Driven by Reforms Encouraging Digitization of Healthcare Industry, Healthcare Cloud Computing Market to Expand at 20.0% CAGR
Healthcare cloud computing is presently one of the fastest growing sectors of the global healthcare industry that is currently on the verge of a digital revolution. In the past few years, healthcare companies have shown a rising level of interest in the potentials of cloud computing in leveraging the operational efficiency of a number of healthcare processes. Analysts project that the global healthcare cloud computing market will propel at a highly expansive rate and soon enough, healthcare systems across the globe, conventional as well as modern, will adopt healthcare cloud solutions.
It is known that the rate of adoption of technology for the purpose of collaborating and coordinating patient data among medical practitioners and patients has been a bit slow as compared to other industries. Healthcare systems in developing or under-developed regions witnessing a dearth of advanced medical facilities and a general lack of modern healthcare infrastructure, still manage patient data on paper-based records. The limited volume of data that exists in digital form due to the some means of digitization is also not portable. Healthcare industry’s concerns about patient data security has also made it difficult for a variety of patient-related information to be shared across different segments of the healthcare market. The fragmented nature of technology infrastructure and systems of the healthcare industry across the globe has also restrained large-scale innovation of information technology and its diverse offerings, such as cloud computing, in the global healthcare market.
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Healthcare Reforms Propel Adoption of Cloud Computing In Healthcare Industry
There has been a significant change in the situation in the past few years. A number of healthcare reforms across the globe, in developed as well as developing economies, are mandating the adoption of electronic medical records and digital modernization of healthcare infrastructure. In response to this, the global healthcare industry is also rapidly adopting information-centric data sharing model. On the verge of this digital transformation, the global healthcare industry is facilitated by cloud computing solutions which present benefits that seem to be tailored for industry.
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High Rate of Adoption Reveals Healthcare Cloud Computing’s Potential
The continuously rising uptake of a number of cloud computing solutions in the healthcare industry fuels the scope of cloud computing in the healthcare industry. According to a market research report on healthcare cloud published by Persistence Market Research, the global market for healthcare cloud computing had a valuation of US$4,216.5 mn in 2014, with prospects of expanding at an excellent 20.1% CAGR between 2015 and 2020. At this pace, the market is expected to reach US$12,653.4 mn by 2020.
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It is estimated that more than 150,000 healthcare practitioners and physicians across the 50 states of the U.S. have already started using cloud-based electronic medical health record services. Looking at the large-scale adoption, major IT companies such as ORACLE CORPORATION, Philips, Microsoft, AT&T, Qualcomm Life, and IBM are launching increasingly advanced healthcare cloud computing solutions.