu Photonics, a global leader in imaging technology, announces the release of the new NanoZoomer S20MD Slide scanner system. This exciting new device was developed to provide clinical pathologists additional flexibility in their laboratory workflow.

Increasing Applications in Companion Diagnostics and Drug Development Also Drive the Growth of the Digital Pathology Market

Companion diagnostics refers to the use of diagnostic tests to identify patients who are likely to benefit from a specific therapeutic treatment. Digital pathology plays a crucial role in companion diagnostics by enabling the analysis of tissue samples and biomarkers to determine a patient's eligibility for targeted therapies. 

For instance, in February 2023, Roche, a pharmaceutical and diagnostics company announced that it has expanded its collaboration with Janssen Biotech Inc. to create companion diagnostics for targeted therapies, further strengthening research and innovation activities.

Digital pathology platforms allow for accurate and standardized assessment of biomarkers, such as genetic mutations or protein expression, which are essential for guiding treatment decisions. The ability to digitize and analyze these samples efficiently enhances the development and implementation of companion diagnostics, leading to improved patient outcomes. Digital pathology also enhances the ongoing focus on advancing drug development and personalized medicine.

The High Cost of Digital Pathology Systems Will Hamper the Growth of the Market. 

The high cost of digital pathology systems can pose a challenge to the growth of the market. The initial investment required to implement digital pathology infrastructure, including slide scanners, image analysis software, storage systems, and communication platforms, can be substantial. Additionally, ongoing maintenance and software updates can add to the overall cost.

The high cost of digital pathology systems can deter some healthcare organizations, particularly smaller clinics, and laboratories with limited budgets, from adopting this technology. Cost considerations can also affect the decision-making process for institutions that are already using traditional pathology methods and need to weigh the benefits of transitioning to digital pathology.

Digital Pathology Market Segment Analysis

The global digital pathology market is segmented based on product, application, type, technology, end-user, and region.

The Software Segment Accounted for Approximately 37.9% of the Digital Pathology Market Share

The software segment is expected to dominate the market share within the digital pathology market. This is primarily due to the increasing demand for advanced software solutions that enable efficient image analysis, storage, and collaboration in digital pathology workflows. Software plays a crucial role in converting digital pathology images into a format that can be easily accessed, analyzed, and shared among pathologists and other healthcare professionals.

For instance, in January 2023, Deciphex, an Irish-based software company announced the rollout of its Automated Image Quality Control (QC) for digital research pathology. The software company, which focuses on developing digital pathology-based software and services for clinical and research pathology, noted the launch of Automated Image QC as a further step as part of its mission to integrate and enhance Pathologists’ capability to deliver their skills at scale.

Software platforms equipped with advanced algorithms and artificial intelligence (AI) capabilities assist pathologists in analyzing and interpreting digital pathology images. These software solutions can automate tasks such as tissue segmentation, cell counting, and detection of specific biomarkers, enhancing efficiency and accuracy in pathology diagnostics.

For instance, in March 2023, Aiosyn, a software company that develops AI-powered pathology software, launched its first product that assists digital pathology labs across research, diagnostics, and pharma to improve their quality control (QC) process. AiosynQC is an AI-powered algorithm that automatically scans for the most common artifacts that occur during the heterogeneous pre-analytical process.

Source: DataM Intelligence Analysis (2023)

Global Digital Pathology Market Geographical Share

North America Accounted for Approximately 39.8% of the Market Share in 2022, Owing to the Advanced Healthcare Infrastructure and Presence of Major Players

North America boasts advanced healthcare infrastructure and well-established laboratory facilities. The region strongly emphasizes technological advancements and innovation in healthcare, which has created a favorable environment for the adoption of digital pathology. The presence of modern hospitals, research institutions, and diagnostic laboratories equipped with advanced imaging and diagnostic equipment has facilitated the integration of digital pathology systems.

North America is home to several major players in the digital pathology market, including technology providers, software developers, and healthcare organizations. These companies have made significant investments in research and development, leading to the introduction of cutting-edge digital pathology solutions. The presence of established market players with expertise in digital imaging, data management, and software analytics has accelerated the adoption of digital pathology systems in the region.

