Healthcare IT has the potential to generate valuable information to improve workflow, safety, and efficiency within healthcare organizations. The ability to capture, store, exchange, and analyze medical information in electronic form will improve healthcare in many ways. Healthcare IT provides benefits such as improved patient care, increased engagement of patient in healthcare, improved population-based knowledge, development of new tools for medicine, and augmented administrative efficiency.
In this report, the HCIT market is segmented on the basis of its application, delivery mode, and component. The HCIT market, by application is segmented into provider (clinical information technology and non-clinical information technology) and payer, while the market by delivery mode is further categorized as on-premises, web-premises, and cloud-premises. The healthcare information technology by component comprises of hardware, software, and services. North America (U.S. and Canada) commanded the highest share of the healthcare information technology market due to firm government support in terms of investment and incentives, growing demand for integrated healthcare IT systems to achieve high return on investment, growing patient consumerism for quality care and ensure safety, and rise in aging population.
President Obamas administration has spent $32 billion in 2012 on electronic health records. In addition, the Obama administration has provided incentives to implement EHR. For instance, in 2011, around 176,000 doctors registered for the Medicare and Medicaid EHR incentive programs, receiving a total of $2.5 billion in incentives. However, the Asia-Pacific market is slated to grow at the highest CAGR as healthcare organizations in the region are actively moving towards digitization to ensure patient safety and care, and to streamline workflow systems in large healthcare enterprises. In addition, growing healthcare cost in developed countries has strengthened the growth of the HCIT market in developing countries such as India, Singapore and Thailand.
Consequently, this results in migration of patients to suitable medical tourism destinations, where medical cost is lower as compared to their native regions. For instance, a hip replacement that costs $43,000 in the U.S. could cost $12,000 in Singapore and just $9,000 in India, which encourages patients to choose India as a medical destination. This increases the demand for HCIT solutions to streamline workflow and manage patient information.
The key players in the market are McKesson Corporation (U.S.), Epic (U.S.), Cerner Corporation (U.S.), Carestream Health Inc. (U.S.), Athenahealth Inc. (U.S.), Siemens Healthcare (Germany), Medical Information System Inc. (U.S.), Allscripts Healthcare Solutions Inc. (U.S.), GE Healthcare (U.K.), Agfa Healthcare (Belgium), NextGen Healthcare Information System, LLC (U.S.), Phillips Healthcare (The Netherlands), and Hewlett-Packard (U.S.), among others. Healthcare IT Market is estimated to grow at a CAGR of 7.0% to reach $ 56.7 Billion by 2017 from $40.4 Billion in 2012