Towards Healthcare
Physical Therapy Market Size Develop USD 41.54 Billion by 2034

Physical Therapy Market Growth Accelerates in 2025 Driven by AI, Wearables & Telehealth Expansion

Projections indicate that, physical therapy industry is projected to rise from USD 28.06 billion in 2024 to USD 41.54 billion by 2034, reflecting a CAGR of 4% over the next decade.The rising prevalence of musculoskeletal disorders and advanced medical devices drives the global market. North America dominated the market owing to a robust healthcare infrastructure and increasing investments.

Category: Therapeutic Area Insight Code: 5929 Format: PDF / PPT / Excel

Physical Therapy Market Size, Growth and Top Key Players

The global physical therapy market size is calculated at USD 28.06 billion in 2024, grew to USD 29.18 billion in 2025, and is projected to reach around USD 41.54 billion by 2034. The market is expanding at a CAGR of 4% between 2025 and 2034.

Physical Therapy Market Size 2024 - 2034

The physical therapy market is primarily driven by the rising prevalence of musculoskeletal disorders and the increasing number of surgeries. People are becoming aware of the benefits of non-pharmacological treatment. The increasing investments and collaborations enable key players and researchers to develop innovative devices for physical therapy. The future looks promising, with the integration of artificial intelligence (AI) and the growing need for personalized treatment.

Key Takeaways

  • The physical therapy market will likely exceed USD 28.06 billion by 2024.
  • Valuation is projected to hit USD 41.54 billion by 2034.
  • Estimated to grow at a CAGR of 4% starting from 2025 to 2034.
  • North America held a major revenue share of 39.5% in the market in 2024.
  • Asia-Pacific is expected to witness the fastest growth during the predicted timeframe.
  • By therapy type, the orthopedic physical therapy segment dominated the market with a share of 31.5% in 2024.
  • By therapy type, the neurological physical therapy segment is expected to expand rapidly in the physical therapy market in the coming years.
  • By application, the musculoskeletal disorders segment contributed the biggest revenue share of 36% in the market in 2024.
  • By application, the sports & athletic injuries segment is expected to show the fastest growth over the forecast period.
  • By age group, the adult (18-64 years) segment registered its dominance over the global market with a share of 58.2% in 2024.
  • By age group, the geriatric (65+ years) segment is expected to witness the fastest growth in the market over the forecast period.
  • By end-use, the outpatient clinics segment accounted for the highest revenue share of 41% in the physical therapy market in 2024.
  • By end-use, the telehealth platforms segment is expected to account for the highest growth in the upcoming years.
  • By delivery mode, the in-person physical therapy segment led the global market with a share of 73.4% in 2024.
  • By delivery mode, the tele-physical therapy segment is expected to grow at the fastest CAGR in the market during the forecast period.
  • By equipment type, the therapeutic exercise equipment segment held a dominant presence in the market with a share of 34.7% in 2024.
  • By equipment type, the wearable sensors & robotic assist devices segment is expected to grow with the highest CAGR in the market during the studied years.

Key Indicators and Highlights

Metric Details
Market Size in 2025 USD 29.18 Billion
Projected Market Size in 2034 USD 41.54 Billion
CAGR (2025 - 2034) 4%
Leading Region North America share by 39.5%
Market Segmentation By Therapy Type, By Application, By Age Group, By End-Use, By Delivery Mode, By Equipment Type, By Region
Top Key Players Select Medical Corporation, ATI Physical Therapy, Upstream Rehabilitation, Kindred Healthcare, Athletico Physical Therapy, U.S. Physical Therapy, Inc., Concentra Inc., CORA Health Services, FYZICAL Therapy & Balance Centers, Professional Physical Therapy, Genesis Rehab Services, RehaMed International, Back in Motion, PIVOT Physical Therapy, NovaCare Rehabilitation, MyoTherapy Physical Therapy, BTL Industries, Zimmer MedizinSysteme, Enovis (DJO Global), Dynatronics Corporation

Market Overview

The physical therapy market involves services, technologies, and products to rehabilitate individuals through physical methods rather than medication or surgery. These services target the restoration, maintenance, and improvement of physical function, movement, and quality of life across a range of medical conditions, such as musculoskeletal disorders, neurological impairments, post-surgical recovery, sports injuries, and chronic pain. It includes manual therapy, exercise-based regimens, electrotherapy, and other modalities delivered across multiple settings, including hospitals, outpatient clinics, rehabilitation centers, home health care, and telehealth platforms.

