Market Trends of Hospital Information System Industry
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.
Cloud-based information systems are cost-effective, particularly for small- and medium-sized practices, as there is no large hardware expenditure, and the software expense is based on a consistent subscription rate. Furthermore, cloud-based radiology information portals allow physicians and medical practitioners to control access to sensitive information. Cloud services are updated more frequently than on-premises counterparts to comply with legal, regulatory, and accreditation requirements.
The segment's growth is expected to be enhanced by various factors, including recent product launches and strategic moves like mergers and acquisitions, as demonstrated by Qlik Cloud Government's progress in May 2023. Qlik Cloud Government took a significant leap forward by introducing new capabilities that are certified by FedRAMP. Public sector customers can access Qlik Cloud Data Integration, Qlik Application Automation, Direct Query, and Qlik Data Gateway - Direct Access through the FedRAMP Marketplace.
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’s growth over the forecast period.
The Asia-Pacific is Expected to Be the Fastest-growing Region During the Forecast Period
Asia-Pacific is projected to hold a significant market share among all the regions, which can be attributed to favorable government policies, well-established healthcare infrastructure, and rapid digitalization in healthcare systems.
Increasing product launches in the region and the high adoption of electronic health records (EHR), as well as cloud-based platforms, are some of the key factors responsible for market growth. For instance, in September 2023, Apollo Hospitals collaborated with Google Cloud and introduced Apollo 24|7, a digital platform to deliver healthcare services to the entire Indian population. This platform encompasses telemedicine services, virtual doctor consultations, convenient home delivery of medications, and a clinical decision support system powered by artificial intelligence. Apollo 24|7 is constructed on the foundation of Google Cloud and provides care navigation services through AskApollo.
The rapid digitalization of the healthcare sector is fueling the demand for hospital information systems in the region, and government programs are also supporting the broader use of hospital information systems. For instance, in April 2024, Microsoft announced it would invest USD 2.9 billion over the next two years to increase its hyperscale cloud computing and AI infrastructure in Japan. It will also expand its digital skilling programs with the goal of providing AI skills to more than 3 million people over the next three years, open its first Microsoft Research Asia lab in Japan, and expand its cybersecurity collaboration with the Government of Japan. The digital revolution in this country is likely to drive the overall market growth as more hospitals and healthcare organizations start using Microsoft’s services. Hence, all these factors are projected to significantly boost the growth of the hospital information system market in North America.
