AI in Oncology Market

AI in Oncology Market Size and Share Analysis

The global AI in oncology market is estimated to value at US$10.1 Bn by the end of 2031 from US$1.4 Bn recorded in 2023. The market is expected to secure a CAGR of 28.9% in the forthcoming years from 2024 to 2031.

Market Attributes	Key Insights
AI in Oncology Market Size (2024E)	US$1.7 Bn
Projected Market Value (2031F)	US$10.1 Bn
Global Market Growth Rate (CAGR 2024 to 2031)	16.4%
Historical Market Growth Rate (CAGR 2018 to 2023)	28.9%

Market Introduction

Artificial Intelligence (AI) has becomes an essential tool revolutionizing various sectors including pharmaceutical, and biotechnology.

Advances in AI are delivering promising results, especially in complex fields like oncology, allowing companies to accelerate their process from drug discovery and development to improving the detection of early-stage cancers.

Integration of AI in healthcare industry has significantly improved the potential to enhance treatments and patient care to be more precise and personalized.

Historical Growth and Course Ahead

Artificial Intelligence has been in use in the field of oncologic radiographic imaging for the detection and diagnosis purposes, with breast cancer being a prime target for AI-based cancer detection. AI-based models for routine breast imaging are being used clinically in many practices.

• As of December 2021, more than 15 AI models were approved by FDA for screening mammography, whereas at least five FDA-approved AI applications for lesion detection and diagnosis algorithms in the United States. (AJR, 2022- Publication)

Applications of AI has also been utilized in multidisciplinary practice, and in various stages of development across the cancer continuum.

These applications are expanding to include new approaches for detection, screening, diagnosis and classification of various cancer types, cancer genomics characterisation, biomarkers assessment with predictive and prognostic purposes, analysis of microenvironment of tumour, and in drug discovery and development.

Market Growth Drivers

Increasing Burden of Cancer Cases Globally

The market for AI in oncology is influenced by growing incidence of cancer diseases. Over the past few decades, cancer cases have become very common with epidemics reported in many parts of the globe.

• As per the International Agency for Research on Cancer (IARC) 2022 global burden of cancer data, globally one in every 5 people develop cancer in their lifetime, while 1 in 12 women and 1 in 9 men die from cancer. Year 2022 recorded 20 million new cancer cases and 9.7 million deaths. (WHO, 2024)
• Lung cancer topped the indications with 2.5 million new cases, Female breast cancer being the second with 2.3 million cases followed by 1.9 million cases of colorectal cases. (WHO, 2024)

Inclination for Leveraging Digital Health with AI-powered Solutions

Healthcare field today is facing challenges to address concerns with respect to increasing demand for diagnostic services outpacing the supply of experts in the workforce.

Further, the growing workload is increasing the complexity of diagnostic and treatment processes. AI is proving to be a key tool in digitalizing healthcare enabling transformation of care delivery, expanding precision medicine and improving overall patient experience.

AI-powered solutions are enabling analysis of large volumes of medical data quickly and accurately, helping make objective treatment decisions based on quantitative data tailored to patient’s needs.

• In January 2024, Deepcell, and NVIDIA AI collaborated to accelerate use of Generative AI in single-cell research and multimodal applications in cell biology.

Factors Impeding the Market

Complexity of Cancer Cases in Oncology Care

In the oncology care sector, varieties of cancer disease and its disparate ways to be present in an individual poses significant challenge to diagnose and treat the disease.

The treatment often requires the expertise of multiple disciplines, each related to specific organs and systems in the body, which may result in potential delays to diagnosis and timely treatment.

• A study based on 4 studies for 17 indications reported that the mortality risk due to delay in cancer treatment significantly increases, making it highly critical to streamline the complex oncology care pathway. Thus, reducing diagnosis and treatment time, ultimately leading to improved patient outcomes. (BMJ, 2020).

Data Privacy and Security Concerns

AI integration in healthcare has opened unparalleled opportunities for the industry players. However, the advancements are also accompanied by significant data privacy and security concerns.

AI algorithms utilize large volume of patient data to accurately predict the cancer outcomes, help decide personalised treatment plans and assist in making informed decisions.

However, the complexity and scale of this data present significant challenges safeguarding patient privacy and preventing unauthorized access or misuse of medical records.

Furthermore, integration of disparate data sources and technologies in AI systems also increases the concerns regarding cyber threats including malware, phishing attacks and ransomware, targeting healthcare organizations and research institutions.

Addressing these concerns are paramount to ensuring the ethical and responsible use of AI technologies in healthcare.

Future Opportunities for the AI in Oncology Market Players

Growing Application of AI in Cancer Diagnostics

Utilization of advanced technologies like AI in the healthcare sector can substantially improve the accuracy of disease diagnostics.