The rising prevalence of musculoskeletal and neurological disorders and the increasing number of surgeries necessitate physical therapy and rehabilitation. Advancements in medical technologies drive the latest innovations in physical therapy. Government and private companies provide favorable reimbursement policies, enabling patients to afford and access advanced physical therapy. The increasing collaborations among key players facilitate the development of innovative devices.

  • In April 2025, U.S. Physical Therapy, Inc. announced the acquisition of an outpatient home care practice to provide physical therapy, occupational therapy, and speech therapy services to patients in the comfort of their homes. MSO Metro, LLC acquired an 80% interest in the acquired company, and the current owners retain 20%. 
  • In September 2024, VALD announced that it raised investment from FTV Capital to grow its global team into new markets and launch new product offerings. The funding was also raised to continue using AI to create unique applications for the company’s proprietary dataset of tens of millions of musculoskeletal (MSK) health records.

How Can AI Revolutionize the Physical Therapy Market?

AI can revolutionize physical therapy by providing remote care and developing innovative devices. It can be used to predict injury risk, interpret medical imaging, and evaluate patient-related outcomes. AI and machine learning (ML) algorithms can analyze vast amounts of patient data and suggest appropriate treatment. They enhance the efficiency and accuracy of physical therapy. AI is used to provide evidence-based practice, helping in clinical decision-making. AI and ML also reduce medical errors in healthcare practices. AI-based interventional strategies, such as virtual reality and gaming, determine the most effective strategies for various patient populations.

Market Dynamics

Driver

Increasing Number of Surgeries

The major growth factor for the physical therapy market is the increasing number of surgeries. The rising prevalence of chronic disorders and increasing road accidents are the primary reasons for surgical procedures. Physical therapy is an essential part of treatment for patients, especially after major surgeries. This helps them regain mobility and strength after surgery, improving their well-being. Physiotherapy accelerates the recovery process and prevents future injuries in the same area. Moreover, physical therapy can prevent secondary issues to surgeries, such as infection, blood clots, and other complications.

Restraint

Lack of Skilled Professionals

Certain countries, especially underdeveloped and developing countries, lack skilled professionals to provide advanced physical therapy. The lack of physiotherapists restricts personalized care to patients. In India, it is estimated that for a population of 1.40 billion, there are only 0.59 physiotherapists per 10,000 people.

Opportunity

What is the Future of the Physical Therapy Market?

The market future is promising, driven by the growing need for personalized treatment. Telehealth, wearable devices, and sensors play a key role in providing personalized therapy to patients. Telehealth enables healthcare professionals to deliver physical therapy through video calls and provide tailored consultation. Wearable devices can continuously measure patients’ vital signs, enabling providers to monitor patients remotely. Based on their diagnoses, physiotherapists can tailor treatment regimens based on patients’ conditions. Additionally, robotics and sensors contribute to hybrid care, helping patients maintain their posture while at work.

Segmental Insights

Which Therapy Type Segment Dominated the Physical Therapy Market?

By therapy type, the orthopedic physical therapy segment held a dominant presence in the market in 2024. This is due to the rising prevalence of orthopedic disorders and sports injuries, and the increasing number of surgeries. Rheumatoid arthritis (RA) is estimated to affect 1% of the global population by 2050, accounting for an 80.2% increase from 2020. Apart from RA, orthopedic physical therapy is used to manage other disorders, such as knee instability, lower back pain, and muscular dystrophy.

By therapy type, the neurological physical therapy segment is expected to grow at the fastest CAGR in the market during the forecast period. Neurological physical therapy is used to improve cognitive functions and improve movement and balance. It aims to manage neurological disorders, such as Parkinson’s disease, spinal cord injury, and stroke. Neurological physical therapy helps patients regain the highest level of function and independence, improving their well-being. It involves a wide range of activities, including speech therapy, stress management, social and behavioral skills retraining, etc.

Why Did the Musculoskeletal Disorders Segment Dominate the Physical Therapy Market?

By application, the musculoskeletal disorders segment held the largest revenue share of the market in 2024. This segment dominated because physical therapy relieves musculoskeletal pain and stiffness. Some common examples of musculoskeletal disorders include back pain, arthritis, osteoporosis, and tendonitis. According to the International Osteoporosis Foundation (IOF), osteoporosis is estimated to affect around 200 million women globally. Physical therapy can help patients regain normal physical function or mobility. In the U.S., the musculoskeletal services account for 12% of the total annual healthcare expenditure.

