LBMC Reveals Industry leaders are confronting a convergence of fast innovation, regulatory changes, and increased cybersecurity issues as the healthcare terrain changes. Expert in LBMC Healthcare AI and Product Innovation Matt Cybulsky emphasizes important trends influencing 2025: AI’s growing importance in diagnostics, an expected rise in mergers and acquisitions, and growing pressure on healthcare companies to incorporate technology while preserving private data.
In this article, review these key healthcare trends:
- AI’s Growing Role in Healthcare
- Mergers & Acquisitions (M&A) Surge
- GLP-1s, SGLT-2s, and Consumer-Driven Healthcare
- AI-Powered Decision Support Tools
- Healthcare Policy Shifts Under a New Administration
- Addressing Workforce Challenges with AI
- Cybersecurity Risks in AI Adoption
Beyond these key trends, healthcare leaders are balancing business priorities with patient-centered care while addressing rising costs, regulatory changes, and workforce challenges. In our 2025 Business Outlook Trends for Healthcare Industry blog, we explore key shifts shaping the future of healthcare, including the expansion of telehealth, AI-driven diagnostics, medtech innovations, and the growing importance of value-based care. Additionally, we highlight how predictive analytics, cybersecurity, and digital transformation are driving operational efficiency and improving patient outcomes.
Key Healthcare Trends for 2025
1. AI’s Growing Contribution to Personalized Care and Diagnostics
AI-driven technologies are improving healthcare procedures, customized treatment regimens, and diagnostics. AI-assisted imaging enhances decision-making, efficiency, and predictive analytics. It is anticipated that automation will also transform administrative duties and responsibilities.
2. The Year of Mergers and Acquisitions (M&A)
Digital health, biotech, and provider groups are seeing more M&A activity as companies seek scale, data integration, and new care models. Meanwhile, private equity-backed consolidations in healthcare services remain under close watch. Regulatory changes and a new administration are bound to impact hospital and tech acquisitions, including market consolidation.
“The anticipated resurgence in healthcare M&A for 2025 is driven by declining interest rates, significant PE investor ‘dry powder,’ and a more lenient regulatory environment, paving the way for transformative deals that could redefine patient care and industry standards.” LISA NIX, LBMC SHAREHOLDER AND PRACTICE LEADER, TRANSACTION ADVISORY SERVICES
3. GLP-1s, SGLT-2s, and the New Era of Consumer-Focused Healthcare
Despite the incredible advantages of these medications, demand has sparked worries about supply shortages, insurance coverage, and price. Conversations are dominated by alternative access models and weight-loss platforms that place a greater emphasis on appearance and makeup. As 2025 progresses, access and costs will be impacted by coverage for these from all payors, including the government.
4. Decision Support Tools Rooted in AI for 2025
Multi-function decision support tools, including text, imaging, genomic data, and patient history, enhance diagnostic capability and, ultimately, efficiency.
5. Possible Effects of the New Administration on Healthcare Policy
Key discussions include Medicare and Medicaid policy, AI regulation, and medication pricing negotiations. Leaders are closely observing how healthcare economics will be affected by CMS, HHS, and FTC decisions.
6. Integration of AI to Address Staffing and Continued Workforce Challenges
AI-powered scheduling, clinical documentation tools, and virtual assistants are already in use, with further expansion expected in nursing, radiology, and primary care. The rise of digital hospitals is set to reshape healthcare delivery across the industry as challenges for the workforce continue to mount.
7. AI and Healthcare Cybersecurity Vendor Risk
Healthcare cybersecurity is crucial as AI adoption rises and firms continue their digital transformations.
“With growing reliance on AI, data architecture is changing, data repositories are multiplying, new identities are being created, and our overall threat surface is expanding. Healthcare organizations must embed cybersecurity into digital transformation efforts to harness AI’s potential while also protecting critical data.” VAN STEEL, LBMC SHAREHOLDER AND HEALTHCARE CYBERSECURITY LEADER
Key Healthcare Leader Considerations
- AI Risk & Opportunity: AI improves efficiency but creates new vulnerabilities. Healthcare data must be protected by GenAI policies. Vendors must disclose AI’s role in handling PHI and ensure HIPAA compliance.
- Supplier Contracts: Many SaaS systems now use AI, but contracts signed before late 2022 may not safeguard AI. Leaders must reevaluate agreements for accountability.
- Cybersecurity: PE-backed healthcare enterprises need cybersecurity.
- Regulatory & Insurance Pressures: Rising cyber risks are driving stricter compliance. Neglecting AI security could result in financial and reputational damage.
“As AI becomes increasingly integral to healthcare, organizations must balance its transformative potential with rising cybersecurity threats and ever-changing regulations. Those that master this balance—leveraging AI while safeguarding data security, ensuring high data quality, and maintaining compliance—will lead the industry forward.” JON HILTON, LBMC SHAREHOLDER AND AI SERVICES PRACTICE LEADER
Partnering with LBMC for Healthcare Success
Healthcare leaders need to adapt to rapid innovation, changing policies, and cybersecurity challenges. Those who embrace these changes will be better set for long-term success. AI diagnostics, changing M&A landscapes, and new regulations will reshape the industry, but navigating this shift needs expertise and careful planning.
LBMC supports healthcare organizations with strategic advice on AI adoption, cybersecurity, regulatory compliance, and transaction advisory. Our experts collaborate with healthcare leaders to create customized solutions that boost efficiency, improve patient care, and maintain compliance in a constantly evolving environment.
Get insights on the future of healthcare and how your organization can adapt by downloading our 2025 Business Outlook Report today. Stay informed and competitive with LBMC as your trusted partner in healthcare innovation.