LONDON, England, April 25 /PRNewswire/ -- Spiralling healthcare costs and the increasing complexity of healthcare IT systems are compelling hospitals to selectively source their IT needs. This, together with heightened public sector interest in IT modernisation initiatives across Europe, is creating tremendous opportunities for healthcare IT vendors and managed service providers.
Frost & Sullivan (http://www.healthcare.frost.com) finds that the European Healthcare IT Market earned revenues of $383.4 million in 2005, with services accounting for approximately 30.0 per cent of the overall market. This market is estimated to reach $634.3 million in 2010, with the contribution of services likely to increase further.
“The IT departments of most hospitals in Europe do not have the requisite infrastructure or human resources to handle the rapidly increasing applications of IT in various facets of healthcare,” opines Frost & Sullivan Research Analyst Sumanth Kambhammettu. “It has, therefore, become important for solution vendors to add value to their products by establishing long-term contracts that involve not only developing and supplying a solution, but leveraging on their business expertise and managing it efficiently.”
Government-backed IT modernisation initiatives introduced in some European countries are likely to pave the way for expanded adaptation of managed services. Such initiatives are seen as being key to reducing healthcare expenditures, which currently account for the single largest component of public spending in countries such as the United Kingdom, France, and the Netherlands. Selective sourcing and managed services are identified as being crucial to the efficient management of healthcare IT in the near future.
The healthcare IT industry is a combination of a varied set of participants such as software vendors, hardware manufacturers, consultants, systems integrators, value-added resellers, component distributors and network service providers, each providing different kinds of solutions and/or services. With the rising complexity of healthcare information systems and intensifying competition, providers are looking at their services as a differentiator.
“With such strong competition in the European markets, IT solution vendors and service providers will find it difficult to sustain profitability,” opines Mr. Kambhammettu. “Industry participants will have to provide consistent, high-quality services and carve out a niche for themselves.”
A new partnership-based approach, with an emphasis on long-term relationships and strategic win-win situations, will define competitive trends in the future. Risk sharing is another strategy that could result in the consolidation of managed service relationships.
European Healthcare IT Managed Services Markets, is part of the Healthcare IT Subscription, which also includes research in the following markets: European Healthcare IT Professional Services Market, European Healthcare IT Outsourcing Market and Opportunities in Application Service Provider (ASP) and European Hospital Information Systems (HIS) Market. All research included in subscriptions provide detailed market opportunities and industry trends. All research is evaluated following extensive interviews with market participants. Interviews are available to the press.
If you are interested in a virtual brochure, which provides manufacturers, end users, and other industry participants with an overview of the latest analysis of the European Healthcare IT Managed Services Markets then send an e-mail to Radhika Menon Theodore- Corporate Communications at rmtheodore@frost.com with the following information: your full name, company name, title, telephone number, e-mail address, city, state, and country. We will send you the information via email upon receipt of the above information.
Frost & Sullivan, a global growth consulting company, has been partnering with clients to support the development of innovative strategies for more than 40 years. The company’s industry expertise integrates growth consulting, growth partnership services, and corporate management training to identify and develop opportunities. Frost & Sullivan serves an extensive clientele that includes Global 1000 companies, emerging companies, and the investment community by providing comprehensive industry coverage that reflects a unique global perspective and combines ongoing analysis of markets, technologies, econometrics, and demographics. For more information, visit www.frost.com.
European Healthcare IT Managed Services Markets B811-48 Contact: Radhika Menon Theodore Corporate Communications - Europe P: +91-44-42044541 F: +91-44-24314264 E: rmtheodore@frost.com Melina Trevino Corporate Communications - Americas P: +1-210-247-2440 F: +1-210-348-1003 E: melina.trevino@frost.com Surbhi Dedhia Corporate Communications - India P: +912228324705 Ext: 131 E: sdedhia@frost.com Jasminder Kaur Corporate Communications - Asia Pacific P: +65-68900937 E: jkaur@frost.com Sharmin Jassal Corporate Communications - Australia P: +61-2-8247-8900 F: +61-2-9252-8066 E: sjassal@frost.comwww.frost.com
List of keywords in this press release: healthcare IT managed services, healthcare IT, healthcare IT vendors, managed service providers, the United Kingdom, France, Netherlands, software vendors, hardware manufacturers, consultants, systems integrators, value-added resellers, component distributors, network service providers, Europe, market, research, service
List of key industry participants: Cerner Corporation, Siemens Medical Solutions, Dell Corporation, iSoft Plc, BT Consulting, Tieto Enator, Agfa Healthcare, MSG Systems AG, Medasys SA, Philips Medical Systems, Fujitsu Services, GE Healthcare, CSC Corp, Atos Origin, Bearing Point, Accenture, Cap Gemini, IBM
Frost & Sullivan
CONTACT: Radhika Menon Theodore,Corporate Communications Europe, P:+91-44-42044541, F: +91-44-24314264, E: rmtheodore@frost.com; MelinaTrevino, Corporate Communications Americas, P: +1-210-247-2440, F:+1-210-348-1003, E: melina.trevino@frost.com; Surbhi Dedhia, CorporateCommunications India, P: +91-222-832-4705 Ext: 131, E: sdedhia@frost.com;Jasminder Kaur, Corporate Communications Asia Pacific, P: +65-68900937, E:jkaur@frost.com; Sharmin Jassal, Corporate Communications Australia, P:+61-2-8247-8900, F: +61-2-9252-8066, E: sjassal@frost.com
