Oracle Health Stumbles, Yet Seizes Emerging Opportunities for Growth and Innovation

Health post-Cerner acquisition, despite promising advancements in AI and cloud integration.">
August 24, 2025

A recent analysis indicates that Oracle Health is grappling with significant customer discontent three years after finalizing its acquisition of Cerner. The report, compiled by KLAS, reveals a substantial outflow of clients, particularly within the acute-care sector, raising questions about the realization of promised synergies.

As 2022, Oracle Health has experienced a notable reduction in its acute-care presence, with 57 hospitals terminating their contracts-including twelve facilities with over 1,000 beds. Executives within the KLAS longitudinal feedback group pinpoint a weakening partnership, dialogue breakdowns, and the departure of key personnel as primary drivers of this trend. A concerning 50% of customers surveyed stated they would not repurchase the Electronic Health Record (EHR) system.

Challenges in Integration and Support

Several industry leaders have expressed reservations regarding Oracle’s strategic focus, suggesting a prioritization of federal contracts may be diverting attention from the needs of commercial clients. Others cite inconsistencies in implementation support and escalating issues as critical problems. However, there is a glimmer of optimism; early 2025 saw a rise in confidence regarding Oracle Health’s long-term vision, fueled by improvements in code stability and a more obvious roadmap.

AI Agent Shows Promise

A standout success is the Clinical AI Agent,which is beginning to demonstrate tangible benefits. Early adopters report streamlined workflows, enhanced documentation, and real-time insights. One Chief Facts Officer (CIO) reported a significant increase in physician efficiency, estimating that doctors are now able to see two additional patients each day. While adoption is still in its initial phases, the enthusiasm surrounding the agent, coupled with a growing preference for cloud-based solutions, is fostering renewed optimism.

EHR Updates and Revenue Cycle Management

Oracle’s latest EHR iteration, generally available in August 2025 following a limited beta test, is attracting cautious interest. Some leaders acknowledge limited visibility into its functionality,with one describing it as a surface-level redesign rather than a complete rebuild.The Patient Accounting system, branded as RevElate, continues to deliver mixed results, with some organizations successfully leveraging it to address long-standing revenue cycle issues, while others remain skeptical about its sustained efficacy.

Cloud Infrastructure and Data Exchange

The migration to Oracle Cloud Infrastructure (OCI) is increasingly viewed as a prerequisite for unlocking new capabilities and enhancing system reliability. Seamless Exchange, Oracle Health’s data-sharing platform launched in 2023, has seen a limited number of deployments while maintaining a positive pipeline of potential adopters.Most respondents express optimism-or at least neutrality-regarding its potential impact.

A key unresolved issue, executives emphasize, is the seamless integration across the entire Oracle portfolio, specifically the connection between Enterprise Resource Planning (ERP) systems and the Millennium EHR. Consistent, proactive partnership is also crucial, with one CIO highlighting the need for a single, accountable owner to resolve integration gaps.

Key Takeaways

Metric	Data point
Acute-Care Customer Losses (since 2022)	57
Customers Unlikely to Repurchase EHR	50%
Hospitals Lost with 1,000+ Beds	12
AI Agent Impact (reported)	+2 Patients/Day per Physician

Did You Know? The healthcare IT market is projected to reach $350 billion by 2027, driven by demand for interoperability and AI-powered solutions.

Pro Tip: When evaluating EHR systems, prioritize vendors with a proven track record of successful integrations and a commitment to long-term partnership.

what are the biggest challenges your organization faces when integrating new health IT systems? How important is AI integration in your technology roadmap?

The Evolving Landscape of healthcare IT

The healthcare industry is undergoing a rapid transformation, fueled by technological advancements and a growing emphasis on interoperability and data-driven decision-making. Electronic Health Records (EHRs) remain central to this evolution, but their effectiveness hinges on seamless integration, robust security, and a user-pleasant experience. The adoption of cloud-based solutions and artificial intelligence is accelerating, promising to streamline workflows, improve patient outcomes, and reduce costs. However, successful implementation requires careful planning, strong vendor partnerships, and a commitment to ongoing innovation.

