IT@Healthcare Healthcare: Safety starts with strong IT security As heathcare goes digital, organisations need to revamp their IT security infrastructure to combat more sophisticated threats while supporting business functions and processes. Vishak Raman, Senior Regional Director, India and SAARC, Fortinet, gives an outlook
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Investment in health IT: Gaining ground The Indian healthcare industry is at an exciting juncture and health-IT is leading its path. Although few investors are looking at health-IT firms right now, it has the potential to attract many more in the near future, says M Neelam Kachhap
he Indian healthcare industry estimated at $40 billion in 2010 is expected to reach $280 billion by 2020. This rapid expansion in the segment is due to huge demand in healthcare and explosive development of the healthcare delivery segment. One of the main engines of growth of healthcare is the growing use of IT in healthcare delivery. Health-IT is transforming the way healthcare is delivered, with the application of newer, better IT systems and applications. Adoption of IT has become one of the top priorities for the Indian healthcare providers. According to Frost & Sullivan reports, spending on information technology (IT) by Indian healthcare players
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was estimated at $244 million in 2010 and is expected to grow at 22 per cent pa over the next 10 years. This throws up a lot of opportunities for IT players as large number of hospitals will be adopting information technology apart from medical technology. Moreover, experts believe that with new and upcoming applications such as telemedicine and e-prescriptions penetrating the healthcare vertical in India, IT investments on software would further increase with a focus on integrated billing and online availability of patient records across hospitals. With all this buzz around health-IT there has been SEPTEMBER 2012
massive influx of funds in this sector as investors are increasing their bets on health-IT.
Global investments in HIT Global Venture Capital (VC) funding in the HIT sector continued to scale new heights reaching $293 million in Q2 2012 in 28 deals. Both the total amount and the number of deals were at their highest levels since 2010. According to a report by Mercom Capital Group, in Q2 2012, Health Information Management (HIM) companies received the most funding as a technology group with $247 million in 19 deals www.expresshealthcare.in
followed by Telemedicine companies with $19 million in three deals and Personal Health Record (PHR) companies with $16 million in four deals. The top VC funding deal this quarter was the $100 million raised by Castlight Health, a provider of healthcare web and mobile-based transparency solutions that enable comparisons of doctors, hospitals, medical procedures based on price and quality, followed by $34 million raised by Practice Fusion, a provider of free web-based EMR, and $30
million each raised by Valence Health, a provider of clinical integration, data collection and analysis software and Liaison Technologies, a provider of cloud-based integration and data management solutions. Other top deals were $14 million each raised by Carena, a provider of healthcare services 24 hours a day via phone, secure video, and the traditional house calls and Aware Point Corporation, a provider of real-time location system (RTLS) solutions for healthcare. The average VC deal size in Q2 was $10.5 million. EXPRESS HEALTHCARE
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