Ventilators Market: Growth, Size, Share, and Trends

The two most common respiratory illnesses globally are COPD and asthma. According to the WHO, COPD ranks as the fourth highest cause of mortality in the US. Nearly 11.7 million American adults suffer from COPD. One of the major reasons for morbidity and mortality, COPD has an estimated cost of USD 50 billion every year (Source: American Lung Association). COPD is the fourth most common cause of death globally, having caused 3.5 million deaths in 2021, or approximately 5% of all deaths globally. (Source: WHO). In countries and regions such as China, India, Brazil, and Eastern Europe, a considerable proportion of individuals with COPD remain misdiagnosed. A few of the precipitating factors for COPD are long-standing asthma, long-term exposure to smoke, indoor and outdoor air pollution, and occupational dust and fumes. Other comorbid chronic conditions like cardiovascular disease, musculoskeletal impairment, and diabetes mellitus are related to COPD. These diseases may also influence the health status of patients, along with the management of COPD. According to Asthma and Allergy Foundation of America (AAFA), there are nearly 28 million individuals living in the US with asthma as of 2024, or roughly 1 in every 12 persons. There are almost 23 million US adults above the age of 18 years with asthma. By 2025, there are 100 million additional asthmatic patients who will be enrolled all over the world. As per European Respiratory Review, almost 10 million individuals above 45 years are living with asthma. It is estimated that up to 1,000 people die from asthma every day. Both COPD and asthma lead to the constriction of respiratory tracts, which causes breathing to be challenging. Hence, most patients with COPD and asthma need external airway management and ventilation. Consequently, the increase in the number of patients with COPD and asthma is likely to propel the demand for ventilators.

Most patients depend on reimbursements for getting treated. Medicare Part B in the US pays for medically necessary durable medical equipment, such as ventilators. Medicare has classified devices featuring exhalation valves, adjustable ventilator rates, and alarms as mechanical ventilators. Medicare covers ventilators for managing restrictive thoracic diseases, neuromuscular diseases, chronic respiratory failure, and COPD. Ventilators fall into the Frequently & Substantially Serviced payment category of Medicare. Consequently, Medicare reimburses this category on a monthly rental basis, and patients medically need the equipment for an extended period of time. Medicare does not pay anything for the purchase, nor does it cover any other accessories required for ventilators, including humidifiers. As per the Centers for Medicare & Medicaid Services, a home ventilator (HCPCS code E0465) with the invasive and non-invasive interface can be reimbursed monthly around USD 934- 1,099; however, average invasive ventilation is about USD 200,000 per year with 24-hour care. There is, therefore, a major disparity between patient and caregiver expense and reimbursement made. This is one of the major factors curbing the development of the ventilators market.

Rising healthcare expenses have led to a change in patient preference towards home-based therapies. Devices like nebulizers, ventilators, and continuous positive airway pressure (CPAP) machines are utilized by patients to diagnose, treat, and monitor different respiratory conditions in home care environments. These devices, coupled with home care services, offer economical healthcare to patients. The increasing growth in the world's geriatric population, increasing prevalence of respiratory conditions (such as COPD and asthma), and the cost-effectiveness of home care equipment and services (in comparison to hospital visits) are the major drivers for the home healthcare market. Additionally, the high growth opportunities in emerging markets, decentralization of healthcare, and the development of miniaturized devices are the other key drivers likely to offer tremendous growth opportunities to ventilator products and services providers for home care environments. Convenience and comfort received in home care environments will sooner or later expand demand for transport ventilators. Home care would seek to reduce morbidity, enhance survival, facilitate self-care & autonomy, and enhance the quality of life. Based on patient criticality, different types of respiratory devices are used in order to deal with pain relief as well as emotional comfort. Following the inclusion of devices within home care, global healthcare costs would be eliminated chiefly by eliminating short-term hospital stay in acute care. COPD, cystic fibrosis, and paralytic syndromes patients have high respiratory care needs. With the increasing trend towards home care therapies, firms are coming up with dedicated home care services, including resupply systems and rental services. CHI Health (US) offers cost-effective devices that allow patients to get care and treatment in a comfortable and safe home setting. In the same way, sleep apnea therapy devices require maintenance and replacement to ensure comfortable and effective therapy. Self-medication devices, including oxygen concentrators, inhalers, and nebulizers, are utilized in home care services. When the patient is in a critical state, certain hospitals offer respiratory therapists and nurses who attend to patients, including oxygen therapy and airway management/tracheostomy care. These situations will improve patient outcomes and will motivate businesses to create homecare respiratory care devices in the near future

The ventilators industry was severely hit by supply chain disruptions following the COVID-19 pandemic. The sudden spike in worldwide demand for ventilators, necessitated by the urgent need to ventilate seriously ill COVID-19 patients, revealed weaknesses in the supply chain of these lifesaving machines. With global supply chain disruptions, companies were finding it difficult to procure key components and materials such as valves, sensors, and electronic parts. Most of these materials were obtained from areas that were greatly affected by the pandemic, causing production delays and shortages. More competition for the materials and the resources strained supply chains further, and it was difficult for other producers to keep pace with the exploding demand. Logistical disturbances also entered the picture. Transport curbs, border closure, and reduced airfreight capacity made it difficult to deliver ventilators on schedule to health institutions around the world. This created a challenge for the availability of ventilators and made servicing and maintenance of existing ones challenging. Consequently, the governments and medical professionals have moved to diversify their avenues for ventilator sources, advance in-house capability in producing domestic ventilators, and invest in the resilience of their supply chain so that future medical emergencies do not catch them unprepared. The disruptions revealed a need to achieve greater interaction among governments, producers, and logistic providers for faster delivery of crucial medical items when emergencies are around.