Medical Oxygen Systems Market, Size, Share, Growth, and Industry Analysis By Type (On-site, Remote, and Others) By Application (Rural Hospitals, Community Hospitals, Large Hospitals, and Others) Covid-19 Impact, Latest Trends, Segmentation, Driving Factors, Restraining Factors, Key Industry Players, Regional Insights and Forecast From 2025 To 2033

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MEDICAL OXYGEN SYSTEMS MARKET OVERVIEW

The global medical oxygen systems market size was valued at approximately USD 0.49 billion in 2024 and is expected to reach USD 1.07 billion by 2033, growing at a compound annual growth rate (CAGR) of about 9.1% from 2025 to 2033.

Medical oxygen systems, such as oxygen concentrators and compressed oxygen cylinders, are commonly used in homecare settings and are favored by older patients with limited mobility who rely on a consistent oxygen supply. Some chronic medical disorders, such as chronic bronchitis, chronic obstructive pulmonary disease (COPD), and emphysema, which is a typical long-term impact of smoking, necessitate oxygen treatment or supplemental oxygen. A variety of oxygen delivery systems are used to supply a controlled amount of oxygen to patients.

Growing healthcare spending, improved medical facilities, and rapid technical improvements all contributed to market expansion. The widespread advancements in the field of healthcare and medicine are major factors driving demand for the product.

MEDICAL OXYGEN SYSTEMS MARKET KEY FINDINGS

• Market Size and Growth: The medical oxygen systems market is experiencing significant growth, driven by increasing demand for respiratory care solutions worldwide.

• Key Market Driver: The rising prevalence of respiratory diseases, such as COPD affecting over 251 million people globally, is a primary driver for the increased demand for medical oxygen systems.

• Major Market Restraint: High costs and complex regulatory requirements for medical oxygen systems limit their accessibility, particularly in resource-constrained settings.

• Emerging Trends: Integration of IoT technology in medical oxygen systems is enabling remote monitoring and predictive maintenance, enhancing patient care and system efficiency. 

• Regional Leadership: Asia Pacific leads the medical oxygen systems market, accounting for a significant share due to its rapidly expanding population and increasing disease burden. 

• Competitive Landscape: Key players like Chart Industries and OXYPLUS Technologies (NOVAIR) are innovating in the field, offering advanced solutions such as mobile oxygen units and on-site generation systems to meet the growing demand. 

• Market Segmentation: The market is segmented into products like compressed medical oxygen cylinders, oxygen concentrators, and liquid oxygen systems, catering to various end-users including hospitals, clinics, and home healthcare settings. 

• Recent Development: Recent advancements include the development of portable oxygen concentrators with high oxygen purity levels, enhancing mobility and quality of life for patients requiring long-term oxygen therapy.

COVID-19 IMPACT

Surge in Covid Cases Boosted Demand for Product

The global COVID-19 pandemic has been unprecedented and staggering, with medical oxygen systems experiencing lower-than anticipated/higher-than-anticipated demand across all regions compared to pre-pandemic levels. The sudden rise in CAGR is attributable to the medical oxygen systems market growth and demand returning to pre-pandemic levels once the pandemic is over.

Because artificial ventilation is required in the majority of Covid-19 severe cases, demand for wall-mounted oxygen concentrators and piped/canned oxygen is increasing. The significant increase in demand in India is due to an increase in the number of COVID-19 cases with breathing issues. The same can be seen in the most recent activities of market participants. The COVID-19 pandemic has impacted demand, resulting in a global shortage of medical ventilators. Artificial ventilation was required in critical cases of Covid-19, and demand for wall-mounted oxygen concentrators and piped/canned oxygen is skyrocketing.

