Dive into the extraordinary life of Michael Gorton, a serial entrepreneur who built one of the first internet service providers (ISPs), pioneered telemedicine with Teladoc, and faced down the DEA to change healthcare. With degrees in engineering, physics, and law, Gorton’s story is a masterclass in resilience, innovation, and visionary leadership that tech enthusiasts will find inspiring.

Key Takeaways

• Pioneered one of the first ISPs in the 1990s, scaling it to a $122 million acquisition.

• Founded Teladoc after a Kilimanjaro epiphany, transforming healthcare access.

• Overcame regulatory battles, including a DEA raid, to legitimize telemedicine.

• Authored bestselling books, including historical fiction and telemedicine histories.

• Mentors entrepreneurs and draws inspiration from figures like Leonidas to lead with purpose.

In this episode, we explore Michael Gorton’s remarkable career, from his early days as an Air Force brat to becoming a trailblazer in tech and healthcare. Gorton’s journey began with a childhood dream of walking on Mars, inspired by Apollo astronauts and a mentor who helped him craft a life plan. This led to degrees in engineering, physics, and law, which he leveraged to innovate at a power company, automating meter reading in the 1980s. His entrepreneurial spirit took flight with Internet Global, one of the first ISPs, where he introduced voice-over-IP and DSL, scaling the company until its $122 million acquisition in 2000. A near-miss with the dot-com crash didn’t deter him; instead, it fueled his next venture.

While climbing Kilimanjaro, Gorton witnessed a colleague treating patients remotely via satellite, sparking the idea for Teladoc. Launched in 2002, Teladoc faced fierce resistance from medical boards and a dramatic DEA raid in 2005, suspecting illegal prescriptions. Gorton’s team, inspired by his “Leonidas mindset” of fighting for a cause, persevered, proving telemedicine’s value and paving the way for its 2015 IPO. Beyond entrepreneurship, Gorton is a bestselling author, weaving complex science into accessible stories, and a mentor to the next generation. His story is a testament to turning bold ideas into reality against all odds.

The US shells out $5 trillion yearly on healthcare—17.6% of GDP—yet ranks dead last in outcomes among developed nations, with life expectancy at 78.4 years and infant mortality triple the OECD average. This episode exposes how monopolies, price opacity, and a focus on treatment over prevention fuel the fire, while outlining actionable reforms to slash costs and save lives.

Key Takeaways

• Price Transparency First: Mandate upfront pricing and quality scores online, enabling patients to shop like on Amazon—projected $350B savings by year three.

• Smash Monopolies: Enforce antitrust on hospital duopolies and scrap Certificate of Need laws blocking independent clinics, cutting post-merger price hikes of 6-18%.

• Shift to Value-Based Pay: Reward providers for outcomes and prevention, not procedures—could save $200B via bundled payments and capitation models.

• Tackle Preventable Diseases: Redirect <1% of spending to diet, exercise, and early detection; taxing sugar and ending corn subsidies might yield $1.5T in long-term gains.

• Bipartisan Roadmap: An 8-year plan starting with transparency, no new spending—$800B-$1T annual savings, plus 4 extra healthy years for all.

Delving deeper, the system thrives on opacity: an MRI costs $500 at a clinic but $7,000 at a hospital, with no one shopping because prices hide until bills arrive. Monopolies—often "nonprofit" giants—squeeze out independents via rigged licensing boards, while insurers balloon admin costs to 30% (vs. Medicare's 2%), adding $400B in waste. Defensive medicine racks up $150B in unnecessary tests to dodge lawsuits. Globally, peers like Germany spend half per capita yet live 4 years longer, proving efficiency works. Prevention flips the script: catching issues early via telehealth or lifestyle tweaks avoids stage-4 catastrophes, preserving productivity and slashing $4T in chronic care for diabetes, obesity, and heart disease. Larry's 90-page analysis, vetted by experts, maps an 8-year overhaul: years 1-2 enforce transparency and competition; 3-6 reform payments; 5-8 push population health. It's capitalism unleashed—patients empowered, providers incentivized, government just refereeing. With RFK Jr. eyeing the helm, this isn't pie-in-the-sky; it's a fiscal lifeline amid ballooning deficits.