US Virtual Care Market

U.S. Virtual Care Market Size

The U.S. virtual care market size was estimated at USD 7.1 billion in 2023. The market is expected to grow from USD 8.9 billion in 2024 to USD 69.2 billion in 2032, at a CAGR of 29.2% during the forecast period.

Virtual care refers to telecommunication and digital health platform which provides the consultation and remote healthcare services, allowing the patients to interact with the healthcare provider remotely. The virtual care includes a board range of services such as telehealth, which is estimated to reach USD 244 billion by 2032, telemedicine, mobile health application, and remote patient monitoring.

The growth of the market is highly attributed due to the rising prevalence of chronic disease in the country such as cancer, cardiovascular diseases, neurological diseases, diabetes, among others. For instance, as per the data from the American Cancer Society in 2025, around 2,041,910 new cases of cancer are to be diagnosed, and 618,120 cases of cancer related deaths are projected to occur in the U.S.

Furthermore, according to the U.S. Centers for Disease Control and Prevention (CDC), heart disease is the major cause of the death among the individuals in the U.S. In 2022, around 702,880 individuals in the U.S. had lost their lives due to heart disease, which is equivalent to 1 in 5 deaths in the U.S. Therefore, patients with these conditions require frequent follow up with the specialists such as the oncologist, cardiologist, neurologist, among others. Virtual care solution enables continuous remote monitoring of these patients, which allows the healthcare providers to track the parameters such as the heart rate, vital levels, blood glucose level and medication adherence of patient with chronic diseases conditions.

Moreover, virtual care reduces the need of hospital visits, facilitates early interventions, reduces the waiting time of the patients, overcome geographical barrier, and the cost that are associated with patient visits to hospitals. Thus, the benefits offered by the virtual care is anticipated to propel the market growth in the country.

Additionally, continuous innovation in the field of healthcare IT is a significant catalyst for the growth of the market in the country. Innovations such AI, cloud computing, blockchain, and big data analytics are propelling the efficacy and efficiency of the virtual care services. Moreover, the integration of electronic health records (EHR) with these virtual care platforms such as telemedicine, enables the healthcare providers to access the patient’s history, which help the physicians to provide accurate and appropriate diagnosis and treatment plan to the patients, thereby stimulating the adoption of these services among the patients and healthcare providers accelerating the market growth.

U.S. Virtual Care Market Trends

• The widespread adoption of the smart phones and high-speed internet connectivity in the country is a major factor that is accelerating the growth of the market in the country. According to the data from the Statista, in 2024 around 310 million active smart phone users were in the U.S. and the rate of smartphone phone penetration in the country was 96% in that year.
  
• Therefore, as the number of smartphone users increase so does the accessibility of the telehealth and telemedicine services, allowing the individuals to connect with the healthcare providers, scheduling the consultations, and monitor their health remotely.
  
• Moreover, the expanding penetration of the 5G internet technology in the country, further improving the quality of the virtual care services by reducing the latency and by enhancing the video call stability, safeguarding efficient and proper communication and interaction between the healthcare provider and the patients.
  
• For instance, according to the data from the Statista, approximately 45% of the mobile connections in the U.S. used 5G internet technology in the year 2022.  Moreover by 2030, it is estimated that more than 9 in 10 mobile connections will be using 5G technology. Thus, this rapid adoption of the 5G technology in the country is anticipated to stimulate the adoption of virtual care services in the country, thus, boosting the market growth.
  

U.S. Virtual Care Market Analysis

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Based on service type, the market is bifurcated into telehealth, telemedicine, and remote patient monitoring. The market was estimated at USD 7.1 billion in 2023. The telehealth segment held revenue of USD 3 billion in 2023 and the segment is poised for significant growth at a CAGR of 29.4% during the forecast period.

• The growth of the segment is positively influenced by the growing investment of the federal government in the telehealth sector.
  
• For instance, in 2021, as per the data from Informa TechTarget, the federal government granted more than USD 19 million investment in the telehealth initiatives which included program such as Telehealth Centers of Excellence (COE) program and National Consortium of Telehealth Resource Centers (TRCs). The major aim of these programs was to expand the telehealth services to rural and underserved areas of the country in order to increase the access of healthcare in these areas.
  
• Therefore, such investment and programs boost the adoption of the telehealth among the underserved population, fueling the segmental growth in the fast-pacing market of the U.S. virtual care.
  

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Based on delivery mode, the U.S. virtual care market is segmented into synchronous virtual care and asynchronous virtual care. The synchronous virtual care segment dominated the market and was valued at USD 5.1 billion in 2023 with a revenue share of 72.5%.

