AI In Pathology Market, By Component (Software, Scanner), By Neural Network (Generative Adversarial Networks, Convolutional Neural Networks, Recurrent Neural Networks, Others) By Application (Drug Discovery, Disease Diagnosis And Prognosis, Clinical Workflow, Training And Education), By End User (Pharmaceutical And Biotechnology Companies, Hospitals And Reference Laboratories, Academic And Research Institutes), By Region And Companies - Industry Segment Outlook, Market Assessment, Competition Scenario, Trends, And Forecast 2024-2033

Report Overview

The Global AI In Pathology Market size is expected to be worth around USD 119 Billion by 2033, from USD 27.2 Billion in 2023, growing at a CAGR of 15.9% during the forecast period from 2024 to 2033.

The term AI in pathology significantly refers to the integration of artificial intelligence into the field of pathology. This involves study and scrutinization of tissues and cells, analysis of large sets of pathology data using advanced algorithms and machine learning techniques in order to detect, classify and interpret various diseases.

Further, AI tools assists pathologists to automate monotonous tasks, enhance precision of diagnosis and accelerate analysis of intricate data, resulting into revolutionization by ameliorating efficiency, reducing errors, and providing valuable perception of personalized medicine. For instance, AI applications in pathology involves image identification, predictive modelling for disease prognosis and patern recognition for preliminary detection of oddities. This facilitates time saving and reduction of errors, driving its utilization in laboratories with more cases in the near future.

The scaling ultimatum for technologically advanced solutions, rising cases of misrecognization and increased funding initiatives for patient care quality improvement and keen emphasis on cost control and efficiency improvement in healthcare facilitites cumulatively drives the growth of the market. However, cost of operation, implementation coupled with interoperability issues may cause hindrance towards market expansion.

Key Takeaways

• Based on componets, software segment dominates the market in the year 2023 owing to the rising adoption of AI softwares in pathological workflow.
• Analysis of neural network reports the strengthening of market occurred by virtue of conventional neural network segment.
• The escalating use of AI in the process of estimating new drug for individual patients, marks a prominent position of Drug discovery segment in the marketplace.
• The rising pervasiveness of diseases makes hospital and reference laboratories segment to dominate the global AI in pathology market
• Asia-Pacific to dominate the market owing to high adoption of artificial intelligence in diverse pathological work in the countries like India and China.

Component Analysis

Software segments is marked as a major leader

Based on component, the market for AI in pathology is fragmented into software and scanner segment, where software segment is known to dominate the market marking its position as a major leader in 2023. The segments’ domination is a reflection of escalating adoption of artificial intelligence software in pathology as the technology assists the pathologists to accelerate the outcomes, better understanding of patient’s condition, and plan recovery medication within minimal period of time.

In addition, the segment gets an optimistic push as it has the ability to store patient health information and report retrievel efficiently aided by artificial intelligence. Thus, these multifaceted factors shapes the AI in pathologys’ market dynamics in recent years, making the segment to grab a measurable market share of 74.5% in the year 2023.

Neural Network Analysis

Ease in the workflow of pathologists makes conventional neural network segment dominating

The market for AI in pathology is broadly categorized into Generative adversarial networks, Convolutional neural networks, Conventional neural network, Recurrent neural networks and other segments, depending on analysis of neural network. The market experiences an expanding climate driven by conventional neural network segment capturing a commanding market share of 45.2% in the year 2023.

The segment improves workflow efficiency of pathologists by virtue of the ability of AI to image examine pathology slides and identify patterns in tissues. This allow the pathologist to maintain a keen emphasis on clinical trials and results interpretation. All these factors togetherly leads to heightening application of artificial intelligence in pathology in the upcoming future.

