Forthcoming Report Says Home Telehealth Market Is $5.6 Billion and Expected to Grow by 70%

The home telehealth and remote patient monitoring market is currently close to a $5.6 billion level and will continue to grow at close to 70% for at least the next three to five years, according to a new strategic report published by Insight and Intelligence, a Mary Ann Liebert company. Insight and Intelligence interviewed industry leaders, conducted surveys, utilized government and other agency databases, as well as reviews of published literature to provide an in-depth look at the home telehealth and remote patient monitoring market segment of the telemedicine industry.

The healthcare provider market segment (companies that provide telemedicine services to health care providers) is represented by a number of small to medium-sized companies with average annual revenue of approximately $6.6 million. These companies' combined average revenue growth, however, is significant, approaching 72%. Consumer companies (defined as companies that provide services directly to the consumer) tend to be larger with combined average annual revenue of approximately $121.3 million. Their combined annual revenue growth is even more explosive than that of healthcare provider companies, with a combined average range of 118.5% to 193.5%.

The full report will be available in late June from Mary Ann Liebert, Inc.

(Source: Mary Ann Liebert, Inc. Press Release, May 22, 2008)

Question: What is the Market for Telehealth? (Update)

In our last post, we pointed out some of the TIE's resources for finding the market on telehealth and briefly talked about some of the difficulty in coming up with a specific number for the overall market value for telemedicine.

Well, a new article caught our eye this week that states that states that "the telemedicine market is expected to grow to $1.83 billion by 2010, according to a Parks Associates’ research analyst". The complete article can be read here.

Question: What is the Market for Telehealth?

As a telehealth association, this is a question the ATSP gets asked quite frequently. The answer, of course, is never simple. In many ways, the term "market for telehealth" is a vague phrase whose very definition can be changed depending on what sort of numbers the researcher is looking for.

Take the most basic telehealth example of a nurse consulting a patient over the phone: Does the market include the hardware (the two telephones), the transmission fees (the phone call charges), the infrastructure (the phone lines), the health care knowledge and labor (the Nurse), the specialized training (the nurse's telephone triage training), all or just some of these things? Depending on what you want to count in this example, the market number can range greatly.

Still, that's not to say there hasn't been some good research efforts into finding the size of the market. If you are looking for this number, you might start with the TIE's Telehealth and Telemedicine Market Links, which feature direct links to multitude of reports about the size of the telehealth industry.

As always, if you know of more recent reports or research into this question, please let us know and we'll add them to the TIE.