Healthcare Cloud Computing Market Size Worth USD 277.26 Billion by 2034 AI, Telehealth, and Secure Data Storage Drive Adoption Across Hospitals and Payers

The global healthcare cloud computing market size will soar from USD 63.96 billion in 2025 and is estimated to hit around USD 277.26 billion by 2034, registering a CAGR of 17.7% from 2025 to 2034. A study published by Statifacts a sister firm of Precedence Research.

Ottawa, July 28, 2025 (GLOBE NEWSWIRE) -- According to Statifacts, the global healthcare cloud computing market size was evaluated at USD 54.34 billion in 2024, and is anticipated to reach around USD 277.26 billion by 2034, expanding at a CAGR of 17.7% from 2024 to 2034. Rising initiatives that support data safety and integrity, a suitable regulatory scenario, and growing adoption of cloud computing software by healthcare professionals are driving the growth of the market.

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Healthcare Cloud Computing Market Report Highlights

• North America led the global market in 2024, capturing the largest revenue share at 41.02%, thanks to advanced digital infrastructure and widespread cloud adoption.
• Asia Pacific is on track to become the fastest-growing region through 2034, driven by rising healthcare investments and tech innovation.
• By product, among products, healthcare provider solutions dominated the market in 2024 due to strong demand for EHRs, telehealth platforms, and clinical data systems.
• By product, healthcare payer solutions are expected to see the fastest growth from 2025 to 2034, fueled by the digital transformation of insurance and claims processing.
• By deployment, the private cloud segment held a significant share in 2024, offering enhanced control and data security for providers.
• By deployment, the public cloud segment is set to grow at the highest CAGR during the forecast period as organizations seek scalable and cost-effective infrastructure.
• By application, the non-clinical information systems (such as billing, scheduling, and RCM) led the market in 2024.
• By application, Clinical information systems, including EMRs and telemedicine platforms, are projected to be the fastest-expanding application area over the next decade.
• By service, among service models, Software as a Service (SaaS) emerged as the market leader in 2024 due to its ease of use and built-in compliance.
• By service, Platform as a Service (PaaS) is poised for the fastest growth, supporting advanced analytics, AI integration, and custom development in healthcare.
• By end users, on the user side, healthcare providers—including hospitals and clinics—accounted for a large portion of market revenue in 2024.
• By end users, the healthcare payers are expected to adopt cloud computing at a rapid pace to enhance data security, automate processes, and improve customer service.

Healthcare Cloud Computing Market Overview

The healthcare cloud computing market refers to the production, distribution, and use of healthcare cloud computing, which allows medical data to be archived and then retrieved without any hassle when the digital data is stored in the cloud. Healthcare cloud computing refers to the cloud-based infrastructure, platforms, and software to store, manage, and analyze medical data. The benefits of healthcare cloud computing include deployment models, collaborative patient care, cloud-managed services, ownership of patient data, better medical research, telemedicine, regulatory compliance, reduced data storage costs, disaster recovery, better medical outcomes, and more.

The healthcare cloud computing market growth is driven by increasing government initiatives that support data safety and integrity, suitable regulatory frameworks, expanding healthcare across industrial domains, infrastructure development, rapid urbanization, investment in technology & innovation, and supportive government policies.

Cloud Computing Market Size 2025 to 2034 (USD Billion)

A related Statifacts report on the cloud computing market size surpassed USD 753.18 billion in 2024 and is expected to hit around USD 5,194.06 billion by 2031, also growing at a CAGR of 21.3% from 2025 to 2034. The cloud computing market is growing rapidly, driven by the demand for scalable, cost-effective IT solutions. Businesses across industries are adopting cloud services like IaaS, PaaS, and SaaS to improve operations and support digital transformation. Innovations in AI, ML, and edge computing are further enhancing the market's expansion.

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Major Trends in the Healthcare Cloud Computing Market

Which Principal Factors Shape the Healthcare Cloud Computing Industry?

