Telehealth & Telemedicine Market by Component (Software & Services (RPM, Real-Time), Hardware (Monitors)), Delivery (On-Premise, Cloud-Based), Application (Teleradiology, Telestroke, TelelCU), End User (Provider, Payer) & Region - Global Forecast to 2028
The telehealth and telemedicine market is projected to reach a valuation of USD 120.4 billion in 2023, with an anticipated surge to USD 285.7 billion by 2028, exhibiting a CAGR of 23.2% throughout the forecast period. This growth is attributed to several factors, including the rising demand for mental health services, advanced technologies, and cost-effective medical solutions. Additionally, the market is driven by the increasing need for enhanced healthcare services, boosted efficiency, and the integration of novel technologies like chatbots. Demand for telehealth is further accelerated by the rising need for radiological services, orthopedic care, and government initiatives promoting advanced healthcare infrastructure. The market is propelled by the growing preference for online consultations, the expansion of diagnostic laboratories, and governmental investments in telecommunication solutions to connect patients with healthcare experts online.
To know about the assumptions considered for the study, Request for Free Sample Report
Telehealth and telemedicine Market Dynamics
Drivers: Increasing Adoption Of Digital Health And Telehealth to drive the market
The healthcare landscape is witnessing a significant shift with the increasing adoption of digital health and telehealth solutions. This trend is primarily driven by technological advancements that have transformed the way healthcare services are delivered. The integration of cutting-edge technologies such as artificial intelligence, machine learning, and data analytics enhances the capabilities of telehealth platforms. AI-powered chatbots provide real-time assistance to patients, while remote monitoring tools and Internet of Things (IoT) devices enable healthcare providers to gather and analyze patient data. This not only facilitates personalized healthcare but also allows for proactive management of health conditions.
Shortage of medical professionals and increasing demand for healthcare services to drive the market.
A critical challenge facing the healthcare industry is the shortage of medical professionals, coupled with a growing demand for healthcare services. Traditional healthcare delivery models struggle to cope with this imbalance, creating a need for innovative solutions. Digital health and telehealth emerge as crucial tools in addressing this challenge. Virtual consultations and remote healthcare services not only bridge the gap caused by the shortage of medical professionals but also enhance overall healthcare accessibility. By leveraging technology, healthcare providers can optimize resources, streamline administrative processes, and ensure that patients receive timely and efficient care. This shift towards digital health solutions aligns with the broader goal of making healthcare more patient-centric and accessible.
Restraints: Variations in Regulations Across Regions
The challenge of variations in regulations across regions in the telehealth sector is intricately linked to the diverse nature of healthcare policies and reimbursement models worldwide. Each country, and sometimes even different regions within a country, may formulate and implement distinct policies concerning the reimbursement of telehealth services. This lack of uniformity results in a complex operational environment for telehealth service providers, as they must navigate through disparate reimbursement mechanisms, each with its own set of rules and procedures. The complexity arises from the fact that telehealth providers often operate across borders or in regions with different regulatory frameworks. Consequently, understanding and complying with the nuanced reimbursement policies of each jurisdiction become a significant financial challenge. This scenario necessitates concerted efforts and collaboration among various stakeholders, including healthcare providers, policymakers, and payers.
To address this restraint, the telehealth industry requires a collective and collaborative approach to establish standardized reimbursement models. These models should be designed collaboratively with input from all stakeholders and should aim to incentivize the widespread adoption of telehealth services. By fostering collaboration among healthcare stakeholders, policymakers, and payers, the industry can work towards creating a more uniform and predictable reimbursement landscape. The development of standardized reimbursement models is crucial not only for the sustainable growth of telehealth providers but also for fostering greater trust and confidence among healthcare professionals, patients, and investors. Establishing a cohesive and standardized approach to reimbursement will contribute to the long-term viability and success of telehealth as an integral component of modern healthcare delivery. This collaborative effort is essential to overcome the challenges posed by regulatory variations and ensure the continued expansion and acceptance of telehealth services on a global scale.
Opportunities: High utility in combating infectious diseases and use of technologies such as blockchain and AI
The opportunity in the telehealth and telemedicine market lies in its high utility in combating infectious diseases, especially in the context of global health crises. The ongoing advancements in technologies, such as blockchain and artificial intelligence (AI), present a significant avenue for enhancing the capabilities of telehealth solutions.In the realm of infectious diseases, telehealth plays a crucial role in providing timely and efficient healthcare services. The ability to remotely diagnose, monitor, and treat individuals can be instrumental in managing the spread of infectious diseases, ensuring timely interventions, and reducing the burden on traditional healthcare systems. Telehealth platforms facilitate remote consultations, real-time monitoring of patients' health parameters, and the delivery of essential healthcare services without the need for physical presence, thereby minimizing the risk of transmission.
