All stories

Digital Health’s Next Growth Phase May Be Less About Apps and More About Infrastructure

BioSpace reports that the U.S. digital health market could reach $713.36 billion by 2035, underscoring the sector’s long-term expansion. The headline figure is striking, but the more important story is that value is increasingly shifting toward infrastructure, interoperability, and AI-enabled operational tools.

Source: BioSpace

The projection that the U.S. digital health market could reach $713.36 billion by 2035 is eye-catching, but forecasts like this are most useful when they reveal where the market believes durable value will accrue. The scale alone suggests digital health is no longer being treated as a niche category. It is becoming a foundational layer of healthcare delivery, benefits administration, and patient engagement.

Still, market size estimates can hide as much as they reveal. The real question is not whether digital health grows, but what kind of digital health grows. Consumer apps and point solutions once dominated the conversation, but the market is increasingly rewarding tools that plug into workflows, reduce labor, support reimbursement, and improve decision-making at scale.

That shift helps explain why AI is now central to nearly every serious digital health thesis. The next wave of growth is likely to come from systems that can automate administrative work, personalize care pathways, and make data more usable across care settings. In other words, the market is moving from digitization to coordination and augmentation.

For investors and providers, the implication is that growth alone will not be enough. Companies will need to show they can survive tighter regulation, slower sales cycles, and more demanding buyers. The digital health winners of the next decade may be less visible than the app-era startups, but far more embedded in the machinery of healthcare.