Monday, May 5, 2025

Epic keeps expanding its acute care EHR market share in U.S.

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The new U.S. Acute Care EHR Market Share 2025 report from KLAS was published this week, and, like it has in other recent years, it shows Epic continuing to gain ground nationwide as it adds new hospital clients.

The market cooled somewhat in 2024, the report shows, with 272 hospitals of all types “impacted by an EHR purchase decision,” including migrations – compared with 319 in 2023.

But one fact remains true, said KLAS researchers: “Across all vendors, the level of partnership has emerged as a key differentiator. A vendor’s reputation for listening to customers, taking feedback, and implementing requested changes greatly impacts customer satisfaction—often translating to gains in overall market share.”

As in years past, Epic appears to be making good on those efforts, as 2024 showed its largest net gain in market share yet. That included 10 large health systems, such as ChristianaCare and UAB Health, choosing the Verona, Wisconsin-based giant for 108 hospitals, 67 of which were from just two organizations, said KLAS.

“Beyond strictly technological considerations, Epic’s reputation for customer partnership has brought them to the forefront of most EHR considerations,” according to the report, which notes that Epic won nearly 70% of all hospitals, of any size, impacted by EHR decisions in 2024.

Its chief competitor, Oracle Health, is at a “critical juncture,” said KLAS researchers. While nine acute care hospitals chose Oracle Health in 2024 – two standalone facilities and one small seven-hospital health system – the company still saw a net loss of 74 clients, the report shows.

“While many Cerner customers hoped the 2022 acquisition by Oracle Health would lead to relationship improvements, the vendor’s loyalty and relationship ratings have dropped over 10 points since November 2021 (just before the announced acquisition),” researchers said.

Still, recent Oracle Health app developments – such as Clinical AI Agent and Seamless Exchange – as well as other new product announcements, “have led to cautious optimism among some current and potential customers,” with more than 33% noting a “positive change in the vendor’s execution/delivery” in the past six months.

As for another legacy vendor, Meditech, it continues to retain longtime clients by maintaining  stable relationships while steadily enhancing its product offering, according to the report.

“Relative to other vendors in the market, Meditech has by far the largest percentage of customers still on legacy products, comprising over 400 hospitals,” representing about half of the overall customer base of the Massachusetts-based vendor, founded in 1969.

While it has lost clients to Epic, in 2024 some 63% of legacy Meditech customers “who made a go-forward EHR decision opted to migrate to its Expanse platform” – more than twice as many as who made the same decision in 2023. KLAS researchers noted that small hospital clients see particular value in the company’s Meditech-as-a-service cloud offering.

As for smaller vendors, KLAS noted that Altera Digital Health, formerly known as Allscripts, had “no net-new contracts or migrations in 2024.” Researchers noted that its Paragon product saw better customer retention than its Sunrise technology: “Across 11 organizations, Paragon was replaced in two hospitals, and Sunrise was replaced in 17.”

Medhost also saw no net-new contracts since Harris Healthcare acquired the company in January 2024. Customers were still waiting to assess the full impact of the acquisition and want to know more about Harris’ long-term plans for the system.

TruBridge saw two hospitals migrate from legacy solutions to its vendor’s go-forward technology. “Small hospitals continue to view TruBridge as a good option to meet their budgetary needs,” said researchers.

Mike Miliard is executive editor of Healthcare IT News
Email the writer: [email protected]
Healthcare IT News is a HIMSS publication.

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