As Epic Systems continues to dominate the healthcare EHR market, a new challenger is stepping forward with a lawsuit accusing the industry giant of unlawfully controlling access to U.S. medical records. The lawsuit, filed by startup Particle Health, claims Epic is using its market power to stifle competition and limit the flow of patient data.
On Sept. 23, Particle Health filed a lawsuit in the U.S. District Court for the Southern District of New York, accusing Epic of deliberately undermining its competing platform in violation of U.S. antitrust laws.
Particle claims Epic is attempting to divert customers from its "payer" software platform, which allows health plans to access and utilize medical records stored within Epic's system.
According to Particle's lawsuit, Epic controls access to health data for as much as 94% of the U.S. population.
Epic has dismissed the lawsuit as baseless.
Here is seven things to know about Particle Health:
- Particle Health, a New York-based health data exchange platform, was founded in 2018.
- The company focuses on simplifying access to patient records by integrating data from various sources, facilitating the sharing and utilization of medical information across health systems, according to its website.
- Jason Prestinario has served as the CEO of Particle Health since May 2023, according to his LinkedIn profile. He previously held roles at data analytics firms Komodo Health and Palantir Technologies.
- The company is also a part of Carequality, which operates a nationwide health data exchange network that connects over 600,000 healthcare providers, 50,000 clinics, and 4,200 hospitals, according to its website.
- In 2022, Particle Health said it processed over 100 million files, with the majority of these records sourced from Carequality.
- On March 21, Epic submitted a formal dispute to Carequality, alleging that Particle had been sharing patient data with certain companies that were utilizing the information for purposes not related to treatment. In response, Particle Health said that Epic "indiscriminately" ceased responding to queries from several of its customers. However, the company emphasized that the majority of its clients had continued to receive data from Epic without any interruptions.
- Some of Particle Health's partnerships include Hona, a HIPAA-compliant AI product that aims to enhance medical record retrieval, and LifeMD, a telehealth company focused on delivering personalized medical care.