Silicon Valley’s vision to transform healthcare

Wearable tech and cognitive computing may sound futuristic, but they’re also good examples of disruptive innovation.  The Carnegie Mellon University Disruptive Health Technology Institute defines disruptive technology as the process by which a product or service takes root initially in simple applications at the bottom of a market and then relentlessly moves up-market, eventually displacing established competitors to yield an unexpected benefit to consumers.
Aided by new diagnostic and therapeutic tools,  non-physician providers (nurse practitioners, for example) now can treat conditions that once required the expertise of a physician at clinics in CVS, Walgreens, and Wal-Mart stores. That same evolution is enabling physicians to perform tests and procedures in the exam room that once required a high-priced specialist or hospital admission.

Big names bring attention to healthcare

By all accounts, innovation is the cure to fix the ailing healthcare system. New gadgets and gizmos, however, are just the beginning. As big data redefines the way doctors deliver care, medical schools, payers and providers will need to keep pace, says Glick.
“Right now we have a lot of experiments between Apple and the Mayo Clinic, for example, but if we get to the point where big data tells us that we should be treating patients differently, that this population of patients needs more care and these need less, we’re going to have to adjust our entire healthcare system,”  Glick says.
Doctors may no longer need a stethoscope, but learn instead to wield a smartphone app that defines more precisely what each patient needs. “Training may have to focus more on information skills,” says Glick. “We may need a whole new category of professionals who are able to interpret genetic test results, or coaches who help people change behaviors and stay healthy.”
At the same time, payers will need to alter their reimbursement structure so providers at all levels get paid fairly for the work they do. “It’s an exciting time and I’m very optimistic, but if we succeed, and I think we will, we’re going to have to think about how the rest of the system needs to evolve.”
Kocher agrees. By bringing their resources to bear and soliciting input from healthcare decision makers, he says, Silicon Valley can help doctors deliver more cost-effective, patient-centered care.
Their foray into the field is already paying dividends. “There’s no question that the interest of these tech companies is a good thing because it draws more attention, creativity and resources to healthcare,” says Kocher.  “When you have (Google co-founder) Larry Page talking about healthcare to investors on a Google call, that’s a whole lot of people who wouldn’t have thought about glucose monitoring.”