Prospects of market-niche medical display products are promising, buoyed by a number of factors, including aging global population, increasing chronic diseases, growing middle class in emerging markets, continued improving medical technology and, notably, that global medical demand is expected to grow at a pace higher than that of the global GDP growth, according to Digitimes Research.
With global medical and healthcare expenditure already reaching US$8 trillion a year, there are vast business opportunities in the medical and healthcare equipment and device market, Digitimes Research says.
While unit prices and profit rates of medical monitor products are high, the medical display sector is a relatively closed niche market as it takes times to obtain various certifications and to win customer trust, and therefore, it is suitable for those who are interested in exploring this segment to adopt medium- to long-term development strategies.
For this reason, global major brands and manufacturers catering into the medical display market, including Belgium's Barco, Japan's Eizo and China's Mindray Medical International, Beacon Display Technology and Jusha Medical, have been able to maintain a relative high level of profit margins in recent years.
Facing a growth slowdown in the large-size LCD panel market, panel makers such as BOE Technology are also expected to eagerly step into the medical display market in order to ramp up their revenues and profitabilities, Digitimes Research says.