By application, the sports & athletic injuries segment is expected to grow with the highest CAGR in the market during the studied years. The increasing number of people involved in sports results in the rising prevalence of sports injuries. In 2023, about 242 million people, or 80% of Americans in the U.S. of 6 years or older, participated in at least one sports or fitness activity. Physical therapy can prevent and cure sports injuries through injury risk assessment, personalized exercise programs, and education.

How the Adult Segment Dominated the Physical Therapy Market?

By age group, the adult (18-64 years) segment contributed the biggest revenue share of the market in 2024. Adults require advanced physical therapy due to various reasons, such as chronic disorders, surgeries, and occupational disabilities. Long working hours limit physical exercise among individuals, resulting in back pain and other chronic disorders. More than 80% of jobs require hours of desk work. The World Health Organization (WHO) reported that 31% of adults and 80% of adolescents do not meet the recommended levels of physical activity, necessitating physical therapy. (Source - WHO)

By age group, the geriatric (65+ years) segment is expected to expand rapidly in the market in the coming years. The geriatric population is more prone to developing chronic disorders, including musculoskeletal disorders. Physical therapists focus on improving function and quality of life for older adults. They address issues like balance disorders, reduced flexibility, mobility challenges, and post-surgery recovery. They provide exercise programs, balance and fall prevention strategies, and education and training.

Which End-Use Segment Led the Physical Therapy Market?

By end-use, the outpatient clinics segment led the global market in 2024. The segmental growth is attributed to favorable infrastructure and the availability of specialized equipment. Outpatient clinics have skilled professionals to provide advanced treatment. They offer tailored services with different rehabilitation programs. The increasing number of outpatient clinics and favorable reimbursement policies boost the segment’s growth.

By end-use, the telehealth platforms segment is expected to witness the fastest growth in the market over the forecast period. The growing demand for personalized treatment and remote monitoring augments the segment’s growth. Telehealth platforms eliminate the need for patients to visit clinics, saving time and traveling costs. Healthcare professionals can also treat multiple patients in a short span through telehealth.

What Made In-Person Physical Therapy the Dominant Segment in the Physical Therapy Market?

By delivery mode, the in-person physical therapy segment accounted for the highest revenue share of the market in 2024. In-person physical therapy enables physical therapists to provide physical and emotional support. Patients can have access to cutting-edge equipment that is installed in clinics or hospitals. Physical therapists also visit a patient’s home to provide in-person therapy. They carry portable devices to patients’ homes and deliver personalized care.

By delivery mode, the tele-physical therapy segment is expected to show the fastest growth over the forecast period. Tele-physical therapy enables patients to access relevant expert care across various geographical locations, eliminating the need to visit clinics physically. The advent of advanced technologies, such as AI/ML and VR, enables therapists to provide personalized treatment.

Why Did the Therapeutic Exercise Equipment Segment Dominate the Physical Therapy Market?

By equipment type, the therapeutic exercise equipment segment held a major revenue share of the market in 2024. This is due to the ability to perform a wide range of activities, such as improving strength, balance, and fitness. Therapeutic exercise equipment enhances physical health and aids rehabilitation. It is essential in every type of disorder and focuses on providing targeted care, thereby promoting recovery and vitality. Traction tables, ankle exercisers, overhead pulleys, resistance bands, and treadmills & bikes are some common equipment.

By equipment type, the wearable sensors & robotic assist devices segment is expected to account for the fastest growth in the upcoming years. Technological advancements and the need for remote monitoring propel the segment’s growth. Wearable devices enable continuous monitoring of patients’ vital signs and track patient activity, allowing therapists to make effective clinical decisions. Robotic devices also automate operations and reduce manual errors.

Regional Analysis

Physical Therapy Market Share, By Region, 2024 (%)

Which Factors Govern the Physical Therapy Market in North America?

North America dominated the market share by 39.5% in 2024. The availability of a robust healthcare infrastructure, increasing investments, and the presence of key players are the major growth factors of the market in 2024. Hospitals and clinics in North American countries have cutting-edge technologies to provide advanced care. Government organizations support rehabilitation clinics and physical therapy hospitals through funding.

