Healthcare Cloud Computing Market to Reach $9.48 Bn by 2020: Report

By CIOReview | Friday, August 7, 2015
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FREMONT, C.A: The Healthcare cloud computing market which is currently close to $3.73 Billion is expected to grow to$9.48 Bn by the year 2020 at a Compound Annual Growth Rate (CAGR) of 20.5 percent, reports MARKETSANDMARKETS.

The global healthcare cloud computing market is segmented on the basis of application, service model, deployment model, pricing model, component, end user, and region.

When looking at the segment based on application, the healthcare cloud computing market is categorized into clinical and nonclinical information system (CIS) and (NCIS). Similarly on the basis of service model, this market is segmented into software-as-a-service (SaaS), information-as-a-service (IaaS), and platform-as-a-service (PaaS).

Based on deployment model, the market is segmented into private cloud, public cloud, and hybrid cloud and according to pricing model; it is segmented into pay-as-you-go and spot pricing. The market is categorized into hardware, software, and services in case of component and is segmented into healthcare providers and healthcare payers according to end users. Besides this, the market is divided into North America, Europe, Asia, and the Rest of the World (RoW).

Driven by the zeal to rein in on the healthcare cost and to better the healthcare quality, more healthcare organizations look forward to achieve the desired results through cloud. The other reasons for greater cloud adoption in the healthcare industry include monetary benefits for the healthcare IT, innovative payment models and cost benefits through cloud implementation. The Patient Protection and Affordable Care Act (PPACA)  is also expected to support this momentum, the report suggests.

According to the report, it is estimated that North America will account for the major share of the healthcare cloud computing market, followed closely by Europe and Asia in 2015. It is stipulated that North America will continue to grow with the highest CAGR during the forecast period.

While teleCloud and the formation of Accountable Care Organizations (ACOs) portend growth opportunities for the healthcare cloud computing market, apprehensions pertaining to the patient data security on the cloud stand out as the major impediment to this trend.