The Current Opportunity

In 2007, total healthcare spending reached $2.3 trillion or 16% of the gross domestic product (“GDP”).  By 2015, U.S. healthcare spending is expected to increase to $4.2 trillion, or 20% of GDP.  In 2006, employer health insurance premiums increased twice the rate of inflation at 7.7%.  Industry experts agree that the U.S. healthcare system is ladened with inefficiencies, excessive administrative expenses and inappropriate care, waste and fraud. These problems significantly increase the cost of medical care and health insurance for employers and consumers. 

According to a May, 2008 report from the U.S. Department of Health and Human Services (HHS):

• 77 percent of Americans aged 65 and older have two or more chronic conditions
• 60% of all American adults have at least one chronic condition
• 90% of America’s spending for medical care is spent treating chronic conditions

The overall market size for wireless medical devices is expected to increase as follows:

Additionally there is a healthcare nursing / physician shortage – with more patients to see and fewer people to take care of them.

MedApps serves this market with solutions that automatically record patient monitor readings and wirelessly transmits the data so that it can be monitored and acted upon by health care professionals. MedApps believes its solutions will play a significant role in this market because they are:

• Cost Effective – Enables more patients to be monitored, more effectively
• Easy to Use Devices – Aids in greater patient compliance
• Portable / Mobile – Allows patients to maintain monitoring regimens outside of their home
• A Complete End-to-End System – Collecting, transmitting, storing readings to manage patient populations

MedApps has developed a very deliberate technology roll-out strategy that captures the advantages of being early-to-market and anticipating growing demand for more robust capabilities.