For anyone involved in healthcare in 2025, it’s clear the industry sees no shortage of opportunities for implementing artificial intelligence (AI). Healthcare and life sciences are adopting AI at a faster rate than other industries. An American Medical Association survey noted 66% of physicians are using some type of augmented intelligence for certain tasks—a doubling from the previous year.
AI offers opportunities for measurable improvements, especially on the administrative side. During our recent Scottsdale Institute panel, our moderator, Pheobe Yang, summarized some key statistics:
- 25% of healthcare spending in the United States is considered waste.
- 80% of that waste is administrative, financial, and operational burden.
Eliminating waste is challenging since there are stakeholders who, to an extent, benefit from the inertia. Yet it is compulsory. More than half of the AMA physicians said reducing administrative burdens through AI automation was the biggest area of opportunity. AI applications are focusing mainly on streamlining operations and reducing costs. Both areas are considered to provide a return on investment with relatively lower risk compared to clinical applications. Regardless, all applications must be grounded in practical, tangible results.