Frost & Sullivan: Healthcare Companies Use Cloud Technology the Most
A new Frost & Sullivan survey showed nearly half of the IT decision makers in healthcare companies across the United States and Europe have moved the majority of their enterprise communications to the cloud.
The survey of 153 decision-makers who are responsible for IT-related purchases in the healthcare industry in the U.S. and Europe, titled “The Future of IT in the Healthcare Industry from an IT Decision Maker Perspective,” revealed healthcare providers are leveraging the cloud and other IT solutions to become more productive.
“A boost in productivity is the top reason for IT investments in large hospitals, small-to-medium-sized hospitals and ambulatory service centers across the U.S. and Europe,” Frost & Sullivan Research Analyst Karolina Olszewska said in a prepared statement. “In addition, large hospitals tend to invest in IT solutions to improve collaboration and accelerate decision-making, while small hospitals use these solutions to attract and retain their workforce.”
Other survey results included:
- 63 percent of large hospitals, 49 percent of small-to-medium-sized hospitals and 33 percent of ambulatory service centers said they believe it is important to use IT to meet business objectives.
- Cloud computing is the most widely adopted technology among healthcare companies.
- Researchers said they expect more healthcare companies to move their enterprise communications to the cloud because security concerns regarding cloud computing technologies are on the decline.
Olszewska noted IT companies have to strategize to deal with new regulatory requirements that are driving up hospitals’ IT costs as well.
Healthcare cloud market is expected to grow
The research firm said earlier this year it expects the demand for healthcare cloud services to expand at a 29.8 percent compound annual growth rate (CAGR) through 2018.
A 2013 MarketsandMarkets report, titled “Healthcare Cloud Computing (Clinical, ENR, SaaS, Private, Public, Hybrid) Market — Global Trends, Challenges, Opportunities & Forecasts (2012-2017),” revealed more healthcare organizations plan to devote resources to cloud migrations over the next few years.
MarketsandMarkets said many healthcare organizations intend to allocate funds for cloud migrations before 2017, and by then, the healthcare cloud market could be worth $5.4 billion.