Deep Learning Based Diagnostics: Unlocking a $16 Billion Market

Intelligent software could "eat" into diagnostic radiology, just as it has eaten countless other industries. We think the result, deep learning based diagnostics software, will likely lead to faster, cheaper, and more accurate diagnoses on a global scale. The key enabling technology is deep learning, a form of artificial intelligence (AI) that has established benchmarks in a broad range of applications.[1] ARK estimates that the total global addressable market for computer aided diagnostics (CADx) software could be $16B, as shown below. From a $1B base today, we think medical software companies and imaging device manufacturers have a strong and long revenue runway ahead, ready to revolutionize radiology.