Identifying AI Opportunities in Healthcare

Key takeaways:

  • Within a decade, the healthcare sector could be among the biggest users – and beneficiaries – of artificial intelligence (AI).
  • Already, some applications are having a meaningful impact on healthcare delivery and lifting the growth outlook of select companies.
  • We see three areas where AI applications are delivering tangible results and could potentially benefit investors.

Artificial intelligence (AI) has enormous potential to improve healthcare delivery across the globe. Research Analyst Tim McCarty and Portfolio Manager Andy Acker point to some practical applications that could benefit patients – and investors – in the near term.

As artificial intelligence plays a bigger role in the global economy, one area where the technology is expected to have a substantial impact is healthcare.

Nvidia, the leading provider of AI computing power, says healthcare currently makes up only about 1% of its $100 billion data center business. But that figure is projected to grow exponentially, with healthcare likely becoming the biggest vertical in its data center segment within a decade.

Data building for drug discovery

Typically, it takes at least 10 years and billions of dollars of investment for a company to bring a new therapy to market. But AI algorithms could help speed at least one part of the research and development process – target identification and drug discovery.