Unplugged: Midyear Progress Note on Healthcare Tech in 2025

It’s midyear review time for a lot of people. While professionals everywhere are reviewing performance metrics, KPIs, and goals, there’s a more critical system that also demands reflection: healthcare technology in the United States.

 There are so many variables and moving points during this time, especially in the United States. The infrastructure of the healthcare system is at a pivotal turning point, and not necessarily in the right direction. Technology is iterating at a pace that few could have predicted. Every day brings new apps, features, devices, and integrations. Possibility is everywhere. So is uncertainty. Still, many of us hold on to hope. We have to. Don’t we?

Almost eight months into 2025, the defining theme is acceleration. What was once supplemental is now central. Digital health tools went from optional to nearly embedded into most care delivery, operations, and decision making strategies. Speed does come at a cost. There is growing tension between what the industry is building and what the system can actually sustain. Adoption gaps are widening as the risk of fragmentation becomes harder to ignore.

Interoperability continues to dominate strategic discussions, yet seamless integration remains elusive. Too many solutions operate in silos, forcing clinicians to bridge the gaps manually. Patients are still repeating their histories at every touchpoint. Despite meaningful advances in remote monitoring, AI-driven diagnostics, and virtual care, access remains uneven and deeply stratified. Rural communities, safety-net hospitals, and underfunded clinics often lack the resources to implement or sustain these tools, and now with legislative repercussions likely impacting these systems, there will be more disjointed care. Without thoughtful distribution, innovation risks reinforcing the very disparities it claims to solve.

Policy hasn’t kept up either. While there are efforts to modernize regulations and clarify expectations for digital health and AI, much of the current guidance is reactive. Health systems are left to navigate compliance in a patchwork environment. Meanwhile, data breaches and cyberattacks have become more common, raising real concerns about security, trust, and accountability in digital care models.

The clinical workforce is also at an inflection point. Automation, analytics, and digital support tools promise to enhance decision making and efficiency, but the reality is more complex. Clinicians are expected to adapt at an unrelenting pace, often without adequate support or training. Burnout is not only persistent, it is now being compounded by digital fatigue. The promise of innovation must be reconciled with the capacity of the individuals expected to carry it forward.

Yet even amid these structural and operational pressures, meaningful progress is emerging. Forward-looking health systems are quietly piloting virtual models grounded in human-centered design. Select startups are shifting their focus from purely clinical interventions to the administrative and operational pain points that undermine system performance, leading to significant partnerships. A growing cohort of clinical innovators are blending clinical fluency with technical aptitude, offering a new kind of leadership capable of bridging the gap between care delivery and computational logic.

The last portion of 2025 requires deliberate coordination between clinical leadership, policy development, and technology deployment. Progress must be evaluated by its impact on care delivery, instead of its novelty or market visibility. Health systems need clear regulatory guidance, scalable infrastructure, and implementation strategies that reflect the realities of both clinical workflows and patient access. This is a critical period for translating potential into practice and addressing the structural gaps that technology alone will not solve.

Curious to hear your thoughts! Comment to discuss.

There is a new Executive Order that has been released today. It directs federal agencies to avoid procuring large language models (LLMs) that incorporate what it defines as "ideological biases," particularly those associated with diversity, equity, and inclusion (DEI). The policy argues that DEI undermines factual accuracy and scientific objectivity in AI systems.

Key components:

Purpose: Prevent AI systems used by the federal government from being influenced by ideologies such as DEI, critical race theory, intersectionality, transgender identity, or unconscious bias. These are described as threats to truthful and neutral outputs.

Unbiased AI Principles: 1) Truth-Seeking: AI must prioritize historical accuracy, scientific rigor, and objectivity. 2)Ideological Neutrality: AI must avoid favoring or embedding partisan or ideological beliefs unless explicitly prompted by the user.

Implementation Requirements:

• Within 120 days, the OMB will issue implementation guidance for federal agencies.

• Contracts for AI tools must include terms enforcing the Unbiased AI Principles.

• Noncompliance may result in vendor penalties, including decommissioning costs.

• Exceptions may be made for national security systems.

Scope: Applies to all federal agencies and federally procured AI tools, particularly large language models.

Potential Implications for Healthcare: For healthcare agencies and contractors, this order may complicate the development or use of AI tools designed to reduce bias, promote equitable outcomes, or address systemic disparities. Compliance with federal procurement standards may now restrict the inclusion of equity-focused frameworks, potentially undermining efforts to improve care quality for historically marginalized populations. This will likely widen disparities, which cost the US >$450 billion currently and worsen patient outcomes.

The State of Healthtech: Mid-2025 looks at what’s working, what’s failing, and what comes next. From AI breakthroughs in diagnostics to stalled telehealth reimbursement and a ransomware surge in healthcare, the first half of 2025 has been anything but predictable. This review cuts through the noise to unpack what’s actually happening across virtual care, digital therapeutics, funding, cybersecurity, and policy.

To Download the full report to get a strategic snapshot of the technologies reshaping healthcare and the governance gaps still putting patients and providers at risk, click the hyperlink and it will take you to the report. If you have issues obtaining the link, email me at [email protected]

Here's to hope, health, and innovation!

-Erkeda DeRouen, MD, CPHRM

P.S. Even the strongest teams miss risks when innovation moves faster than regulation. At Digital Risk Compliance Solutions, we help healthcare leaders simplify risk, strengthen what’s already in motion, and close the gaps you can’t afford to overlook. If your team is building AI or digital health systems, let’s make sure they’re built to last. If your team could use support, let's chat. https://calendly.com/drerkeda/drcs or email [email protected]