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DIGITAL HEALTH BRIEFING: Athenahealth gets $7B bid — Teladoc taps mental health space for growth — US health system rolls out routine genomic testing

by Ricardo Boshears (2018-07-05)


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CERNER, VA OVERCOME HURDLES TO FINALIZE $10 BILLION CONTRACT:
Cerner and the Veterans Affairs (VA) completed a yearlong negotiating process, agreeing on a 10-year, $10 billion contract for Cerner to overhaul the VA's electronic health records (EHR) system, according
to Health Data Management. The deal had been delayed for months due to controversy regarding leadership turnover at the VA and criticism of Cerner's pilot rollout at four Department of Defense (DoD) sites, according
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with state-run hospitals in Indiana.

Three-quarters of US healthcare executives expect that Amazon will disrupt the traditional healthcare supply market, according
to Reaction Data. Amazon would apply its successful retail marketplace model to the traditional healthcare supply chain, which relies on negotiated contracts with manufacturers and distributors.

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This isn't the first time Elliot has approached Athenahealth. The hedge fund acquired a 9% stake in Athenahealth in 2017 and sought to talk deals, which the EHR company rebuffed. This time around, however, Athenahealth is reviewing the proposal. Here's why it could make sense for Athenahealth to leverage the opportunity:

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