The article focuses on practicalities of telemedicine as a viable method of health-care delivery. Telemedicine can be broadly defined as the use of telecommunications technologies to provide medical information and services. It involves the practice of delivering health care over a distance using telecommunications equipment such as telephones, fax machines, personal computers and full-motion interactive multimedia. Telemedicine consists of both real-time interactive consults as well as batch processing of patient data and information for diagnosis at a later time. With the anticipated use of managed-care incentives to provide accessible, low-cost health care, the health-care industry is forced to look at alternative methods for providing services. Telemedicine has a number of challenges to overcome before it can be integrated into the overall fabric of health care. Cost might be the single largest nontechnical issue to be addressed. To be fully integrated at its highest level, telemedicine will also require the filly functioning conversion of the standard paper-based medical record into an electronic format, an area wrought with its own set of challenges.