MOST INTERESTING VENDORS: Cerner’s $1.3 Billion Bet | Healthcare Informatics Magazine | Health IT | Information Technology Skip to content Skip to navigation

MOST INTERESTING VENDORS: Cerner’s $1.3 Billion Bet

July 22, 2015
by Gabriel Perna
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By acquiring Siemens’ health IT division for $1.3 billion, Cerner is moving down an interesting, blended path

“We started comparing what it would cost to [migrate everything to Millennium] and what it would cost to stay on Soarian – knowing that at some point it wouldn’t be supported – and we conducted a financial analysis. In the end, working with Cerner and getting more functionality and integration would save us millions of dollars over a seven year period, if we could swallow the cost of a big-bang conversation,” Anderson says. She adds in the past, the health system didn’t think it could afford Cerner.

One Year from Now

Cerner is approaching the one-year anniversary from when the deal was first announced. While the transition isn’t finished, Burke and Flanigan are looking ahead to August of 2016. By then, they predict the different platforms will “indistinguishable” and Siemens’ revenue cycle products and talents will be infused into Cerner. As some have noted, this is easier said than done. Companies like Allscripts struggled with large-scale mergers and were arguably worse off from their attempts at trying.

Cerner is confident though, that it can execute on this strategy, all while maintaining a level of nimbleness for a company of its size and staying competitive with its chief rival. “I don’t know who the underdog or the heavyweight is, but we like where we’re positioned, we like the level of investment we have here, we think this is a great place to be for the combination of healthcare and technology, and we’re delivering this at a time where our clients need solutions to be better. I’m excited about our trajectory,” Burke says.

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