EHRs and mHealth Lead Global Surge in Digital Health
Potential restraints include privacy and security issues, high capital expenditures and maintenance requirements, and inadequate infrastructure in developing economies.
- The global market for digital health technology looks strong over the coming five-year horizon, according to a new report from P&S Market Research. The firm forecasts a compound annual growth rate exceeding 21 percent through 2020, led by investments in electronic health records (EHRs), telemedicine and mHealth.
Advanced healthcare information systems not only bring efficiencies to diagnosis, treatment and rehabilitation, but also improve communication between providers and patients, reduce medication errors and make connections essential to coordination of care.
“Additionally, the growing need for remote patient monitoring services, increasing demand for mHealth technologies and increasing support from government organizations are also supporting the growth of this market,” the P&S report states.
The research categorizes digital health as “the use of IT tools and services for delivering better healthcare services.” It includes EHRs, diagnostic systems and wireless technologies that compile a range of data including patient history, immunization records, medications, allergies, diagnoses, radiology images, laboratory and medical test results, insurance information and treatment plans. The class of technologies shares information with other healthcare organizations and providers, ancillary facilities, labs and pharmacies.
At the same time, potential restraints on digital health market growth include privacy and security issues, high capital expenditures and maintenance requirements, and inadequate infrastructure in developing economies, the report says.
Globally, North America is expected to be the dominant region in the digital health market during 2015-2020, the report says. With a solid healthcare infrastructure and government support for the implementation of digital health technologies, the stage is set for further growth due to “increasing use of mHealth apps, growing awareness about innovative and advanced applications of medical sensors and increasing incidences of various chronic diseases,” the report notes.
P&S expects marginal digital health market growth in Europe over the next five years, while Asia is projected to record the highest rate of growth during the forecast period. Asian market drivers include a growing geriatric population and concurrent upsurge in various chronic diseases. “Increased patient demand and increasing life expectancy are likely to increase IT investments in the healthcare industry in the region,” the report adds.
Separate research into the U.S. market, including insights from CIOs at leading healthcare facilities, points to additional build-out of health IT infrastructure to support participation in value-based care models and population health management initiatives. Additionally, CIOs are concerned about optimization of existing technologies and systems, particularly EHRs, as organizations seek to deliver high-value care and enhance physician productivity.
Also in the U.S., the American Medical Association plans to submit a report to the Department of Health and Human Services to underscore the need for interoperable EHR systems in coming years. The report will ask that EHR vendors be required to provided systems that comply with interoperability standards before being certified for use in the federal EHR Incentive Program.
A federal advisory panel is also considering how health IT tools could be certified for use in the new models for Medicare physicians under payment reform legislation set to go into effect in 2019.
