Telemedicine is considered as the remote delivery of healthcare services such as consultations over teleconference or telecommunication that enables healthcare professionals for diagnosing, evaluating, and treating patients. It is serving as a provision for several remote clinical services that helps, in the two-way communication between the patient and healthcare provider. Telemedicine is known to be the most adaptable technology accessible to deliver health education, health information and health care at a distance. Telemedicine technology is considered as a game changer for the healthcare industry because it brings healthcare directly into the doorstep of the patient. Telemedicine makes use of electronic technologies like email, smartphones, and video conferencing, for exchanging the patient's medical information. This technology will help healthcare providers to extend their services to remote areas effectively.
The overall global telemedicine market is expected to grow at a significant compound CAGR rate of 18.5% from USD 39.52 billion in 2019 to USD 153.66 billion in 2027. The growth of the market is driven by increasing adoption of telemedicine, rise in incidences of chronic diseases, and increase in geriatric population, government initiatives, and a shortage of physicians amongst others. The increase in demand for digital health platforms is one of the key factors triggering the market growth. Digital health platforms including m-health, EMR, telehealth, and other wireless technologies are essential elements in every healthcare organization. They will enable remote monitoring of patients, improve access to electronic health information, improve the quality of healthcare services along with cost reduction, and increase healthcare delivery efficiencies.
The companies that are operating in the telemedicine industry are introducing advanced telehealth platforms to expand the market. For instance, Koninklijke Philips N.V. has introduced the tele ICU enterprise software at the American Telemedicine Association’s annual meeting in April 2017. This latest advanced technology has shown success to the company in population health management for critical care unit. On March 28, 2019, Teladoc Health announces the launch of Teladoc Telemedicine Services, for providing Canadians with 24x7 access to quality medical care nevertheless of their location across the country.
The high cost in implementing telemedicine systems like EHR and EMR is considered to inhibit the global telemedicine market growth. Strict regulations that are associated with telemedicine are anticipated to hinder market growth across the globe. Further, lack of technical expertise and underdeveloped infrastructure in the developing countries acts as a barrier to the growth of the market.
The growing acceptance of video consulting is one of the key market trends that will prove critical to impact the growth in the coming years. Due to the decline in the cost of smart devices and the growth in internet penetration, consumers will easily consult doctors at their convenience without traveling long distances. Video consulting is said to gain popularity as it is convenient for both patients and doctors. It helps in saving time and is extremely beneficial in providing special care in emergency situations and ensure patient survival. The market faces certain challenges like resistance in accepting technology, high implementation cost, legal issues, lack of infrastructure, etc. Additionally, the growing acceptance of 4G and 5G spectrum provides huge opportunities for the players in the market.
The global telemedicine market is segmented on the basis of the component, service type, application, deployment, end-user, and region.
By Service Type: Telepharmacy, Telenursing, Teledermatology, Teleradiology, Tele-Oncology, and Others. Of these, the teleconsulting category accounts for the largest share in this market. This can be due to the increase in the number of smartphone users and the number of benefits available with teleconsulting services including reduced hospital stays and decreased healthcare expenditure and travel cost.
By Component: Hardware, Software, Services, and Telecom and Networking. Among these, the software segment is sub-segmented into integrated software and standalone software. The hardware segment is sub-segmented into medical peripheral devices and monitors. The telemedicine service market is accounting for the largest share in the total telemedicine market in 2018.
By Deployment: On-premise and Cloud-based. The cloud-based deployment is expected to hold the major market share and is expected to maintain its dominance over the forecast period.
By Application: Ophthalmology, Cardiology, Radiology, Psychiatry, Dermatology, Gynecology, Cardiology, Neurology, and Others. The neurology market is expected to show a high CAGR rate due to the rapid improvement in neurological care during the forecast period. Telemedicine is used in conditions like neuropathy, epilepsy, multiple sclerosis, and Parkinson's disease.
By End-users: Telehospitals/Teleclinics and Telehome.
Further, the telehospitals market is sub-divided into teleradiology, telecardiology, telepsychiatry, and teledermatology amongst others, based on Specialty. Teleclinics are emerging as the major revenue earners of the industry, holding the largest share. Teleradiology accounted for the largest share of the telehospital market. This large share of the market is due to wide usage of this technology for transferring patient’s medical reports.
By Geography: America, Europe, Asia Pacific, and the Middle East and Africa.
During the forecast period, North America accounted for the largest share in the telemedicine market in 2018. This growth is due to improved healthcare infrastructure, increased healthcare spending, growing geriatric population, and the growth in the prevalence of chronic and lifestyle associated diseases.
Europe holds the second position owing to the rise in adoption of the latest technologies along with growing government support for addressing the healthcare demands. The Asia Pacific region is known to be the fastest growing region due to the presence of a huge patient population. With the expanding telemedicine sector, the market is going to flourish in this region.
Some of the key players in the global telemedicine market include Aerotel Medical Systems Ltd., InTouch Technologies Inc., AMD Global Telemedicine Inc., OBS Medical Ltd., Cisco Systems Inc., Cerner Corporation, Allscripts Healthcare Solutions Inc., McKesson Corporation, Honeywell International Inc., BioTelemetry Inc., Medtronic plc., Polycom Inc., General Electric Company, and others.
The report covers in-depth analysis of the Global Telemedicine Market. The report assesses the market products pipeline by stage of development (early development, pre-clinical, clinical and in approval), by application (neuropathy, epilepsy, multiple sclerosis, Parkinson's disease, and others). In addition, the report includes key insights on other development activities, including (but not limited to) – licensing (In and Out), collaborations, acquisitions, reimbursement, patent, and regulatory designations.
The report includes in-depth company profiles of key players in the Global Telemedicine Market. The company profile includes key information on the overview, financial highlights, product portfolio, business strategies, and key recent developments.
The report highlights information on emerging companies with potentially disruptive technologies and new market entrants.
Data Collation (Primary & Secondary)
In-house Estimation (Based on proprietary databases and Models)
Market-related information is assembled from both primary and secondary sources.
Primary sources involved participants from all global stakeholders such as experts from several related industries and suppliers that have been interviewed to obtain and verify critical information as well as to assess prospects of the market. The participants included are CXOs, VPs, and managers. Plus, our in-house industry experts having decades of industry experience contribute their consulting and advisory services.
Secondary sources include public sources such as regulatory frameworks, government IT spending, government demographic indicators, industry association statistics, and company publications annual reports press releases along with paid sources such as Factiva, OneSource, Bloomberg among others.
Top-down and bottom-up approaches: The overall market size was used in the top-down approach to estimate the sizes of other individual submarkets (mentioned in the market segmentation by product, type of manufacturing, and disease) through percentage splits from secondary and primary research. The bottom-up approach was also implemented (wherever applicable) for data extracted from secondary research to validate the market segment revenues obtained.