WELLESLEY, Massachusetts, May 31, 2016 /PRNewswire/ --
Increasing global focus on the use of telemedicine to reduce healthcare costs and improve patient outcomes is spurring big growth in the telemedicine technologies market. BCC Research reveals in its new report that the new U.S. healthcare law will, if anything, intensify this focus by increasing the number of people with health insurance and seeking medical services.
Telemedicine is the use of telecommunications technology to deliver medical information or services to patients or other users at a distance from the provider. The telemedicine market is segmented into telehospital/clinic and telehome markets.
The global telemedicine market should reach $23.8 billion and $55.1 billion in 2016 and 2021, respectively, reflecting a five-year compound annual growth rate (CAGR) of 18.3%. As a segment, telehospital/clinic totaled nearly $11.1 billion in 2015 while the telehome market segment reached about $9 billion that year. The latter segment should grow at a projected CAGR of 24%, increasing its total market share from 45% in 2015 to 60% in 2021.
Telemedicine is receiving a significant boost in the healthcare industry due to the increased need for improved clinical outcomes. More patients are likely to opt for telemedicine for better quality treatment. Patients monitored under telemedicine have shown better clinical outcomes due to increased awareness of their readings.
The major trend is moving toward integrated telemedicine to achieve the highest reliability. Companies are working to capture all clinical signals. The speed of data transfer has significantly improved with the help of transmission control protocol (TCP) and IP-based acceleration. More companies are adopting Web-based interfaces that provide global reach and high levels of interoperability.
The telehome technology market, which was valued at over $5.3 billion in 2015, should dominate the telemedicine technology market during the forecast period. Telehome technology is expected to grow from 63.5% of the telemedicine technology market in 2015 to 68.7% by 2021. Telehospital/clinic technology is expected to approach $7.5 billion by 2021, accounting for 31.3% of the market, with a CAGR of 17.3%.
Telemedicine is a pivotal technology to support e-healthcare and significantly reduce costs. This is an opportune time for Tier I players to enter the telemedicine market, as well as for Tier II and Tier III players to consolidate their market presence with strategic partnerships with the big companies or focus on niche telemedicine markets.
"The telemedicine market has historically been dominated by Tier II and Tier III players, but Tier I players have also been playing growing roles. Telemedicine is key to e-healthcare," says BCC Research analyst Andrew McWilliams. "A successful telemedicine network will be the most significant market differentiator for better clinical outcomes, reduced cost and patient satisfaction."
Global Markets for Telemedicine Technologies (HLC014H), an update of the 2014 BCC Research report, assesses the impact of recent technical, economic, legal/regulatory, business and other developments on the global industry. The report examines hardware and software providers, telecom and networking companies, healthcare companies, and health insurance providers. Analyses of global market drivers and trends, with data from 2015, estimates for 2016, and projections of CAGRs through 2021 also are provided.
Editors and reporters who wish to speak with the analyst should contact Steven Cumming at [email protected].
About BCC Research:
BCC Research publishes market research reports that make organizations worldwide more profitable with intelligence that drives smart business decisions. These reports cover today's major industrial and technology sectors, including emerging markets. For more than 40 years we've helped customers identify new market opportunities with accurate and reliable data and insight, including market sizing, forecasting, industry overviews, and identification of significant trends and key market participants. We partner with analysts who are experts in specific areas of industry and technology, providing unbiased measurements and assessments of global markets. Recently selected as the world's greatest market research company, BCC Research is a unit of Eli Global, LLC.
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SOURCE BCC Research LLC