Impact of cloud deployment on operational expenses of healthcare centers

Abstract

Healthcare is among the most advanced industries when it comes to embracing and adopting modern
technology in some way. Cloud computing approaches, in conjunction with the Internet of Things, are
advantageous to extract information from healthcare records. In many cases, cloud computing combined
with IoT and AI will pave the way for new avenues of medical innovation and insight. Cloud computing's
growing acceptance in healthcare extends much beyond simply storing data on cloud infrastructure.
Healthcare providers are already embracing this technology to increase efficiency, optimize processes,
reduce healthcare costs. The objective of this research was to investigate whether the deployment of cloud
computing can assist in reducing operational costs in healthcare centers. We used panel data ranging from
2008 to 2019 for 156 healthcare centers. The Fixed Effect (FE) model and Random Effect (RE) model
have been employed. The results suggest that the deployment of cloud computing significantly assists in
reducing the operational costs in healthcare centers.