North America Electronic Health Records Market Size, Share & Trends Analysis Report By Type (Acute, Post Acute), By Application (Radiology, Oncology), By Product, By Business Models, By End-use, By Country, And Segment Forecasts, 2024 - 2030

Market Size & Trends

The North America electronic health records market size was estimated at USD 12.99 billion in 2023 and is expected to grow at a CAGR of 2.46% from 2024 to 2030. The market is expected to grow significantly, driven by a rise in demand for centralized and streamlined healthcare administration and an increase in proactive government initiatives to enhance healthcare information technology (HCIT) usage. The growing trend of preventive healthcare and rising funding for digital health solutions startups are also some other factors boosting the market. Recent advancements in electronic health records (EHR) technology, with the inclusion of interoperability, mobile, cloud, and Big Data, are propelling the demand for advanced electronic health records (EHR) in the market.

The need for centralizing medical records for efficient care delivery and the shift toward value-based care are among the factors driving the global electronic health records market. For instance, in March 2022, Google Health collaborated with MEDITECH to use its search and summarization capabilities within MEDITECH's Expanse EHR platform to help clinicians provide the best care through easy and quick access to information from multiple sources.

In Canada, the adoption of EMRs has also seen substantial progress. As per a study published by the National Library of Medicine (NCBI) in 2021, over 86% of primary care physicians utilize EMRs, indicating a robust integration of digital health technologies in the country's healthcare system. In addition, the Canada Health Infoway launched ACCESS 2022, an initiative aimed at providing citizens with access to their personal health information and digitally delivered health services. This initiative is expected to significantly expand virtual healthcare options, accelerating the digital transformation of healthcare in Canada. These government initiatives underscore a strong commitment to enhancing healthcare through digital solutions, significantly driving the market growth in North America.

The market is expected to show significant growth, driven by the adoption of cloud-based EHR systems. Cloud-based EHRs offer many advantages over traditional web-based systems, making them highly attractive to healthcare providers. These benefits include easy implementation, cost savings, reduced IT resource requirements, enhanced accessibility & collaboration, and simplified scalability. In addition, cloud-based EHRs enhance data security and address interoperability & data exchange challenges, further boosting their adoption

Market Concentration & Characteristics

The chart below illustrates the relationship between market concentration, market characteristics, and market participants. The x-axis represents the level of market concentration, ranging from low to high. The y-axis represents various market characteristics, including degree of innovation, industry competition, product & services expansion, impact of regulations, level of merger & acquisition activities, and regional expansion. For instance, the market is fragmented, with many small players entering the market and launching new innovative products & services. The degree of innovation is high, the level of merger & acquisition activities is also high, and product & service expansion is moderate. The impact of regulations on the market is high, and the regional expansion of the market is moderate.

Several industry players are launching new products & services to improve their industry penetration. For instance, in April 2024, Oracle announced an Autonomous Shield Plan to assist customers in transitioning to a comprehensive EHR and Cloud Infrastructure solution, minimizing risk and enhancing system performance.

Key industry players, including GE HealthCare, Veradigm LLC, TruBridge (CPSI), and NXGN Management, LLC., Inc. involved in merger and acquisition activities to grow their industry presence. For instance, in November 2023, Thoma Bravo, a software investment firm, announced the acquisition of NXGN Management, LLC., Inc., an innovative, cloud-based healthcare technology solutions provider, for USD 1.8 billion.

The impact of regulations on the industry is high. The regulations related to EHRs are the HITECH Act, the 21st Century Cures Act, the ONC Health IT Certification Program, and the HIPAA Privacy Rule and Security Rule, which aim to promote the adoption and use of EHRs while ensuring the privacy and security of patient’s health information.

Industry players leverage the strategy of product & service expansion to increase capabilities and promote the reach of their offerings. For instance, in September 2023, NXGN Management, LLC. launched NextGen Ambient Assist, an ambient listening solution that interprets patient-provider discussions in real-time, rapidly summarizing appointments and documenting care plans. AI-generated SOAP notes are seamlessly integrated into the EHR for provider ease.

The presence of numerous local companies that understand regional industry and customer preferences poses significant competition to EHR. Some prominent companies in the industry are implementing various strategies, such as geographical expansion and launching new services, to consolidate their industry position across the North America region. For instance, in May 2024, Valley Health System announced the opening of a smart hospital in Paramus, NJ. The establishment will use the Meditech Expanse platform and other advanced technologies to improve workflows, including network infrastructure, clinical functions, & administrative operations.

