Healthcare BI Market Size Expected To Reach $4.7 Billion by 2018

The healthcare BI market size is expected to reach $4.7 billion by 2018, growing at a CAGR of 14.8% from 2013 to 2018, according to a new report by Marketsandmarkets. 

This high growth is mainly attributed to federal health reforms, rise in healthcare data, need to manage rising healthcare costs, improve medical outcomes & patient satisfaction and meet with increasing regulatory compliance requirements. Apart from these parameters, other factors such as growing usage of mobile by the healthcare community, increasing adoption of cloud computing, growing healthcare IT adoption, boosting healthcare information exchanges, health insurance exchanges, and integration environments are indirectly supporting this market growth. However, factors such as data privacy and security issues, complex set of technologies, lack of flexibility of systems, and lack of manpower with healthcare and technical skills are expected to hinder the growth of this market.

Despite the largest share carried by healthcare payers, providers overtake significantly in terms of market growth during the forecast period. Traditional BI dominates the global healthcare BI market, by technology, in terms of revenue while cloud BI and mobile BI pose a great market growth potential owing to growing mobile usage by the healthcare community, and rising demand of hospitals and health systems for a more accessible, cheaper, flexible, agile, and scalable form of BI in this cost constraint healthcare environment.

Based on end application, the market growth will be mainly driven by clinical applications during the forecast period. Among all functions, OLAP and visualization tools market is expected to have an edge over reporting and monitoring tools. North America, especially the U.S. dominates the market and is also expected to grow at the highest CAGR during the forecast period owing to growing adoption of BI systems by the healthcare providers.

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