General Electric Company's ( GE ), healthcare IT business and Microsoft Corp. ( MSFT ) have planned to create a 50-50 joint venture to help healthcare organizations and professionals improve healthcare quality and patient experience. The joint venture intends providing a centralized platform to assist enhanced tracking of chronic conditions, coordination of treatment schedules, management of medication regimens and timely intervention.
The joint venture will be based at Redmond, Washington (near Microsoft's headquarters) and will develop and market an open, interoperable technology platform and innovative clinical applications focused on enabling better health management procedures to improve the overall system of health and wellness. The venture is expected to start operations by the first half of 2012, subject to regulatory approvals.
The new venture will bring together Microsoft's proficiency in building platforms and ecosystems with GE Healthcare's experience in clinical and administrative workflow solutions, empowering healthcare professionals and organizations with the intelligence and capabilities to respond to the rapidly evolving and complex healthcare landscape.
A venture of this kind is very much required in the present world, as the healthcare industry today is shifting from its traditional single-patient care method to large population management. This shift requires new integrated care processes, greater insight about patient care and their experiences. Therefore, healthcare providers need a system that would help them with a clear idea of a patient's history to make better decisions for the treatment.
The companies will combine their expertise, contributing their respective intellectual properties, which includes Microsoft Amalga, an enterprise health intelligence platform, Microsoft Vergence, a single sign-on and context management solution, Microsoft expreSSO, an enterprise single sign-on solution, GE Healthcare eHealth, a Health Information Exchange and GE Healthcare Qualibria, a clinical knowledge application environment being developed in cooperation with Intermountain Healthcare (Salt Lake City, Utah) and Mayo Clinic.
GE Healthcare has expertise in medical imaging and information technologies, medical diagnostics, patient monitoring systems, disease research, drug discovery and biopharmaceutical manufacturing technologies. GE the parent company currently holds a Zacks #3 Rank which implies short term Hold rating on the stock.