State and local spending on health care IT-related initiatives is expected to increase by 19% across the next five years, propelled by the economic stimulus package and other emerging health care trends, according to a report issued from market research firm Input, Federal Computer Week reports.
The report found that the total addressable health IT market is estimated to reach $9.9 billion in 2015, up from $8.3 billion in 2010. In addition, electronic health record spending is projected to increase from $1.1 billion currently to $2 billion in 2015.
Driving Health IT Growth
Specifically, funding from the economic stimulus package is expected to bolster state and local health IT programs involving:
- Community-based health care center modernizations and EHR systems;
- Health information exchanges;
- Medicaid management data systems;
- Record locator systems; and
- Telehealth programs.
In addition, the report said that spending on health IT initiatives will be driven by several health care trends.
For example, states likely will increase their spending for Medicaid management systems to cope with increased enrollment brought on by the economic recession (Lipowicz, Federal Computer Week, 8/24).