The integration of cutting-edge technologies like blockchain and AI further amplifies the potential of telehealth. Blockchain, with its decentralized and secure nature, enhances data integrity and privacy, addressing critical concerns in healthcare information exchange. This is particularly valuable in telehealth applications where sensitive patient data is transmitted and stored.Artificial intelligence contributes to telehealth by enabling more accurate diagnostics, personalized treatment plans, and predictive analytics. AI algorithms can analyze vast amounts of healthcare data, assisting healthcare professionals in making informed decisions and improving patient outcomes. Additionally, AI-driven chatbots and virtual assistants enhance the patient experience by providing timely information, appointment scheduling, and continuous support.
As the world faces ongoing and emerging infectious threats, the combination of telehealth solutions with advanced technologies creates a compelling opportunity to revolutionize healthcare delivery. Leveraging the high utility of telehealth in infectious disease management, coupled with the transformative capabilities of blockchain and AI, holds the potential to reshape the healthcare landscape, making it more resilient, responsive, and accessible. This convergence presents an optimistic outlook for the telehealth industry, positioning it as a key player in global health preparedness and response efforts.
Challenge: Issues related to hygiene and cleanliness, behavioral barriers, healthcare affordability, and lack of awareness.
The landscape of telehealth and telemedicine presents a myriad of challenges that necessitate strategic solutions for sustainable growth. One significant obstacle is the challenge of ensuring hygiene and cleanliness standards in virtual healthcare interactions, particularly when traditional physical examinations are not possible. This hurdle demands the development of standardized protocols and the integration of remote monitoring devices to maintain cleanliness without compromising the accuracy of assessments. Additionally, behavioral barriers to the widespread adoption of telehealth services must be addressed through extensive education and awareness campaigns, emphasizing the efficacy, convenience, and safety of virtual care. Healthcare affordability stands as a critical challenge, requiring strategic pricing models, government subsidies, and collaboration with insurance providers to make telehealth financially accessible. Lastly, the lack of awareness, particularly in underserved communities, necessitates robust public awareness campaigns, community outreach programs, and collaborations with local healthcare providers. By holistically addressing these challenges, the telehealth industry can pave the way for a more inclusive, efficient, and widely adopted healthcare paradigm.
Telehealth and Telemedicine Market Ecosystem
The telehealth and telemedicine market ecosystem comprises entities responsible for the end-to-end workflow of telehealth services. The major stakeholders present in this market include telecommunications companies, CT tools and electronics manufacturers, platforms, service and medical device providers, pharmaceutical companies, healthcare providers, payers, patients/customers, pharmacies and health retailers, senior living/post-acute/hospice centers, startups, and governments and regulatory bodies. The demand continues to grow and expand, especially after the outbreak of the COVID-19 pandemic. Solution and service providers continue to enhance and mature their offerings to add value.
Source: Secondary Literature, Interviews with Experts, and MarketsandMarkets Analysis
Note: Research and Development is restricted to softwares only.
“The Telehealth and telemedicine market, is projected to grow at a CAGR of 23.2% between 2023 and 2028.”
The Telehealth and telemedicine market is projected to reach USD 285.7 billion by 2028 from USD 87.9 billion in 2023, at a CAGR of 23.2% during the forecast period. The rising aging population, increased chronic conditions, rising awareness and government initiatives will provide lucrative opportunities to the market during the forecast period.
“Software and services segment accounted for a substantial share of the Telehealth and telemedicine market, by Componentt in 2022.”
The software segment is poised to experience a favorable CAGR in the forecast period, propelled by the increasing demand for cost-effective and easily accessible healthcare services, streamlined workflow management, and enhanced quality care. The surge in healthcare expenses, coupled with the escalating requirement for real-time and accurate population health monitoring, is fostering the uptake of software solutions. Additionally, healthcare institutions in developed countries are transitioning to value-based care models to enhance patient outcomes. The segment's growth is further accelerated by various global initiatives undertaken by key industry players.
“Providers segment accounted for a considerable share in the Telehealth and telemedicine market, by end user in 2022”
The provider segment dominated with the largest revenue share of 32.9% in 2022, primarily attributed to the growing acceptance of telehealth, teleconsultation, and telemedicine within the healthcare professional community, aiming to alleviate the strain on healthcare facilities. Additionally, the heightened convenience provided by these solutions enables healthcare providers to access patient health records swiftly, facilitate real-time quality reporting, enhance data management, make informed decisions, and embrace eHealth solutions, thereby fostering an increased adoption of these services among healthcare providers.
