Emerging Mental Health Devices And Platforms Market Size

Emerging Mental Health Devices and Platforms Market Analysis

The emerging mental health devices and platforms market is expected to grow from USD 3.1 billion in 2023 to USD 8.3 billion by 2028, registering a CAGR of 22.38% during the forecast period (2023-2028).

The COVID-19 pandemic led to a global surge in mental health challenges, resulting in an increased demand for digital mental health solutions. The increased attention to mental health during the pandemic has attracted investments and funding into the sector. For instance, according to data released by Mental Health America (MHA) in May 2022, in the early stages of the pandemic, the United States saw a significant increase in the number of people seeking mental health help online. As per the same source, more than 5.4 million Americans have undergone mental health testing in 2021, an increase of nearly 500% compared to 2019 and a 103% increase from 2020. This surge not only highlighted the need for accessible and remote mental health support but also drove the adoption of mental health devices and platforms as people turned to technology to address their mental well-being, contributing significantly to market growth during the pandemic. However, the market is expected to have stable growth during the post-pandemic period.

The increasing demand for teleconsultations and rising awareness of mental health are the factors driving demand for mental health devices and platforms, thereby contributing to market growth. Governments' proactive measures in addressing mental health issues, improving access to care, and integrating telehealth services create a conducive environment for the growth of the emerging mental health devices and platforms market. For instance, in March 2023, the Indian government launched the National Tele Mental Health Programme to improve access to quality mental health counseling and care services in the country. This initiative demonstrates a commitment to improving access to quality mental health services through telehealth and encourages the integration of mental health devices and platforms into the telehealth ecosystem, which is expected to boost market growth over the forecast period.

Furthermore, product releases and strategic initiatives by prominent market competitors positively impact industry growth. For instance, in May 2022, Wysa received Breakthrough Device Designation from the US Food and Drug Administration (FDA) for its AI-based digital mental health conversational agent for patients 18 years and older with depression and anxiety. The FDA breakthrough device program aims to provide patients access to breakthrough technologies that have the potential to deliver more effective treatment than current treatment options for life-threatening or debilitating diseases or conditions. Therefore, owing to the growing demand for telehealth services and strategic efforts by market players, the market studied is anticipated to witness growth over the forecast period.

However, the limited clinically validated scientific data for mental health applications restrains market growth.