• Investment in research and development: Companies invest in R&D due to trend matching, advancements in marketing abilities, cost management benefits, and increased market participation. R&D can lead to innovations in business. These may be in terms of new products and services, improved processes, and new ways to interact with customers. These innovations can result in lower costs and greater profits. The primary benefit of investment research is the ability to make well-informed decisions based on financial data.
• Expanding applications across industrial domains: Expanding healthcare cloud computing applications across industrial domains includes enhanced security, real-time data access, and cost efficiency. Cloud computing’s key benefit is offering healthcare organizations a single environment for storing data. Health cloud helps us to collaborate effectively, deliver personalized care, and automate health operations. Cloud-based EHR systems present many benefits for users throughout many industries, inclusive of medical practices. These benefits include heightened protection, cost savings, and advanced data accessibility.

What are the Growth Factors in the Healthcare Cloud Computing Market?

Healthcare cloud computing market drivers include robust regulatory frameworks like HIPAA, and the growing adoption of cloud computing by healthcare professionals is accelerating the shift toward secure, scalable, and efficient digital health systems.

• Suitable regulatory framework: Compliance and regulatory frameworks are sets of guidelines and best practices. Organizations follow these guidelines to meet regulatory requirements, enhance processes, strengthen security, and conduct business activities. The suitable regulatory framework for healthcare cloud computing includes different headlines like patient rights, medical ethics, information security services, data governance, data management, and compliance management. The Health Insurance Portability and Accountability Act (HIPAA) of 1996 standardizes the flow of information in healthcare and protects sensitive patient healthcare information (PHI).
• Growing adoption of cloud computing software by healthcare professionals: Healthcare professionals are expecting virtual cloud-like services to avoid tireless paper-based documentation and to manage, house, exchange, and utilize huge medical data. The main benefit of cloud-based services, while aligning with any healthcare service, is to offer simple, scalable cloud-based services, to avoid tireless paper-based documentation, and to manage, house, exchange, and utilize huge medical data.

Role of Artificial Intelligence (AI) in the Healthcare Cloud Computing Market

Artificial intelligence (AI) in healthcare helps providers gather information, store it, analyze it, and provide data-driven insights from large numbers of people. Using this information can help healthcare professionals determine how to better treat and manage diseases. AI plays an important role in improving cloud computing by resource allocation, automating tasks, and improving overall efficiency. In addition, it contributes to improving cloud security and providing valuable insights through intelligent analytics. Cloud computing allows AI-driven medical imaging, predictive analytics, and real-time data processing.

AI technology is improving rapidly and finding many uses, including improving cybersecurity, making diagnostics more accurate, creating digital media, and improving communications with customers. Cloud computing is important to AI.

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What are the Significant Achievements of the Leading Industrial Firms?

• In May 2025, an advancement in the use of artificial intelligence (AI) to scale the generation of real-world evidence (RWE) for GLP-1 receptor agonists (GLP-1 RAs), including semaglutide and tirzepatide, was announced by a leading provider of healthcare and data technology solutions, Veradigm. By applying AI to electronic health record (EHR) deidentified data within the Veradigm Network, researchers can now surface rich contextual insights such as side effects, discontinuation reasons, and social determinants of health (SDoH) that traditionally required intensive manual curation.
  

Source: Investor Veradigm

• In July 2025, a collaboration to make Elior Group a company focused on data, artificial intelligence, and agentic AI, an “agentic AI & Data Factory” to serve Elior Group’s innovation, digital transformation, and improved operational performance was announced by Elior Group and IBM France.
  

Source: IBM

How Does IoT Act as an Opportunity for the Healthcare Cloud Computing Market?

Integration of internet of things (IoT) in healthcare leads to better disease management, fewer emergency visits, and improved quality of life for patients. IoT in healthcare cloud computing benefits include medical asset tracking, lower costs, interoperability, health wearables, efficient electronic medical record keeping, disaster recovery, diagnostic accuracy, data assortment & analysis, cost savings, better data security, accessibility, telehealth, streamlined collaborative patient care, security, real-time location services, real-time location services, ingestible sensors, improved treatment, enhanced collaboration, end-to-end connectivity, and data collection and monitoring, and more.

IoT in healthcare cloud computing benefits also include resource management, operational efficiency, preventive care, preventive analytics, improved clinical decision-making, predictive health insights, seamless communication & support, improved patient engagement, personalized patient experience, and accelerated response time.

