GLOBAL TELEHEALTH SERVICES MARKET SIZE AND SHARE ANALYSIS - GROWTH TRENDS AND FORECASTS (2024-2031)

The global telehealth services market was valued at US$ 12.47 Bn in 2023 and is expected to reach US$ 26.64 Bn by 2031, growing at a compound annual growth rate (CAGR) of 10.2% from 2024 to 2031.

Telehealth services refer to the remote delivery of healthcare and clinical services using telecommunication technologies such as videoconferencing and internet. These services enable patients to connect with doctors and receive care without being physically present. There are primarily two types of telehealth services - synchronous and asynchronous. Synchronous services include real-time virtual visits through video calling where patients can consult with doctors in real-time. Asynchronous services refer to store-and-forward technology where vital health data like test results, X-rays, and others are captured and transmitted to doctors who can review it later without the patient being present.

Telehealth services provide some key advantages over traditional in-person care. These improve access to care for people in remote locations by eliminating travel time and costs. This is especially beneficial for elderly, disabled or homebound individuals. Telehealth also allows continuity of care as patients can consult with their regular doctors from anywhere. During emergencies like the current pandemic, telehealth ensures social distancing and protects patients as well as healthcare providers from exposure. However, telehealth may not be suitable for some medical examinations that require in-person assessments or physical touch. Reliability of internet connectivity and privacy & security of data transmission are other potential limitations.

Global Telehealth Services Market- Regional Insights

• North America is expected to be the largest market for telehealth services over the forecast period, and it accounted for over 36.3% of the market share in 2024. The growth of the market in North America is attributed to the established healthcare infrastructure, and high healthcare spending, which have driven market growth over the years.
• Europe is expected to be the second-largest market for telehealth services, which accounted for over 30.4% of the market share in 2024. The growth of the market is attributed to rising preference for minimally invasive surgeries across the world.
• Asia Pacific is expected to be the fastest-growing market for telehealth services, which is expected to grow at a CAGR of over 12.6% during the forecast period. The growth of the market in Asia Pacific is attributed to rapidly developing economies such as China and India, which are expected to showcase high investment opportunities owing to increasing healthcare expenditures and expanding healthcare infrastructure. Improving regulatory guidelines and reimbursement policies is positively impacting market dynamics.

Figure 1. Global Telehealth Services Market Share (%), By Region, 2024

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Analyst’s Views:

Global telehealth services market is poised to grow significantly in the near future as due to ongoing COVID-19 pandemic, the demand for telehealth and virtual healthcare services has increased substantially. With social distancing becoming the new norm, telehealth allows patients to connect with doctors remotely without any risk of exposure. This reduces strains on healthcare infrastructure and ensures continuity of care. As digitization increases across the world, more people now have access to smartphones, tablets and other internet-enabled devices to seek medical advice or consultations virtually.

North America currently dominates the telehealth market owing to favorable reimbursement policies and government support for telehealth adoption in the region. However, Asia Pacific is expected to provide lucrative opportunities for market players due to rising medical costs, increasing internet penetration, and growing focus on expanding healthcare access in developing nations like India and China. While data privacy and security concerns may restrain the market to some extent, efforts by telecom companies to offer advanced connectivity solutions will drive further adoption.

Overall, the global telehealth market offers immense opportunities for stakeholders to tap into the universal demand for quality, affordable and accessible healthcare. Investments in technologies, partnerships and service expansions will help providers to strengthen their market position and gain first-mover advantage. The industry is well positioned for sustainable growth over the long term.

Global Telehealth Services Market- Drivers

• Growing prevalence of chronic diseases: The growing prevalence of chronic diseases across the globe is one of the major factors propelling the growth of the global telehealth services market. Telehealth also enables improvements in care for elderly population who have limited mobility. The growing geriatric population is more vulnerable to chronic diseases. According to the United Nations Population Fund 2022, the number of people aged 65 years or over is projected to increase from 703 million in 2020 to 1.5 billion in 2050. Virtual visits allow elderly patients to consult with doctors without having to travel long distances or wait in crowded hospital queues which can increase their risk of infections. Telehealth provides safe, contactless care to this section during the ongoing COVID-19 pandemic.
• Increasing internet penetration: The widespread availability and growing use of internet has been a major driver for telehealth services globally. With more people owning smartphones and getting online, the accessibility of telemedicine consultations from any location has increased tremendously. According to data published by the International Telecommunication Union, in 2021, over 51% of the global population used internet by late 2021, a substantial rise from previous years. With higher internet subscriptions especially in developing nations, more patients are open to the idea of virtual visits with doctors and other healthcare providers.

Global Telehealth Services Market- Opportunities

• Untapped markets in developing regions: Untapped markets in developing regions present a tremendous opportunity for growth in the global telehealth services market. As access to healthcare infrastructure and medical professionals remains limited in many developing nations, telehealth can play a pivotal role in improving healthcare delivery and access to quality care. According to WHO 2022, 57% of doctor positions in sub-Saharan Africa remain vacant due to challenges in recruitment and retention of qualified medical professionals in rural and remote areas as of 2023. This is where telehealth can be transformative as it allows patients in underserved communities to consult with doctors and nurses located elsewhere via video call or remote patient monitoring tools. This overcomes geographical barriers and reduces travel times. For example, India's "eSanjeevani" telemedicine initiative has enabled over 500,000 online medical consultations across rural towns since its launch in 2020.
• Integration of advanced technologies like IoT, AI and blockchain: The integration of blockchain into telehealth platforms brings added benefits around security and transparency. Blockchain acts as a distributed ledger that tracks all transactions and data exchanges in a secure, immutable record. This allows different healthcare providers to securely and privately share patient health records with each other as needed. It also gives patients full control and visibility over how their personal data is used. As reported by the World Health Organization in 2021, over the past two decades, the overall number of authenticated blockchain implementations in health and healthcare has grown exponentially, indicating its potential to revolutionize how medical information is stored and shared globally.

