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Ex-Apple CEO bets on Web healthcare

By Reuters
San Francisco, 12 Nov 2014

Former Apple chief executive, John Sculley, is betting people will increasingly turn to the Internet for confidential counselling and routine medical care.

Sculley has an undisclosed stake and sits on the board of directors of Florida-based MDLive, a company that provides patients with remote access to a licensed physician. Sculley said he sees telemedicine and online mental health services "going mainstream" in coming years.

On Tuesday, MDLive acquired Silicon Valley-based start-up Breakthrough Behavioral, expanding its portfolio of services to include life-coaching, behavioural health and a network of mental health professionals. Financial terms were not disclosed.

On MDLive's mobile app and Web site, patients can consult a doctor for $49 per visit. MDLive claims its network of board-certified physicians can treat a variety of ailments, such as allergies, infections and sports injuries.

Breakthrough's Web service helps patients in 10 states across the US speak with a mental health professional on a secure video call. It provides an alternative to an in-person visit to the therapist's office.

Sculley, who was also president of PepsiCo, was influential in getting the deal done. In recent years, he has been making strategic investments in a range of health-technology start-ups, including MDLive and wearables company Misfit.

Telemedicine is increasingly perceived by employers and the government as a means to cut health costs, Sculley said. In addition, states have been requiring that private insurance plans cover telemedicine services.

A recent report from Towers Watson found telemedicine could deliver more than $6 billion in annual healthcare savings to US companies.

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