Telemedicine Market by Component (Products (Hardware & Software), Services (Telecardiology, Teledermatology, Telepathology, Telepsychiatry & Teleradiology, Others)), Mode of Delivery (Cloud-Based Delivery & On-Premises Delivery), and End User (Tele-Home and Tele-Hospital & Tele-Clinic) – Global Outlook & Forecast 2022-2030
According to the deep-dive market assessment study conducted by Growth+ Reports, the global telemedicine market was pegged at ~ US$ 68.3 billion in 2021. The market is expected to witness a CAGR of ~18.9% from 2022 to 2030.
Telemedicine is a branch of eHealth (electronic health) that assists in performing and delivering healthcare at remote settings using a digital platform. This segment has experienced an enormous growth and development in the past few years. Furthermore, it also gained popularity not only among the society but also among the physicians due to various advantages such as ease and convenience for consultation, expanded access for care, improved workflow, better patient satisfaction score, and many more.
Incessant need to provide best healthcare facility to the general population across different regions, in order to ensure patient’s wellbeing and control healthcare and hospitalization costs is a major rational behind swift adoption of telemedicine in the developed parts of the world. Rising government initiatives and public awareness among the population have further fueled the telemedicine industry. In Jan 2021, the U.S. FCC (Federal Communication Commission) announced initial pilot projects for telehealth services that included 14 projects for 11 states and more than 150 digital healthcare sites. The FCC funded $26.6 million for these projects.
Growing incidence of chronic illness/diseases also play a key role in the boosting the growth of this market. Rising prevalence of chronic diseases is a big cause of mortality worldwide. Poor dietary habits, sedentary lifestyle, and a rise in usage of tobacco & alcohol has led to increased prevalence of chronic diseases such as diabetes, cardiovascular conditions, and musculoskeletal illnesses. High prevalence of illness caused due to sedentary lifestyle has further augmented the rate of hospitalizations and emergency healthcare which in turn resulted in the growth of the overall healthcare expenses in countries worldwide. According to the 2021 WHO report, 41 million people die each year because of chronic disease, contributing to 71% of deaths in the
world. The growing number of non-communicable diseases (NCD) which are also called chronic diseases enforces a strain on the healthcare system across the globe. In order to mitigate this burden, healthcare stakeholders worldwide have been intensely engaged in coming up with different solutions which not only will reduce the healthcare costs, but also ensure provision of prompt and efficient healthcare services to patients irrespective of their location. These factors have collectively led to the emergent demand for telemedicine.
The demand for physicians in the medical field is rising on a daily basis in the world. A positive impact on the global telemedicine market has been a dearth of medical professionals. The already existing physicians are retiring rapidly which is a major reason for their shortage of skilled and experienced physician. Also, this is a major challenge in remote areas as these places are often deprived of basic healthcare facilities and support. Thus, to aid bridging these gaps between population and medical professionals are looking forward to the implementation of telemedicine, thereby giving a spur to this market.
However, there are some pitfalls in this segment such as cyber security, adoption of telemedicine in economically poor countries, and so on. Among other drawbacks, cybersecurity can be considered as a major issue that can restrain the telemedicine market. The confidentiality and security of data are key points to be taken into consideration, but inappropriate use of the information can be a big challenge for this market. The privacy and security of patients’ data is an essential part of the system as this information not only consists of patient’s health history but also their personal and bank details. Lack of security in such a sensitive area can be a big an obstacle for the growth of telemedicine market.
The Asia Pacific is estimated to be the fastest-growing region in the market globally. The growth of the region is mainly attributed to the rapid development in the healthcare infrastructure, lack of dignified & professional physicians, and rising prevalence of chronic illness. Moreover, the continuous growth of the aged population in Asian countries (such as Japan, South Korea, etc.) and emerging government initiatives lead to the rapid adoption of telehealth/telemedicine, thereby usurping this market globally. Additionally, the COVID-19 epidemic fueled the market due to the rules and regulations during this pandemic period caused a great impact. During the
COVID-19 period, the population started adapting to the virtual interface for the healthcare system viz. telemedicine for better and more convenient consultation & treatment.
Some of the prominent players operating in the global telemedicine market is Koninklijke Philips N.V., ClearArch, Inc., AMD Global Telemedicine, Inc., Cisco Systems, Inc., Allscripts Healthcare, LLC., Advanced Telemed Services Pvt. Ltd., Aerotel Medical Systems Ltd., MEDTRONIC PLC., Iris Telehealth Inc., and MDLIVE Inc. among others.