The global digital therapeutics market is projected to reach a value of USD 34.6 billion by 2032, registering a CAGR of 22.1% during the forecast period from 2023 to 2023. This growth is attributed to the increasing adoption of digital therapeutics as a cost-effective treatment option for chronic diseases, such as diabetes and cardiovascular diseases. Furthermore, the rising prevalence of mental health disorders and the growing number of mobile applications for health-related issues are expected to propel the market growth in the upcoming years.

The increasing focus of companies on research and development to improve the efficacy of digital therapeutics is a key factor driving the market. Furthermore, the rising adoption of digital therapeutics in the healthcare sector and initiatives taken by governments to promote the use of digital therapeutics are expected to fuel the market growth. Additionally, the growing demand for personalized healthcare solutions, the increasing penetration of smartphones and the internet, and the increasing prevalence of chronic diseases are some of the other factors driving the digital therapeutics market.

However, the lack of reimbursement policies in some countries is expected to restrain the market growth. Additionally, the lack of awareness among patients and healthcare professionals is likely to hamper the market growth.

The market is segmented into application, end-user, and region. On the basis of application, the market is divided into mental health, cardiovascular diseases, diabetes, respiratory diseases, and others. The mental health segment is expected to witness the highest growth during the forecast period, owing to the rising prevalence of mental health disorders.

Based on end-user, the market is classified into hospitals & clinics, research & academic institutes, and others. The hospitals & clinics segment is expected to hold the major share of the market during the forecast period, due to the rising adoption of digital therapeutics in hospitals and clinics.

Regionally, the market is analyzed across North America, Europe, Asia-Pacific, and LAMEA. North America is expected to hold the largest market share, owing to the early adoption of digital therapeutics, the presence of well-developed healthcare infrastructure, and the increasing focus of companies on research and development.

The key players operating in the digital therapeutics market include Proteus Digital Health, Livongo Health, Omada Health, Welldoc, Inc., Propeller Health, Canary Health, Inc., VitalTech, Noom, Inc., Voluntis S.A.S., and Twine Health, Inc. These players are focusing on strategic initiatives to strengthen their market position.