Healthcare Software Giant Epic Systems Hit With Lawsuit Over Alleged Monopolistic Practices

Particle Health Inc. sued Epic Systems Corporation, alleging that the software firm is attempting to use its power over electronic health records (EHRs) to expand its dominance into the fledgling market for “payer platforms.”

Epic’s EHR system controls over three-quarters of U.S. patient records. The company has leveraged its vast market power to extend its influence into the emerging payer platform market.

In 2021, Epic launched the Epic Payer Platform (EPP), which quickly gained market dominance. The lawsuit claims that competitors could not gain ground.

Epic allegedly made it commercially impossible for rival platforms to access medical records stored in its EHR system.

As a result, competing platforms could not function effectively.

A turning point came in 2023 when Particle Health entered the market by leveraging a shift in payer operations.

Particle found a way to access medical records through centralized exchange networks, offering an alternative to Epic’s monopoly.

Epic allegedly cut off access to records for Particle’s customers, coercing them into ending their relationships with Particle and deliberately slowing down the approval process for new clients.

Epic’s efforts extended further, with allegations that it made false claims about the security and privacy risks associated with Particle.

Particle says the claims damaged its credibility and hindered its ability to secure new business.

Epic also initiated a formal dispute with Particle through Carequality, a nonprofit overseeing data-sharing frameworks in healthcare.

The drawn-out dispute process and denial of record access have reportedly drained Particle’s resources, severely limiting its capacity to compete.

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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