According to a recent report by Capgemini, the pharmaceutical and biotech industries anticipate that over a fifth of their revenue will stem from connected health solutions within the next five years. The report, titled "The Connected Health Revolution," underscores a significant transformation, with a sixfold increase in market-ready connected health products since 2021. Notably, three out of four MedTech organizations are already offering such products, indicating widespread adoption and innovation in the field.

Market Growth and Focus Areas

Preventive care and fitness remain top priorities for most biopharma organizations, reflecting a growing emphasis on proactive health management. Additionally, areas such as oncology, immunology, and cardiology are the main focal points for many companies. There has also been notable growth in sectors like mental health, diabetes, obesity, and dermatology since 2021, highlighting an expanding scope of connected health applications.

Data Management and Maturity Challenges

The report stresses that the anticipated revenue growth in the UK hinges on substantial upgrades to data management capabilities. Despite 92% of UK organizations developing a roadmap for connected health, only about a third have reached maturity in their adoption efforts. This maturity gap poses a significant hurdle to realizing the full potential of connected health solutions.

Moreover, nearly 70% of organizations report low maturity levels in ensuring security, which is critical given the sensitive nature of health data. The findings suggest that while the industry is progressing, there is a substantial need for enhanced data security and management frameworks to support advanced AI analytics and insights generation.

Skills and Regulatory Preparedness

The report also highlights a skills gap in the industry. While virtual and augmented reality solutions are ready for deployment in industry training, only 20% of organizations have an adequate supply of skills in these areas. The gap is even more pronounced for generative AI, with only 16% of organizations possessing the necessary expertise.

In terms of regulatory compliance, just over a third (36%) of UK industry players feel prepared to handle regulatory complexities and cybersecurity challenges. However, over half (56%) feel ready to comply with data protection regulations, and nearly 50% are prepared for quality control regulations.

Industry Insights and Future Directions

Thorsten Rall, Global Life Sciences Industry Leader at Capgemini, emphasizes the progress made by life sciences organizations in realizing the potential of connected health. He notes, “Establishing robust data-driven frameworks will be key in ensuring that data is accessible and reliable, laying the groundwork for advanced AI analytics and insights generation required to reinvent healthcare.”

The report concludes that while the connected health sector is poised for significant growth, achieving the anticipated revenue and healthcare advancements will depend on overcoming current challenges in data management, security, and regulatory compliance. The ongoing evolution of connected health technologies promises to reshape the pharmaceutical and biotech industries, offering new avenues for preventive care, diagnosis, and treatment.

As the industry continues to innovate and adapt, the integration of connected health solutions will likely play a pivotal role in enhancing patient outcomes and driving sustainable growth in the healthcare sector.