U.S. Market Trends

Key players, such as Select Medical Corporation, CORA Health Services, and U.S. Physical Therapy, Inc., are the major contributors to the market in the U.S. According to a recent survey in 2024, 51% of Americans have received care from a physical therapist at some point in their lives. Annually, more than 50 million Americans receive physical therapy. In addition, approximately 13,600 openings for physical therapists are anticipated each year over the next decade.

Canada Market Trends

Around 90% of Canadians have at least one risk factor for heart disease. About 4 in 5 Canadians experience at least one episode of low back pain (LBP) at some point in their life. Moreover, 11 million people over 12 years of age are affected by musculoskeletal disorders annually. (Source - Canadians Physiotherapy Association) All these aspects potentiate the need for physical therapy.

Favorable Rehabilitation Infrastructure Promotes Asia-Pacific

Asia-Pacific is expected to grow at the fastest CAGR in the physical therapy market during the forecast period. The rising prevalence of musculoskeletal and neurological disorders and the rising adoption of advanced technologies boost the market. Government organizations create awareness of physical therapy and its benefits among the general public through initiatives and funding. The burgeoning medical tourism sector encourages people from foreign nations to visit Asia-Pacific countries due to affordable treatment.

China Market Trends

A recent projection report estimated that approximately 460 million people (33.3% of the total population) needed rehabilitation in China in 2020, and projected that almost 636 million people (45% of the total population) will need rehabilitation services in China in 2034, representing a 38.3% increase. (Source - Med Nexus)

India Market Trends

Almost 35-40 crore Indians have chronic musculoskeletal pain that limits mobility, reduces productivity, and diminishes quality of life, necessitating physical therapy. Kerala has emerged as a prominent rehabilitation tourism destination in India. It comprises about 3,000 healthcare institutions, including internationally accredited hospitals and physiotherapy centers.

Increasing Awareness to Drive Europe

Europe is expected to grow at a considerable CAGR in the physical therapy market in the upcoming period. The growing research and development activities, along with favorable government support, bolster market growth. Key players collaborate to develop innovative medical devices and access advanced technologies. Additionally, physical therapists collaborate to form an association and expand their services to a larger patient population. The increasing demand for personalized treatment and technological advancements favors market growth.

Germany Market Trends

There is one physiotherapist for every 430 people in Germany. There were 1,079 rehabilitation facilities in Germany with 161,430 beds in 2023. (Source - DESTATIS) The total healthcare expenditure amounted to approximately €494.65 billion in 2023.

UK Market Trends

There is one physiotherapist for every 1,136 people in the UK. A new analysis revealed that the NHS needs 12,000 more physiotherapists to expand its ability and meet demand. According to the YouGov March 2024 survey of 2,000 Britons, approximately 39% have received care from a physiotherapist at some point in their lives. Of these, 47% are older people aged over 55 years. (Source - YouGov)

Top Companies in the Physical Therapy Market

Physical Therapy Market Companies

  • Select Medical Corporation
  • ATI Physical Therapy
  • Upstream Rehabilitation
  • Kindred Healthcare
  • Athletico Physical Therapy
  • U.S. Physical Therapy, Inc.
  • Concentra Inc.
  • CORA Health Services
  • FYZICAL Therapy & Balance Centers
  • Professional Physical Therapy
  • Genesis Rehab Services
  • RehaMed International
  • Back in Motion
  • PIVOT Physical Therapy
  • NovaCare Rehabilitation
  • MyoTherapy Physical Therapy
  • BTL Industries
  • Zimmer MedizinSysteme
  • Enovis (DJO Global)
  • Dynatronics Corporation

Latest Announcement by Industry Leaders

In January 2025, Genrobotics launched India’s first robotic-assisted Pediatric Gait Trainer that leverages advanced virtual reality (VR) technology and real-time interactive games. Vimal Govind, CEO of Genrobotics, commented that the company aims to revolutionize physical medicine and rehabilitation through technology, ensuring that individuals with gait challenges, regardless of age, have access to advanced rehabilitation solutions. (Source - Economic Times)

Recent Developments in the Physical Therapy Market

  • In May 2025, LainaHealth announced the launch of its transformative virtual care model to expand access to physical therapy and reduce delivery costs. The model aims to pair licensed physical therapists with Laina and address issues, such as long appointment wait times, high costs, and logistical hurdles. (Source - Hit Consultant)
  • In February 2025, Raintree launched ScribeIQ, the most advanced AI scribe technology for rehab therapy. The technology can provide unmatched accuracy and depth of EMR/EHR integration for clinical documentation. It uses an accurate healthcare transcription model with specialized terminology identification and a proprietary in-house AI engine. (Source - PR Newswire)

