New Versions: The Epic Death Blow for MEDITECH?
May 7th, 2017 | 01:57 PM (UTC)
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Health IT Social
For the longest time, MEDITECH has marched to the beat of their own drum. Typically you see the same executive team with the overall mantra of, "stick around and we'll take care of you". The only problem they're dealing with now? The mother ship is in trouble and they are still searching for solutions even with their new web EHR (can we still call it new?).
The big news that came out however was that Epic Systems, in their quest for world domination, has now announced they are developing three new versions of their product. Being at the right place at the right time, MEDITECH's sweet spot was community hospitals with smaller budgets who couldn't afford Epic's price tag. Through the onset of Obamacare and the natural consolidation of health systems, you saw a natural shift to Epic hospitals given their dominance in larger systems. As that played out, it's evident now that the light bulb finally turned on with Judy to create separate offerings for these areas of the market. And it's brilliant, Epic's information, integration and brand now available to smaller hospitals.
MEDITECH's typical play has always been to weather the storm, but they have to be looking at this move with major trepidation. They've already lost $157 million in revenue i the past 5 years and the Epic/Cerner contingency are winning the war.
So what should we expect? The average company would hire a new CEO with the mindset of "get us ready for sale" (see Source Medical). But MEDITECH is not the average company. If I were a betting man, I'd see MEDITECH eventually finding themselves in a position where they HAVE TO sell. Unless they bring in a new level of innovation that can match what Epic is bringing into their pricepoint, I see no way around it.
The HIS Guy has been in the C-Suite healthcare IT world for too long. As a result, he’s grown an inability to tolerate companies with poor products, organizations that make things too complicated and ridiculousness that stifles innovation. Disagree with him? We’ll give you 500 characters and let you respond (even anonymously if you choose). Email firstname.lastname@example.org with your take.
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