Key Takeaways

• North America held a major share of the market in 2024.
• Asia Pacific is expected to grow at the fastest CAGR in the studied years.
• By service type, the component manufacturing segment held the largest market share in 2024.
• By service type, the finished device assembly segment is expected to grow at the fastest CAGR in the market during the forecast period.
• By device class, the class II devices segment led the medical device CMO and CDMO market with the largest revenue share in 2024.
• By device class, the class III devices segment is expected to grow at the fastest CAGR in the market during the forecast period.
• By device type, the orthopedic devices segment led the market with the largest revenue share in 2024.
• By device type, the drug-device combination products segment is expected to grow at the fastest CAGR in the market during the forecast period.
• By material/technology platform, the ceramics segment dominated the market.
• By material/technology platform, the electronics/mechatronics segment is expected to grow at the fastest CAGR in the market during the forecast period.
• By end user, the large medical device OEMs segment held the largest medical device CMO and CDMO market share in 2024.
• By end user, the mid-size & emerging OEMS segment is expected to grow at the fastest CAGR in the market during the forecast period.

What is a Medical Device CMO and CDMO?

The global medical device CMO and CDMO market involves the outsourcing of development and/or manufacturing processes for medical devices to third-party specialist firms. This market provides crucial services to original equipment manufacturers (OEMs), who can then reduce capital expenditure, access specialized technologies like advanced 3D printing and automation, and accelerate time-to-market by focusing on their core competencies like research and marketing.

Segmental Insights

By Service Type Analysis

Which Service Type Led the Medical Device CMO and CDMO Market in 2024?

The component manufacturing segment accounted for a dominant share of the market in 2024. They are increasing their operational efficiency and focusing on core competencies like R&D. The rising demand for complex medical devices (especially Class II and Class III) and the need for faster time-to-market and enhanced supply chain resilience.

However, the finished device assembly segment is predicted to expand at a lucrative CAGR. The OEMs are increasingly outsourcing to manage the complexity of modern medical devices. This trend allows manufacturers to significantly accelerate time-to-market and reduce capital expenditure while leveraging CDMOs' specialized expertise and advanced automation technologies like robotics. The ability of contract manufacturers to navigate stringent regulations and provide scalable, cost-effective assembly solutions

By Device Class Analysis

What Made the Class II Devices Segment Dominant in the Market in 2024?

The class II segment held a major revenue share of the medical device CMO and CDMO market in 2024. This is a wide product range and diverse applications. Outsourcing for these devices, which require specialized controls but less intense regulation than Class III, provided significant cost and efficiency benefits to OEMs.

However, the class III devices segment is estimated to expand rapidly in the predicted timeframe. OEMs increasingly rely on CMOs and CDMOs to manage the extreme complexity and high risk associated with life-sustaining products like pacemakers and heart valves. This outsourcing trend allows manufacturers to leverage specialized expertise and advanced manufacturing technologies while avoiding significant capital investment and navigating stringent regulatory scrutiny more effectively.

By Device Type Analysis

What Made the Orthopaedic Devices Segment Dominant in the Market in 2024?

The orthopaedic devices segment held a major revenue share of the medical device CMO and CDMO market in 2024. The sustained high demand from an ageing global population with musculoskeletal conditions. The orthopaedic OEMs are outsourcing complex, high-precision manufacturing of implants to specialized CDMOs, leveraging their advanced technologies like 3D printing for cost-efficiency, expertise, and adherence to strict regulatory standards.

On the other hand, the drug-device combination products segment is estimated to expand rapidly patient-centric solutions like insulin pumps

By Material/technology Platform Analysis

What Made the Ceramics Segment Dominant in the Market in 2024?

The ceramics segment held a major revenue share of the medical device CMO and CDMO market in 2024. The high demand in orthopaedic and dental applications

However, the electronics/mechatronics segment is estimated to expand rapidly in the predicted timeframe. Due to the surge in demand for complex, connected devices, wearable tech, and IoMT applications. This expansion necessitates specialized expertise in miniaturization, robotics, and integrated electronics, which OEMs increasingly source from CDMOs to manage complexity and reduce costs. Leveraging advanced manufacturing capabilities and strategic partnerships allows CDMOs to accelerate time-to-market for innovative digital health solutions

By End-user Analysis

What Made the Large Medical Device OEMs Segment Dominant in the Market in 2024?

The large medical device OEMs segment held a major revenue share of the medical device CMO and CDMO market in 2024. The OEMs' ability to reduce capital expenditures, mitigate regulatory risks, and focus internal resources on core competencies like R&D and commercialization. By outsourcing to CDMOs for specialized expertise, scalability, and enhanced cost-efficiency, large OEMs accelerated their time-to-market and maintained market leadership, while navigating a highly regulated and competitive landscape.

However, the mid-size & emerging OEMs segment is estimated to expand rapidly in the predicted timeframe. There is access to expertise and technology, cost efficiency and reduced capital investment, and regulatory support. Their emphasis on faster time-to-market, access to innovative technologies, and global distribution through contract partners drives strong adoption.

Browse More Insights of Towards Healthcare:

The global medical device CRO market

The medical device testing market

The global medical device outsourcing market

The medical device gaskets & seals market

The global medical device contract manufacturing market

The 3D printed medical devices market

The global Class C & Class D medical devices market

The AI in medical devices market

The global wearable medical devices market

Lastly, the global implantable medical devices market

What are the Revolutionary Developments in the Medical Device CMO and CDMO Market?

• In January 2025, Arterex acquired Adroit and Phoenix to strengthen global footprints and offer end-to-end solutions, particularly in Europe.
• In January 2024, Integer Holdings acquired Pulse Technologies to enhance its micro-machining capabilities for structural heart devices.

Key Players List:

• Orchid Orthopedic Solutions
• Phillips-Medisize (a Molex company)
• SMC Ltd.
• Tecomet Inc.
• Nemera (drug delivery device CDMO)
• Celestica Inc.
• West Pharmaceutical Services (drug-device combination CDMO)
• Gerresheimer AG (medical device CDMO division)
• Viant Medical
• Creganna Medical (part of TE Connectivity)
• Tessy Plastics
• Providien (a Carlisle company)
• Nypro (Jabil subsidiary)
• Benchmark Electronics
• Nolato AB
  

Segments Covered in this Report

By Service Type

• Product Design & Development
• Prototyping & Rapid Manufacturing
• Process Development & Validation
• Component Manufacturing
• Finished Device Assembly
• Sterilization, Packaging, and Labeling
• Quality & Regulatory Support
  

By Device Class

• Class I Devices
• Class II Devices
• Class III Devices
• Others

By Device Type

• Orthopedic Devices
• Cardiovascular Devices
• Diagnostic Imaging Devices
• Minimally Invasive Surgical Devices
• Drug-Device Combination Products
• Dental Devices
• Ophthalmic Devices
• Wearables & Digital Health Devices

By Material/Technology Platform

• Metals
• Polymers
• Ceramics
• Electronics/Mechatronics
• Others
  

By End User

• Large Medical Device OEMs
• Mid-size & Emerging OEMs
• Startups & Innovators
• Academic/Research Institutions collaborating on new device technologies

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
    

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