Cloud Computing and Health Care Applications: a change in opinions?

I have designed and implemented Health Care Applications for more than 3 years and I have experienced a dramatic change of opinions toward the use of Cloud Computing for Health IT.

Several years ago, the idea of having on demand resources offered as a service, used to process or store Health Care related data, was out of the question.  The main concerns were the security, privacy and confidentiality of the data; the reliability and ease of use of the underlying systems and platforms.

Health Care solution providers did not hesitate to require a minimum of tens of thousands of dollars of hardware to deploy a minimum configuration for a multi-tier EHR or PHR web based application. In fact, some players were even barely starting to virtualize their platforms.

One of the requirement to comply with the Health Insurance Portability and Accountability Act of 1996 (HIPAA) regulation is that the transmission of patients protected health information (PHI) over open networks must be encrypted.

These issues have been recently addressed and companies offering virtual infrastructure as a service such as Amazon EC2 offer 256 bit AES encryption algorithms for files containing PHI, as well as token or key-based authentication and sophisticated firewall configurations for their virtual servers. Encryption is also available when storing the data on Amazon S3. The access from the internet or EC2 to Amazon S3 is done via encrypted SSL endpoints which ensures that PHI information stays protected. AWS indeed describes several Cloud based Healthcare related applications in their case study, including MedCommons (a health records services provider that give the ability to the end users to store among other medical information CCR and DICOM documents).

Cloud infrastructure providers such as Amazon Web Services (AWS) ensure that their administrators or third-party partners cannot have access to the underlying PHI data. Strong security policies, access consent processes, as well as monitoring and audit capabilities are available to reduce dramatically the risks of  unauthorized access. In addition to this, these providers offer highly available solutions for automated back-ups and disaster recovery which make them more attractive that traditional solutions. Some providers also ensure that the data in question stay within the borders of specific regions, states or countries to comply with regulations in place.

In fact it is very interesting to see these days Health Care becoming a show case of the benefits of Cloud computing. Last month, at the San Francisco Bay Area ACM chapter presentation on cloud computing, I was surprised to see that the first Cloud Application example mentioned was TC3. The numbers were indeed very convincing: When facing with  sudden increase of insurance claims processing (from 1 to 100 millions per day in a very short time), TC3 had the option of a traditional solution consisting of $750K of new hardware and $30K of maintenance and hosting per month, or use an Amazon Web Service Cloud solution for $600 per month. The decision was easy I suppose!