Press release
United States AI in Telemedicine Market 2025 | Growth Drivers, Market Size, Trends, Forecast & Investment Opportunities
Market Size and GrowthThe global AI in telemedicine market size reached US$ 18.39 Billion in 2024 and is expected to reach US$ 193.30 Billion by 2033, growing at a CAGR of 26.7% during the forecast period 2025-2033.
Key Development:
United States: Recent Industry Developments
✅ In September 2025, the FDA announced a Digital Health Advisory Committee meeting scheduled for November 6, 2025, to evaluate AI-enabled digital mental health devices, including chatbots and virtual therapists. The meeting aims to assess both the benefits-like scalability and timely intervention-and the inherent risks of these tools.
✅ In August 2025, Ambience Healthcare, a San Francisco-based startup, raised $243 million in a Series C funding round co-led by Oak HC/FT and Andreessen Horowitz. The company develops AI-powered ambient transcription software that records and summarizes doctor-patient conversations, with additional tools that automate tasks such as medical coding, payment processing, and patient referrals.
Japan: Recent Industry Developments
✅ In August 2025, Olympus partnered with a domestic AI software startup to co-develop next-generation Software as a Medical Device (SaMD) solutions for endoscopy diagnostics. The collaboration enhances algorithm accuracy and regulatory compliance, strengthening Japan's digital health ecosystem.
✅ In August 2025, Fujitsu announced the development of a secure and efficient AI agent platform to accelerate operational efficiency and ensure stable medical service provision in Japan's healthcare sector. The new platform includes an orchestrator AI agent, a centralized system that supports the collaboration and coordination of multiple specialized healthcare-specific agents.
✅ In July 2025, Japan's digital health landscape was evolving to include expanded remote medical consultations, the proliferation of health-related mobile apps, and a heightened focus on the secure and effective use of healthcare data. Efforts were underway to integrate these technologies into the public health infrastructure, with ongoing discussions addressing nationwide standards for electronic medical records, interoperability, and privacy protection.
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AI in Telemedicine refers to the integration of artificial intelligence technologies into remote healthcare services to enhance diagnosis, treatment, and patient monitoring. AI-powered tools analyze medical data, predict health risks, support clinical decision-making, and improve accessibility, efficiency, and personalized care in virtual healthcare delivery.
Recent Mergers and Acquisitions
United States: Recent M&A in AI-Powered Telemedicine
✅ In September 2025, Remedy Meds, a telehealth company focused on GLP-1 treatments, announced its intent to acquire health tech unicorn Thirty Madison for $500 million in an all-stock deal. This acquisition aims to expand Remedy Meds' capabilities in virtual care and chronic condition management.
✅ In August 2025, Abridge, a Pittsburgh-based healthcare AI startup valued at $5.3 billion, revealed plans to pursue strategic acquisitions. The company intends to allocate 80% of its capital to enhancing its AI technology, particularly in areas like clinical notes, billing, decision support, and care management, while the remaining 20% will be used for acquisitions to bolster its talent and technology.
✅ In July 2025, Iris Telehealth, a provider of virtual health telepsychiatry services, acquired InnovaTel, further solidifying its position as one of the largest virtual health telepsychiatry providers in the U.S. This move reflects the growing consolidation in the telehealth sector to meet increasing demand for behavioral health services.
Europe Recent M&A in AI-Powered Telemedicine
✅ In September 2025, Canadian AI startup Cohere announced the opening of a new office in Paris, aiming to increase its market share amid growing regional demand for AI services. Valued at $6.8 billion, Cohere is positioning itself among competitors like French startup Mistral ($11.7 billion valuation) while emphasizing data security and sovereignty for business clients.
Global: Recent M&A in AI-Powered Telemedicine
✅ In July 2025, Treatment.com AI acquired Rocket Doctor, a Canadian virtual care platform, to enhance its AI-driven clinical intelligence capabilities. This acquisition expands Treatment.com's reach in Alberta and California, with Rocket Doctor seeing a 112% year-over-year increase in patient volume in 2024.
