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Predicting Health Tech Policy Under a Trump Administration: A Focus on Innovation and Market-Driven Solutions

Michael Nikitin

CTO & Co-founder AIDA, CEO Itirra

Published on November 11, 2024

Predicting Health Tech Policy Under a Trump Administration: A Focus on Innovation and Market-Driven Solutions

As digital health technologies continue to transform the way healthcare is delivered, Itirra, a Washington state based health tech lab with over a decade of experience in designing and implementing bespoke solutions, will be at the forefront of this transformation. By harnessing emerging technologies to address pressing issues like cost, access, and security, Itirra and others in the health tech space will help shape a future where healthcare is more accessible, affordable, and technologically advanced, all while navigating the shifting political and regulatory landscapes of a second Trump term.

As we look toward the potential health tech policy landscape under a second term of a Trump administration, it’s clear that innovation, deregulation, and private-sector-led initiatives will continue to be central themes. During his first term, President Trump pushed for policies aimed at reducing regulatory burdens across industries, including healthcare. This approach, which promotes a free-market, business-friendly environment, is likely to persist as a core pillar of health tech policy. However, there are a number of evolving factors—such as cybersecurity risks, data privacy concerns, and the need for healthcare equity—that will shape the future of the industry.

One of the primary ways a second Trump administration could influence the health tech landscape is through continued deregulation of digital health products and services. In the first term, the administration worked to streamline FDA approval processes for medical devices, and it’s possible that this trend could extend to emerging technologies like artificial intelligence (AI), machine learning in diagnostics, and telemedicine. By easing regulatory barriers, the government could foster quicker innovation and bring new products to market faster, a stance that benefits both startups and established health tech companies looking to expand their reach.

In particular, digital health solutions like telemedicine could continue to see significant growth, especially in rural and underserved communities. During the COVID-19 pandemic, telehealth experienced an unprecedented surge in usage, and a second Trump term might see an effort to enshrine the policy changes that made this possible. This could include expanding reimbursement for telemedicine services and making regulatory changes that encourage its integration into mainstream healthcare.

However, while deregulation and innovation are important, cost containment will remain a critical issue. Despite the drive for innovation, healthcare in the U.S. remains prohibitively expensive for many, and digital health technologies will need to balance cutting-edge solutions with affordability. Itirra, for example, works with a diverse clientele to create custom tools that not only advance the capabilities of healthcare providers but also integrate cost-effective solutions into their business models. If a Trump administration pushes for more market-driven solutions, health tech companies that can demonstrate the ability to lower costs, improve efficiency, and enhance care quality will be in a strong position to thrive.

That said, the rising prominence of health data—especially as more tools are digitized—will raise privacy and security concerns. The Trump administration’s traditional stance on deregulation could be complicated by growing threats from cyberattacks and data breaches. As health tech companies scale up and more sensitive patient data is collected, robust cybersecurity measures will be critical. In this regard, Itirra’s, a Washington state based health tech lab with over a decade of experience in building secure, user-friendly health tech systems will be particularly valuable. The administration may prioritize partnerships between private companies and the federal government to address cybersecurity risks, ensuring that health data platforms and telemedicine networks are protected from malicious attacks. A focus on digital health security could result in increased investments in both technology and workforce development in cybersecurity.

Another area that could see more policy focus is the integration of health tech solutions with public healthcare programs like Medicare and Medicaid. While President Trump has historically advocated for reforms that reduce government intervention in healthcare, it’s likely that the administration will also explore ways to incorporate technology into these programs to improve efficiency and patient outcomes. The Trump administration’s interest in privatization and market competition may lead to policies that encourage private companies like Itirra to partner with state or federal programs, offering tailored, tech-driven solutions for managing chronic conditions, reducing healthcare disparities, and improving patient engagement.

Lastly, the future of health tech policy will inevitably be shaped by the broader political climate, including the influence of Congress, state governments, and public health advocacy groups. A Trump administration, in concert with Republican-controlled states, might push for policies that prioritize innovation and economic growth over regulation and oversight. However, public demand for healthcare reform—especially with respect to digital health equity and access—may push for more consumer protection regulations, especially in areas like data privacy and pricing transparency.

In conclusion, health tech policy under a second Trump administration is likely to be defined by deregulation, a focus on market-driven solutions, and an emphasis on innovation. 

Contact Itirra today to learn more!