Analysis of medical images such as mammograms and CT scans, and detection of tumours or any other abnormalities can be improved with higher accuracy with AI algorithms compared to traditional methods.

Capabilities of AI models are further being explored to predict the risk of patients developing cancer by using information from genetic data and medical imaging. 

• As of May 2024, the US FDA has approved around 882 AI and ML algorithms enabled devices for medical use. Of these, 151 devices were approved between Aug 2023 and Mar 2024. More than 70% of the approvals were designated to radiology devices in 2024.

Collaboration with Healthcare Providers, and Research Institutions

Leading players are significantly investing in R&D sectors in association with leading healthcare institutions and academic & research centres to co-develop AI solutions that address specific clinical needs and challenges in oncology.

Partnerships with experts in the oncology arena is facilitating clinical validation studies, technology evaluations, and pilot implementations of AI-driven solutions to align closely with the real-world healthcare practices.

Furthermore, such collaborations also help accelerate continuous improvement and refinement of AI technologies in oncology, ultimately translating cutting-edge research into impactful clinical solutions.

• In February 2023, a bioinformatics company, M2GEN and Zephyr AI, Inc entered into a multi-year strategic partnership to leverage bioinformatics, artificial intelligence and clinicogenomic data to accelerate drug discovery and expand the use cases for oncology treatments.

Category-wise Analysis

Category	Projected CAGR through 2031
Indication Category - Breast Cancer	29.1%
Treatment Category - Chemotherapy	31.4%

Breast Cancer Segment Accounts for a Significant Share

The breast cancer segment accounted for nearly one-third of the global market revenue in 2023 and is likely to maintain its dominance during in the forthcoming years recording a CAGR of 29.1%.

Breast cancer is the most diagnosed cancer among women globally and is one of the leading causes of cancer-related death, after lung cancer.

While the diagnosis is relatively rare in younger women, about one in every eight invasive breast cancers are diagnosed in women below 45 years of age, whereas two in every three women above 55 years are diagnosed with invasive breast cancers.

• As per the Breastcancer.org 2023 statistics, globally, breast cancer accounts for 12.5% of all new annual cancer cases.
• In the U.S., of all the newly diagnosed cancers in women, about 30% constitutes breast cancer yearly.

Chemotherapy Remains a Preferred Treatment Modality

Amongst various technologies used for oncology treatment, Chemotherapy is the most preferred method due to its ability to precisely and effectively target the rapidly dividing cancer cells. Thereby, controlling tumour spread and improving survival rates of patients.

Further, AI plays a pivotal role in optimizing chemotherapy treatment by personalizing regimens based on individual patient characteristics, such as genetic makeup and tumour biology.

AI algorithms facilitate the discovery of novel chemotherapy agents and enhances drug development pipelines through computational modelling and data-driven insights.

AI’s capabilities harnessed to tailor chemotherapy treatment help maximize efficacy while minimizing toxicity, leading to improved outcomes and quality of life for cancer patients.

Region-wise Analysis

Region	CAGR through 2034
North America	26.7%
East Asia	31.7%

North America to Account for the Significant Share in the AI in Oncology Market

North America is a significant shareholder in the global market and is expected to grow at a CAGR of 26.7% during the forecast period. The region will maintain a dominant position on account of the presence of key players in the region offering AI solutions in oncology, presence of leading academic and research laboratories, and increasing prevalence of cancer disease.

North America has the most advanced healthcare infrastructure and research facilities that foster innovation and adoption of AI technologies in oncology.

Further, the region is home to a strong network of research institutions, and healthcare organizations. This allows for active collaborations in conducting clinical trials, and enhancing advancement and implementation of AI technology for oncology solutions.

Furthermore, regulatory agencies in the region also provide a clear pathway for the approval and adoption of AI-based medical devices and software in oncology practice, fostering confidence among stakeholders, driving market maturity and creating a favourable environment for continued growth and innovation.

East Asia Holds Massive Opportunity as Cancer Prevalence Ascends

East Asia Market is projected to secure a CAGR of 31.7% in the forecast period from 2024 to 2031.

Technological advancement and growing investment in the healthcare sector provides a conducive environment for the adoption and commercialization of AI solutions in the region.

Increasing burden of cancer in this region further necessitates advanced technologies like AI for early detection, accurate diagnosis, and personalized treatment.

• As per the National Cancer Center (NCC) of China’s 2022 report on cancer incidence and mortality in China, an estimated 4,824,700 new cancer cases and 2,574,200 new cancer deaths occurred in China in 2022, with lung, colon-rectum, thyroid, liver and stomach cancers being the top five cancer types.

