Yesterday’s post took a look at the future for the Health Information Exchange (HIE) market putting forth the projection that successful HIEs will move towards a platform as a service (PaaS) cloud computing model. Market forces (meaningful use) and simple logic are driving this transition.
Since putting up the post, Chilmark has received several emails from HIE vendors; without exception, all state that they are now moving in this direction.
But what yesterday’s post failed to mention were some of the likely challenges HIE vendors will face in making this transition. The figure below outlines the top three we foresee.
What do you foresee as the top three challenges for incumbents? Will new entrants simply leapfrog over incumbents or as in the past, will these new entrants simply burn up a lot of cash/resources and walk away from this market (this seems to have repeated itself in the HIT sector numerous times) with little to show for all their efforts?