Limitations and Challenges in the Healthcare Cloud Computing Market

What are the Potential Concerns Related to the Healthcare Cloud Computing Market?

The potential concerns related to healthcare cloud computing include data safety concerns and environmental concerns related to manufacturing.

• Data safety concerns: One of the cloud’s main benefits include the ease of data sharing which can be a greatest risk, as it creates, as it creates serious concerns about the potential for data loss or leaks. Cloud providers are responsible for physical security and machine-level updates, while application owners are responsible for managing user authentication and overall access to the application and its data. Healthcare providers must ensure that patient data is protected from cyberattacks, unauthorized access, and theft.
• Environmental concerns related to manufacturing: Cloud computing is only as sustainable as its energy source. Both traditional and cloud computing technology depend on the same power grids. Data centers rapidly turn over hardware and cooling equipment, creating hazardous electronic waste, a rapidly growing problem. The environmental concerns related to healthcare cloud computing manufacturing include the release of hazardous materials, resource depletion, and energy-intensive manufacturing processes.

U.S. Healthcare Cloud Computing Market Size 2024 to 2034 (USD Billion)

The U.S. healthcare cloud computing market size is calculated at USD 21.03 billion in 2024 and is predicted to reach around USD 109.15 billion by 2034, expanding at a CAGR of 17.9% between 2025 and 2034.

How Did North America Dominate the Healthcare Cloud Computing Market?

North America held a significant share of the healthcare cloud computing market in 2024. Rising demand from diverse end-use industries, increased investment in research and development, supportive government policies, and technological advancements are driving the growth of the market in the North American region.

How Does Cloud Computing Act as a Key to the Healthcare Industry in the United States?

• In May 2024, a strategic partnership to develop a groundbreaking AI-based healthcare delivery platform was announced by Oracle Health, the Cleveland Clinic, and G42. This platform is designed to meet the evolving needs of global populations, starting with the U.S. and the United Arab Emirates. The platform will deliver secure, scalable, and intelligent healthcare solutions that enhance patient outcomes, allow precision medicine, and support the transition from reactive treatment to proactive well-being.
  

Source: Oracle

What to Expect from Asia Pacific’s Healthcare Cloud Computing Market?

Asia Pacific is anticipated to grow at the fastest rate in the market during the forecast period. Growing government initiatives that support data safety and integrity, expanding applications across industrial domains, and increasing consumer preference for advanced and sustainable solutions contribute to the growth of the healthcare cloud computing market in the Asia Pacific region.

How Does Cloud Computing Act as a Key to the Healthcare Industry in India?

• In January 2025, an operation was officially launched by Global Cloud Cayr (GCC), a healthcare startup founded by an international team of doctors and technologists in Kolkata. The start-up aims to transform healthcare delivery through a proactive, holistic, and technology-integrated approach, focusing on personalized services for individuals, families, and elderly populations, including those managing chronic conditions.
  

Source: Express Healthcare

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Healthcare Cloud Computing Market Scope

Report Attribute	Key Statistics
Market Size in 2024	USD 54.34 Billion
Market Size in 2025	USD 63.96 Billion
Market Size in 2029	USD 122.74 Billion
Market Size in 2032	USD 200.14 Billion
Market Size by 2034	USD 277.26 Billion
CAGR 2025-2034	17.7%
Leading Region in 2024	North America
Fastest Growing Region	Asia-Pacific
Base Year	2024
Forecast Period	2025 to 2034
Segments Covered	By Product, By Deployment, By Application, By Service, By End Users, and By Region
Regional analysis	North America, Europe, Asia-Pacific, Latin America, and Middle East & Africa
Leading Players	Cisco Systems Inc, Allscripts Healthcare Solution Inc., Microsoft Corp, Iron Mountain Inc., Qualcomm Inc., Athena Health Inc, GNAX Health, Dell Inc, EMC Corp, VMware Inc, and Others

Healthcare Cloud Computing Market Segmentation

Product Insights

The healthcare provider solutions segment dominated the healthcare cloud computing market. Solutions such as electronic health records, medical imaging databases, telehealth programs, and clinical information systems are highly reliant on cloud-based infrastructure platforms. There is a high demand for access to patient data from remote locations, along with real-time access. Cloud storage enables low-cost data repositories that healthcare providers, including hospitals, diagnostic centers, ambulatory services centers, and private clinics, use.

