North American Healthcare Cloud Computing Market to Expand with Significant CAGR By 2020

Healthcare cloud computing facilitates faster accessibility of electronic medical records and large storage of medical information in hospitals and clinics. Cloud computing also plays a vital role in patient billing and reduces capital expenditure which is associated with conventional mode of billing practices.

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The North American healthcare cloud computing market is categorized based on various service modes, applications, deployment modes, pricing models and components. The service mode segment is further sub-segmented into Software-as-a-Service (SaaS), Infrastructure-as-a-Service (IaaS) and Platform-as-a-Service (PaaS). The application segment includes Non Clinical Information System (NCIS) and Clinical Information System (CIS). The NCIS sub-segment is further divided into patient billing, payroll management, revenue cycle management and claims reimbursement systems. The CIS sub-segment includes Pharmacy Information System (PIS), Laboratory Information System (LIS), EMR and Computerized Physician Order Entry (CPOE).

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The deployment segment is categorized into private, public, community and hybrid modes of deployment. The pricing model segment is sub-segmented into pay-as-you-go model and the subscription-based cloud computing pricing model. The component segment includes services, software and hardware.

The U.S. and Canada dominates the North American healthcare cloud computing market due to improved healthcare infrastructure. For instance, in 2012, American Hospital Association (AHA), a national organization that represents and serves all types of hospitals and healthcare networks conducted an annual survey of total number of registered hospitals in the U.S. This number was 5,723 in 2012. Registered hospitals are those hospitals that fulfill all the AHA criteria. This improved healthcare system in the U.S. has resulted in significant rise in demand of cloud computing services for delivery of better healthcare services.

In recent time, increased adoption of information technology is key driver for the North American healthcare cloud computing market. In addition, several government legislative reforms like Patient Protection and Affordability Care Act (PPACA) and advanced features of healthcare cloud computing services are also supporting in growth of the North American healthcare cloud computing market.

However, the high cost involved in implementation of CIS is key restraint for the North American healthcare cloud computing market. Moreover, lack of security and privacy of patient’s information in CIS also obstructs the growth of the North American healthcare cloud computing market. Increasing usage of portable devices, such as cell-phones and laptops, to access healthcare services is key trend for the North American healthcare cloud computing market

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Some of the major companies operating in the North American healthcare cloud computing market are CareCloud Corporation, athenahealth, Inc., Carestream Health, Inc., ClearData Networks, Inc., Cisco Systems, Inc., EMC Corporation, Dell, Inc., Hewlett-Packard Company, IBM Corporation, Iron Mountain, Inc., Microsoft Corporation, Merge Healthcare, Inc., VMware, Inc. and Oracle Corporation.

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