U.S. Electronic Health Records Market (2025 - 2030)

Market Size & Trends

The U.S. electronic health records market size was estimated at USD 12.87 billion in 2024 and is projected to grow at a CAGR of 2.55% from 2025 to 2030. This growth is attributed to government initiatives to encourage healthcare IT usage, technologically advanced healthcare services, and rising demand for centralization and streamlining of healthcare data to improve overall patient outcomes and reduce healthcare costs.

The U.S. accounted for over 38% of the global electronic health records market in 2024, due to high penetration of EHR systems across different healthcare facilities in the country. The growth of the U.S. electronic health records industry is driven by the greater adaptability of EHR solutions by healthcare companies, the integration of artificial intelligence in healthcare, and significant management of patients and their tasks. The office-based physicians prefer EHRs to a greater extent in the U.S. As per data released by the National Center for Health Statistics, about 88.2 % of office-based physicians are using the EMR/EHR system in their practice.

In addition, the advanced clinical trial designs using the modernized approach of Real-world Data (RWD) and Real-World Evidence (RWE) are reducing documentation and improving regulatory aspects. Such initiatives are anticipated to enhance the demand for electronic health record software market across the U.S. thereby supporting the market growth. For instance, in January 2025, Century Health partnered with Nira Medical to provide AI-curated electronic health record (EHR) data for over 3,000 multiple sclerosis patients.

"Using AI to unlock previously inaccessible patient data is not only accelerating the development of new treatments, it's helping us generate insights for patients that have been historically underrepresented in clinical research."

-said Vish Srivastava, Co-Founder & CEO at Century Health.

U.S. Electronic Health Records (EHR) Penetration Rates, By State & Overall U.S. 2023

Source: Grand View Research Analysis

Case Study: Adoption of HCIT and EHRs in U.S.

The adoption of HCIT solutions, particularly EHR, has significantly transformed the U.S. healthcare landscape. The shift from paper-based records to digital systems aims to enhance patient care, streamline operations, and improve data accuracy. However, the adoption rate of these technologies varies among states and healthcare providers due to multiple influencing factors. This case study examines the adoption patterns in Oregon, the impact of the HITECH Act, and overall trends in EHR adoption across the U.S.

EHR Adoption in Oregon

Oregon stands out as a leading state in the adoption of EHR systems. According to the 2022 Report on Oregon's HCIT Landscape by the Oregon Health Authority-Office of Health Information Technology, the state exhibits high EHR adoption rates among healthcare providers. This widespread acceptance can be attributed to several factors:

Oregon has implemented various programs and initiatives to encourage the adoption of HCIT solutions. This includes financial incentives, training programs, and technical support to facilitate the transition to digital records.

National Trends And The Impact of The HITECH Act

The nationwide adoption of EHR systems has been significantly influenced by the Health Information Technology for Economic and Clinical Health (HITECH) Act of 2009. This act was a part of broader healthcare reform efforts and aimed to accelerate the adoption of EHRs through financial incentives.

Market Concentration & Characteristics

The market landscape is concentrated, with the presence of large companies such as Epic systems, Oracle (Cerner), MEDITECH and a few others. Due to high penetration of EHR systems in the U.S. The market growth of U.S. electronic health records industry is moderate, however, the market is expected to witness positive growth through the forecast period.

Key companies in the U.S. electronic health records industry are launching new products to expand their reach and increase availability in different regions. For instance, in May 2024, Athenahealth unveiled tailored specialty solutions within its athenaOne platform, emphasizing women's health and urgent care. These solutions feature advanced electronic health records (EHR) capabilities, streamlined workflows, and dedicated support to enhance operational efficiency and patient care for specialty providers across the healthcare sector.

Mergers and acquisitions in the U.S. electronic health records industry are increasing, with several companies acquiring smaller players to strengthen their market position, expand product portfolios, and improve competencies. For instance, in September 2023, Thoma Bravo acquired NextGen Healthcare, Inc., a leading EHR systems manufacturer, to expand its capabilities in the market.

Impact of regulations on the U.S. electronic health records industry is moderate. In the U.S., the HITECH Act established the Medicare and Medicaid EHR Incentive Programs to incentivize healthcare providers to adopt and use certified EHR technology.

Several market companies are involved in geographical expansion to enhance capabilities and have a direct presence in countries having high demand. For instance, in July 2023, Universal Health Services (UHS), a prominent provider of hospital and healthcare services from the U.S., is extending the implementation of the Oracle Health electronic health record (EHR) system across its extensive network of behavioral health facilities. Through this expansion, the company now benefits from a unified EHR system in both acute and behavioral health facilities across the United States. This integration aims to enhance care decisions and elevate patient safety practices.

Product Insights

The web & cloud-based EHR systems segment led the market with the largest revenue share of 83.27% in 2024 and is anticipated to grow at the fastest CAGR during the forecast period. This growth can be attributed to the rising preference of physicians and healthcare providers, which operate on a smaller scale. The growth is further fuel for easy installation of web-based EHRs without the requirement of in-house servers and can also offer extensive customizations & improvements, as needed.

The on-premise EHR systems segment is expected to have a decline CAGR from 2025 to 2030. Lack of interoperability, limited scalability, high capital & maintenance costs, etc. are some of the factors contributing to the declined adoption of the on-premise EHR systems in the U.S.

Type Insights

Based on type, the acute segment led the market with the largest revenue share of 45.89 % in 2024. The growth can be attributed to the government initiatives for the adoption of EHRs in small-scale facilities. For instance, acute care hospitals in the U.S. which are covered under the inpatient prospective payment system (IPPS) are eligible for the Medicare incentive payment system.

