Higher Field Strengths and New Clinical Applications Increase Growth of MRI Systems

However, there are many challenges such as increasing pricing pressures, regulatory issues, and competition from computed tomography (CT) that need to be overcome in the European MRI systems market, according to a recent marketing report.

Despite these challenges, the market is expected to see growth. The scope for growth is related to the introduction of new applications. The market is not yet saturated and there are a few unexplored niche segments, which offer huge growth potential. Frost & Sullivan (Palo Alto, CA, USA), an international growth consultancy company, found that the European MRI market earned revenues of US$806.5 million in 2006 and estimates this to reach $1.03 billion in 2013.

"The European MRI systems market is primarily driven by the current wide variety of applications and constant development of new ones,” noted Frost & Sullivan research analyst B. Divya. "With continued upgrades in Tesla strength, the number of applications using MRI is increasing from the research point of view and is also becoming increasingly commercially viable.”

With advancements in neurologic, cardiac, and vascular, as well as breast MRI, the market is seeing growth essentially due to the application potential. Each new clinical application increases the usage of MRI systems. Moreover, high-field systems are expected to continue demonstrating strong growth, thereby replacing low-field systems.

However, the current state of the European healthcare system is restraining market growth. In addition, differing reimbursement policies in various geographic regions in the European Union are still another challenge. Furthermore, there is also the inherent challenge arising due to competition from CT.

"The European healthcare industry is experiencing severe financial constraints from having to support an aging population, with contributions from a small portion of working population,” explained Ms. Divya. "Consequently, the governments of various nations are wary of the fact that healthcare spending is exceedingly high, and one of the interesting ways in which nations are reducing healthcare costs is by simply not buying additional equipment.”

As the market is heading toward saturation, market participants will need to concentrate on niche segments. Targeting niche markets can be either through the acquisition of existing small local participants or through the introduction of new products.


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