• The growth of the segment is owing to the factor that synchronous virtual care closely mimics the traditional in-person visit. This type of delivery mode provides a real time and live consultation between the patient and healthcare provider through means of live chat, video call and phone call. Thus, due to these advance features, this mode of delivery is the most preferred option for urgent medical advice, management of chronic disease, and for follow-up consultations.
  
• Additionally, with the rising prevalence of anxiety, stress and depression in the country, stimulating the adoption of synchronous virtual care, particularly telepsychiatry which provide a real time interaction between the patient and healthcare provider.
  
• For instance, Johns Hopkins University reports that approximately 9.5% of the U.S. adults of the age group 18 and above are estimated to experience mental health illness, such as dysthymia, depression, annually.
  
• Moreover, as per the 2021 study published in the National Center for Biotechnological Information, around 15.8% of the hospitals across the country reported to have telepsychiatry, which is roughly equivalent to one-sixth of the hospitals of the country.
  
• Therefore, the rising adoption of this mode of delivery across various domains of telehealth and telemedicine, fostering the growth of the segment.
  

Based on application, the U.S. virtual care market is segmented into cardiology, gynecology, neurology, orthopedics, dermatology, mental health, and other applications. The growth of dermatology segment in the market projected to reach USD 20.2 billion by 2032.

• The rising prevalence of the skin condition are the major accelerator for the growth of this segment.
  
• For instance, according to American Academy of Dermatology Association, acne is the most common skin condition in the U.S. effecting around 50 million individuals across the country annually. Similarly, atopic dermatitis a type of eczema effect around 1 in every 10 individuals in the U.S.
  
• Moreover, as per the data from the National Psoriasis Foundation, over 3% of the U.S. adult population suffered from psoriasis, which was equivalent to more than 7.5 million individuals in the year 2021.
• Therefore, this increasing pool of patients suffering from the skin conditions, fueling the demand for remote consultations.
  
• Teledermatological align perfectly with this trend, it allows the patients to interact with the healthcare professionals and receive the expert diagnosis and treatment recommendations from the dermatologist without the need of in person visit.
  

Based on end use, the U.S. virtual care market is bifurcated into payers, providers, patients, and other end users. The providers segment held the largest revenue of USD 3 billion in 2023.

• Providers such as hospitals, specialty clinics are increasingly adopting the virtual care solution such as telemedicine and telehealth within their broader service offering across the U.S.
  
• For instance, as per the data from the Definitive Healthcare, around 78.6% of hospitals across the U.S. had installed telemedicine solution. This analysis is based on the data from more than 5,000 hospitals across the different states of the country.
  
• Therefore, as these providers continues to adopt the virtual care solution, this segment is expected to grow rapidly during the forecast period.
  

U.S. Virtual Care Market Share

The top 4 players of the market account for approximately 40% of the market share which includes companies such as American Well Corporation, Teladoc Health, CVS Health Corporation, and UnitedHealth Group. A crucial aspect of market strategy involves the frequent introduction of innovations such as high-definition video, AI-powered diagnostic tools, and seamless integration with electronic health records (EHRs). Moreover, strategic partnerships with hospitals, healthcare providers, research institutes, and government agencies play a primary role in advancing the development of new services, technologies and getting the necessary permits, enabling market players to strengthen their position in this growing sector.

U.S. Virtual Care Market Companies

Some of the eminent market participants operating in the U.S. virtual care industry include:

• American Well Corporation  
• AMD Global Telemedicine    
• CareClix
• CVS Health Corporation      
• Included Health       
• HealthTap     
• iCliniq
• Koninklijke Philips N.V.      
• Oracle Corporation   
• Sesame
• Siemens Healthineers        
• Teladoc Health        
• The Cigna Group     
• UnitedHealth Group 
• Virtuwell
  

U.S. Virtual Care Industry News:

• In January 2023, CVS Health launched CVS Health Virtual Primary Care, providing primary care, 24/7 on-demand care, and scheduled mental health support. This expansion benefited CVS Health by enhancing its virtual care capabilities, improving patient access to comprehensive services, and driving growth through a more integrated care network.
  
• In May 2023, Koninklijke Philips N.V. launched Philips Virtual Care Management, a suite of solutions designed to enhance patient engagement. This innovation helped Koninklijke Philips N.V. to strengthen its market position and showcase its commitment to advanced virtual care.
  

The U.S. virtual care market research report includes an in-depth coverage of the industry with estimates and forecast in terms of revenue in USD Million from 2021 – 2032 for the following segments:

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Market, By Service Type

• Telehealth
• Telemedicine
• Remote patient monitoring

Market, By Delivery Mode

• Synchronous virtual care
• Asynchronous virtual care

Market, By Application

• Cardiology
• Gynecology
• Neurology
• Orthopedics
• Dermatology
• Mental health
• Other applications

Market, By End Use

• Payers
• Providers
• Patients
• Other end users