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Virtual health care extends its networks and arise monopolies over medical care: discover why and what consequences can bring us.

David Valero by David Valero
June 8, 2018
in Bioinformatics, Bioinformatics news
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The American company Teladoc, a world leader in the virtual health care has acquired the Spanish company Advance Medical for $292 million in cash and $60 million shares of Teladoc.

With a broad international presence and the ability to offer an expanded set of clinical services around the world, this union allows the creation of the unique platform comprehensive virtual care capable of serving individuals and businesses around the world.

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With the addition of Advance Medical, a Spanish company leader in the sector outside of the United States, Teladoc gets, continuing with its successful strategy of expansion through the integration of companies with a common purpose, complementary capabilities and access to new markets.

This is due to the combination of the international presence of Advance Medical, which is widely established in Latin America and Asia, along with the technology itself and operating capacity of Teladoc, which is now specially prepared to meet the needs of entrepreneurs of US multinationals, one-third of all their employees live abroad, and that represent the 41% of the total telemedicine market.

 

The key to the success of the virtual medical assistance companies is due to the billionaires costs which save to insurers and companies, estimated in $7 billion a year only in EE.UU, since nearly 25% of the first diagnoses that are made from hospitals and mutuals are not accurate. The need for second opinions by a medical expert then becomes as a highly valued service, and let to a 15 percent reduction in length of patient stays, improve the experience of chronically ill patients, and remote monitoring of patients once they leave the hospital can cut readmission rates.

The causes of the imprecision of the first opinion can be, for example, the inexperience by the part of certain professionals about very specific diseases, or due to the lack of diagnosis and treatment of behavioral problems associated with certain diseases, such as chronic diseases, of which 40% of patients are also affected. 

That is why companies, as Advance Medical and Teladoc, offers a second medical opinion but selecting a medical team of experts for each case, which guides online all the information that need the patient to get the best medical decision, and identifies, when is necessary, medical centers more suitable for the needs of the patient. 

In countries where there is no social security, such as the United States and China, and the companies and insurance companies are the ones that have to pay medical expenses for employees, proposals of this type make profitable business and customize the medical resources toward the needs of each patient, assuming great savings in time and money. 

“Today we have gathered together to two companies that, by constantly puting the consumer in the first place, have shown the transformative power to offer the entire spectrum of virtual care solutions,”said Jason Gorevic, CEO of Teladoc. “This acquisition makes advance our strategy to continuously expand our range of products, as well as our operational path in attractive global markets”.

As time passes, due among other things to the population increase and slow economic growth, with a 11,5% of the global population aged over 65 and with a expected diabetes rise to 642 million people affected by 2040,  countries around the world each time they face closer to increasing difficulties of access to quality health services, that Teladoc, with its acquisition of Advance Medical, is positioned to further accelerate global adoption of virtual care, sector that is expected to reach $36.92 billion by 2023, growing at an impressive rate of 17.74% per year.

“We share the thought of Teladoc that a solution of virtual medical care should be an integral nature, and provide answers and results for every person, regardless of their location or medical condition”, said Carlos Nueno, co-founder of Advance Medical. “Our customers have increasing demand for high quality virtual care on a large scale, and now we have the possibility to bring this significant change for the health system”.

“With the ability to take advantage of the rapid pace of medical innovation, offer an unparalleling commitment to clinical quality and maintain our unwavering vision centered on the patient, there is no doubt that we will have a profound impact on the consumer as we continue to expand access to high-quality care”, adds Marc Subirats, co-founder of Advance Medical.

Its product portfolio is wide, ranging from the opinion by an expert medical team, care of the behavior, virtual medicine at home, global care on demand, pharmacological management and specialized service-oriented solutions for businesses. And all of this oriented to obtain medical services without having to scroll and immediately and continued, adapting to the doubts you can be arising.

In terms of the co-founders of Advance Medical, the lords Nueno and Subirats, they will join the executive team of Teladoc, and continue leading the advance of medical business outside of the United States.

According to the financial reporting and business perspective of Advance Medical, it reached in 2017 revenues of approximately $63 million and  adjusted Ebitda of approximately 2 million. For the first three months of 2018 has reached approximately 17 million dollars in revenue, and is expected to generate more than 74 million before the end of the year.

Where do you think should go the health care? Does its virtualization and cost reduction by these companies do not give signs that are creating a large comprehensive monopoly? Can it provide a good service by online assistance ? Tell us what you think, make your vision count.

 

Rebound at the end about Advance Medical and Teladoc.

Founded in 1999, Advance Medical is one of the world leaders in the development of telemedicine and the opinion of medical experts. Has partnered with more than 300 large multinationals, including companies and insurers in Europe, Asia, Latin America and the United States.

Teladoc is the world leader in virtual care. With more than 2000 employees, the organization offers attention in 125 countries and in more than 20 languages, as well as collaborate with companies, hospitals, health systems, and insurers to transform care delivery.

 

Images credits: HQuality, wacomka, Guitar photographer/shutterstock.com

 

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David Valero

David Valero

David Valero Torresano, fundador de Inspira Biotech. Graduado en Biología y máster en Oncología Farmacéutica, ha trabajado como Especialista de producto para una Multinacional Japonesa del sector Biomédico líder mundial en hematología, y ha desarrollado estancias y colaboraciones de investigación en diferentes Hospitales y Centros de Investigación de España. De marcado espíritu emprendedor y creativo ha participado en el programa YUZZ para jóvenes emprendedores presentándose con el proyecto Dreamalife, consistente en el desarrollo y la introducción en el mercado de nuevos sistemas de diagnóstico in vitro basados en la tecnología CRISPR-Cas9 para el desarrollo de la medicina personalizada. Contacta a través de: dvalero@inspirabiotech.com

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