Web bases delivery mode accounted for the largest share in Telehealth and telemedicine market by Delivery mode in 2022
The web-based delivery mode segment secured the largest share, constituting XX% of the total revenue in 2022. Factors contributing to its dominance include the rise of virtual care and web-based telehealth applications, fostering direct patient access to healthcare services. Increased internet penetration and smartphone industry innovations further propel the growth of web-based delivery, with its cost-effectiveness and user-friendly interface enhancing adoption rates.
On the other hand, the cloud-based delivery segment is poised for the fastest growth, driven by escalating adoption among healthcare providers and patients, alongside the introduction of technologically advanced solutions. The appeal lies in seamless data storage, easy accessibility, high bandwidth, and enhanced security, especially amid growing concerns over data breaches in web-based and on-premise telehealth platforms. Cloud-based applications address critical needs like patient monitoring and teleconsultation in rural and remote areas, emphasizing the demand for immediate medical assistance.
“North America dominated the Telehealth and telemedicine market in 2022”
In 2022, North America asserted its dominance in the telehealth market, securing 40.8% of the total revenue. The region's robust growth is attributed to substantial healthcare IT expenditures, coupled with a high penetration of internet and smartphone users. Future prospects are promising, fueled by the increasing burden of chronic conditions and a heightened awareness of digital health and virtual care platforms among both healthcare providers and patients. The region's favorable conditions, including the presence of key industry players and the emergence of startups, are poised to further drive the adoption of telehealth platforms.
To know about the assumptions considered for the study, download the pdf brochure
Key Market Players
Prominent players in the telehealth and telemedicine market include Koninklijke Philips, N.V (Netherlands), Medtronic plc (Ireland), GE Healthcare (US), Oracle (US), Siemens Healthcare GmbH (Germany), Cisco Systems (US), Asahi Kasei Corporation (Japan), Iron Bow Technologies (US), American Well (US), Teladoc Health, Inc. (US), AMC Health (US), TeleSpecialists(US), Doctor On Demand by Included Health, Inc. (US), MDLIVE (US), GlobalMedia Group, LLC (US), Medvivo Group Ltd. (UK), Medweb(US), VSee (US), Imedi Plus (China), Zipnosis (US), ACL Digital (US), iCliniq (US), Boston Scientific Cardiac Diagnostics Inc. (US), Resideo Technologies Inc.(US).
Scope of the Market
Report Metric |
Details |
Market size available for years |
2021–2028 |
Base year considered |
2022 |
Forecast period |
2023–2028 |
Forecast units |
Million/Billion (USD) |
Segments covered |
Component, Mode of Delivery,Application, and End User |
Geographies covered |
North America, Europe, Asia Pacific, Latin America and Middle East Africa. |
Companies covered |
Prominent players in the telehealth and telemedicine market include Koninklijke Philips, N.V (Netherlands), Medtronic plc (Ireland), GE Healthcare (US), Oracle (US), Siemens Healthcare GmbH (Germany), Cisco Systems (US), Asahi Kasei Corporation (Japan), Iron Bow Technologies (US), American Well (US), Teladoc Health, Inc. (US), AMC Health (US), TeleSpecialists(US), Doctor On Demand by Included Health, Inc. (US), MDLIVE (US), GlobalMedia Group, LLC (US), Medvivo Group Ltd. (UK), Medweb(US), VSee (US), Imedi Plus (China), Zipnosis (US), ACL Digital (US), iCliniq (US), Boston Scientific Cardiac Diagnostics Inc. (US), Resideo Technologies Inc.(US). |
The study categorizes the Telehealth and Telemedicine based on Product, Type, Application, End User at regional and global level.
Telehealth and Telemedicine market, By Component
-
Software and Service by Type
- Remote Patient Monitoring
- Real Time Interaction
- Store and Forward
-
Software and Service by Offering
- One-Time Purchase
- Subscription Based
- Pay-Per Use
-
Hardware
- Monitors
-
Medical Peripheral Devices
- Blood Pressure Monitors
- Blood Glucose Meter
- Weight Scales
- Pulse Oximeters
- Peak Flow Meters
- Ecg Monitors
- Other Medical Peripheral Devices
Telehealth and Telemedicine market, By Mode of Delivery
- Cloud based
- On Premise
Telehealth and Telemedicine market, By Application
- Telecare
- Activity Monitoring
- Remote Medication Management
- Teleconsultation
- Tele ICU
- Telepsychiatry
- Teledermatology
- other applications
Telehealth and Telemedicine market, By End User
-
Providers
- Hospitals & Clinics
- Long Term Care Centers & Assissted Living Centers
-
Payers
- Public
- Private
- Patients and consumers
Telehealth and Telemedicine market, by Region
-
North America
- US
- Canada
-
Europe
- Germany
- UK
- Italy
- Spain
- France
- RoE
-
Asia Pacific
- Japan
- China
- India
- Australia
- RoAPAC
- Latin America
- Middle East and Africa
Recent Developments
- In 2021, Medtronic forged a partnership with Statis Lab Inc., aiming to introduce a patient monitoring system in India.
