By: Kumaraguru Verasamy
Head of Strategic Research, Xeraya Capital
As the world embraces the use of technology in healthcare, an issue arises: Techquity, or the idea of making technological advancements in healthcare available to all, is a rising concern in Western countries. But what does techquity actually mean, and how will it impact the APAC healthcare ecosystem?
Defining Techquity – For the Greater Good
According to Ipsos, Techquity is the strategic design, development, and deployment of technology to advance health equity. The term refers to the notion that technology can either support or inhibit progress in health equity if not implemented in an intentional and inclusive manner.
Let’s put this term in a real world situation. It’s no secret that globally, healthcare systems are adopting various technologies into their operations and the pandemic only accelerated the speed of this trend because of the need for patients to continue seeing their doctors even during an outbreak. As a result, the world saw a spike in the number of health-focused startups emerging, touting various solutions such as wearables, mobile health apps, digital therapeutics, telehealth, telemedicine, patient portals, virtual reality, and even the integration of AI and advanced analytics into healthcare devices. It’s an attractive market, and in APAC it’s estimated to be worth US$119.8 million by 2026 (that’s at a CAGR of 18.1%, per a report by Graphical Research).
While this shows promise for the continued boom of health technologies and it’s certainly good news for investors in the space, the question of techquity does come along to give those in the industry some thought; simply put, how do we ensure that everyone gets to experience the convenience and efficiency that health technology provides?
What Western Markets are Facing
Perhaps because the life sciences and health tech space in APAC is arguably still nascent, this issue can be considered at a later time. In the US however, it is already a rising concern and many are asking questions about how to find a solution to this conundrum. Analysts, investors, and even those in the healthcare space themselves are flagging the following issues:
1. Social Determinants
Technology’s power to affect health outcomes has been firmly cemented into the minds of patients and doctors alike; essentially, access to technology and literacy are social determinants of health, and they impact an individual’s health outcomes in the same way as where they live or what they’re surrounded by on a daily basis.
2. The Role of Healthtech in Health Equity
On the one hand, new technologies and data tools provide a great opportunity to revolutionise the industry, promoting greater efficiency and scale. In fact, many companies in the space claim that their tech will help identify and address disparities in treatment or even mitigate unjust differences in disease incidence. The problem surfaces when these new advancements are not designed with health equity in mind; this is when they have the potential to diminish or harm prospects for optimal health in the most vulnerable communities.
3. We Care for You
A common marketing phrase heard across the healthcare industry, this is about whether the technology being implemented in healthcare truly makes a patient feel cared for. If an individual walks into a clinic that touts a type of technology for certain treatments or diagnoses, do they feel that the clinic itself as well as its solution takes them into consideration? Ideally, yes. The individual should have that confidence in healthtech because they believe, feel, and know that the equity is there.
Techquity in APAC – Worth a Look?
In a region where diversity and several different types of wealth classes are present, it can be difficult to say whether APAC will reach a point where questions such as techquity are considered by investors and the healthcare sector alike. It can also be argued that due to the plethora of public healthcare systems in Southeast Asia specifically, there may come a time when these new technologies are implemented in a manner that is equal and fair to all.
Bain’s recent APAC Frontline of Healthcare Report pointed out that there is an increasing demand for the reinvention of healthcare delivery in the region; in terms of technology, 90% of APAC individuals surveyed say they’d prefer a single touchpoint to manage their healthcare, as compared with 70% two years ago. In fact, as consumerism and the call for technological advancements in healthcare grow stronger, APAC healthtech companies have the amazing opportunity to provide solutions that can simplify the patient journey, create integrated continuums of care, optimise value-based care, and empower both patients and physicians.
With all these potential opportunities in store, techquity is certainly a worthy consideration, but the possibility of it impacting the healthtech space in APAC in the near future remains to be seen.
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