Microsoft Healthvault Not Profitable in the US

An article earlier this week in the Financial Times states that “Microsoft has abandoned efforts to make profits in the US out of its Healthvault cloud computing system“.  Citing “complexity in the country’s health system“, Peter Neupert, corporate vice-president for health, says that the primary benefit to continued operation of Healthvault in the US is to “increase the brand relationship“.   Not only will Microsoft not charge US users  to use Healthvault, the company also committed to not attempt to generate revenue from advertising or other sources.

Microsoft is apparently still pursuing revenue generation opportunities in other countries in which Healthvault operates including Canada. Given Canada’s federated health system, with each province pursuing different priorities and approaches, will Microsoft and its Canadian partner, Telus, experience similar difficulties in achieving profitability?

Mike

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