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The Mobile World Pays Attention to the Smart Healthcare Industry

Author Choi, Youn Hee & Jung, Hyeerin Date 2015.04.09 Issue No 609

○ Aided by a new medical paradigm more focuses on preventive medicine and management of heath condition, the customized “smart healthcare industry” has emerged in the highly competitive mobile market.

- At the Mobile World Congress (MWC) 2015 in March 2015, companies from around the world scrambled to launch various healthcare wearables such as a smartwatch that senses bio-signals, paying much attention to smart healthcare.


○ Not just fitness products, but healthcare products such as continuous glucose monitoring (CGM) and electrocardiogram machines, software including healthcare applications, healthcare communications and data platforms are fiercely competing in the global market.


○ The global market size for smart healthcare is expected be more than 26 billion dollars by 2017.


○ In the economic feasibility analysis of smart healthcare, we could confirm the great possibility of reducing medical costs in the era of aging population.

- Using the result from a governmental pilot project on smart healthcare in Korea (2013), it was confirmed that healthcare costs could be cut by 2 trillion won for five years (2014~2018) and the benefit-cost(BC) ratio would be 1.52 when people with diabetes reduce their outpatient medical costs and the rates of hospitalization and complications fall by half using smart healthcare system.


○ Korea needs to reduce national healthcare costs, expand healthcare service options for the people and also improve welfare by actively expanding smart healthcare service.

- Policy efforts are needed to solve various problems systematically, which include limited supply and demand for smart healthcare, disapproval of related medical fees and conflict among stakeholder in the complex ecosystem.


○ Also, along with the promotion policy for the smart healthcare industry, it is very important to construct an appropriate “security management system for personal health information”, referring to the U.S. HIPPA Privacy Rule and others.


○ Moreover, it is necessary to redefine business models and roles of medical institutions, increase compatibility of operating systems for the global market, achieve competitiveness on technology & design, and establish clinical platforms in Korea.