Also known as DTx, is a  new term that refers to the use of digital technologies in the diagnosis, treatment, and prevention of diseases.  The global digital therapeutics market is growing at a compound annual growth rate (CAGR) of between 25.1% to 36.9% from 2019 to 2030, according to reports by MarketsandMarkets and Grandview Research. This rapid growth is driven by several factors, including:

• the increasing prevalence of chronic diseases
• the growing demand for personalized medicine
• the rising adoption of digital health solutions by healthcare providers,
• convenient user access.

Digital Therapeutics

Digital therapeutics provide a way for healthcare providers to deliver digital treatments such as digital health coaching, DTx devices, and DTx apps. These digital treatments are designed to improve patient outcomes by providing patients with access to personalized care plans that can be tailored to their individual needs.  As DTx become more widely available and accepted, it will have a profound impact on the healthcare market.

One of the major challenges facing digital therapeutics is the lack of regulation and reimbursement from health insurers. Currently, there are no clear guidelines or standards for DTx products and services.  As a result, many digital therapies are not adequately reimbursed or covered by insurance companies. This has limited the uptake of digital therapeutics solutions among healthcare providers and payers.

Meanwhile, regulatory bodies are starting to recognize DTx as legitimate healthcare.  As a result, the adoption of new solutions among providers and insurers is increasing.  In addition, digital therapeutics companies are increasingly focusing on providing evidence-based data.  Data that demonstrates the efficacy of digital treatments in improving patient outcomes.

Digital Therapeutics Legislation

In March 2022, Representatives Mike Thompson (CA-05), David McKinley (WV-01) and

 Senators Jeanne Shaheen (D-NH) and Shelly Moore Capito (R-WV) introduced the Access to Prescription Digital Therapeutics Act of 2022.  The act expands Medicare coverage for Prescription Digital Therapeutics (PDTs).  It creates greater trust and acceptance among healthcare providers and insurers.

Even big pharma recognizes the benefits of DTx to enhance their value and improve patient care.  As a result, digital therapeutics are being used to improve the effectiveness of existing treatments.  With reduced costs of drug development and better patient monitoring, everybody wins.  After all, better outcomes with chronic illnesses and long-term care, are a huge positive across the board.

Overall, DTx can transform the healthcare market by improving patient outcomes at an affordable cost.  As digital health solutions become widely accepted, they will play a key role in shaping the future of healthcare delivery. By taking advantage of digital therapies, healthcare providers can provide better care at lower costs.  They can also improve the overall quality of life for patients.

Exciting Times Ahead

Given these points, this is an exciting time for DTx and digital health solutions. We see continued industry growth in the coming years as digital treatments become increasingly accepted.  As a result, come opportunities for providers to capitalize on DTx and to improve patient outcomes at a reduced cost.  Above all, DTx continues to evolve and will play an essential role in transforming healthcare delivery across the 21st century.

We have developed strong relationships with several companies committed to delivering advanced digital therapeutics across multiple channels in innovative ways.