LATEST TRENDS

Robust Demand from Healthcare Sector to Boost Market Growth

To provide a high volume of oxygen supply to patients, most hospitals and healthcare organisations build centralised oxygen systems in hospitals. Because of the introduction of portable oxygen devices into the market, the homecare setting sector is also contributing significantly to market growth. Furthermore, rising regulatory approvals for oxygen therapies are likely to boost demand for medical oxygen systems, thus opening up significant market development opportunities. Additionally, due to the current epidemic, there has been a tremendous increase in the demand all over the world. This increase in demand is projected to continue in the future years, providing revenue potential for businesses.

• According to Global Growth Insights, modern medical oxygen systems are increasingly incorporating Internet of Things (IoT) technology, enabling real-time data analytics and remote monitoring, which enhances patient care and system maintenance.

• As per Global Growth Insights, there's a growing trend towards developing energy-efficient medical oxygen systems, aiming to reduce operational costs and environmental impact by consuming less power. 

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MEDICAL OXYGEN SYSTEMS MARKET SEGMENTATION

By Type

By type, the market is segmented into On-site, Remote, and Others.

On-site is the leading segment in the market share medical oxygen systems on-site have a high initial purchase price but low operating expenses and a long useful life, making them very cost-effective for large facilities that can take advantage of economies of scale. To fulfil unique customer needs, the majority of on-site industrial gas suppliers offer several grades or purities.

These factors are likely to foster market growth during the upcoming years. 

By Application

Based on application, the market is divided into rural hospitals, community hospitals, large hospitals, and Others. 

The large hospitals segment is expected to lead the market share. Medical oxygen systems are employed in large hospitals where smaller, highly mobile medical units are required. The gadgets will be tiny enough to fit on carts and will be powered by rechargeable batteries, allowing them to run for long periods of time without needing to be linked to the main power source.

Therefore, these factors can propel market growth.

MARKET DYNAMICS

DRIVING FACTORS

Government Initiatives and Technological Advancements to Boost Industry Progress

Government measures to regulate and manage respiratory illnesses are on the rise, which will help the industry grow. In addition, favourable reimbursement scenarios for medical oxygen concentrators in a number of developing countries will boost market value. Increased prevalence of respiratory diseases, rising geriatric population globally that requires advanced care & better treatment facilities; development in healthcare infrastructure coupled with rising demand for homecare equipment among patients; increasing need for portability & mobility devices due to technological advancements; decreasing prices of medical gas cylinders; rising demand for automation are the major factors driving growth in this market.

Advanced Technologies Adopted by Manufacturers to Foster Progress of the Market

The product demand will benefit as the incidence rate of chronic respiratory disorders rises in tandem with rising tobacco and smoking usage in numerous countries. The segment's expansion will be aided by the growing acceptance of continuous flow concentrators for critical care in healthcare facilities. Many manufacturers are incorporating innovative technology into new product development, which will help the market grow. The market is being driven by an increase in daily exposure to pollutants. Furthermore, the market's growth is fuelled by an increase in the number of people exposed to indoor air pollution, and an increase in the number of active smokers. The market's expansion is hampered by the high cost of oxygen concentrators and onerous regulatory procedures.

• The World Health Organization reports that over 3 million people die annually from Chronic Obstructive Pulmonary Disease (COPD), highlighting the increasing need for effective oxygen therapy solutions.

• According to the United Nations, the global population aged 60 years and over was approximately 1 billion in 2020 and is expected to double by 2050, leading to a higher demand for medical oxygen systems due to age-related respiratory conditions. 

Furthermore, the oxygen concentrators market would benefit from strong development potential in emerging markets and an increase in the geriatric population during the forecast period.

RESTRAINING FACTORS

High Pricing to Impede Market Growth

The high cost of medical oxygen equipment, and the consequent maintenance costs, are limiting market expansion. Furthermore, when utilised at home, these systems necessitate continual expert help, making their use less viable. Many of these oxygen devices are battery-operated, which necessitates frequent battery changes, significantly increasing the system's operational costs.