The healthcare payer solutions segment is expected to grow at the fastest rate in the market during the forecast period of 2025 to 2034. Payer solutions are an integral part of the systems used for managing claims, detecting fraud, and healthcare provider member management. This segment also includes customer relationship systems, especially run by insurance companies are widely using cloud-based platforms to increase operational efficiencies, automate processes, and provide 24/7 customer service. The growing digital transformation of the healthcare sector, with high adoption rates among insurance providers, is looking into the integration with value-based care models.

Offering Insights

The services segment accounted for a considerable share of the healthcare cloud computing market in 2024. The healthcare cloud computing services include platform as a service, infrastructure as a service, and software as a service. Software as a service model of healthcare cloud computing benefits include cost-effective, scalable, and highly secure software delivery.

The hardware segment is set to experience the fastest rate of market growth from 2025 to 2034. Hardware used in healthcare cloud computing includes components like Ethernet adapters, switches, routers, optical interconnects, and fiber optic cables that work together to allow high-speed data transfer, ensuring connectivity between local networks and the cloud.

Application Insights

Non-clinical information system segment led the healthcare cloud computing market. Cloud computing is used in information technology to make data backup, disaster recovery, and business continuity less expensive and easier due to data can be mirrored at multiple redundant sites on the cloud provider’s network.

The clinical information system segment is projected to experience the highest growth rate in the market between 2025 to 2034. The benefits of healthcare cloud computing in clinical information systems include reduced data storage costs, enhanced data access, faster disaster recovery, improved security & compliance, cost-effective, collaborative patient care, advanced collaboration among healthcare providers, improved security, improved collaboration, cloud-managed services, better medical research, and more.

Deployment Insights

The private cloud segment registered its dominance over the healthcare cloud computing market in 2024. The benefits of private cloud include enhanced security, flexibility, and control. An organization can customize its cloud environment to meet specific business needs. Enhanced security and control help ensure resources are not shared with others, so higher levels of control and privacy are possible.

The public cloud segment is anticipated to grow with the highest CAGR in the market during the studied years. Public cloud in healthcare cloud computing is generally used to provide web-based e-mail, online office applications, storage, testing, and development environments. Public cloud is ideal for hosting applications and websites, collaboration tools, big data analytics, software development and testing, and data backup & recovery.

End Users Insights

The healthcare provider segment underwent notable growth in the healthcare cloud computing market in 2024. Healthcare cloud computing helps healthcare providers gain view 360-degree view of each patient to elevate the health experience, drive proactive engagement, and influence the best outcomes. Cloud computing offers healthcare organizations a single environment for storing data.

The healthcare payer segment will gain a significant share of the market over the studied period of 2025 to 2034. The healthcare cloud computing benefits for healthcare payers include operational efficiency, improved data security, and compliance. This also includes benefits of streamlined hospital operations, efficient medical record keeping, data ownership, better medical research, remote patient care, regulatory compliance, reduced data storage costs, increased patient data accessibility, improved security, and more.

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Competitive landscape in the Healthcare Cloud Computing Market

• Cisco Systems Inc: Cisco Systems Inc. manufactures, develops, and sells networking hardware, software, and telecommunications equipment, and other high-technology services and products.
• Allscripts Healthcare Solution Inc.: Allscripts transitioned its solution to the Veradigm brand. They provide products for patient engagement and care coordination, as well as financial and analytics technology.
• Microsoft Corp: Microsoft is a worldwide leader in software, services, and devices that help people and businesses realize their full potential.
• Iron Mountain Inc.: They provide storage and information management services. They specialize in providing solutions for data centers, information security, digital transformation, information management, and asset lifecycle management.
• Qualcomm Inc.: They create semiconductors, software, and services related to wireless technology.
• Athena Health Inc: Athena Health Inc. provides network-enabled services, mobile apps, and data-driven insights to hospitals and medical organizations.
• GNAX Health: GNAX Health provides IT services and solutions to hospitals and healthcare.
• Dell Inc: Dell Inc. is an American technology company that develops, sells, repairs, and supports personal computers (PCs), servers, data storage devices, network switches, software, computer peripherals, including printers and webcams, among other products and services.
• EMC Corp: They provide products, services, and solutions for information storage and management that help organizations extract the maximum value from their information at the lowest total cost, across every point in the information lifecycle.
• VMware Inc.: They offer applications of visualization technologies and multi-cloud services. They provide software maintenance.
• Oracle Corp: They provide information about the company, customers, partners, events, communities, press, analysts, investors, and careers.
  

