- Dutch health technology behemoth Philips has agreed to buy U.S.-based Carestream Health’s medical imaging IT unit for an undisclosed consideration.
Carestream’s unit provides medical imaging IT solutions to multisite hospitals, radiology services providers, imaging centers, and specialty clinics.
“This acquisition will enhance our ability to provide flexible solutions to hospitals and health systems,” observed Robert Cascella, chief business leader for precision diagnosis at Philips
“The combination of our successful innovations in imaging system platforms, workflow optimization and artificial intelligence-enabled informatics, combined with Carestream’s cloud-based enterprise imaging informatics platform and complementary geographic footprint will provide a solid foundation to deliver on the promise of precision diagnosis,” Cascella said.
Philips is acquiring Carestream’s cloud-based enterprise imaging platform, which includes vendor neutral archiving, imaging data management, diagnostic and enterprise viewers, multimedia reporting, workflow orchestrator, and clinical, operational and business analytics tools.
“We have had global success in providing radiology and enterprise imaging IT systems to help medical professionals provide quality care and enhance their operations,” said Carestream General Manager for Healthcare Information Solutions Ludovic d’Aprea.
“By becoming part of Philips, the HCIS [healthcare information systems] business will have a greater opportunity to thrive and grow. Both organizations share a commitment to meaningful innovation which is deeply embedded in each company’s culture. Customers will have access to a broader portfolio of healthcare IT solutions to simplify medical image management, enable effective collaboration and enhance patient care,” d’Aprea added.
The Carestream Vue RIS web-based radiology information system was flagged last year by ICS-CERT for having a cybersecurity vulnerability that could leak of technical data, which an attacker could use to launch a more serious cyberattack. Carestream fixed the problem in the current version of the RIS software and provided workarounds for previous software versions affected by the vulnerability.
Philips will add the Carestream unit to its current enterprise imaging solutions, which bring together clinical and informatics expertise with technology to connect patients, care teams, and data across health systems. Its visualization and analysis applications use adaptive intelligence to support the clinician by providing clinical insights and improving collaboration among clinical teams.
Carestream is keeping its medical imaging, dental and industrial films, nondestructive testing, and precision coating businesses.
“These established businesses have solid financial foundations, innovative technology platforms and have earned the trust of loyal customers around the world,” said David C. Westgate, chairman, president, and CEO of Carestream.
“Our focus will be on delivering innovation that is life changing — for patients, customers, channel partners, communities and other stakeholders — and we will grow the company for long-term success,” he said.
The two companies expect to close the sale in the second half of this year, pending regulatory approvals, as well as input from work councils and unions, and meeting all preconditions.