Global Telehealth Services Market- Trends

• Adoption of telehealth apps and solutions: The adoption of telehealth apps and solutions has significantly influenced the global telehealth services market in recent times. With the onset of the Covid-19 pandemic in early 2020, telehealth emerged as a useful tool to enable virtual healthcare access while maintaining social distancing. This spurred rapid growth in demand for telehealth services as patients sought virtual medical consultations and remote patient monitoring solutions from the safety of their homes. According to data from the U.S. Department of Health and Human Services, the use of telehealth services increased by 154% between 2019 to 2020. Studies also found that 9 in 10 health care facilities supported clinical care delivery through telehealth in 2021 as compared to just 1 in 5 before the pandemic. This clearly shows patients embraced telehealth out of necessity to access non-emergency care without risking exposure to the virus in person. It also exposed more people to the benefits and convenience of virtual care.
• Cloud-based telehealth services: The trend of cloud-based telehealth services is having a significant impact on the global telehealth services market. As healthcare moves increasingly to virtual and remote care, the ability to access services through an internet connection from anywhere is becoming paramount. Cloud platforms allow telehealth providers to offer consultation, virtual visits, remote patient monitoring, and other services to patients using only a smartphone, tablet or computer. This ubiquitous access is driving greater adoption of telehealth overall as patients face fewer geographical barriers to receiving care. Cloud infrastructure also enables telehealth providers to rapidly scale up their services as demand increases. During the COVID-19 pandemic in 2020-2021, telehealth saw unprecedented growth as in-person visits moved online. Cloud platforms allowed providers to onboard new patients and users quickly to meet surges in need without extensive new IT investments. For example, the U.S. Veterans Health Administration saw a 1200% increase in telehealth visits during the first month of the pandemic using its existing cloud-based telehealth system. This flexibility and scalability is vital during health crises and will continue spurring telehealth's expanded role.
• Rising popularity of tele-robotic and remote surgery: The rising popularity of tele-robotic and remote surgery is significantly influencing the global telehealth services market. With technological advancements, robotic systems are now capable of enabling complex surgical procedures to be performed remotely by doctors. This allows surgeons to operate on patients from any location using robotic arms, cameras and instruments that mimic their movements in real-time. More hospitals and healthcare facilities across the world are now investing in such robotic-assisted surgery technologies. For example, the University of Alabama Hospital in Birmingham performed its first remote surgery in 2021 using the da Vinci surgical system. In this procedure, the attending surgeon operated the robot from a different facility 30 miles away while the patient underwent hysterectomy surgery. Such examples demonstrate the capability of tele-robotic surgery in improving access to quality healthcare for patients in remote locations. The patient is spared from travel while benefitting from the expertise of surgeons without geographic limitations. This widespread adoption of remote surgery tools is driving more healthcare providers to offer telehealth services to expand their reach.

Global Telehealth Services Market- Restraints

• Resistance from healthcare professionals: Resistance from healthcare professionals is one of the major factors restraining the growth of global telehealth services market. Many doctors and nurses are hesitant to adopt telehealth technologies as they feel it may decrease the personal interaction between the patient and provider. There is a long-held tradition of in-person visits and physical examinations in the healthcare sector. Some professionals feel telehealth cannot replace the human touch element of traditional consultations.
• Concerns related to privacy and data security: Concerns around privacy and security of personal health data is one of the major barriers restraining the growth of global telehealth services market. When patients consult doctors and receive care through online platforms, they have to share very sensitive personal medical information such as medical history, symptoms, diagnostic reports, and others. Any breach of this data or unauthorized access to it can compromise patients' privacy and even become a means for identity theft. This understandably makes many patients reluctant to adopt telehealth services.

Figure 2. Global Telehealth Services Market Share (%), By Component, 2024

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Recent Developments

• On January 4, 2024, Eli Lilly and Company, a U.S.-based pharmaceutical company, announced the launch of new telehealth service for patients with diabetes, migraines and obesity. The LillyDirect website connects people with independent telehealth providers, tailored support and other disease management resources. The website also allows patients to have some medications delivered directly to their home.
• In 2023, Apollo Telehealth, part of Apollo Group of Hospitals, launched tele-emergency and tele-ICU services at nine plants of the National Thermal Power Corporation (NTPC) in India. The services are available at NTPC plants at Ramagundam, Kaniha, Korba, Vindhyachal, Dadri, Barh, Solapur, North Karanpura, and Mauda
• In 2022, Amazon launched its telehealth service, known as Amazon Care, in U.S. Amazon Care was launched in 2019 as a pilot program for employees in and around the company’s Seattle headquarters. The program provides virtual-care visits, as well as free telehealth consultations and in-home visits for a fee from nurses for testing and vaccinations. It has since expanded into more of a primary care service

Top Companies in the Global Telehealth Services Market

• Teladoc Health
• Doctor On Demand
• MDLIVE
• Grand Rounds
• eVisit
• Cliquent
• Ping An Good Doctor
• Habit Health
• American Well Corporation
• Murata Vios
• Doximity
• Hims & Hers Health, Inc.
• Other Prominent Players

Definition: Telehealth is the use of digital information and communication technologies to access health care services remotely and manage your health care. Technologies can include computers and mobile devices, such as tablets and smartphones. This may be technology you use from home. Or a nurse or other health care professional may provide telehealth from a medical office or mobile van, such as in rural areas. Telehealth can also be technology that your health care provider uses to improve or support health care services.