AT&T wins $27M telehealth contract

AT&T was awarded a contract for a major project to deliver health care to remote areas via a broadband network with the California Telehealth Network.

AT&T will provide network infrastructure and managed network services to the newly formed California Telehealth Network under a three-year, $27 million contract, the company announced April 13. The goal of the program is to deliver health care to remote and hard-to-reach areas of the state.

A statewide coalition led by the University of California is creating the California Telehealth Network as a new model for care delivery in rural and urban areas of the state.

With telehealth, physicians can use videoconferencing to consult with patients at remote locations via a broadband wireless network or other network technology. The technology also refers to remote monitoring of patients and health care consultations, treatments and information delivered by phone, computer or video.

The California Telehealth Network will receive as much as $22.1 million in start-up funding from the Federal Communications Commission’s Rural Health Care Pilot Program. It is also receiving funding from private sources.

The statewide telehealth network infrastructure will connect small and large hospitals and clinics with physicians’ offices. When complete, the broadband network will include more than 860 sites throughout the state.

AT&T was selected through a competitive bidding process, according to a news release. The contract will be carried out through affiliates and subsidiaries of AT&T, the company said in the release.

AT&T is ranked No. 42 on the 2009 Washington Technology Top 100 list of the largest government contractors.