Capgemini report: connected health solutions soar in life sciences

A new report by Capgemini has revealed significant developments in digital adoption within the pharmaceutical and biotech industries. It highlights a six-fold increase in connected health solutions since 2021. According to the findings, companies in these sectors expect a fifth of their annual revenue to be derived from connected health services and products in the next five years.

The report, "The Connected Health Revolution," indicates that 63% of life sciences organisations across biopharma and medtech have either market-ready connected health products or are in the process of developing them. These organisations are banking on these products to contribute substantially to their revenue streams in the near future, yet essential data capabilities may hinder their ambitions.

The data shows that 92% of UK organisations are currently developing a roadmap for integrating generative AI, compared to a global average of 63%. Despite this, only 32% of UK organisations have achieved maturity in connected health adoption. Security and data capability remain significant challenges, with 68% of organisations reporting low maturity levels in ensuring security.

Further, the UK faces a shortage of essential skills; only 20% of organisations have an adequate supply of augmented or virtual reality skills, 16% in generative AI, and 20% in entrepreneurial skills. On regulatory preparedness, only 36% of UK industry players feel prepared for the complexities of cybersecurity and device interoperability, 56% for data protection regulations, and 48% for regulations related to quality control measures.

Thorsten Rall, Global Life Sciences Industry Leader at Capgemini, remarked, "Life sciences organisations, across biopharma and medtech, are making real progress towards realising the potential of connected health. Unlocking the power of healthcare data and leveraging the possibilities posed by breakthrough technologies, such as generative AI, will be at the heart of this connected health revolution. They can accelerate drug development, enhance patient care, and have the potential to reshape what product actually means for pharmaceuticals, especially medtech companies. Establishing robust data-driven frameworks will be key in ensuring that data is accessible and reliable, laying the groundwork for advanced AI analytics and insights generation required to reinvent healthcare."

The report also highlights a notable emphasis on preventive care and fitness among biopharma organisations, with growing attention to underserved areas such as diagnosis and monitoring. Oncology, immunology, and cardiology are the primary focuses for most biopharma companies, while emerging areas, including mental health, diabetes, obesity, and dermatology, have shown significant growth since 2021.

Medtech organisations remain heavily invested in connected health, with three-quarters already having market-ready or in-development connected health products. Their primary focuses include digital health solutions and wearables.

Data and AI implementation have surged, with biopharma organisations making considerable progress in leveraging AI, machine learning, and the cloud over the past three years. The utilisation of AI for predictive analysis of real-time data from connected health products has almost doubled since 2021, rising from 24% to 46%. Additionally, more than two-fifths of these organisations now have a cloud platform to integrate data from various sources.

Despite technological advancements, the report underscores that only a minority of life sciences organisations possess adequate technical skills in areas such as augmented reality, virtual reality, and generative AI. To address this, nearly two-thirds of organisations are focusing on upskilling their existing workforce, while 56% are actively seeking new talent.

Generative AI shows promise across the healthcare value chain, from research and clinical development to operations and regulatory compliance. The report states that over half of life sciences organisations are piloting generative AI for patient and healthcare-provider interactions. Generative AI applications also stretch to producing synthetic data, analysing existing data, automating documentation and reporting, managing suppliers, designing products, and identifying sites for clinical trials.