1、Is Generative AI changing the game for medtech?Deloitte research suggests while GenAI has started delivering value,its potential is far greaterContentsIs Generative AI changing the game for medtech?2Executive summary 3AI and GenAI have started to deliver value to medtech companies across functions 4
2、GenAI could help medtech firms achieve cost-efficiencies of up to 12%of their revenue 6Building blocks to maximize value from AI and GenAI 8Conclusion 10Authors 123Executive summaryIs Generative AI changing the game for medtech?Across industries,artificial intelligence(AI)and Generative AI(GenAI)dis
3、cussions are moving from potential to value realization.1 For medtech companies,this value can be in the form of cost reductions,cost avoidance,and new revenue generation.To assess where medtech companies have realized value2 from AI and GenAI and what could be next,the Deloitte Center for Health So
4、lutions surveyed 85 leaders from medtech organizations during the summer of 2024 and conducted follow-up interviews.We found that:AI and GenAI have begun to deliver value across functions,with 42%of surveyed executives reporting benefits in product development and 35%in IT and cybersecurity function
5、s.GenAI could enable medtech companies to achieve cost efficiencies of 6%to 12%of their total revenue in the next two to three years.This could be in the form of cost reductions,cost avoidances,and other benefits.For a medtech company with$20 billion to$26 billion in revenue,this translates to an es
6、timated$1.2 billion to$3.2 billion.However,using AI and GenAI in isolation may not drive this transformative value.Adopting a string-of-pearls approachintegrating multiple GenAI use cases with other AI technologies,data,and digital toolsis important for achieving cost efficiencies and other benefits