GE buys Dynamic Imaging

GE has bought Dynamic Imaging. Woah that’s big news. Props to Dalai who got this first. To me this is the clear admission that Centricity was a dead animal. The code base is not designed to operate in a true web environment. Centricity is a clunker with many more technologically advanced rivals, such as Dynamic Imaging.

What does this mean? First I think that M&A activity in healthcare is hot right now even with the private equity guys complaining about access to liquidity. Commissure was acquired by Nuance. Now GE buys Dynamic Imaging. GE is the second major company to buy another company that makes the same product that they do. Philips bought Stentor and replaced their existing PACS with it. I am sure that DIs technology will become front and center has GE’s PACS offering even if they rebrand it Centricity. They would be fools not to.

So I have said in the last few days that I do not see much room for small to mid sized PACS companies. There is another interesting exit strategy for them, selling to a large company to replace its PACS. Maybe it is time for Siemens to pony up and buy Emageon, Amicas, or one of the many privately held PACS companies.

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