- Koninklijke Philips unveiled new products, such as Patch, Maternal Pod, and Avalon CL Fetalin 2020 for remote patient monitoring across New Zealand, Europe, Singapore, the United States, and Australia.
- In 2020, BioTelemetry completed the acquisition of various healthcare services and products from Envolve, encompassing a coaching platform and remote patient monitoring. The strategic move concentrated on addressing healthcare needs in hypertension, mental health, diabetes, and chronic heart failure.
To speak to our analyst for a discussion on the above findings, click Speak to Analyst
3 EXECUTIVE SUMMARY
This research study involved the extensive use of both primary and secondary sources. It involved the study of various factors affecting the industry to identify the segmentation types, industry trends, key players, the competitive landscape of market players, and key market dynamics such as drivers, opportunities, challenges, restraints, and key player strategies.
Secondary Research
This research study involved the wide use of secondary sources, directories, databases such as Dun & Bradstreet, Bloomberg Businessweek, and Factiva, white papers, and companies’ house documents. Secondary research was undertaken to identify and collect information for this extensive, technical, market-oriented, and commercial study of the Telehealth and Telemedicine market. It was also used to obtain important information about the top players, market classification, and segmentation according to industry trends to the bottom-most level, geographic markets, and key developments related to the market. A database of the key industry leaders was also prepared using secondary research.
Primary Research
In the primary research process, various supply side and demand side sources were interviewed to obtain qualitative and quantitative information for this report. Primary sources from the supply side included industry experts such as CEOs, vice presidents, marketing and sales directors, technology & innovation directors, engineers, and related key executives from various companies and organizations operating in the Telehealth and Telemedicine market. Primary sources from the demand side included personnel from hospitals (small, medium-sized, and large hospitals), primary care clinics, and stakeholders in corporate & government bodies.
A breakdown of the primary respondents is provided below:
*Others include sales managers, marketing managers, and product managers.
Note: Tiers are defined based on a company’s total revenue, as of 2020: Tier 1 = >USD 1 billion, Tier 2 = USD 500 million to USD 1 billion, and Tier 3 = < USD 500 million.
To know about the assumptions considered for the study, download the pdf brochure
Market Size Estimation
The total size of the Telehealth and Telemedicine was arrived at after data triangulation through the two approaches mentioned below. After the completion of each approach, the weighted average of these approaches was taken based on the level of assumptions used in each approach.
Data Triangulation
The size of the Telehealth and Telemedicine was estimated through segmental extrapolation using the bottom-up approach. The methodology used is as given below:
- Shares of leading players in the Telehealth and Telemedicine market were gathered from secondary sources to the extent available. In some instances, shares of Telehealth and Telemedicine have been ascertained after a detailed analysis of various parameters, including product portfolios, market positioning, selling price, and geographic reach & strength.
- Individual shares or revenue estimates were validated through interviews with experts.
The total revenue in the Telehealth and Telemedicine was determined by extrapolating the Market share data of major companies.
Global Telehealth and Telemedicine market Size: Top-Down Approach
To know about the assumptions considered for the study, Request for Free Sample Report
Market Definition
TELEHEALTH
Telehealth involves short-term clinical and nonclinical (medical education, administration, and research) services that allow the remote interaction between parties (doctor-patient and doctor-doctor) to monitor vital signs, enabling medical practitioners to evaluate and diagnose patients with common (less critical) medical conditions, e-prescribe medicines and treatments for the same, and detect fluctuations in the medical status of patients remotely. It includes short-term therapeutic and preventive health services.
TELEMEDICINE
Telemedicine involves long-term (chronic care) services between parties (general/specialty physician-physician or physician-patient) using telecommunication technologies to diagnose, evaluate, monitor, and treat specific medical conditions. It includes detailed video/virtual consultations and remote monitoring deployed for diagnostic and therapeutic purposes.
