Medical Batteries Market Is Estimated To Witness High Growth Owing To Growing Demand For Portable Medical Devices And Increasing Investments In Healthcare Infrastructure
The global medical batteries market is estimated to be valued at USD 2.8 Bn in 2024, exhibiting a CAGR of 6.3% over the forecast period (2024-2031). The growing demand for portable medical devices such as pacemakers, defibrillators, and other home care devices is fueling the growth of the medical batteries market.
Market Dynamics:
The global medical batteries market is driven by growing demand for portable medical devices and increasing investments in healthcare infrastructure development across the globe. Growing prevalence of chronic diseases and rising geriatric population have augmented the demand for home medical devices which rely on batteries as a power source. With increasing investments by governments as well as private organizations towards the development of modern healthcare facilities, adoption of advanced medical equipment is also growing significantly thereby propelling the need for reliable power back-up solutions such as medical batteries. Moreover, factors such the growing penetration of home healthcare services along with technological advancements in battery chemistries are expected to present lucrative opportunities for medical batteries manufacturers over the forecast period. However, stringent regulatory policies for battery production and concerns regarding the disposal of used batteries may hamper the market growth to some extent.
Increased Demand for Portable Medical Devices is Driving Growth in the Medical Batteries Market
The global medical devices industry has seen significant growth in the development and usage of portable medical equipment in recent years. Devices such as portable ventilators, nebulizers, insulin pumps, patient monitors, and others are being widely adopted for home healthcare. These portable medical devices require batteries as their power source to enable mobility. The increased demand for portable medical equipment from both healthcare professionals and patients is a major factor fueling the need for high-performance medical batteries. Manufacturers are focusing on developing innovative battery technologies that can provide longer runtimes and greater power density to meet the power requirements of advanced portable medical devices.
Stringent Regulations on Battery Safety and Testing is Boosting the Adoption of Certified Medical Batteries
Regulatory bodies worldwide have implemented strict rules regarding the safety, design, and testing of batteries used in medical equipment. Batteries need to undergo rigorous testing and certification to prove they meet essential performance criteria such as resistance to heat, shocks, vibrations and more. They also need to demonstrate reliable and consistent power output. This stringent regulatory environment has increased the demand for certified medical-grade batteries that fulfill all compliance standards. It is driving medical device manufacturers to strictly use batteries from established players that have certification. The growing regulatory focus on patient safety and device reliability is a major factor propelling the medical batteries market.
Availability of Alternative Battery Technologies can Challenge the Market Growth
While lithium-ion batteries dominate the medical batteries market currently due to their high energy density, other newer battery chemistries are emerging as alternatives. Battery technologies such as lithium polymer, zinc-air and flexible batteries offer advantages over lithium-ion in certain applications. Their development and commercial availability could threaten the dominance of lithium-ion in the medical devices market. Significant R&D investments are also being made into flexible energy storage solutions like implantable biofuel cells that can extract energy from bodily fluids. The evolving battery technology landscape may challenge established players if newer alternatives gain broader acceptance from OEMs. This inherent technological uncertainty remains a key restraint in the medical batteries industry.
High Initial Costs of Production and Certification Hinders Market Adoption
Medical-grade batteries have to meet stringent design controls and quality assurance requirements. Manufacturers incur high costs to implement necessary safety measures and testing protocols during production. Additionally, they face expenses associated with multiple rounds of certification and audits from regulatory bodies. All these factors increase the overall manufacturing cost of medical batteries compared to general-purpose batteries. The high initial production investment hampers smaller companies with limited budgets from entering this market. It also poses affordability challenges, especially for medical devices targeted at cost-sensitive markets. The high-cost burden associated with manufacturing and regulatory compliance stays a restraint to broader market adoption.
Rising Telemedicine and Home Healthcare Trends Open New Opportunities
The COVID-19 pandemic has accelerated the growth of telemedicine and remote patient monitoring. Healthcare providers are increasingly relying on wireless connected devices to deliver care outside of clinical settings. This growing implementation of telehealth solutions holds promise for batteries used in devices such as portable ultrasound scanners, wireless vital signs monitors and connectivity modules. Additionally, the prevalence of chronic diseases and ageing populations is driving increased investment into home healthcare globally. This rising focus on decentralized care models presents opportunities for batteries powering a wide range of at-home medical equipment including nebulizers, thermometers and emergency response devices. Both telemedicine and home healthcare will continue expanding in the coming years, opening new revenue avenues for manufacturers.
Declining Battery Prices to Boost Wider Medical Equipment Adoption
Continuous technological innovation and economies of scale have led to a steady decline in battery prices over the last decade, especially for lithium-ion cells. The lower hardware costs are enabling the development of more affordable medical devices that are powered by batteries. The reduced pricing allows these solutions to target more price-sensitive markets and applications. This makes batteries within reach of device manufacturers catering to cost-critical segments such as home care, ambulances in developing countries and portable emergency response kits. Declining battery prices directly impact the affordability and accessibility of medical devices. It presents an opportunity for the market to realize higher sales volumes driven by expanded equipment adoption across more sectors of the healthcare industry.
Link: https://www.coherentmarketinsights.com/market-insight/medical-batteries-market-1174
Key Development
- On April 30, 2024, a new battery research factory in Münster, Germany, backed by Fraunhofer-Gesellschaft applied research organizations and Siemens, focuses on digitalization. It aims to optimize battery production for industries like automotive. Europe's battery production capacity is projected to grow significantly by 2025 and 2030. The initiative, funded by the Federal Ministry of Education and Research and the State of North Rhine-Westphalia, aims to enhance Germany's competitiveness in battery technology.
- In January 2023, Ilika, a battery technology company, and Cirtec Medical, a provider of outsourced medical device, strengthened their collaboration through the signing of a memorandum of understanding. This agreement details the relocation of Stereax mm-scale battery manufacturing to Cirtec Medical’s facility in Lowell, MA. This move aims to enhance Cirtec Medical's efforts in system-level miniaturization for the medical device sector. Meanwhile, Ilika will concentrate on advancing technology development and offer IP licensing to support Cirtec Medical's manufacturing and commercialization endeavors.
- In December 2022, Panasonic Energy Co., Ltd., a Panasonic Group company, a multinational electronics company, and Lucid Group, Inc, an electric vehicles company, signed multi-year deals to provide batteries for Lucid's luxury electric vehicles, including the Lucid Air and upcoming Gravity SUV. This agreement signifies Panasonic's expansion of lithium-ion EV battery production into the U.S., with current production in Japan and future output anticipated from their De Soto, Kansas facility.
Key Players: Panasonic Corporation, Duracell Inc., Energizer Holdings, Inc., Toshiba Corporation, Quallion LLC, St. Jude Medical, Inc., Greatbatch Medical, EnerSys, Renata SA, Saft Groupe SA, GS Yuasa International Ltd., Ultralife Corporation, EaglePicher Technologies, LLC, Nihon Kohden Corporation, Siemens AG, Philips Healthcare, Maxell Holdings, Ltd., Texas Instruments Incorporated, Varta AG, and Bioenno Power