✅ In May 2025, Teladoc Health, a global leader in virtual healthcare, acquired a European AI diagnostics company to bolster its telemedicine offerings. The acquisition aims to integrate advanced AI algorithms into Teladoc's platform, enhancing diagnostic accuracy and patient outcomes across Europe.
✅ In April 2025, a leading Middle Eastern health tech firm acquired an AI-powered telehealth startup specializing in mental health services. This strategic acquisition aims to expand the firm's digital health portfolio and address the growing demand for mental health support in the region.
Key Players:
-> Azra Al, CureMetrix, Inc., ConcertAI, Immunai, MVision AI Inc., Paige AI, Inc., Mindpeak GmbH, Imagene AI Ltd., Predictive Oncology, Tempus, among others.
Growth Forecast Projected:
The Global AI in Telemedicine Market is anticipated to rise at a considerable rate during the forecast period, between 2025 and 2033. In 2024, the market is growing at a steady rate, and with the rising adoption of strategies by key players, the market is expected to rise over the projected horizon.
Research Process:
Both primary and secondary data sources have been used in the global AI in Telemedicine Market research report. During the research process, a wide range of industry-affecting factors are examined, including governmental regulations, market conditions, competitive levels, historical data, market situation, technological advancements, upcoming developments, in related businesses, as well as market volatility, prospects, potential barriers, and challenges.
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Key Segments:
➥ By Product: Software, Services
➥ By Process: Data Analysis, Image Recognition, Natural Language Processing, Virtual Consultations
➥ By Application: Virtual Health Assistants and Chatbots, Remote Monitoring and Predictive Analysis,
Regional Analysis for AI in Telemedicine Market:
⇥ North America (U.S., Canada, Mexico)
⇥ Europe (U.K., Italy, Germany, Russia, France, Spain, The Netherlands and Rest of Europe)
⇥ Asia-Pacific (India, Japan, China, South Korea, Australia, Indonesia Rest of Asia Pacific)
⇥ South America (Colombia, Brazil, Argentina, Rest of South America)
⇥ Middle East & Africa (Saudi Arabia, U.A.E., South Africa, Rest of Middle East & Africa)
Benefits of the Report:
Chapter 1: Sets the stage by outlining the report's coverage, summarizing key market segments by region, product type, and application. Presents a snapshot of market sizes, growth potential across segments, and anticipated industry evolution both short and long term.
Chapter 2: Highlights pivotal market insights and uncovers the most significant emerging trends driving change within the industry.
Chapter 3: Offers an in-depth look at the competitive landscape among AI in Telemedicine producers, including revenue shares, strategic moves, and recent mergers and acquisitions.
Chapter 4: Presents comprehensive profiles of the market's key players, delving into details such as revenue, profit margins, product portfolios, and company milestones.
Chapters 5 & 6: Analyze AI in Telemedicine revenue at both regional and country levels, providing quantitative breakdowns of market sizes, growth opportunities, and development prospects worldwide.
Chapter 7: Focuses on different market segments by type, examining their individual sizes and potential, guiding readers toward high-impact, untapped market areas.
Chapter 8: Explores segmentation by application, evaluating industry growth potential in various downstream markets and pinpointing promising sectors for expansion.
Chapter 9: Provides a thorough review of the industry's supply chain mapping out both upstream and downstream activities.
Chapter 10: Concludes with a summary of the report's key findings and highlights the most critical takeaways for industry stakeholders.
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FAQ
What is the current size of the AI in Telemedicine Market?
A: In 2024, the AI in Telemedicine Market was valued at US$ 18.39 Billion, reflecting its strong industry presence.
Q2: How large is the AI in Telemedicine Market expected to be by 2033?
A: By 2033, industry forecasts suggest the AI in Telemedicine Market will grow to around US$ 193.30 Billion, demonstrating significant expansion.
Q3: What is the growth rate of the AI in Telemedicine Market?
A: The market is projected to expand at a compound annual growth rate (CAGR) of 26.7% during the forecast period from 2025 to 2033.
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