Application Analysis

AI enhances safety and efficacy of drugs for end users

With respect to applications, the market is fragmented into Drug discovery, Disease diagnosis and prognosis, Clinical workflow and Training and education segment. Amongst these, a laudable market share of 46.7% is grabbed by drug discovery segment by virtue of notable cases of illicit drug across the globe. Further, AI helps to estimate effectiveness of new drug for individual patient as it can scrutinize large population data and recognize pattern and trends.

In addition to this, the demand for AI during the study period is boosted as the safety and effectiveness of drugs for consumers up scaled. This is due to the utilization of AI to recognize the origin of disorders, proteins and vitamins by the researchers to a greater extent.

• According to International Agency for Research on Cancer, around 14.1 million new cases were estimated in 2012 and is further expected to increase to more than 20 million each year by 2030.

End User Analysis

Market is pushed forward by rising pathology cases

Based on end use, the market is bifurcated into Pharmaceutical and Biotechnology companies, Hospitals and Reference laboratories and Academic and Research Institutes. Hospitals and Reference laboratories segment captures a commendable market revenue share of 58.4% in the year 2023. This admirable market presence has expideted due to growing number of cases in recent times, which are further precisely handled by hospital and reference laboratories. With the loaded pathology workflow the demand for AI driven solutions enhances providing persistent outcomes in compact period of time.

Additionally, hospitals do not require more pathologists to manage rising cases, as AI has the ability to multitask and provide satisfactory results, creating new opportunities for global market in the near future.

• According to 2017 to 2020 statistics, the number of pathology specimens tested remotely in Jianghua country reached 10,394 with an annual increase of more than 10%.

Key Market Segments

By Component

• Software
• Scanners

By Neural Network

• Generative adversarial networks
• Convolutional neural networks
• Conventional neural network
• Recurrent neural networks
• Other

By Application

• Drug discovery
• Disease diagnosis and prognosis
• Clinical workflow
• Training and education

By End User

• Pharmaceutical and Biotechnology companies
• Hospitals and Reference laboratories
• Academic and Research Institutes

Market Drivers

Multifaceted AI features drives the market reach

A synergy is established between artificial technology and modern pathology due to the advancements in pattern recognition and image processing. Image classification proved its effectiveness by virtue of deep convolutional neural networks, allowing digital pathology to ameliorate slide scanning approaches. The tedious tasks associated with pathology is pulled back on track by computer assisted technologies assisting in grading, staging, classifying and quantifying responses to treatment. Neural network algorithms play a pivotal role in case of vast data input or high quality training sets, using a digitized database exceeding 100,000 clinical photos of skin disease.

The categorization of skin lesions in comparison to current pathology quality standards is effectively proceeded by deep convolutional neural network. Amongst diverse computational image recognition tasks exceptional outcomes are brought by deep learning platform precisely segmenting task including epithelia, nuclei, cell cycle characterization, mitosis quantification, immune infiltration and tumor grading. Thus, digital pathology lab results in more precise drug response prediction and prognosis of this concealed disease over time, scaling demand for AI thereby driving the market growth.

Market Restraints

High cost and scarcity of trained professionals

The adoption of AI is anticipated to impede with the scaling investments required to establish digital pathology. These heavily budgeted setup becomes affordable for substantial capital budget hospitals, while the pathologies and academic institutes with finite budget restricts themselves to adopt these advanced technologies. In addition to this, trained personnel is required for efficient operation and maintenance of digital pathology system. Thus, the dearth of skilled professionals and high cost of AI implementation in pathologies combinely hamper the growth of the market.

• To exemplify, an approximate cost of the USD 500,000 to the USD 1,500,000 is required for a typical pathology system comprising a slide scanner, an image server and a software

Market Opportunities

Rising prevalence of diseases

The demand for pathology services boosted noticeably with the rising pervasiveness of diseases. The laboratories dealing with limited workforce faces abundant challenges for handling rising volume of specimens. These up scales an ultimatum for AI based solutions in laboratories for multitasking diverse workflow simultaneously. Patients at remote distance can now share the desired information beyond geographical boundaries with the incorporation of artificial intelligence in pathologies.

