At the end of 2018, a Moody’s report predicted that 2019 would be a standout year for the medical device industry. The financial services company also stated that revenue growth for device companies would be driven through innovation for most companies and categories.

The Moody’s prediction proved to be correct. The numbers through 2019 so far are estimated to be $475 billion in the United States, with a projected increase to $595 billion by 2024. The medical device industry is expected to grow at an expected compound annual growth rate (CAGR) of 5.6% until 2024. Another report says that this growth is fueled by new technology in powered devices.

Development of medical devices and technology is an area in which US companies are at the forefront. According to a, the United States has the largest medical device market in the world, representing about 40% of the global medical device market in 2017 and beyond. Including both direct and indirect employment, the industry provides about two million jobs in this country.

“The medical device industry relies on several industries where the United States holds a competitive advantage, including microelectronics, telecommunications, instrumentation, biotechnology, and software development,” according to “Compared to several other industries including automotive, defense, and telecommunications, the medical device industry invests a higher percentage of yearly revenues into product innovation, reflecting the competitive nature of the industry and constant innovation and improvement of existing technologies.”

Factors driving the growth of the medical technology industry include an aging population, increasing incidence of chronic and lifestyle diseases, and increasing adoption of innovative technology. Many in the sector believe the robust growth in the industry will continue. The medical device industry’s global annual sales are forecast to rise by more than 5% a year to reach nearly $800 billion by 2030.