Product Insights

The web-based EHR segment dominated the market in 2023 with a market share of 55.88% and is anticipated to grow at the fastest rate during the forecast period. The growth of the segment can be attributed to its popularity among physicians and healthcare providers which operate on a smaller scale. This is because web-based EHRs can be installed and used without in-house servers and can offer a wide range of improvements & customizations as per the customer’s needs. Major EHR vendors are launching new web-based solutions and expanding their services to cater to the growing demand, which is anticipated to boost the segment growth during the forecast period. For instance, in March 2022, MEDITECH expanded the availability of its practice management solution and web-based EHR system, Expanse Ambulatory, to independent & physician-owned practices without the requirement for an Expanse EHR in a hospital setting.

Furthermore, the client server-based EHR segment is expected to grow significantly during the forecast period. This type of system offers in-house data storage, providing a more secure option to prevent data theft. In addition, these systems can be tailored to meet specific customer needs and are well-suited for multi-physician facilities. Unlike web-based EHRs, they do not require a constant internet connection, which is a key factor driving the growth of this segment.

Type Insights

The acute segment dominated the market in 2023 with a market share of 46.34%. This is attributed to the increasing adoption of EHR systems in hospitals to improve patient care, streamline workflows, and meet regulatory requirements, which is expected to drive the segment. For instance, according to ONC, in 2021, a 2015 Edition certified EHR was adopted by 86% of non-Federal general acute care hospitals.   

The post-acute segment is expected to grow at the fastest rate during the forecast period. Moreover, market players are implementing merger and acquisition strategies to expand their offerings, improve care coordination, and enhance their market position, which is expected to support the segment growth in the coming years. For instance, in January 2024, PointClickCare Technologies acquired American HealthTech, a subsidiary of Computer Programs and Systems, Inc. (CPSI) that provides EHR solutions for the post-acute care market. This acquisition expands PointClickCare's presence in the post-acute care sector, enabling it to connect more providers and improve care collaboration & value-based care delivery.

Business Model Insights

The professional services segment dominated the market in 2023 with a market share of 32.04% and is expected to grow at the fastest rate during the forecast period. The professional services leverage healthcare organizations to design and implement EHR systems more effectively, leading to improved patient outcomes, better resource utilization, and enhanced decision-making based on health data. Moreover, the continuous development in the professional services EHR business model in North America leads to the growth of segment. For instance, in January 2021, the U.S. Orthopedic Alliance (USOA) and Veradigm LLC entered into a strategic partnership. This partnership aims to help orthopedic practices scale more quickly & increase the use of EHRs, provide evidence-based guidelines to support evolving clinical protocols, and use value-based care analytics to link the entire community.

The EHR subscription model is more affordable for small and medium-sized healthcare organizations compared to licensed software, as it saves on additional costs such as license fees, regular upgrades, and device maintenance. The subscription model reduces the need for in-house IT staff, as the EHR service provider handles software installation, configuration, testing, operation, and upgrades. Furthermore, the subscription model is expected to continue growing in popularity due to its cost-effectiveness and ease of use for healthcare providers. For larger healthcare facilities, the annual subscription fees can be higher, up to USD 500,000, for leading EHR software like Epic EHR.

Application Insights

The cardiology segment is expected to grow at the fastest rate during the forecast period. The growth of segment is driven by the increase in incidence of hospitalization of patients diagnosed with cardiovascular diseases such as coronary heart disease and stroke. According to the American Heart Association's Heart Disease & Stroke 2024 Statistical Update, cardiovascular diseases, such as coronary heart disease, hypertension, and stroke, were the leading causes of death in the U.S. In 2021, the age-adjusted U.S. death rate attributable to cardiovascular disease is around 224.0 deaths per 100,000 population. This rise in the prevalence of cardiovascular diseases, coupled with government initiatives and the need for efficient evaluation & monitoring of cardiovascular functioning to prevent medication errors, is expected to fuel the demand for EHR systems over the forecast period.

The oncology segment is anticipated to grow at a significant market share during the forecast period. This growth is driven due to the growing incidence of cancer and rise in adoption of EHR solutions. For instance, according to the National Cancer Institute, in 2024, approximately 2,001,140 new cases of cancer are expected to be diagnosed in the U.S., and it is estimated that 611,720 people will die due to the disease.