What is Going on Around the Globe in the Healthcare Cloud Computing Market?

• In June 2025, rapid self-service deployment and improved management of thousands of cloud desktops using Amazon WorkSpaces were launched by the Healthcare Company. Healthcare and Pharmaceutical companies depend on secure, reliable, and flexible infrastructure to promote innovation and power crucial research and development work.
  

Source: AWS Amazon

• In May 2025, the second health tech sandbox offering improved data access, cloud services from Microsoft Azure, was launched by Synapxe. This sandbox is the only platform that leverages Singapore’s healthcare commercial cloud, which allows startups to develop, test, and validate solutions for public healthcare.
  

Source: The Business Times

Healthcare Cloud Computing Market Segments Covered in the Report

By Product

• Healthcare Provider Solutions
  • Clinical Information Systems
    • EHR/EMR
    • Telehealth Solutions
    • PACS/VNA
    • PHM Solutions
    • LIS
    • PIS
    • RIS
  • Non-clinical Information Systems
    • RCM Solutions
    • HIE Solutions
    • Financial Management Solutions
    • SCM Solutions
    • Billings and Account Management Solutions
• Healthcare Payer Solutions
  • Claims Management Solutions
  • Payment Management Solutions
  • Provider Network Management Solutions
  • Fraud Management Solutions
  • CMR Solutions
    

By Deployment

• Public
• Private
• Hybrid
  

By Application

• Clinical Information System
  • Telehealth Solutions
  • Computerized Physician Order Entry
  • Population Health Management (PHM) Solutions
  • Electronic Medical Records
  • Pharmacy Information System
  • Radiology Information System
  • Others
• Non-clinical Information System
  • Revenue Cycle Management (RCM)
  • Billing & Accounts Management Solutions
  • Claims Management
  • Others
    

By Offering

• Services
• Platform as a Service (PaaS)
• Infrastructure as a Service (IaaS)
• Software as a Service (SaaS)
• Hardware
  

By End Users

• Healthcare Providers
• Healthcare Payers

 By Regional

• North America
  • U.S.
  • Canada
• Europe
  • U.K.
  • Germany
  • France
• Asia Pacific
  • China
  • India
  • Japan
  • South Korea
• Middle East & Africa
• Latin America

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FAQs

1. What’s Driving Growth in the Global Healthcare Cloud Computing Market?

The market is expanding due to the rising adoption of electronic health records, telehealth, mHealth, and medical imaging solutions. Providers increasingly rely on cloud infrastructure to scale securely while reducing IT costs and enabling collaboration.

2. Which Service and Deployment Models are Most Prevalent?

Software leads globally, owing to its ease of use and built-in compliance, while hybrid cloud is the fastest-growing deployment model, offering both scalable public cloud features and secure private environments.

3. Who are the Primary Users of Healthcare Cloud Services?

Healthcare providers (e.g., hospitals, clinics) dominate usage with cloud-based clinical systems and telehealth platforms. Payers are gaining momentum, especially for claims management and analytics.

4. How are Regional Trends Shaping the Market Landscape?

North America leads the market thanks to advanced digital infrastructure and high EHR adoption. However, Asia-Pacific is growing fastest, fueled by healthcare modernization and strong IT investments in countries like China and India.

5. What are the Key Challenges and Restraints in this Market?
Concerns about data security, varying global regulations (e.g., HIPAA, GDPR), interoperability, and limited technical expertise, especially in emerging markets, remain key constraints to adoption.

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