Frequently Asked Questions About Oracle health

• What is Oracle Health’s primary focus? Oracle Health focuses on providing comprehensive healthcare information technology solutions, including Electronic Health Records, cloud infrastructure, and artificial intelligence tools.
• What are the main concerns regarding Oracle Health’s EHR? Customers have expressed concerns about integration, support quality, and a lack of proactive partnership.
• How is the Clinical AI Agent performing? The Clinical AI Agent is demonstrating positive results,with early adopters reporting improved workflows and increased physician efficiency.
• What is Oracle’s strategy for cloud integration? Oracle is pushing customers towards its cloud Infrastructure (OCI) to improve reliability, performance, and access to new capabilities.
• Is the new Oracle EHR a major overhaul? Some leaders view the updated EHR as a “reskinning” rather than a complete rebuild, expressing a need for more visibility into its functionality.
• What is Seamless Exchange? Seamless Exchange is Oracle Health’s data-sharing platform designed to improve interoperability and data exchange between healthcare organizations.
• What is the biggest challenge facing Oracle Health currently? The biggest challenge is integrating its various product lines and providing a consistent, proactive partnership with its clients.

Share your thoughts on Oracle Health’s performance in the comments below!

What impact did the slower-than-anticipated revenue growth and implementation delays have on Oracle Health’s market share in early 2024?

Navigating Recent Challenges in Oracle Health’s Performance

Oracle Health, formerly Cerner, has faced a period of turbulence following its acquisition by Oracle in 2022. While the integration promised synergy and innovation in healthcare technology, initial results have been mixed. Key challenges include slower-than-anticipated revenue growth, implementation delays for its flagship Millennium Electronic Health Record (EHR) system, and increased competition within the digital health landscape.

Specifically, reports in early 2024 indicated a decline in bookings, prompting concerns about Oracle Health’s ability to maintain its market share. This slowdown was partially attributed to lengthy sales cycles and difficulties in transitioning existing Cerner clients to the Oracle ecosystem. The complexity of EHR implementation and the need for extensive customization contributed to these delays. Furthermore, the shift towards cloud-based solutions and the rise of interoperability standards have put pressure on Oracle Health to adapt its offerings.

The CVE-2022-43551 Vulnerability & Cybersecurity Implications for Healthcare

A critical aspect of maintaining trust in healthcare technology is robust cybersecurity. The recent discovery of the CVE-2022-43551 vulnerability, a curl security vulnerability, highlights the ongoing threats facing healthcare providers. While the vulnerability primarily impacts curl and libcurl, its potential to bypass HSTS checks and expose sensitive data is a serious concern for systems utilizing these libraries, including those within the healthcare IT infrastructure.

Impact on EHR Systems: EHRs store highly sensitive patient information,making them prime targets for cyberattacks. A successful exploit of CVE-2022-43551 could potentially allow attackers to intercept data transmitted between the EHR system and users.

Remediation Steps: Addressing this vulnerability requires patching curl and libcurl to the latest versions. Healthcare organizations must prioritize vulnerability management and regularly update their systems to mitigate risks.

Importance of HSTS: The vulnerability underscores the importance of HTTP Strict Transport Security (HSTS) in protecting against man-in-the-middle attacks.Proper HSTS configuration is crucial for ensuring secure communication.

Strategic Shifts: Oracle Health’s Focus on Innovation

Despite these hurdles, Oracle Health is actively pursuing several strategic initiatives to drive future growth and innovation. These efforts center around leveraging Oracle’s core strengths in cloud computing, data analytics, and artificial intelligence (AI) to transform healthcare delivery.

Cloud Migration & Oracle Cloud Infrastructure (OCI)

A central pillar of Oracle Health’s strategy is the migration of its Millennium EHR to Oracle Cloud Infrastructure (OCI). This move aims to:

1. reduce Infrastructure costs: OCI offers a more cost-effective option to conventional on-premises infrastructure.
2. Improve Scalability & reliability: The cloud provides the scalability and reliability needed to support growing data volumes and user demands.
3. Enable Faster Innovation: Cloud-based development environments facilitate faster innovation and deployment of new features.

The transition to OCI is not without its challenges, requiring important investment and careful planning to ensure minimal disruption to clinical workflows.however, the long-term benefits of cloud adoption are substantial.

Leveraging AI and Machine Learning in Healthcare

Oracle health is investing heavily in AI and machine learning (ML) to enhance its offerings and address critical challenges in healthcare. Key areas of focus include:

Predictive Analytics: Using ML algorithms to predict patient risk, optimize resource allocation, and improve clinical outcomes.

Clinical Decision Support: Providing clinicians with real-time insights and recommendations based on patient data.

Automated Workflows: Automating repetitive tasks to free up clinicians’ time and improve efficiency.

Voice Recognition & Natural Language Processing (NLP): Improving documentation accuracy and streamlining clinical communication.

Expanding Interoperability & Data Exchange

Recognizing the importance of seamless data exchange, Oracle Health is actively working to improve interoperability with other healthcare systems. This includes:

FHIR (fast Healthcare Interoperability Resources) Adoption: Embracing FHIR as the standard for data exchange.

*Integration with Health Information