The primary factor leading to the growth of the market are the rising healthcare expenditure, increasing number of stroke cases and spinal cord injuries (SCIs), surge in the penetration of products in military and industrial operations, growing geriatric population, and rising job opportunities for disabled people.
When component is taken into consideration, the exoskeleton market is classified into software and hardware, between which, the hardware classification held the larger share of the market in 2019. Exoskeletons consist of several hardware components and passive exoskeletons are particularly constructed using hardware parts, thereby leading to the growth of the classification. The hardware classification is further divided into control systems, power sources, actuators, and sensors. On the basis of mobility, the market is divided into mobile and stationary.
Between the two, the mobile division is projected to witness the higher CAGR during the forecast period, as mobile exoskeletons are flexible or movable devices. These can move outside the premises with the user, contrary to fixed exoskeletons. Owing to such benefits, various healthcare settings are creating high demand for these devices. This being said, stationary devices are also utilized widely in healthcare settings. For example, during the treatment of SCIs or strokes in rehabilitation centers.
Geographically, the exoskeleton market was dominated by North America in 2019, and is region is predicted to contribute the largest revenue share to the market during the forecast period as well. Exoskeletons are extensively being used by military personnel and the healthcare sector. In addition to this, the regional market is growing because of the rising workforce of disabled people and increased availability of these products. The Asia-Pacific region is expected to register the fastest growth during the forecast period.
The rising expenditure in the healthcare sector is also major factor leading to the expansion of the exoskeleton market. The investments in the sector are primarily aimed at commercialization and innovation of exoskeleton products. As per the World Bank Group, the global healthcare expenditure was 9.0% of the GDP in 2007, which rose to 9.8% of the GDP in 2017. Furthermore, people in emerging economies are becoming increasingly aware regarding the benefits of exoskeletons for acute and chronic orthopedic diseases' management.
In conclusion, the increasing number of SCIs and stoke cases and rising healthcare expenditure are driving the growth of the market.