Segments Covered in the Report

By Therapy Type

  • Orthopedic Physical Therapy
    • Post-operative Orthopedic Rehab
    • Sports Injuries
    • Joint and Muscle Disorders
    • Arthritis Management
  • Neurological Physical Therapy
    • Stroke Rehabilitation
    • Multiple Sclerosis
    • Spinal Cord Injury
    • Parkinson’s Disease
  • Geriatric Physical Therapy
    • Fall Prevention
    • Osteoporosis & Arthritis
    • Alzheimer’s & Parkinson’s Support
  • Pediatric Physical Therapy
    • Developmental Delays
    • Cerebral Palsy
    • Genetic Disorders
  • Cardiopulmonary Physical Therapy
    • COPD Rehabilitation
    • Post-Heart Surgery Rehabilitation
  • Women’s Health Physical Therapy
    • Pre & Post-natal Therapy
    • Pelvic Floor Dysfunction
  • Others
    • Vestibular Therapy
    • Palliative & Cancer Rehab
    • Aquatic Therapy

By Application

  • Musculoskeletal Disorders
  • Neurological Conditions
  • Cardiovascular & Pulmonary Conditions
  • Pediatric Conditions
  • Sports & Athletic Injuries
  • Post-Surgical Recovery
  • Others (Chronic Pain, Cancer, Gait Disorders)

By Age Group 

  • Pediatric (0–17 years)
  • Adult (18–64 years)
  • Geriatric (65+ years)

By End-Use

  • Hospitals
  • Outpatient Clinics
  • Rehabilitation Centers
  • Home Care Settings
  • Fitness & Wellness Centers
  • Telehealth Platforms
  • Others (Academic & Research Institutes, NGOs)

By Delivery Mode

  • In-person Physical Therapy
  • Tele-Physical Therapy (Remote Rehabilitation)
  • Hybrid (In-person + Digital Supervision)

By Equipment Type

  • Therapeutic Exercise Equipment
    • Resistance Bands
    • Balance Equipment
    • Treadmills, Bikes
  • Electrotherapy Equipment
    • TENS & EMS Devices
    • Ultrasound Therapy
  • Heat & Cold Therapy Equipment
  • Treatment Tables & Chairs
  • Mobility Aids
    • Walkers, Crutches
  • Others
    • Wearable Sensors
    • Robotic Assist Devices

By Region 

  • North America
    • U.S.
    • Canada
  • Asia Pacific
    • China
    • Japan
    • India
    • South Korea
    • Thailand
  • Europe
    • Germany
    • UK
    • France
    • Italy
    • Spain
    • Sweden
    • Denmark
    • Norway
  • Latin America
    • Brazil
    • Mexico
    • Argentina
  • Middle East and Africa (MEA)
    • South Africa
    • UAE
    • Saudi Arabia
    • Kuwait
  • Last Updated: 31 July 2025
  • Report Covered: [Revenue + Volume]
  • Historical Year: 2021-2023
  • Base Year: 2024
  • Estimated Years: 2025-2034

Meet the Team

Deepa Pandey is a focused and detail-oriented market research professional with growing expertise in the healthcare sector, delivering high-quality insights across therapeutic areas, diagnostics, biotechnology and healthcare services.

Learn more about Deepa Pandey

Aditi Shivarkar, with over 14 years of experience in consumer goods, leads research at Towards Consumer Goods, ensuring precise, actionable insights on trends, consumer preferences, and sustainable packaging for businesses.

Learn more about Aditi Shivarkar

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FAQ's

The physical therapy market is projected to reach USD 41.54 billion by 2034, growing at a CAGR of 4% from 2025 to 2034.

North America is leading the physical therapy market due to the presence of a robust healthcare infrastructure, increasing investments, and the presence of key players.

Some key players include Kindred Healthcare, Concentra, Inc., and NovaCare Rehabilitation.

Physical therapists help patients avoid surgery and prescription drugs, maximize mobility, manage pain and chronic conditions, and improve physical fitness and function.

The five elements of physical therapy include examination, evaluation, diagnosis, prognosis, and intervention.

World Health Organization, Canadian Physiotherapy Association, German Association for Physiotherapy