June 21, 2005

Telecom 2005 Spending Trends In Healthcare

North American Hospitals' Late Start, Fast Growth Create Vendor Opportunities

by Eric G. Brown

with Brownlee Thomas, Ph.D., Will McEnroe

Executive Summary (This is a document excerpt)

To support healthcare's daunting rollout of clinical information systems for decision support and medical error reduction, healthcare institutions are making investments in infrastructure — including networking and communication technologies. Forrester's recent survey of IT execs responsible for telecom systems and services shows that while most firms have boosted their telecom budgets by a modest 3.3% this year, hospitals have grown theirs by 5.4%. But true to general healthcare spending tendencies, these investments reflect the sector's local nature and will favor vendors that understand this industry's regulatory and business requirements.

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