Key Stakeholders
- Telehealth and telemedicine equipment manufacturers
- Suppliers and distributors of telehealth and telemedicine equipment
- Healthcare IT service providers
- Healthcare insurance companies/payers
- Healthcare institutions/providers (hospitals, clinics, medical groups, physicians’ practices, diagnostic centers, and outpatient clinics)
- Venture capitalists
- Government bodies/regulatory bodies
- Corporate entities
- Accountable care organizations
- Telehealth resource centers
- Research and consulting firms
- Technology partners
- Medical research institutes
- Clinical departments
- Ministries of health
Objectives of the Study
- To define, describe, and forecast the telehealth and telemedicine market based on component, application, mode of delivery, end user, and region
- To provide detailed information regarding the major factors influencing the growth of this market (such as drivers, restraints, opportunities, and challenges)
- To analyze micromarkets1 with respect to individual growth trends, prospects, and contributions to the overall telehealth and telemedicine market
- To analyze opportunities for stakeholders and provide details of the competitive landscape for market leaders
- To forecast the size of market segments with respect to four main regions—North America, Europe, the Asia Pacific, and the Rest of the World
- To profile key players and analyze their market shares and core competencies
- To track and analyze competitive developments such as product launches & approvals, partnerships, agreements, collaborations, and expansions in the overall market
- To benchmark players within the market using the proprietary “Competitive Leadership Mapping” framework, which analyzes market players on various parameters within the broad categories of business and product strategies
Available Customizations
With the given market data, MarketsandMarkets offers customizations as per your company’s specific needs. The following customization options are available for the report:
Company Information
- Detailed analysis and profiling of additional market players (up to 5)
Geographic Analysis
- Further breakdown of the Rest of Europe Telehealth and Telemedicine market into Denmark, Norway, and others
- Further breakdown of the Rest of Asia Pacific Telehealth and Telemedicine market into Vietnam, New Zealand, Australia, South Korea, and others
Growth opportunities and latent adjacency in Telehealth & Telemedicine Market
Telehealth Market and Telemedicine Market report also studies the competitive landscape in the market positioning of players, and the key strategies adopted by the leading as well as emerging players to garner a larger share in the market. We not only provide profiles of the major companies but we provide a complete 360 degree competitive mapping by profiling around 20 companies in our DIVE matrix which are categorized as Visionary Leaders, Dynamic Differentiators, Innovative leaders and Emerging Leaders. The companies are analyzed on the basis of business excellence and strength of the product portfolio. The report does include the companies operating in Japan like Philips, GE Healthcare, Asahi Kasei Corporation, we can provide you with the profiles of companies as per your interest under free customization.
Hi Angie, We would try to answer your query:
The global telehealth market is expected to reach 285.7 billion USD by 2027, growing at a compound annual growth rate (CAGR) of 26.6% from 2022 to 2027. The growth of the telehealth market is being driven by a number of factors, including:
1. The increasing adoption of smartphones and other mobile devices.
2. The growing demand for convenient and affordable healthcare services.
3. The rising awareness of the benefits of telehealth, such as improved access to care, reduced wait times, and lower costs.
4. The increasing penetration of the internet and broadband connectivity.
5. The favorable regulatory environment for telehealth.
In Saudi Arabia, the telehealth market is expected to grow at a CAGR of 25.5% from 2022 to 2027. The growth of the telehealth market in Saudi Arabia is being driven by a number of factors, including:
1. The increasing number of chronic diseases, such as diabetes and hypertension.
2. The growing demand for convenient and affordable healthcare services.
3. The rising awareness of the benefits of telehealth.
4. The increasing penetration of the internet and broadband connectivity.
5. The favorable regulatory environment for telehealth.
As of 2022, there are an estimated 100 million users of telehealth globally. This number is expected to grow to 250 million by 2027. The majority of telehealth users are in the United States, followed by Europe and Asia-Pacific.
The most common use of telehealth is for primary care appointments. Other common uses include mental health counseling, chronic disease management, and medication management.
Telehealth has a number of benefits for both patients and healthcare providers. For patients, telehealth can provide convenient, affordable, and accessible healthcare services. For healthcare providers, telehealth can improve access to care, reduce wait times, and lower costs.
The growth of the telehealth market is expected to continue in the coming years. This growth will be driven by the increasing adoption of smartphones and other mobile devices, the growing demand for convenient and affordable healthcare services, and the rising awareness of the benefits of telehealth.
how many users are there globally in the telehealth market?
Which is the fastest growing market of Diagnostic Imaging Market ?
Which is the fastest growing market of Telehealth Market?
Which are the key factors driving the growth of the Global Telehealth Market?
What are the growth estimates for Telehealth Market till 2027?