The post-acute EHRs segment is anticipated to grow at the fastest CAGR from 2025 to 2030. The growth is driven by the diverse applications of EHR, including facilitating rehabilitation services for patients following discharge from acute care hospitals. Post-acute care facilities, comprising inpatient rehabilitation centers, home health agencies, and long-term care hospitals, are expected to witness increased spending, thereby fueling market expansion.

Business Model Insights

Based on the business model, the professional services segment led the market with the largest revenue share of 32.33% in 2024. In addition, this segment is projected to grow at the fastest CAGR from 2025 to 2030. Professional services assist healthcare systems in implementing information systems within their organizations. These services typically include project management, technical and application expertise, optimization of clinical processes, regulatory consulting, and end user training for the design and implementation of EHR systems.

The subscription segment is expected to witness at a significant CAGR during the forecast period. EHR services can be availed through a time-based subscription model, featuring periodic usage charges. This model represents a primary method for packaging and delivering medical knowledge. The data within EHRs is regularly updated based on research findings and can be independently updated from the software it is integrated with. Moreover, this segment encompasses electronic data interchange transactions, facilitating data transfer between payers and healthcare providers.

Application Insights

Based on application, the cardiology segment accounted for the largest market revenue share in 2024. The growth of this segment is driven by the increasing incidence of hospitalization of patients diagnosed with cardiovascular diseases, such as coronary heart disease and stroke. Cardiology EHR software seamlessly integrates data from Electrocardiograms (EKGs), echocardiograms, cardiac catheterization, and other diagnostic instruments into the patient's electronic record.

For instance, in May 2024, athenahealth developed cloud-based EHR software for specialty medical practices and sites of care. Moreover, the company partnered with Cardiovascular Associates of America (CVAUSA) to improve clinical and financial performance using athenaOne, Athena’s suite of EHR, RCM, and patient engagement solutions.

The neurology segment is anticipated to grow at the fastest CAGR over the forecast period, owing to the growing adoption of EHR in the neurology segment, include the increasing incidence of neurological diseases and the rising need for high-quality healthcare services. According to the Pan American Health Organization, in 2019, neurological conditions accounted for 47.39 deaths per 100,000 population in the U.S. This is expected to drive the demand for advanced neurology EHR software solutions.

End Use Insights

Based on the end use, the hospital segment led the market with the largest revenue share of 52.94% % in 2024. The growth can be attributed to the increasing usage of EHRs in hospitals to record large amounts of data. For instance, as per the 2023 study performed by the Oxford academic highlights the adoption rates of EHRs in the U.S. have increased significantly from 6.6% to 81.2%. Furthermore, 65% of hospitals intend to invest in improving the functionality of their EHR systems, which also boosts the market growth.

The ambulatory use EHR segment is projected to expand with the fastest CAGR from 2025 to 2030, driven by the growing adoption of EHR technology among healthcare facilities. For instance, as per the 2021 Ambulatory Surgery Center Association Survey, 54.6% of respondents indicated the use of an EHR in ASCs. Furthermore, many physician-owned ASCs (62.2%) have implemented an EHR, likely to enhance the growth of the market over the forecast years.

Key U.S. Electronic Health Records Company Insights

The U.S. EHR market landscape is fragmented, with the presence of a small number of companies holding a majority stake. Key U.S. EHR Companies are athenahealth, Inc., AdvancedMD, Inc., NXGN Management, LLC, Greenway Health, LLC, GE Healthcare, Epic Systems Corporation, Oracle, eClinicalWorks, CureMD Healthcare, TruBridge, Inc. and Archetype Innovations, LLC.

New expansion activities, product approvals, product launches, partnerships, and acquisitions have positively impacted the EHR market in recent years. Furthermore, there has been a significant increase in the demand for electronic health records due to the growing digitalization, which in turn is fueling the market growth.

Recent Developments

• In May 2025, Scotland County Hospital implemented MEDITECH's Expanse Electronic Health Record (EHR) system to enhance community-based services.

• In May 2024, Pearl Health partnered with Vim to launch an enhanced electronic health record (EHR) experience. This collaboration aims to integrate value-based care insights directly into EHR workflows, empowering primary care providers to deliver more enhanced, whole-patient care through improved data insights and financial tools.

• In January 2024, American Healthtech, the subsidiary of Computer Programs and Systems, Inc. (CPSI), which provides an EHR platform for the post-acute care market, was sold to post-acute health IT vendor PointClickCare Technologies.

• In March 2024, The VA and DoD launched a new electronic health record (EHR) system, MHS Genesis, at the Lovell Federal Health Care Center. This deployment aims to enhance interoperability and improve healthcare delivery for veterans and service members at the facility.

• In September 2023, Oracle Health announced the integration of AI into the EHR system, presenting a new Oracle Clinical Digital Assistant. This unique innovation makes use of AI to improve electronic health records available on the Oracle platform.

• In July 2023, Innovaccer Inc. announced a strategic agreement with Post Acute Analytics (PAA) to help health systems succeed with patient-centered value-based care. This will enable providers to utilize an interoperable, cloud-native, AI-driven platform, facilitating the transition from fragmented data solutions and manual processes by consolidating patient data across various EHRs and HIT systems.

• Carbon Health launched an AI-enabled hands-free charting feature in its electronic health record (EHR) system across all clinics.

U.S. Electronic Health Records Market