For instance, on March 14, 2023, OptraSCAN, the leading end-to-end digital pathology solution provider announces the introduction of the OnDemand Digital Pathology solution to meet today's need for the complete digital transformation of pathology laboratories in North America. Laboratories and Hospitals can save hundreds of thousands of dollars spent on Capital purchases by subscribing to OptraSCAN OnDemand Digital Pathology for a low monthly fee.

Source: DataM Intelligence Analysis (2023)

Digital Pathology Market Companies

The major global players in the digital pathology market include F. Hoffmann-La Roche Ltd., Koninklijke Philips N.V., Olympus Corporation, Leica Biosystems Nussloch GmbH (Danaher Corporation), Hamamatsu Photonics, Inc., Mikroscan Technologies, Inc., Inspirata, Inc. (Fujifilm), Visiopharm A/S, Huron Technologies International Inc., and ContextVision AB.

COVID-19 Impact on Digital Pathology Market

Russia-Ukraine Conflict Analysis

The Russia-Ukraine conflict is estimated to have a moderate impact on the global digital pathology market. The healthcare infrastructure, including hospitals, laboratories, and diagnostic centers, face damage or disruption due to the conflict. This can hinder the implementation and adoption of digital pathology systems, as the necessary physical infrastructure and resources are compromised.

By Product

• Software
• Scanners
• Storage Systems
• Communication Systems
• Others

By Application

• Drug Discovery
• Teleconsultation
• Diagnosis
• Training & Education
• Others

By Type

• Human Pathology
• Veterinary Pathology

By Technology

• Whole Slide Imaging
• Telepathology

• Static Telepathology
• Dynamic Telepathology

By End-User

• Hospital Laboratories
• Pharmaceutical and Biotechnology Companies
• Contract Research Organizations
• Research & Academic Institutes
• Others

By Region

• North America
  • U.S.
  • Canada
  • Mexico
• Europe
  • Germany
  • U.K.
  • France
  • Spain
  • Italy
  • Rest of Europe
• South America
  • Brazil
  • Argentina
  • Rest of South America
• Asia-Pacific
  • China
  • India
  • Japan
  • Australia
  • Rest of Asia-Pacific
• Middle East and Africa

Key Developments

• On February 27, 2023, Clarapath, a robotics company aimed at catalyzing change in the way pathology laboratories process human and animal tissue, announced the acquisition of Mountain View, CA-based Crosscope. Crosscope is a digital pathology company with a turnkey imaging solution providing best-in-class workflow tools and slide management along with artificial intelligence (AI) and machine learning (ML) technology to assist pathologists with better and faster decision-making.
• On June 22, 2023, PharmaNest Inc, a leader in high-resolution quantitative Digital Pathology and Artificial Intelligence, announces the launch of its Digital Pathology spatially resolved, quantitative tissue panels to describe the severity of tissue injury and inflammation in the context of fibrotic conditions and allow novel AI-driven investigations of inflammation in the context of fibrosis for any condition, from discovery models to clinical development.
• On March 13, 2023, Paige, a global leader in end-to-end digital pathology solutions and clinical AI applications, and Leica Biosystems, a cancer diagnostics company and global leader in workflow solutions, announced an expanded partnership to enhance the use of digital pathology workflows at hospitals and laboratories around the world. Building upon its existing partnership, Leica Biosystems has selected Paige as the preferred provider of software-as-a-service (SaaS) digital pathology image management and viewing software along with diverse embedded AI solutions for their line of Aperio GT 450 digital pathology slide scanners.

Why Purchase the Report?

• To visualize the global digital pathology market segmentation based on product, application, type, technology, end-user, and region, as well as understand key commercial assets and players.
• Identify commercial opportunities by analyzing trends and co-development. 
• Excel data sheet with numerous data points of digital pathology market-level with all segments.
• PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
• Product mapping available as Excel consisting of key products of all the major players.

The global digital pathology market report would provide approximately 53 tables, 54 figures, and 195 Pages.

Target Audience 2023

• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies