Artificial Intelligence in Healthcare Market worth $194.79 billion by 2031 | MarketsandMarkets™

DELRAY BEACH, Fla., June 23, 2026 /PRNewswire/ -- According to MarketsandMarkets™, the Artificial Intelligence in Healthcare Market is projected to grow from about USD 36.67 billion in 2026 to USD 194.79 billion by 2031, at a CAGR of 39.7%.

Browse 455 market data Tables and 54 Figures spread through 738 Pages and in-depth TOC on 'Artificial Intelligence (AI) in Healthcare Market - Global Forecast to 2031'

Artificial Intelligence in Healthcare Market Size & Forecast:

• Market Size Available for Years: 2025–2031
• 2026 Market Size: USD 36.67 billion
• 2031 Projected Market Size: USD 194.79 billion
• CAGR (2026–2031): 39.7%

Artificial Intelligence in Healthcare Market Trends & Insights:

• By application, the clinical applications segment is expected to register the highest CAGR of 41.4% during the forecast period.
• By deployment model, the cloud-based models segment held the largest share of 63.2% in 2025.
• North American artificial intelligence (AI) in healthcare market accounted for the largest share of 42.4% in 2025.

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The AI in healthcare market is experiencing significant growth, driven by increasing government support, expanding adoption of AI-enabled medical devices, and the growing use of AI across clinical, operational, and public health applications. In February 2026, the US Department of Health and Human Services (HHS) announced that nearly 500 million health records had been exchanged through the TEFCA national interoperability network while emphasizing the use of artificial intelligence and advanced healthcare technologies to reduce costs, improve data accessibility, and enhance healthcare delivery. Additionally, the Centers for Disease Control and Prevention (CDC) released its FY 2026–2030 AI Strategy in April 2026, outlining plans to leverage AI for disease surveillance, outbreak detection, predictive analytics, and operational efficiency. These developments demonstrate an increasing federal commitment to AI adoption across healthcare and public health systems, which is expected to accelerate investments in AI-powered diagnostics, clinical decision support, medical imaging, population health management, and workflow automation.

By tool, the deep learning subsegment held the largest market share in the artificial intelligence (AI) in healthcare market for machine learning in 2025.

By tool, the artificial intelligence (AI) in healthcare market for machine learning has been bifurcated into deep learning, supervised learning, reinforcement learning, unsupervised learning, and other machine learning technologies. The deep learning segment accounted for the largest share of the artificial intelligence (AI) in healthcare market in 2025. The capability to process vast amounts of unstructured medical data, such as electronic health records (EHR), imaging, and genomics, allows accurate disease diagnosis and prediction. The integration of deep learning into healthcare is significantly boosting the AI in healthcare market, leading to substantial investments in diagnostic tools and predictive analytics. As computational power and data availability continue to grow, deep learning is poised to unlock further advancements, solidifying its role as a key enabler of next-generation healthcare technologies.

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By end user, healthcare providers held the largest market share in the artificial intelligence (AI) in healthcare market in 2025.

Based on end users, the AI in healthcare market is segmented into healthcare providers, healthcare payers, patients, and other end users. In 2025, healthcare providers accounted for the largest share of the AI in healthcare market. The large share of this end-user segment can be attributed to hospitals' increasing budgets to improve the quality of care and reduce costs. For example, in 2026, Aultman Health System expanded the deployment of Nabla's ambient AI solution across hundreds of clinicians through its Oracle Cerner integration to improve clinical documentation efficiency and reduce administrative burden. This reflects the growing utilization of AI by healthcare providers to streamline operations and enhance care delivery.

The Asia Pacific region is expected to experience considerable growth from 2026 to 2031.

Based on region, the artificial intelligence (AI) in healthcare market is segmented into five main regions: North America, Europe, Asia Pacific, Latin America, and the Middle East & Africa. The Asia Pacific region is projected to experience substantial growth during the forecast period. The Asia Pacific (APAC) region is experiencing substantial growth in the adoption of AI technologies in the healthcare sector, driven by demographic shifts, technological advancements, and increased investment in innovation. For example, in 2026, IHH Healthcare expanded the deployment of AI across its Mount Elizabeth Hospital network in Singapore to enhance patient monitoring, claims processing, workforce management, and clinical operations, demonstrating accelerating AI adoption among healthcare providers across the region.

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Top Companies in Artificial Intelligence (AI) in Healthcare Market:

The Top Companies in Artificial Intelligence (AI) in Healthcare Market include Koninklijke Philips N.V. (Netherlands), Microsoft Corporation (US), Siemens Healthineers AG (Germany), NVIDIA Corporation (US), Epic Systems Corporation (US), GE Healthcare (US), Medtronic (US), Oracle (US), Veradigm LLC (US), Merative (IBM) (US), Google (US), Cognizant (US), Johnson & Johnson (US), and Amazon Web Services, Inc. (US), among others.

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