Telemedicine Comes Into Its Own

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"The reason I think its getting the attention it deserves now is that all the evidence is in. It's proven itself that you can get the kind of healthcare equal that's equal to a face to face visit. Plus it's one of the few areas of healthcare delivery that can have a significant impact on cost," Dan McCafferty, vice president of sales and corporate development at AMD, said.

Not only has the government aided the growth of telemedicine but investments by big companies have as well. Cisco, United Healthcare and the Mayo Clinic have all devoted resources to the cause.

"Telemedicine was done for many years regionally," McCafferty said. "Now you have mainstream companies saying this is an important application. They are saying there is money to be made and money to be saved."

Traditionally, telemedicine has been used for medical consultation and surgical procedures in poorer, rural communities. However, the current usage of telemedicine stretches beyond these areas.

"Prison systems have been big customers of telemedicine. Oil and gas companies, they are serious about telemedicine. When on those off shore drilling platforms, their distance to true medical care is great. University medical systems are really big customers," McCafferty said.

There are some companies, such as Anthem Blue Cross, out of Woodland Hills, Calif., still using telemedicine primarily to bring better healthcare to the poorer, rural communities. The company uses videos, computers and encryption software remotely to conduct consultations.

"We know our members in these areas need access to specialty care and sometimes driving a long distance or taking time off from work just isn't a viable option," said Kevin Hayden, president of Anthem Blue Cross' State Sponsored Business, in a statement.

The company has been in telemedicine since 1997, but recent improvements in technology, such as high definition video and digital still cameras have made it more practical. Before, videos suffered from bad pixellation, but now the video quality is much better, allowing physicians to do their work.

Telemedicine isn't just emerging in the United States. A recent report by MarketsandMarkets says that by 2014, telemedicine will be worth $418.4 million in Brazil, Russia, India and China. This will represent a growth of 15.8 percent from 2009.