Market Trends of Hospital Information System Industry
This section covers the major market trends shaping the Hospital Information System Market according to our research experts:
The Cloud-based Segment is Expected to Witness the Fastest Growth during the Forecast Period
Cloud-based systems store data on external servers, where they can be accessed via the web, which only requires a computer with an internet connection. Cloud-based delivery helps healthcare providers and patients access information anytime and anywhere.
During the COVID-19 pandemic in 2020, healthcare organizations ramped up efforts to treat COVID-19 patients, and health IT vendors provided them with tools to manage cases and analyze data and assess patients remotely.
For instance, in May 2020, Allscripts' client Gloucestershire Hospitals NHS Foundation Trust successfully went live with the latest addition to its Allscripts electronic health record (EHR), despite the ongoing novel coronavirus outbreak. The NHS Foundation Trust deployed a new EHR functionality to identify and escalate treatment for its sickest patients, and it created a go-live virtual office to provide 24/7 remote go-live support.
Cloud-based information systems are cost-effective, particularly for small- and medium-sized practices, as there are no large hardware expenditures, and the software expense is based on a consistent subscription rate.
Furthermore, cloud-based radiology information portals also allow physicians and medical practitioners to control access to sensitive information. Furthermore, cloud services are updated more frequently compared to on-premise counterparts to comply with the legal, regulatory, and accreditation requirements.
Moreover, an increasing number of hospitals, especially the chain of hospitals that need cloud-based information systems to manage data, is further fuelling the market growth. For instance, in June 2019, the North Denmark Region announced that it had chosen Systematic, a Danish software developer, as the supplier of a new electronic health record system for hospitals in the region.
Thus, healthcare functionality can be enhanced with the use of cloud-based systems, which offer broader integration and allow easy and secure sharing of data among healthcare professionals, which is expected to fuel the segment growth over the forecast period.
North America Dominates the Market, and It is Expected to do the Same During the Forecast Period
North America is projected to have a significant market share among the regions. The growth is attributed due to favorable government policies, well-established healthcare infrastructure, and rapid digitalization in healthcare systems.
Furthermore, the rising cases of COVID-19 in the North American region are creating a demand for software to analyze and understand how the ongoing pandemic is affecting the country more than other countries. For instance, in February 2020, AdventHealth, a Florida-based health system, announced that it will implement the Epic Systems EHR platform across its 50 hospital campuses and 1,200-plus care sites that range over nine states. The implementation of Epic will allow the health system to be on a single, integrated platform. This platform will include its EHR and a revenue cycle management system that covers Advent's physician practice, acute care, ambulatory, home health, urgent care, and hospice facilities.
The landscape for hospital information systems has undergone a significant change over the past few years, primarily due to the government's push to digitalize healthcare, from various initiatives to increase the adoption of electronic health records (EHR) to increasing investments in healthcare information exchange systems.
Furthermore, the rapid digitalization of the healthcare sector is fueling the demand for hospital information systems in the region, and government programs, such as Medicare and Medicaid, are also supporting the broader use of hospital information systems. For instance, in February 2020, Microsoft announced that it is providing USD 1.1 billion, which will include Microsoft cloud services, in Mexico. The digital revolution in this country is likely to drive the overall market growth as more hospitals and healthcare organizations will start using Microsoft's services. Hence, all these factors are projected to significantly boost the growth of the hospital information system market in the North American region.
