The surgical instrument tracking systems market is expected to grow at a CAGR of 14.9 percent from an estimated USD 203 million in 2021 to USD 406 million by 2026. Because of the need to cut costs and improve efficiency, tracking systems are becoming more popular among healthcare providers. This goal will be aided by stronger inventory and asset management methods. End users are concerned with preventing the loss of important assets and ensuring that workflows go smoothly.
The FDA’s Unique Device Identification regulations, as well as the growth of the surgical tools market, are driving market growth. High system costs, extended investment cycles, budgetary constraints, and technology limits, on the other hand, are projected to hinder market expansion. In addition, because to the COVID-19 pandemic, growth slowed slightly in the first quarter of 2021. Surgical tool tracking systems and consumables were used less frequently when elective and non-elective procedures were postponed, delayed, or cancelled around the world.
Impact of COVID-19 on the Market for Surgical Instrument Tracking Systems
COVID-19 is a newly identified novel coronavirus that causes an infectious sickness. COVID-19, which was mostly unknown until the outbreak in Wuhan, China, in December 2019, went from a regional issue to a global pandemic in just a few weeks. COVID-19 was declared a pandemic by the World Health Organization (WHO) on March 11, 2020. In order to manage the coronavirus (COVID-19) outbreak, most nations have closed their borders and curtailed movement since the beginning of 2020, causing international trade and transportation to be hampered. Due to instability in the global economy and finance markets, this disrupted supply chains for surgical tool tracking systems, resulting in a temporary drop in demand.
We expect the medical device industry, which includes imaging devices, dental care devices, surgical products, and medical supplies (which account for 60–75 percent of the overall medical device market), to experience a steep decline during 2020 and the first few quarters of 2021 as a result of the COVID-19 outbreak. The medical device business, particularly critical care medical equipment, is predicted to open up a new USD-5–7 billion market potential by 2021. In contrast to other medical devices such as devices used in ICUs, CCUs, and emergency departments of hospitals, surgical instruments such as dental surgical instruments, plastic surgery instruments, ophthalmic surgical instruments, and minimally invasive surgical instruments used in operating rooms are not expected to see a significant revenue shift during 2020 and 2021.
Overview of the Report
The global surgical instrument tracking systems market was valued at USD 172.2 million in 2020, and it is predicted to increase at a CAGR of 11.2 percent between 2021 and 2028. The necessity to track key equipment such as surgical instruments automatically, comply with the FDA UDI programme, guarantee the proper tools are available in time for each surgical procedure, and enhance patient outcomes is driving this rise. Surgical instrument monitoring systems make it easier to comply with the FDA’s new Unique Device Identification (UDI) tracking standards by automating the identification of medical equipment, including tools. The demand for solutions that enable compliance, such as surgical tool tracking systems, is projected to increase as the number of devices covered by UDI continues to grow.
In 2020, the hardware segment dominated the surgical tool tracking systems market, accounting for 44.7 percent of total revenue. During the research period, the segment is expected to maintain its dominance. The adoption of these systems for inventory and surgical tool management is being fueled by technological developments in hardware such as RFID chips and barcode tags.
For example, the Wyss Institute at Harvard University used a vapour deposition method and biocompatible sealant to implant RFID chips inside metal surgical equipment. The complete system, which includes the process, RFID chips, antenna, and visual display, is designed to be tracked and counted remotely and to resist several sterilisations. Over the next few years, the hardware segment is expected to grow at the fastest rate.