• Emergen Research notes that the high cost of medical oxygen concentrators, especially portable ones, can be prohibitive, particularly in low-income regions, limiting their widespread adoption.

• Emergen Research highlights that strict government regulations and policies, including rigorous testing and approval processes by agencies like the FDA, can delay the introduction of new medical oxygen systems into the market. 

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MEDICAL OXYGEN SYSTEMS MARKET REGIONAL INSIGHTS

Developed Healthcare Infrastructure to Facilitate Market Growth in the North America

North America is expected to dominate the medical oxygen systems market share due to the major revenue-generating segment of the global market. This can be ascribed to the region's well-developed healthcare infrastructure and the rising prevalence of chronic diseases. Due to the existence of top medical oxygen system manufacturers and rising product launches, these players in this region that offer new oxygen concentrators have a strong position in the U.S. market. Furthermore, in the coming years, the increased demand for portable medical devices such as CPAP machines and pulse oximeters will fuel growth potential.

Due to increased endeavours by key players in the development of medical oxygen systems for various reasons, Europe is likely to have a large market share. The expansion of the European medical oxygen system market is projected to be aided by increased initiatives by regional key players and emergency medical care providers.

During the projection period, Asia Pacific is expected to be the most profitable market. The rapidly growing geriatric population and the frequency of lung illnesses are two key factors driving regional medical oxygen systems market growth. In the region's most developed countries, living and health standards have dramatically improved.

KEY INDUSTRY PLAYERS

Companies Invest Heavily in Research and Development Activities to Improve Brand Position

Medical oxygen systems are a fragmented market with a large number of players competing. Leading companies are now focusing on providing clients with technologically improved products. Due to the presence of a number of major, small, and local companies, the medical oxygen systems market is extremely fragmented. To satisfy the expanding demand for these concentrators and cylinders, companies are dramatically increasing their manufacturing facilities and training activities.

• Cisco Systems, Inc.: In March 2024, Cisco unveiled new purpose-built, multifunctional devices, including the Cisco Board Pro G2 and Cisco Desk Phone 9800 Series, delivering modernized collaboration experiences to a hybrid workforce.

• Microsoft Corporation: Microsoft Teams, representing about 30% of the market share, expanded its platform with advanced live captions and translations in 2024, with nearly 40% of its global users integrating these features, enhancing accessibility for international teams.

INDUSTRY DEVELOPMENT

• April 2019: TherOx's supersaturated oxygen therapy has been approved by the US Food and Drug Administration. The new method is designed to treat injured cardiac tissue with hyperbaric oxygen during a single catheter-delivered infusion, lowering infarct size reliably and safely.
• Chart Industries: According to the U.S. Department of Energy, Chart Industries installed over 60 medical oxygen production units in 2022. These units now support more than 35 healthcare facilities across 15 states, underlining the company’s significant role in expanding oxygen infrastructure.
• OXYPLUS Technologies (NOVAIR): The European Industrial Association reported that OXYPLUS Technologies (NOVAIR) upgraded oxygen delivery systems in 48 hospitals in 2023. On average, this translated to 3 new system installations per hospital, reflecting the company’s robust operational footprint in the market.

List of Top Medical Oxygen Systems Companies

• Chart Industries (U.S.)
• Oxyplus Technologies (NOVAIR) (France)
• OGSI (India)
• Oxymat A/S (Denmark)
• On Site Gas Systems (U.S.)
• Oxair (Australia)
• PCI Gases (U.S.)
• Zhuhai Hokai Medical Instruments Co., Ltd (China)
• Yantai Beacon Medical Technology Co., Ltd (China)

REPORT COVERAGE

The study report examines a number of factors that contribute to the growth of the medical oxygen systems sector. It is made up of market trends, restraints, and drivers that influence the market positively or negatively. This section also goes over the many industries and applications that could have an impact on the market in the future. The information is based on current trends and historical benchmarks. A study of the global market's production volume is also included in this part.