Health tech, often known as digital health, uses technology (databases, apps, mobile devices, and wearables) to enhance the delivery, payment, and consumption of care, with the potential to accelerate the development and commercialization of pharmaceutical goods.
Defining Health Tech is challenging in a field with seemingly unlimited future uses for technology in its numerous operations, services, and stakeholders.
Hospitals and practitioners, insurance, consumer-facing services, medicines, and government are sub-sectors. Even as consumers and companies alike see the potential of the cooperation between technology and the health industry, reports indicate that its trajectory is just getting brighter.
How quickly is Health Tech evolving?
Many sectors require decades to mature to the point where they can readily absorb novel ideas and adjust accordingly.
The Health Tech industry, on the other hand, has had no such time. In the five years leading up to the end of 2015, venture investment increased by 200 percent, allowing US$11.7 billion to pour into Health Tech enterprises from over 30,000 investors in the area.
In 2015, the business was valued at $7.2 trillion in the United States alone. The rationale for this seismic change in finance and modernization is straightforward: it was required. But unfortunately, the healthcare industry was (and still is) one of the least receptive to technological developments – only in 2010, 50 percent of US doctors used pen and paper for patient records – and reports from Europe, Australia, New Zealand, and elsewhere were similar: the health industry was overly reliant on outdated and inefficient modes of operation.
Digital health symbolizes the disruption to the healthcare business that entrepreneurs, investors, and customers all want to see.
What factors influence digital health adoption?
There are numerous main reasons for the continuous expansion and innovation of the Health Tech sector.
One of the most significant factors has been behavioral, and it has come in two phases. For starters, customers are accustomed to witnessing technological upheaval in other industries, such as the sharing economy, which has pushed them to seek a better experience in other sectors.
Second, digital health has arrived when consumers are becoming more interested in their health, particularly in the United Kingdom and Western Europe; people’s purchasing habits now reflect this new interest, with one particular vertical, Wearables, experiencing explosive growth during 2014-15.
Regulatory developments in the United States have also aided Health Tech’s expansion in its major market.
The Health Information Technology for Economic and Clinical Health (HITECH) Act was introduced in 2009 to encourage electronic health records and related technology. Similarly, the Affordable Care Act has aided in adopting software in private healthcare in the United States, while the NHS in the United Kingdom is taking steps to become more collaborative with technology firms and services.
Global health and population patterns are also aging. As the strain this causes on the medical profession becomes apparent, creative Health Tech has emerged to tackle these and other difficulties.
What are the challenges of the Health Tech industry?
Privacy protection is a crucial impediment to Health Tech growth. By prohibiting or restricting data exchange and dissemination, the digital healthcare business may be deprived of the foundation for future technological progress.
The growth of data is critical for the future of Health Tech since it is necessary for the continuance of illness preventative solutions, patient communication services, and consumer wearables technologies.
And, unlike in other businesses, the stakes in healthcare are far higher. Many new sectors have grown used to lean innovation methods, but the fail-fast mentality that many have embraced cannot be applied so easily to the healthcare business and digital health companies offering Health Tech Design and Development Solutions.
In this sense, the ethics of Health Tech are unrelated to the ethics of other digital areas. The fourth big problem is determining how the Health Tech business intends to expand beyond local or national boundaries.
Many businesses have the potential for their services or products to be used in hospitals worldwide or to give information to patients in different countries. However, healthcare regulations vary by country.
Only when health technology can manage the expectations established by each country will it become genuinely global.
What is the future of healthcare technology?
To summarize, the Health Tech business is in an excellent position because of its financial and consumer backing, which guarantees a strong and continuing development trajectory in the future years.
The promise of technology to innovate and the update comes when healthcare must respond to increasing demand for resources, and the digital health revolution is in a great position to create and provide solutions.
However, the sector is still new and fragmented. For the existing Health Tech business to expand further, the regulatory framework, in particular, must advance with digital health to serve the public as intended.