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North American Healthcare Cloud Computing Market is expected to reach $6.5 Billion by 2018

The adoption of the cloud technology enables the healthcare industry to reduced costs. Furthermore, this technology provides positive returns on investment. These are the key factors that are expected to drive the growth of this market. Furthermore, legislative reforms of the patient protection and affordable care act, improvements in storage technology, proliferation of new payment models, and greater flexibility and scalability of data have stimulated the use of cloud computing in the healthcare industry. The primary factors that are restraining the growth of this market include security and privacy concerns over the medical and patient data.

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 The market by deployment model includes private, public, and hybrid clouds. In 2013, the private cloud segment accounted for the largest share of the cloud computing market, by deployment. The services market in cloud computing is divided into software-as-a-service (SaaS), infrastructure-as-a-service (IaaS), and platform-as-a-service (PaaS). The pricing model market comprises the two majorly adopted models, namely, Pay-As-You-Go and Spot Pricing; the Pay-As-You-Go model accounted for the largest share of this market in 2013. The cloud computing market, by components, includes software, hardware, and services. The software segment accounted for the largest share of the North American healthcare cloud computing market, by component, in 2013. The North American healthcare cloud computing market by end-users is broadly categorized into healthcare payers and providers. Based on geography, the market is divided into the U.S. and Canada.

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 The U.S. market dominated the North American Healthcare Cloud Computing market in the forecast period. The U.S. has been a pioneer in terms of developing and adopting the cloud technology. Even though EMR systems with a computerized provider order entry (CPOE) have existed for more than 30 years, till 2006, less than 10% of hospitals in the U.S. had a fully integrated system. With an aim to change this existing scenario, the Obama administration passed laws to provide the healthcare industry with $19 billion in subsidies over the next few years, to persuade doctors and hospitals to go digital. Big firms have already perceived this as an opportunity to venture into the cloud market. These federal measures are also likely to augment the adoption of cloud computing in rural areas, which will propel the growth of the cloud computing market in the U.S.

 The major players in the North American Healthcare Cloud Computing Market include athenahealth, Inc., CareCloud Corporation, Carestream Health, Inc., ClearData Networks, Inc., Cisco Systems, Inc., Dell, Inc., EMC Corporation, Global Net Access (GNAX) Health, Hewlett-Packard Company, IBM Corporation, Iron Mountain, Inc., Merge Healthcare, Inc., Microsoft Corporation, Oracle Corporation, and VMware, Inc.


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