Healthcare costs are a major driver of the US national debt

Congressional Budget Office (CBO) projections show that the national debt is unsustainable, Peter G Peterson Foundation reports. According to current law, the nation’s debt will reach 185 percent of GDP in 2052, up from nearly 100 percent in 2021. Major healthcare programs, such as Medicare and Medicaid, are a major contributor to that rising debt. The federal government expects such spending to rise by 68 percent over the next decade and surpass all other categories of spending by 2030. Spending on such programs will exceed spending on discretionary programs, such as defense and education, by nearly 50 percent by 2052.

In general, two factors influence how much the federal government spends on major healthcare programs:

  1. Healthcare expenditures are increasing among the elderly, according to the changing demographics of the population. The federal government spends more on programs like Medicare as more people reach retirement age.
  2. Additional cost growth: When healthcare costs outpace the growth rate of the economy after adjusting for demographic changes. As a result of such cost growth, the federal government will have to spend more on healthcare programs.

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USA and Spain to launch a working group on health digitization

Spain and the United States will launch a working group to share experiences and continue working together on health digitization and mental health. The agreement was reached by Dr Carolina Darias, the Spanish Health Minister and Dr Andrea Palm, the Deputy Secretary of the US Department of Health and Human Services, in the preparation to the II Summit of G20 Health Ministers, planned to take place in November 2022. Both countries share the interest in the use of new information and communication technologies to strengthen health systems, with focus on data interoperability, data exchange and access to clinical data. The United States and Spain agree on the importance of developing support tools for the most vulnerable, as well as tools for telemedicine in the field of mental health. In addition, at the bilateral meeting, the Spanish minister and the US representative shared insights on health challenges that both countries have face to deal with future health emergencies, Planta Doce reports (link in Spanish).

US FDA publishes new guidelines with focus on digital health

The FDA’s Center for Devices and Radiological Health (CDRH) has published its FY2023 guidance priority lists. Digital health is a major focus of the center’s current fiscal year. FDA said it will publish several digital health guidances, including one for medical device cybersecurity quality system considerations. It will also publish one for device software functions and another addressing change control plans for products with artificial intelligence/machine learning software. In recent years, regulators and industry have become more concerned with the issue of change control plans, as the agency has repeatedly updated its premarket and postmarket cybersecurity guidance. In the latest user fee reauthorization bill, some lawmakers tried to include a rider that would give FDA explicit authority to allow change control plans. This is a top priority for the medical device industry when Congress passes an omnibus budget bill later this year. Some legal experts, however, support the agency’s assessment that it already has the authority to allow change control plans in a white paper.

2021 explosion in digital health funding is no more, but opportunities remain, new study says

Although last year’s digital health funding boom is over, startups with a thirst for capital still have opportunities, Digital Health Business & Technology reports. Digital health companies raised $3.2 billion in the third quarter. As compared to $4 billion in the second quarter of 2022, this represents a 20% drop quarter-over-quarter and a 60% drop year-over-year. In the first nine months of 2022, digital health companies raised $13.8 billion in venture capital funding. Although the number is 40% lower than last year, the sector remains robust. There were 179 deals recorded this quarter, compared to 161 last quarter. Seed and Series A rounds are particularly active in investing. The following are five key takeaways from Digital Health Business & Technology’s third quarter and nine-month study: In spite of last year’s record highs, funding remains resilient   New York outpaces California in total funds Health information management investment remains the most prominent Public markets haven’t been kind to recent digital health IPOs Practice-focused companies dominated M&A activity in Q3

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Willum Þór: The question remains if our healthcare system is sustainable

On January 1st, Iceland took over the Presidency of the Nordic Council of Ministers. This intergovernmental organisation plays an important role in promoting innovations, health data integration, and cooperation between all major stakeholders in the Nordic healthcare. The Icelandic Health Minister elaborates on his vision to future health in the Nordic region, the Nordic strengths, Iceland’s plans for the Presidency with regards to health innovations, and the coming collaboration with Copenhagen Institute for Futures Studies

CIFS ran an all-day session at the Week of Health and Innovation (WHINN) in Odense

Copenhagen Institute for Futures Studies ran an all-day session at the annual Week of Health and Innovation (WHINN) in Odense, Denmark. CIFS’ program attracted over 40 experts from health and data organisations. We presented strategic foresight and futures studies in the health sector, concepts that are used to reimagine the future of the health sector, such as the Humanome and decentralised clinical trials. Also, we had a panel discussion on the newly started Phase V project on decentralised clinical trials, where CIFS is a contributing partner

New HIMSS book out on blockchain in healthcare

The HIMSS Series has a new book on blockchain in healthcare. “Blockchain in Healthcare: Innovations that Empower Patients, Connect Professionals, and Improve Care” is the title of the book. According to the book’s authors, Vikram Dhillon, John Bass, Max Hooper, David Metcalf, and Alex Cahana, blockchain technology may hold the greatest potential in healthcare. Some of the first use cases in medical payments, electronic health records, HIPAA/data privacy, and drug counterfeiting have been explored by early pioneers. There is still much work to be done in order to automate the complexities of today’s healthcare systems and design new systems that are focused on trust, transparency, and aligning incentives. In this book, Metcalf, Bass, Hooper, Cahana, and Dhillon have assembled over 50 contributors, including early adopters, thought leaders, and health innovators. They tell their stories and share their knowledge. The videos and transcripts provided by many authors and contributors humanize the technical details and abstract aspects of blockchain. Using the fundamentals of blockchain, the authors curated a collection of future-oriented examples that build on early successes. After a brief introduction to the fundamentals and the protocols available, as well as early blockchain efforts specific to health and healthcare, the authors discuss the promise of smart contracts and protocols to automate complex, distributed processes and some of the early consortiums that are exploring the possibilities. Throughout the book are examples and use cases, with special attention given to the more advanced and far-reaching examples that can be scaled at an industry-level. In addition, a discussion of integrating blockchain technology into other advanced healthcare trends and IT systems – such as telemedicine, artificial intelligence, the Internet of Things, value-based payments, patient engagement solutions, big data solutions, medical tourism, and clinical trials among many others – is presented. The final section provides a glimpse into the future using blockchain technology and examples of research projects that are still in labs across the globe.