Smart Hospitals To Invest Over $11 Bn In Digital Tech: Study

by CXOtoday News Desk    Dec 08, 2017

Healthcare

By 2025, 10 percent of hospitals across the globe will become or will have started implementations to become smart hospitals. A recent Frost & Sullivan’s  research projects a significant market growth and billions of dollars in revenues for four key segments, including, Pharmacy automation; Mobile asset tracking; Data analytics and; Cloud computing.

The study notes that market opportunity totals approximately $11 billion, with the data analytics market for smart hospitals reaching revenues of $5.9 billion in 2018. The cloud computing market is expected to hit revenues of $5.1 billion.

There is currently ambiguity around the term “smart.” Transformational Health Industry Analyst Siddharth Shah said a true smart hospital acknowledges digitization as only the first step, and focuses on three major areas—operational efficiency, clinical excellence, and patient-centricity—with technological advances leveraged for these three areas to derive smart insights.

“Not every hospital needs to become smart in a single step. Instead, the approach they need to take is to implement smart solutions, one by one, and then allow newer solutions to integrate with existing ones in the journey toward becoming smart,” said Shah. “This allows hospitals to implement solutions with limited financial investments, reap rewards and ROI, and then implement the next solution.”

In terms of regional readiness for the adoption of the smart hospital concept, North America leads, followed by Europe and Asia Pacific regarding technological sophistication, regulatory landscape, spending power, and end-user readiness. However, the hotspots for current smart hospitals are concentrated in the Asia Pacific region.

“The two largest challenges obstructing hospitals from achieving the smart hospital vision are interoperability and cybersecurity. To truly achieve a ’smart’ status by deriving intelligent insights, various devices, systems and networks in the hospital must ‘talk’ to one another in ways that are coherent and complete for a holistic analysis,” observed Shah. “Digitization brings in additional vulnerabilities in a hospital for hackers to target, making cybersecurity a challenge.”