Healthcare application hosting providers are hosting more vendors and providing more services amidst acquisitions and dramatic changes in the market.
Orem, Utah - December 21, 2011 - Application hosting continues to garner attention from a growing number of healthcare providers, particularly in the community hospital space, according to the KLAS report Application Hosting: Dynamic Changes Bring Providers Better Options. Healthcare providers see hosting as a way to offload capital expenditures and tap into the higher level of technology a hosting provider can offer. One CIO of a 25-bed hospital in the Midwest said, "I don't worry about anything. [Our hosting provider] takes care of it all; I couldn't possibly try to maintain all the servers myself."
KLAS' report shows that significant shifts in the performance of hosting providers, in acquisitions, and in application hosting sales, which are surging in community hospitals, have all shaped a dynamic market. The competition has increased, and hosting providers have expanded their available hosting options. In 2009, KLAS reported that nearly all software-hosting vendors were performing better than third-party hosting firms. Since then, service firms ACS and Dell have had significantly improved satisfaction scores. They now better rival the traditionally highly performing software vendors Cerner, GE, McKesson, and Siemens. ACS and Dell were the only firms hosting Epic and MEDITECH, two EMR market share leaders that don't offer their own hosting services. Siemens' scores improved while McKesson's and Allscripts' scores fell.