Digital Therapeutics Market By Application (Diabetes, Cardiovascular Diseases, Respiratory Diseases, Neurological Disorders, Smoking Cessation, Obesity), By End-User (Patients, Providers, Payers, Employers), By Product Type (Software-Based Digital Therapeutics, Device-Based Digital Therapeutics), and By Region; Global Insights & Forecast (2024 – 2030)

As per Intent Market Research, the Digital Therapeutics Market was valued at USD 4.7 billion in 2023 and will surpass USD 23.2 billion by 2030; growing at a CAGR of 25.5% during 2024 - 2030.

The digital therapeutics market is a rapidly evolving segment of the healthcare industry, leveraging software-based and device-driven solutions to manage, treat, and prevent a wide range of medical conditions. With advancements in technology and increasing adoption of patient-centric care models, digital therapeutics are gaining traction as an effective alternative or complement to traditional treatment methods. The market is witnessing robust growth fueled by rising chronic disease prevalence, greater smartphone penetration, and supportive regulatory frameworks.

Diabetes Segment Is Largest Owing to High Prevalence and Demand for Remote Management

Diabetes remains the largest application segment in the digital therapeutics market due to its global prevalence and the demand for innovative management tools. The rise of mobile health apps and AI-driven platforms has enabled patients to monitor glucose levels, receive real-time feedback, and manage lifestyle changes effectively.

Key solutions like Livongo and Omada Health have revolutionized diabetes care by offering integrated platforms that combine remote monitoring with personalized coaching. This segment continues to dominate as healthcare providers and payers increasingly recognize the cost-saving potential of digital therapeutics in diabetes management.

Patients Segment Is Largest Owing to Direct Engagement and Growing Awareness

The patients segment accounts for the largest share of the digital therapeutics market, driven by the growing awareness of self-managed care and the accessibility of digital health tools. Patients increasingly prefer digital therapeutics for their convenience, cost-effectiveness, and personalized approach to managing chronic conditions.

Solutions such as Propeller Health's respiratory management platform and Better Therapeutics’ behavior change programs empower patients to take control of their health. The integration of gamification and user-friendly interfaces further enhances patient adherence, solidifying this segment's dominance.

Software-Based Digital Therapeutics Segment Is Largest Owing to Scalability and Innovation

Software-based digital therapeutics dominate the market due to their scalability, ease of distribution, and continuous innovation. These solutions leverage AI, machine learning, and data analytics to deliver personalized interventions via smartphones and other devices.

Pear Therapeutics’ FDA-approved reSET and reSET-O for substance use disorder exemplify the transformative potential of software-based digital therapeutics. This segment benefits from lower development costs and faster time-to-market compared to hardware-centric solutions, making it a preferred choice for developers and investors.

North America Is Largest Owing to Advanced Healthcare Infrastructure

North America holds the largest share of the digital therapeutics market, underpinned by its advanced healthcare infrastructure, high smartphone penetration, and supportive regulatory environment. The region has been an early adopter of digital health solutions, with significant investments from both public and private sectors.

Leading players such as Livongo Health and Omada Health are headquartered in the U.S., driving innovation and adoption. Government initiatives like the FDA's Digital Health Innovation Action Plan further reinforce North America’s leadership in this market.

Competitive Landscape and Leading Companies

The competitive landscape of the digital therapeutics market is characterized by innovation, strategic collaborations, and regulatory compliance. Leading companies like Pear Therapeutics, Akili Interactive, and Omada Health are driving the market with clinically validated solutions and robust R&D pipelines.

Partnerships between digital therapeutics developers, healthcare providers, and payers are shaping the market dynamics. The focus on evidence-based solutions and regulatory approvals remains critical for gaining market share, ensuring sustained growth and competition.

Recent Developments:

• In July 2023, Big Health acquired Limbix, a company specializing in digital therapeutics for adolescents with depressive symptoms.
• In May 2024, Otsuka launched Otsuka Precision Health, a new subsidiary dedicated to data and technology innovations.
• In January 2024, Eli Lilly and Company introduced LillyDirect, a comprehensive digital healthcare platform for managing obesity, migraine, and diabetes in the U.S.
• In October 2024, Viridian Therapeutics reported promising results in treating thyroid eye disease (TED) with veligrotug.

List of Leading Companies:

• Akili Interactive
• Pear Therapeutics
• Omada Health
• Propeller Health
• Welldoc
• Livongo Health
• Big Health
• 2Morrow
• Kaia Health
• Hinge Health
• Voluntis
• Lark Health
• Click Therapeutics
• Better Therapeutics
• Biofourmis

Report Scope: