ALBANY, New York, July 2, 2019 /PRNewswire/ -- The telehealth market is primarily gaining benefit on the back of the rising prevalence of chronic diseases and rising disposable income. Additionally, rising reliability on these products majorly from developed countries such as the U.S. is driving the growth of the global telehealth market. Further, the factors such as increasing investment in healthcare globally and especially in the developing countries and growing patient's centric approach among patients are fuelling growth of the global telehealth market. Thanks to these factors, the market stood at a value of US$6.0 bn in 2016 and is estimated to expand at a CAGR of 13.0% from 2017 to 2025.
Regionally, North America and Europe are projected to remain dominant in the global telehealth market over the forecast period. This is primarily attributed to the strong presence of key players in the global telehealth market. However, as the adoption of advanced healthcare procedure is growing in the developing countries, the market in the Asia Pacific is estimated to exhibit a CAGR of 15.0% during the forecast period from 2017 to 2025.
United Nations' department of economic and social affairs points out that about 45% of the world's population resides in rural areas. This fact itself forms basis for the huge populace that the global telehealth market will have to access in the coming years. While World Bank and United Nations predict that the urban population is expected to grow steadily, thanks to urbanization, but the volume of people that players in the global telehealth market will have to cover will still be enormous. This will ensure sustained growth in the global telehealth market.
Most rural areas lack basic healthcare facilities, while remote regions like tribal villages deep inside forests have to travel miles to reach a primary healthcare center. This fact should draw attention of companies in the global market for telehealth.
Pressure to Reduce Disease Burden to Support Growth
High mortality rate and incidence of epidemics is a sign of country's economic position. The amount of loss incurred by a nation in the form of humans accounts for loss in economy. That is, death of a young adult to a easily preventable disease amounts loss of a human resource that could add to the per capita income contribution, thus adding to the GDP of the country. As a result, countries are expected to ensure communicable and preventable diseases do not increase burden. Trends show that people from rural areas are prone to the risk of such diseases due to lack of facilities and awareness. Hence, countries indulge into healthcare projects that reach out to the remotest parts of their nation, and screen rural population regularly for diseases. Telehealth plays a significant role in these campaigns, and as a result the global telehealth market will flourish in the next few years.
TMR estimates that the telehealth market features a highly fragmented vendor landscape owing to a large number of players operating in the overall market. Some of the key players accounted for the leading share in the revenue are Teladoc, Inc., BioTelemetry, Inc., American Well, Medtronic, InTouch Technologies, Inc., Aerotel Medical Systems Ltd., Koninklijke Philips N.V., GE Healthcare, Honeywell International, Inc., and AMD Global Telemedicine, Inc.
These players are facing extreme competition as several players are trying to tap the current opportunities present in the market. In order to achieve this, the players are adopting micro- and macro-economic strategies, such as collaborations, partnerships, and business expansion. For instance, in 2018, American Well and Royal Philips entered into a strategic partnership; through this partnership, companies will introduce mobile telehealth services for patients in the US.
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