As some of you may recall, a few months ago we took a look at Soarian’s prospects for taking some of Epic’s ever-growing EMR marketing share. At the time, we noted that Soarian’s customer satisfaction ratings were climbing and its list of big deals was growing. In the wake of our story a few readers chimed in to slam Sorian, hard — one dubbed it “the most asinine and ridiculously slow system. Ever.” — but with Siemens’ $85 billion behind it, it’s not going anywhere soon.
So, here’s some stats on Siemens’ position on the HIS market, courtesy of HealthDataManagement magazine. As previously noted, HDM defines HIS as the complete package of hardware, software and implementation needed to manage and support a hospital.
HDM has ranked Siemens as third in volume, behind McKesson (#1) and Cerner (#2). HDM estimates that Siemens has 14 percent of the HIS market.
All that being said, bear in mind that we’re not suggesting the order in which their revenue streams are ranked implies that, say, McKesson offers better products then Cerner. But numbers like these are interesting anyway, aren’t they? At least in that rubbernecking-can’t-turn-away-from-that-car-crash way…
Siemens AG (SI)
CEO: Peter Loescher
CEO of Healthcare Sector: Hermann Requardt
2011 HIS Revenue: $1.7 billion
2010 HIS Revenue: $1.6 billion
Clearly, Siemens wouldn’t go out of business any time soon if it dropped the entire HIS business into a black hole. $1.7 billion isn’t chump change but it’s a tiny part of the 85 billion Euro company’s overall revenues.
Ah, but for readers of this publication, there’s a catch. Soarian seems to be set up for growth, if the consultants behind HDM’s research are right. According to them, Soarian continues to sell well, and what’s more, with many clients still using Siemens’ older Invision and MedSeries4 systems, Siemens has many prospects that could be sold on a Soarian upgrade. If so, we could see some real rumbling in the power structure of the EMR business overall.
Interesting fact: While most of its competitors are firmly rooted in the healthcare business, Siemens is as much (if not more) an electronics and electrical engineering company with very large stakes in power generation, renewable energy, oil and gas, power transmission and distribution.