This paper provides a snapshot of the activities in the area of telemedicine. Telemedicine is a unique way of providing health care the tele-way which is believed to have intrinsic value in the eyes of the Administrators and also the end point consumers in the hospital industry. Telemedicine has come to stay in a big way due to the perceived benefits it provides but, does it all really matter or is it an overrated concept: this paper attempts a pragmatic view of this concept. The paper traces the issues and challenges in administering healthcare the tele-way. The paper affirms that telemedicine and the technology associated with it, is fast changing and still in its early development stages. Telemedicine is a rapidly evolving field, requiring flexibility and creativity to respond to its challenges. Moreover, telemedicine encompasses many legal, technical and political issues that must be resolved before it can proliferate.