Manila, Philippines – Healthcare IT (information technology) spending in the Philippines will boom between 2016 and 2019, thanks to increased demand for mobility solutions, tele-health, and customer relations management (CRM) solutions by the healthcare industry, said market intelligence firm International Data Corporation (IDC.
In IDC Health Insights' published research titled “Philippines: Healthcare IT Spend Market Analysis, Forecasts, and Trends" (and was released February 19), it was estimated that healthcare IT spending in the Philippines will reach $60 million in 2019, or around P2.5 billion, growing at a compound annual growth rate of 4% between 2016 and 2019.
In 2015, the report showed that the Philippines' priority was upgrading existing IT infrastructure, which was consistent with the thrust of its neighboring countries in the ASEAN (Association of Southeast Asian) region. Spending on hardware was the highest IT expenditure at 79%, with IT services and software spending coming in second and third place respectively.
"The primary macroeconomic indicators driving growth in the country include upheaval of infrastructure in healthcare and education services, and a growing number of private hospitals in the Philippines. These indicators will bolster the IT spending growth in the Philippines healthcare market," said IDC Health Insights' market analyst Arpana Bharti.
IDC Philippines' head of operations Jubert Daniel Alberto noted that spending on healthcare IT is still limited, and there are disparities between the private and the public sectors.
The private sector, which is pushing for medical tourism, leads in terms of IT adoption. IT spending in the public sector, on the other hand, remains focused on developing hardware infrastructure, as the government is keen to make public health services more accessible.
However, bridging the healthcare gaps between the urban and rural populations remains the primary focus of both public and private healthcare institutions, with private hospitals moving toward an "intensity of care" model which will require new environments, processes, and IT infrastructure that can facilitate its growth.