Why Nashville Leads Healthcare Technology
February 4, 2025
Nashville is often celebrated for its rich musical heritage and vibrant cultural life, and that’s certainly a factor in attracting talent to Preverity’s hometown. But there’s so much more to Nashville’s leadership in healthcare innovation.
Nashville hosts an expansive ecosystem that integrates advanced technology, data analytics, and a collaborative spirit that drives significant advancements in the sector. Today, I share why Preverity could only have emerged in Nashville and why it’s the nation’s hub for healthcare technology.
A Storied History as the Health Services Capital
Nashville’s role as a healthcare epicenter has deep roots, dating back to 1953 when HCA was established. Today, Nashville is home to over 900 companies working in healthcare, contributing $97 billion in global revenue. This ecosystem doesn’t just thrive on historical achievements; it continues to lead in health data, analytics, and information technology. The city houses two major medical schools, Meharry Medical College and Vanderbilt University Medical Center, at the forefront of medical research and innovation. Their contributions underscore the city’s unique position in medicine, healthcare delivery and cutting-edge technological advancement.
Why Did Oracle Choose Nashville? The Power of Proximity
Harvard business strategy expert Michael Porter highlights the strategic advantage of single-sector business clusters, noting, “Proximity—the colocation of companies, customers, and suppliers—amplifies all of the pressures to innovate and upgrade.” Nashville embodies the proximity principle, with a thriving network of healthcare systems, data companies, technology providers, and biotech firms fostering an environment ripe for innovation.
Oracle’s recent decision to build its headquarters in Nashville underscores the city’s significance in the healthcare industry. Larry Ellison, Oracle’s Chairman and Chief Technology Officer, cited the healthcare sector’s central role in the city as a pivotal reason for the move. This colocation of tech giants and healthcare heavyweights signals a bright future for healthcare technology in Nashville.
Preverity Exemplifies How Crossing Disciplines Drives Innovation
Preverity’s origin story illustrates the essence of Nashville’s healthcare technology landscape. As co-founders, Larry (Larry Van Horn) and I brought vastly different backgrounds to germinate the idea that became Preverity. Larry’s expertise in healthcare economics and pricing transparency and my experience managing healthcare billing and procedural data led us to see that procedural billing information was key to risk management. We could discern patterns hidden in plain sight by analyzing that granular data and matching it to procedural risks. Nashville brought us together, and we unlocked data, revolutionizing healthcare analytics, transparency and patient safety.
Industry Titans and Startups Alike Call Nashville Home
From established giants like HCA (Hospital Corporation of America) and HealthStream to innovative startups such as Wellview Health and emids Technologies, Nashville is the place to make a mark in healthcare technology. These companies benefit from being part of a rich tapestry of talent, including data scientists and healthcare professionals, all contributing to a shared goal of advancing the sector.
Nashville’s healthcare industry is a formidable force, with:
- Over 4,000 healthcare companies
- 16 publicly traded healthcare companies headquartered in the city
- Annual global revenue of $84 billion from the healthcare industry
- Approximately 550,000 jobs in Nashville’s healthcare sector
These figures underscore Nashville’s pivotal role in healthcare innovation and its ability to attract talent and investment.
Preverity Looks Ahead
The synergy between Nashville’s healthcare and tech industries ensures that the city will continue to be a magnet for innovation. With one-third of the city’s tech job openings related to healthcare as of 2019, Nashville’s dedication to fostering growth and innovation in this sector is evident. The city’s convergence of healthcare and technology propels the local economy and positions Nashville as a model for other cities aiming to harness the power of digital transformation.
Nashville’s unique blend of healthcare expertise, innovation, and collaborative energy marks it as a leader in the tech frontier, making it a powerhouse in healthcare services and the technology that will define the future of patient care and medical research. The city’s ongoing success story in healthcare technology is a testament to what can be achieved when industry leaders, innovators, and institutions unite with a shared vision of improving health outcomes through technological advancement.
Kind Regards,
Gene Boerger, President and Chief Operating Officer
615-982-7076 | info@preverity.com