The clinical IT services category is expected to grow at a CAGR of 17.9% from 2023 to 2030. North America has the biggest category share with more than 50% and APAC is expected to be the fastest-growing region during the forecast period. Aspects like the proliferation of digitization in healthcare, a growing demand for pre-emptive care options, the development of multiple startups, and growing collaborations and grants are responsible for the category’s growth. Also, rising healthcare IT expenditure together with modifications and refinements in network connectivity and network structure is boosting the category expansion. With the aid of a growing IT structure, major companies are concentrating on improving product development measures and making continuous technological progress.
Big data, the Internet of Things (IoT), artificial intelligence (AI), and machine learning (ML) algorithms are being incorporated by organizations into their current app to improve health & medical procedures. This is due to the growing worldwide elderly population, together with rising chronic disease burdens, increasing health and medical expenses, and rising demand for home-care services such as remote patient monitoring, is expected to drive IT service adoption. Chronic disorders such as diabetes, hypertension, cancer, and cardiovascular disease are increasing the demand for improved IT solutions. For instance:
• In January 2022, ELLKAY announced the acquisition of X-Link Medical Software Interfacing, a medical device connectivity solutions provider. This will bolster ELLKAY's expertise in medical device data management and interoperability.
• In December 2021, Epic Systems recently announced a collaboration with Microsoft to connect its electronic health record (EHR) system with Microsoft Teams. It is predicted that the integration will increase communication and collaboration between healthcare practitioners and patients.
Order your copy of the Clinical IT Services Procurement Intelligence Report, 2023 - 2030, published by Grand View Research, to get more details regarding day one, quick wins, portfolio analysis, key negotiation strategies of key suppliers, and low-cost/best-cost sourcing analysis
The clinical IT services category is consolidated and competitive consisting of several major players. However, in terms of revenue share, a few major players currently dominate the category. Major players are deploying various tactics like strategic agreements, mergers & acquisitions, contracts, and getting involved in several (R&D) activities in order to maintain and increase their category share. For instance:
• In April 2023, Philips collaborated with Northwell Health to standardize patient monitoring, to improve the treatment of patients and patient outcomes while promoting interoperability and data innovation
• In September 2022, Sharecare introduced Smart Omix, a digital clinical research technology that allows mobile research studies to collect data observed in real world and produce digital biomarkers. The features provided in Smart Omix are crucial in increasing the importance, objectivity, and data soundness of clinical research across the domain.
• In October 2021, Medtronic launched a new Open Innovation Platform (OIP) to meet the needs of patients in the Asia-Pacific region. The main goal of the OIP is to foster collaboration in healthcare technology strategies from multiple innovators across the Asia-Pacific regions in the areas of medical technology and digital health.
Hardware, software, consulting & implementation, training, and maintenance and support are the major cost components to be considered while offering clinical IT services. However, the total cost of clinical IT services can vary depending on the size and complexity of the healthcare organization, the type of clinical IT services being used, and the location of the organization. The cloud-based EHR has a lower upfront cost of USD 26,000 but higher yearly costs of USD 8,000, resulting in a total cost of ownership (TCO) of USD 58,000 over 5 years. The on-premise EHR has a higher upfront cost of USD 33,000 but lower yearly costs of USD 4,000, resulting in a TCO of USD 48,000 over 5 years.
When sourcing clinical IT services, it is crucial to narrow down clinical IT service provider options by considering the needs and priorities of the organization. Research on providers to make informed decisions and an RFP (request for proposal) can be created to outline the needs and requirements of the organization and to compare different providers and their offerings. Proposals should be evaluated, and providers should be selected based on pricing, services, track record, needs, requirements, budget, and experience. A contract can be negotiated with the provider to outline the terms and conditions of the relationship. The contract should be reviewed to ensure that it meets the needs of the organization.
Browse through Grand View Research’s collection of procurement intelligence studies:
• Clinical Staffing Services Procurement Intelligence Report, 2023 - 2030 (Revenue Forecast, Supplier Ranking & Matrix, Emerging Technologies, Pricing Models, Cost Structure, Engagement & Operating Model, Competitive Landscape)
• Medical Writing Procurement Intelligence Report, 2023 - 2030 (Revenue Forecast, Supplier Ranking & Matrix, Emerging Technologies, Pricing Models, Cost Structure, Engagement & Operating Model, Competitive Landscape)
Clinical IT Services Procurement Intelligence Report Scope
• Clinical IT Services Category Growth Rate: CAGR of 17.9% from 2023 to 2030
• Pricing growth Outlook: 18 - 22% (annual)
• Pricing Models: Subscription-based pricing model, Usage-based pricing model, Per-user pricing model
• Supplier Selection Scope: Cost and pricing, Past engagements, Productivity, Geographical presence
• Supplier selection criteria: Application, security, services, analytics, operational capabilities, regulatory standards and mandates, category innovations, and others
• Report Coverage: Revenue forecast, supplier ranking, supplier matrix, emerging technology, pricing models, cost structure, competitive landscape, growth factors, trends, engagement, and operating model
Key companies
• Philips Healthcare
• Agfa Healthcare
• Hewlett-Packard Enterprise
• Cerner Corporation
• Carestream Health
• GE Healthcare
• E-MDS, Inc.
• Athenahealth, Inc.
• eClinicalworks
• McKesson Corporation
Brief about Pipeline by Grand View Research:
A smart and effective supply chain is essential for growth in any organization. Pipeline division at Grand View Research provides detailed insights on every aspect of supply chain, which helps in efficient procurement decisions.
Our services include (not limited to):
• Market Intelligence involving – market size and forecast, growth factors, and driving trends
• Price and Cost Intelligence – pricing models adopted for the category, total cost of ownerships
• Supplier Intelligence – rich insight on supplier landscape, and identifies suppliers who are dominating, emerging, lounging, and specializing
• Sourcing / Procurement Intelligence – best practices followed in the industry, identifying standard KPIs and SLAs, peer analysis, negotiation strategies to be utilized with the suppliers, and best suited countries for sourcing to minimize supply chain disruptions
