Health

The techtonic shift: what new contenders in healthcare must know about digital ecosystems

August 15, 2023

Global

The techtonic shift: what new contenders in healthcare must know about digital ecosystems

August 15, 2023

Global
Michael Guterbock

Senior Consultant, Economist Impact, Policy and insights

Michael is a Senior Consultant with Economist Impact’s Policy Team. He works with global clients developing and delivering evidence-based policy projects across a wide range of priority areas and manages Economist Impact research teams. Prior to consulting with the Economist Group, Michael worked in disaster preparedness and humanitarian assistance consulting, as well as on policy design and implementation with the US Federal Government. Michael holds a Master’s degree in International Relations from Johns Hopkins University School of Advanced International Studies (SAIS), a Master’s degree in Global Health from The University of Michigan, and is currently pursuing a Doctorate in International Affairs from Johns Hopkins SAIS.

Over the last decade, as new technology has been developed and integrated into the healthcare sector, non-health “traditional” technology companies, whether tech giants or small start-ups, have taken great interest in this market.

These new entrants offer everything from new tools for healthcare workers to directto-consumer solutions that bypass traditional provider- and hospital-to-patient care models. Some of these examples include a tech company partnering with the UK’s National Health Service (NHS) to both share data and develop AI-powered healthcare services; another tech company is offering cloud services specifically tailored for healthcare; a social media service is quietly pushing into health tracking software; and an online retailer is purchasing One Medical, a chain of primary health clinics in the United States. [1][2][3][4] These forays into healthcare are motivated by a significant unmet need as well as the opportunity for profit. In the US, healthcare is a $4 trillion industry that makes up 20% of the country’s GDP, and the rapidly aging and large demographic of baby boomers offers all the more potential for the industry’s expansion. [5][6]

The many new players scrambling for opportunities in emerging and developed markets foreground new considerations: strategies to evaluate the viability of their products in the clinical context, the sustainability of their business models and partnerships, and managing concerns about data security and privacy.


[1] Ozcan P, Dinckol, D. How Big Tech is breaking into the healthcare sector [Internet]. Oxford Answers; 8 Aug 2022. Available from: https:// www.sbs.ox.ac.uk/oxford-answers/how-big-tech-breaking-healthcare-sector.
[2] Landi H. Microsoft announces Cloud for Healthcare, first industry-specific cloud service [Internet]. Fierce Healthcare; 19 May 2020. Available from: https://www.fiercehealthcare.com/tech/microsoft-launches-new-cloud-service-tailored-to-healthcare-organizations.
[3] Reader R. With a wearable reportedly in the works, Facebook continues a quiet push into health [Internet]. Fast Company; 19 Feb 2021. Available from: https://www.fastcompany.com/90606044/facebook-health-tracker-wearable.
[4] Ozcan P, Dinckol, D. How Big Tech is breaking into the healthcare sector [Internet]. Oxford Answers; 8 Aug 2022. Available from: https:// www.sbs.ox.ac.uk/oxford-answers/how-big-tech-breaking-healthcare-sector.
[5] Wolf D, Pande V. The biggest company in the world [Internet]. Andreessen Horowitz; n.d. Available from: https://a16z.com/2022/11/11/the-biggest-company-in-the-world/.
[6] Ortman, JM, Velkoff, Howard H. An aging nation: the older population in the United States (Report P25-1140) [Internet]. Washington, DC: US Census Bureau; (May 2014). Available from: https://www.census.gov/library/publications/2014/demo/p25-1140.html.

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