US eHealth Market Analysis

US eHealth Market Executive Summary

The US eHealth market is expected to grow from $70 Bn in 2022 to $223 Bn by the end of the projected period of 2022–2030, representing a CAGR of 15.6%.

The fast-growing US eHealth market includes a wide range of digital services and technologies with the goal of improving healthcare efficiency, accessibility, and quality. The eHealth industry encompasses a variety of technologies, such as electronic health records (EHRs), telemedicine, mHealth (mobile health) apps, remote patient monitoring, and online pharmacy.

Some of the factors driving the US eHealth business are rising healthcare costs, an ageing population, the prevalence of chronic illnesses, and the desire to improve healthcare outcomes. Digital technology and services are being examined as a way to solve these issues by increasing patient engagement, increasing access to treatment, and reducing healthcare expenditures.

One of the key factors driving the expansion of the US eHealth sector is the adoption of EHRs. Healthcare practitioners can access patient medical records stored electronically (EHRs) from a variety of places and circumstances. The US government has promoted EHR use through programs like the Medicare and Medicaid EHR Incentive Programs.

Telemedicine is another part of the US eHealth industry that is growing significantly. Telemedicine is the practice of providing patients with medical advice and cares over great distances while utilizing digital technologies. This may entail using mHealth applications to track and manage chronic diseases, remote monitoring of patients' vital signs, and video consultations with doctors.

The e-pharmacy industry, mostly dominated by a small number of large companies, accounts for a sizeable percentage of the US eHealth market. E-pharmacies are convenient and cost-effective alternatives to traditional brick-and-mortar pharmacies since they let clients buy medications online and have them delivered straight to their doorsteps.

The US eHealth industry is generally expected to grow over the next years, driven by ongoing innovation and the aim to improve healthcare outcomes in the nation. The market must also abide by many federal and state regulations, creating a complex regulatory framework to ensure patient safety and privacy.

Market Dynamics

Market Growth Drivers

1. Rising medical expenses: Due to the high cost of healthcare in the US, interest in digital technology and services that can lower costs and boost efficiency is on the rise. Among other advantages, eHealth solutions can aid in lowering administrative expenses, enhancing care coordination, and avoiding needless hospitalizations.
2. The growing demand for healthcare services that may be given remotely or through digital channels is being driven by the ageing American population. EHealth technology can enhance the quality of life, lessen the need for in-person visits, and assist older persons in managing chronic diseases.
3. Chronic illness prevalence: In the United States, chronic conditions including diabetes, heart disease, and cancer are important cost drivers for healthcare. EHealth technology can assist patients in better managing certain illnesses, avoiding the need for expensive procedures like hospitalization.
4. Convenience is something that patients are increasingly searching for in healthcare services, as well as flexibility. EHealth innovations give patients access to treatment anytime, anywhere, making it simpler for them to maintain their health and wellness.
5. Government incentives: To encourage the adoption of eHealth technologies, the US government has put in place a variety of incentives, such as the Medicare and Medicaid EHR Incentive Programs and the 21st Century Cures Act, which has provisions to encourage interoperability and patient access to health data.
6. Technological developments: New potential to enhance healthcare outcomes is being opened up by developments in technology like artificial intelligence, machine learning, and blockchain.

As healthcare providers, patients, and policymakers increasingly realize the advantages of digital technology and services for enhancing healthcare outcomes and cutting costs, the US eHealth industry is anticipated to expand over the next years.

Competitive Landscape

Key Players

Several businesses are competing fiercely for customers in the US eHealth industry, which offers a wide range of goods and services. The following are some of the major market participants:

• Epic Systems: In the US, many healthcare providers rely on Epic Systems, a top supplier of electronic health record (EHR) systems. The business also provides a variety of additional eHealth products, such as telemedicine services, population health management software, and tools for patient interaction.
• Another significant competitor in the EHR industry is Cerner Corporation, which provides a full range of healthcare IT solutions. EHRs, revenue cycle management software, clinical decision support tools, and telehealth services are among the company's goods and services.
• EHR systems and a variety of other eHealth solutions are provided by Allscripts. Software for population health management, tools for managing the revenue cycle, and platforms for patient involvement are among the company's goods and services.
• Teladoc Health: Teladoc Health is a well-known telehealth service provider that offers online consultations with medical professionals in many different disciplines. Several healthcare providers and payers in the US utilize the company's services.
• Athenahealth: Athenahealth offers a variety of different eHealth options in addition to cloud-based EHR systems. Software for population health management, patient engagement tools, and revenue cycle management are among the company's goods and services.
• A variety of AI-powered eHealth solutions are available from IBM Watson Health, including platforms for predictive analytics, population health management software, and clinical decision support tools.

These businesses rank among the most well-known and significant participants in the US eHealth industry overall. Yet, there are a lot of other businesses and startups working in the market, and the level of competition is always changing.

Healthcare Policies and Regulatory Landscape

The regulatory and healthcare policy environment in the US eHealth sector is intricate and dynamic. Key laws and regulations that have an effect on the market include:

1. HIPAA: Health Insurance Portability and Accountability Act National guidelines for the security of people's health information are established under the federal statute known as HIPAA. The law mandates the adoption of specific security and privacy measures by healthcare providers and other covered organizations to safeguard patient health information.
2. Programs for Medicaid and Medicare: Millions of Americans are covered by Medicare and Medicaid, two significant government-funded healthcare programs. Several eHealth solutions are created to meet the regulations and specifications that these programs have for the usage of eHealth technology.
3. ACA: The Affordable Care Act The federal statute known as the Affordable Care Act, or Obamacare, has had a profound effect on the American healthcare system. The law contains provisions pertaining to the adoption and utilization of eHealth technology, such as EHR adoption mandates and meaningful use incentives.
4. Rules set out by the Food and Drug Administration (FDA) govern the use of medical equipment, including several eHealth technology. Several eHealth enterprises are required to abide by the agency's strict standards regarding the creation and application of medical devices.
5. Rules of the Federal Trade Commission (FTC): The FTC is in charge of upholding consumer protection and antitrust laws. The organization has published instructions for using eHealth technology and has taken legal action against businesses that utilize dishonest or unfair business practices.

Overall, these laws and rules have a significant impact on how the US eHealth industry is developed. Businesses that operate in the market must traverse a complicated regulatory environment and guarantee that their goods and services abide by all pertinent laws and standards.