End-use Insights

The hospital use segment dominated the market in 2023 with a market share of 60.61%. The growth of segment is driven by the increase in the adoption of EHR in hospitals for improving clinical, financial, & administrative efficiency and the rising need for enhancing information systems in hospitals. Moreover, the increase in shift from volume-based care to value-based care leads to an increase in the demand for EHR in hospitals. According to the Office of the National Coordinator for Health Information Technology (ONC), EHR adoption in U.S. hospitals increased from 9% in 2008 to 96% adoption in 2021.

The ambulatory use segment is expected to grow at the fastest growth rate during the forecast period owing to the increase in the need for seamless healthcare information exchange, technological advancements, increased adoption in developed markets, and government initiatives to improve patient health record portals. For instance, in 2021, nearly 87% of acute and ambulatory care facilities adopted enterprise-wide patient flow systems, with high adoption in critical areas, according to an article by the College of Healthcare Information Management Executives.

Country Insights

U.S Electronic Health Records Trends

U.S. EHR market held the largest share in 2023 owing to favorable government regulations and acts for monitoring the safety of healthcare IT solutions, growing investment in R&D, and the rising need for interoperability between different EHR systems. Many companies offer EHR systems in North America, including large established companies such as Oracle, GE Healthcare, Veradigm LLC, Epic Systems Corporation, eClinicalWorks, Greenway Health, LLC., NextGen Healthcare, Inc., Medical Information Technology, Inc. (Meditech), TruBridge (CPSI), AdvancedMD, Inc., CureMD Healthcare, and McKesson Corporation compete on factors such as cost, ease of use, system functionality, and customer support.

Key North America Electronic Health Records Company Insights

The demand for EHR has led to increased competition among companies in the North America electronic health records market. Key players in this market include eClinicalWorks, NXGN Management, LLC.; Epic Systems Corporation; GE Healthcare; Medidata, Veradigm LLC; Greenway Health, LLC, and NXGN Management LLC, among others. Furthermore, increasing industry consolidation activities such as partnership & collaboration, acquisitions, and mergers by the top market players as well as growing initiatives in launching new services by key players are also anticipated to increase their share in the market. Some of the few startups’ players include hc1, Kareo, Inc., and EverHealth Solutions Inc.

Recent Developments

• In May 2024, eClinicalWorks launched Sunoh.ai, a listening EHR-focused AI technology for dental practices. Its goal is to enhance clinical documentation speed and efficiency and elevate patient care.

• In May 2024, The Department of Veterans Affairs extended the one-year EHR contract with Oracle to modernize its legacy health record system

• In March 2024, eClinicalWorks, the ambulatory cloud EHR provider, announced the successful completion of synthetic testing for UDS Patient Level Submission (UDS+) reporting through Fast Healthcare Interoperability Resources (FHIR).

• In March 2024, Veradigm LLC announced the acquisition of ScienceIO, an AI platform and foundation model provider for the healthcare ecosystem. This acquisition aims to accelerate the delivery of results from unstructured data to customers across the healthcare ecosystem.

• In September 2023, Oracle incorporated generative AI into its EHR policies. The Oracle Clinical Digital Assistant tool is designed to interact with clinicians through conversational voice prompts. The company emphasizes its goal of alleviating the burden of repetitive tasks and mitigating burnout among healthcare professionals.

North America Electronic Health Records Market Report Scope

North America Electronic Health Records Market Report Segmentation

This report forecasts revenue growth at the country level and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2030. For this study, Grand View Research has segmented the North America electronic health records market report based on product, type, business model, application, end-use, and country:

• Product Outlook (Revenue, USD Million, 2018 - 2030­)

  • Client-server Based EHR

  • Web-based EHR

• Type Outlook (Revenue, USD Million, 2018 - 2030)

  • Acute

  • Ambulatory

  • Post Acute

• Business Model Outlook (Revenue, USD Million, 2018 - 2030)

  • Licensed Software

  • Technology Resale

  • Subscriptions

  • Professional Services

  • Others

• Application Outlook (Revenue, USD Million, 2018 - 2030)

  • Cardiology

  • Neurology

  • Radiology

  • Oncology

  • Others

• End-use Outlook (Revenue, USD Million, 2018 - 2030)

  • Hospital Use

  • Ambulatory Use

• Country Outlook (Revenue, USD Million, 2018 - 2030)

  • U.S.

  • Canada

  • Mexico