Dearth of trained pathologists

In addition, there arises a shortage of trained pathologists with the increased workload resulting in enhanced stress level and delays in diagnosis. Thus, this burden can be smoothly alleviated by AI in pathology assisting in automation of  routine tasks, providing decision support, and assists in slide examination. Thus, this shortage necessitates the need for AI in pathology to provide remote pathological consultation and services towards patients, offering wealthy opportunities for market growth.

Latest Trends

Development of AI powered diagnostic tools

AI based diagnostic tools and solutions ranging from automated screening algorithms for cancer detection to advanced decision support technology for analysis of histopathologies, assists the pathologists to precisely detect and classify diseases.

AI for Predictive Pathology and Precision Medicine

Disease continuance, treatment response and outcome of patients can be predicted by analyzing large scale proteomic, genomic and clinical data aided by AI algorithms. Thus, AI is popularly utilized for predictive pathology and precision medicine applications, enabling personalized treatment strategies.

Impact of Macroeconomic factors

A combination of macroeconomic factors influence the growth of AI in pathology market. The market is primarily affected by the changes in demographic factors including rising prevalence of diseases coupled with growing elderly population. With the rise in these facets, there necessitates a demand for pathology services such as AI powered diagnostic services to underpin detection and treatment of diseases at the onset stage. In addition, the adoption of AI in a country is heavily influenced by the level of healthcare expenditure. Higher the healthcare spending more are the resources accessible towards the population including AI based pathology services.

Regional Analysis

Asia-Pacific bolstered its position in AI based pathology market

The elevating implementation of artificial intelligence in healthcare sectors especially in the regions like India and China, leads Asia-Pacific region to gain popularity over other geographies. The region being at the forefront captures a valuable market share of 31.4%, commanding the global AI in pathology market. The rising capability of AI in pathology to complete mundane tasks in compact period of time save pathologists to spend long time intervals in pathology work. The region further show excellence due to the presence of lower level pathologists demanding the adoption of artificial intelligence to carry out diverse tasks allotted for pathologists.

• The remote pathology diagnosis platform at Xiangya Hospital Central South University(China) has completed 10,254 cases of remote pathology consultation by the end of April 2019.

Key Regions and Countries

• North America
  • US
  • Canada
• Europe
  • Germany
  • France
  • The UK
  • Spain
  • Italy
  • Russia
  • Netherland
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • South Korea
  • India
  • New Zealand
  • Singapore
  • Thailand
  • Vietnam
  • Rest of APAC
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • South Africa
  • Saudi Arabia
  • UAE
  • Rest of MEA

Key Players Analysis

The major companies are focusing on growth strategies such as product developments, new product approvals, and mergers & acquisitions to enhance their share of the worldwide AI in pathology market. For Instance, a collaboration was brought into account between 3DHISTECH and Epredia to launch a pathology innovation incubator with the aim to expedite the progress in cancer diagnostics. Some of the key market players in the AI in pathology market includes Akoya Biosciences, Indica Labs, PathAI, etc.

Market Key Players

• Aiforia Technologies
• Ibex Medical Analytics
• PROSCIA
• Roche Tissue Diagnostics
• Visiopharm
• Deep Bio
• Mindpeak
• Hologic
• Aiosyn
• Lumea

Recent Developments

• In April 2023: An agreement was signed by Indica Labs Inc.(US) with Lunit Inc.(Sout Korea). The agreement comprised statements related to the provision of a fully interoperable solution between Lunit’s suite of AI pathology products and Indica labs’ HALO AP image management software platform.
• In November 2023: Leica Biosystems partnered with hospitals and laboratories across the globe to utilize innovative digital pathology workflows. Leica selected paige to supply their Aperio GT 450 digital pathology slide scanners with view and manage digital pathology images software coupled with a range of embedded AI technologies.

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