Frost & Sullivan: US Hospital Cybersecurity Market to See 13.6% CAGR Through 2021

A Frost & Sullivan analysis forecasts the market for cybersecurity platforms fielded by U.S. hospitals to experience a compound annual growth rate of 13.6 percent from 2016 through 2021.

Healthcare organizations that seek to address the rising cases of data breaches and other cyber attacks amid the widespread adoption of electronic health records will drive the demand for new cybersecurity platforms over the next five years, Frost & Sullivan said Thursday.

“Because of the increased risk of cyber attacks of every type, especially phishing and ransomware, hospitals are transitioning from their traditional reactive and fragmented approach to protecting privacy and security that is highly dependent on [Health Insurance Portability and Accountability Act] compliance to a new approach and mindset that is proactive, holistic, and coordinated, anchored by integrated solutions designed to protect multiple endpoints,” said Nancy Fabozzi, principal connected health analyst at Frost & Sullivan.

“Going forward, all health IT vendors serving the hospital market – and not just vendors of IT security solutions but application vendors as well – must recognize that the increased threat environment demands strong, baked-in security features.”

The report also noted that shortage in IT security workforce, new regulations and increasing cyber attacks on hospitals would result in business opportunities for established and new health IT vendors.