Additionally, government is actively undertaking initiatives to promote AI research and development in oncology, along with funding support for startups and innovation.

• As per the NMPA China, Chinese government with a plan to promote healthy lifestyle, expand cancer screening process and accelerate the development of new technologies, rolled out a comprehensive measure in November 2023. The Chinese government aims to achieve an overall five-year survival rate of 46.6 percent by 2030 among cancer patients, and therefore, unveiled an eight-year action plan for cancer prevention and treatment.

Competitive Landscape Analysis

Over the past decade, several companies have leveraged the emerging technologies and the capacity of AI systems to understand and analyse large volumes of data both imaging and non-imaging.

These technologies have the potential to support traditional screening studies, identify biomarkers predictive of therapeutic response, and accelerate the development of oncology treatments.

Product launches, and collaborations among the leading industry players and healthcare institutions are some of key strategies being undertaken to leverage the AI technologies and develop innovative solutions, thereby, boosting the global market for AI in oncology.

Companies within this industry are also entering partnerships, and collaboration activities to deploy advanced AI technologies across nations. These collaborations are aimed to improve clinical trial availability and patient care.

Recent Industry Developments

June 2024

Massive Bio, a US based oncology software firm, entered a partnership with a clinical trial search platform, Un Ensayo Para Mi (UEPM) to accelerate access to oncology clinical trials across nine Latin American (LATAM) countries.

May 2024

GE Healthcare launched a new radiation therapy computed tomography (CT) solution - Revolution RT - at the European Society for Therapeutic Radiology and Oncology (ESTRO) 2024 Congress. This AI-enhanced, personalized oncology solutions with innovative hardware and software solutions simplify the simulation workflow and increase imaging accuracy for a seamless oncology care pathway experience for clinicians and patients.

April 2024

Quest Diagnostics announced acquisition of selected assets of PathAI Diagnostics to accelerate the adoption of digital and AI pathology innovations. PathAI Diagnostics provide anatomic and digital path lab services. The multi-faceted collaboration will help improve quality, speed and efficiency in diagnosing cancer and other diseases.

April 2024

iCAD collaborated with RAD-AID International, a non-profit organization to advance breast cancer detection in unserved regions and LMIC countries using AI technology.

Jan 2024

PathAI launched six additional oncology indications for PathExploreTM to characterize tumor microenvironment (TME) from hematoxylin, and eosin (H&E)-stained whole-slide images (WSIs). The indications include small cell lung, bladder, liver, ovarian, head and neck cancers, and lymphoma.

April 2023

PathAI launched the world’s first structured, standardized and scalable panel of human interpretable features (HIFs)-  PathExplore™. The panel characterizes tumor microenvironment (TME) with single-cell resolution. Thereby, offering researchers and drug manufacturers a detailed insight from routine H&E samples, thus driving advances in cancer therapy development.

March 2023

Illumina Inc. released a new cloud-based software, Connected Insights. The software is designed to support a diverse range of applications including somatic oncology applications by enabling tertiary analysis for clinical next-generation sequencing (NGS) data, soon including whole-genome sequencing (WGS) for rare disease.

Report Scope

Attributes	Details
Forecast Period	2024 to 2031
Historical Data Available for	2018 to 2023
Market Analysis	US$ Million for Value
Key Regions Covered	North America Europe East Asia South Asia & Oceania Latin America Middle East and Africa
Key Market Segments Covered	Component Indication Treatment End User Region
Key Companies Profiled in the Report	Azra AI IBM Siemens Healthcare GmbH Intel Corporation GE Healthcare NVIDIA Corporation Digital Diagnostics Inc. ConcertAI Median Technologies PathAI Berg (BPGbio Inc.) CancerCenter.AI iCAD JLK Inspection Roche Diagnostics Zebra Medical Vision Illumina Inc. Envisionit DeepAI Ltd
Report Coverage	Market Forecast and Trends Company Share Analysis Competitive Intelligence DROT Analysis Market Dynamics and Challenges Strategic Growth Initiatives
Customization & Pricing	Available upon request

Market Segmentation

By Component

• Software Solutions
• Hardware
• Services

By Indication

• Breast Cancer
• Lung Cancer
• Prostate Cancer
• Colorectal Cancer
• Brain Tumour
• Others

By Treatment

• Chemotherapy
• Immunotherapy
• Radiotherapy
• Others

By End User

• Hospitals
• Biopharmaceutical Companies
• Academic and Research Centers
• Others

By Region

• North America
• Europe
• East Asia
• South Asia and Oceania
• Latin America
• Middle East and Africa

We make every effort to deliver the reports as soon as possible. Most reports are delivered within 1 to 2 weeks from order confirmation, though some may take longer depending on the scope.