The global market for anesthetic and respiratory devices was $12.6 billion in 2012 and is expected to grow to $26.57 billion by 2019, representing a compound annual growth rate of 10.29% from 2014 to 2019. This growth can be attributed to the adoption of anesthesia information management systems and government incentives promoting the transition to electronic medical records from paper records. Rapidly increasing demand, technological advances in anesthesia machines, and growing patient populations suffering from sleep and respiratory diseases are also fueling market growth. However, high prices for new anesthesia technology, reimbursement decreases, and prolonged use of existing equipment challenge market expansion.

1. The global market for anesthetic and respiratory devices reached $12.6 billion in 2012. This
market is estimated to grow to $16.28 billion in 2014 and $26.57 billion in 2019 with a
compound annual growth rate (CAGR) of 10.29% for the five-year period, 2014 to 2019
Continuous growth in this market can be attributed to rapid adoption of anesthesia information
management systems (AIMS), which have been implemented in an effort to move the industry
away from paper-based record keeping systems to more efficient electronic solutions.
Government incentives for hospitals to collect and track patient procedure information, both
through legislation to demonstrate meaningful use of hospital-wide electronic medical record
(EMR) systems and the establishment of several government-supported national statistical
databases, are driving this market.
The demand is rapidly increasing with growing safety awareness and technology enhancements
in anesthesia machines. Other factors attributing to the growth of this market are the recent
technological advancements in the field of anesthesia equipments. Anesthesia machines are
evolving from standalone non-networked machines to networked anesthesia workstations,
including anesthesia monitors and AIMS. Low flow anesthesia and electronic medical records
dominate the current anesthesia market technology which indirectly leads to lesser significant
savings across the healthcare industry. The rising patient populations who are suffering from
sleep disorders such as Obstructive Sleep Apnea (OSA) and respiratory diseases such as Chronic
obstructive Pulmonary Diseases (COPD) has been a major growth driver for this market.
However, rapid advancements in the anesthesia industry make it increasingly difficult for the
anesthesiologist to keep up with anesthesia machine technology. Also, the latest anesthesia
technology does not come low priced, even the most basic configuration of the equipment can
cost a fortune. Decrease in reimbursements provided by governments for medical equipment,
mergers and acquisitions within the market driving price wars, high price, and increased
availability of aftermarket service that prolongs the life of a facility's existing equipment are also
the challenges involved.
A brief look at the market from a geographical point of view indicates that North America
occupies the major share of the market. This market share is as high as 32%. The reason for this
major market share can be attributed to the higher per capita income of the North American

2. population and the rapidly rising patient population in this specific region. Following North
America is Europe with the 2nd biggest market share. Recent trends show that emerging countries
will show a greater growth in the market share in the future.
The global market can b segmented on the basis of device which includes the different anesthesia
devices and the respiratory devices being used in the market, and the other segmentation which is
primarily done on the basis of geography.
The major players in this market are 3M, Airsep Corporation, AstraZeneca, Bomimed,
Carefusion, Johnson & Johnson, Phillips Healthcare, GE Healthcare, and GSK.