DELTEK FEDERAL HEALTH INFORMATION TECHNOLOGY MARKET, 2018-2023
Published: 04/05/2018
Description
The federal government estimates that federal health care spending will increase 80% from $918B in 2015 to $1.7T in 2025. Requirements for improved quality, interoperability, data sharing and privacy will drive federal agencies taking on the role of promoter, provider or payer to invest in more IT solutions for enhanced health effects and to thwart waste, fraud and abuse. A focus on patient accessibility, paying for performance, modernizing health IT systems and emerging technology will spur spending within the health IT market in the next five years. The Department of Defense is in the midst of deploying a new electronic health record (EHR) system, and the Department of Veterans Affairs is expected to implement the same solution. Federal health IT spending over the forecasted period is greatly influenced by these new EHR platforms as well as potential solutions by the Coast Guard and Department of State. Efforts to increase medical innovation, mobile health, health care cost control and combat public health issues such as the current opioid epidemic will also solidify investments in health IT products and services. Deltek forecasts spending on vendor-provided federal health IT goods and services will increase from $6.1B in 2018 to $8.1B in 2023 at a compound annual growth rate (CAGR) of 5.6%. Key Findings A growing Medicare population and increased military and veteran health costs will cause federal health care expenditures to continue to rise, forcing agencies to prioritize costs in areas of efficiency and improved outcomes.Federal agencies are using COTS, shared services, cloud and cyber solutions for health IT infrastructure and legacy system upgrades.Legislation and policies such as the HITECH Act, MACRA, the 21st Century Cures Act and MyHealthEData will continue to pave the way for health IT on a nationwide level. However, budget cuts in related federal health agencies will temper their spending on health IT solutions.A growing demand in mobile health solutions such as telehealth and telemedicine will drive growth in mobile health care products and applications.Critical Insight for Vendors This report delivers a comprehensive view of upcoming health IT spending plans. Its purpose is to assist in business development planning through strategic and tactical insight into the federal health IT market. The report provides: Details into the market structure, budget, policies and technologies driving the federal health IT marketplace.Budget and contract spending trends within federal health IT.Predictions of federal health IT program and market spending.Analysis of agency health IT budgets, priorities and initiatives as well as market projections.Deltek's Federal Health Information Technology Market, 2018-2023 report is delivered in PowerPoint® format, including a PowerPoint® Executive Briefing, and an Excel® data workbook.
