Indian well being tech seen rising to $20B by 2028: report

The well being expertise section in India, which contains about 10,000 startups, is projected to triple in worth by 2028 as traders shift their focus in direction of companies that may stand up to financial disruptions.

A brand new report by world administration guide Bain & Firm, in collaboration with Indian healthcare-focused enterprise fund HealthQuad, delved into the native healthcare innovation market, which key segments embrace pharma companies (CDMO, CRO, pharma IT), well being tech, biotechnology, and medtech. 

Final 12 months, well being tech accounted for 1 / 4, or about $7 billion, of India’s $30 billion healthcare innovation market. By 2028, projections level to the market doubling in worth to $60 billion with well being tech probably cornering as much as 35%, or $21 billion.

Over the previous years, well being tech’s progress has been pushed by three main traits:

  • Horizontal and vertical integrations, resembling adopting a hybrid digital-physical enterprise mannequin, to broaden choices and enhance margins  

  • Enlargement to markets overseas to enhance addressable client base

  • Entry of disruptors by way of acquisitions, leading to larger focus within the well being tech area, broader attain for main gamers, and new templates of success.

The report highlighted the constant funding attraction that well being tech has had over the previous years since 2019, snatching over 55% of the entire deal quantity. Notable investments embrace PharmEasy, which bagged over $2 billion after 10 funding rounds and HealthifyMe, which raised a complete of $110 million so far. 

It’s stated that traders are actually ooking to guess on enterprise fashions that “supply decrease threat and better positive-unit economics (making extra money than the fee to serve).” Of specific curiosity are enterprise-facing companies that resolve operational efficiencies or provide chain points (resembling Medikabazaar and THB). It is because they’ve seemingly sustainable long-term progress and might probably keep a wholesome stability sheet throughout financial downturns. Additionally they have a big addressable market and powerful market acceptance.

In a earlier Bain survey, it was revealed that Indians look to extend their use of digital well being functions, resembling telemedicine, e-pharmacy, and wellness companies, by 5% to 10% yearly. Additionally they anticipate “comfort” and “high quality care” in proactive self-health administration. “These client calls for will drive the continued progress of well being tech services to assist customers higher and extra conveniently handle their well being and wellness,” the newest Bain report prompt.

Alongside this progress comes sure structural adjustments, resembling consolidation (with smaller underfunded companies rationalising), the rising profitability of enterprise-facing firms and people leveraging AI, and the rising relevance of worldwide markets for well being tech. 

To get a chunk of this profitable market, it’s crucial, because the report advisable, that well being tech gamers get into partnerships with established gamers or different innovators, which would be the “key to effectively constructing a seamless client journey.”


Extra digital instruments and options have grow to be out there to help India’s digital well being transformation. Its success, based mostly on insights from a latest survey with native healthcare leaders, lies in early adoption, correct coaching, and incentives for the efficient use of applied sciences. 

Partnerships have additionally been emphasised as key to this transformation. A Philips report in 2021 famous from a survey with healthcare leaders their intent to collaborate with non-public hospitals and healthcare services in making their digital transition.

Wheel provides Mark Cuban Value Plus, Talkspace and Well being Gorilla to digital care platform

How To Change into A Billionaire In 2024