Top telehealth companies by market share

The COVID-19 pandemic dramatically accelerated the adoption of telehealth technology by hospitals and healthcare organizations across the country. While telehealth usage has plateaued at around 9 million encounters per month,  the technology appears poised to stick around as another tool in the providers toolbox to treat patients, particular for those in the mental healthcare space.

What is telehealth?

Telehealth, also referred to as telemedicine, is the modernization of the delivery of healthcare via remote clinical services. Telehealth technology has existed since the 1950s but has been making huge strides in the past decade or so due to the rapid technological advancements in areas like video software and communication.

Telehealth technology presents an opportunity for patients and providers to leverage technology to communicate without being in the same room. Types of telemedicine tools include phone calls, video chats, emails, and text messages.

65.53% of hospitals have a telehealth solution in place

According to data from Definitive Healthcare’s HospitalView product, 65.53% of hospitals have a telemedicine solution installed. That still leaves over a third of hospitals without a telehealth vendor in place, representing a significant opportunity for telehealth software companies to increase market penetration and expand their market share.  

Top 10 telehealth software companies by market share

Rank Vendor # of Installs % of Market Share
1. Zoom 1,504 31.54%
2. Cisco Systems 579 12.14%
3. American Well 546 11.45%
4. Doxy.me 495 10.38%
5. Teledoc 492 10.32%
6. Proprietary Software 448 9.4%
7.  Vidyo 430 9.02%
8. Philips Healthcare 305 6.4%
9. Polycom 280 5.87%
10.  MDLIVE 208 4.36%

Fig. 1: Telehealth vendor market share sourced from Definitive Healthcare’s HospitalView product. Data is proprietary and updated on a continuous basis. Data accurate as of October 2021.

Zoom dominates the telehealth space with nearly 1/3 of market share

During COVID-19, Zoom has become a ubiquitous form of communication across people’s personal and professional lives. Despite being a general telecommunications software, Zoom is the dominate telehealth vendor accounting for 31.54% of market share.

Outside of Zoom, no other telehealth vendor has a corner on the market

Cisco Systems comes in second place with 12.14% of the market share. Healthcare specific vendors such as American Well (Amwell), Doxy.me, and Teladoc round out the top five with each vendor garnering between 10-11% market share.

Given a third of hospitals don’t have a telehealth solution in place, there are plenty of opportunities for vendors to expand their market share over the next few years, especially as telehealth comes to play a great role in care delivery in a post-COVID-19 world.  

Healthcare Insights are developed with data from the Definitive Healthcare platform. Want even more insights? Start a free trial now and get access to the highest quality data and intelligence on hospitals, physicians, and other healthcare providers.

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