Cloud Healthcare IT Services: ITelagen Acquires Planet Logic

ITelagen is buying Planet Logic, essentially uniting two IT service providers focused on the healthcare vertical. The deal is expected to be finalized on May 31, 2016. Financial terms were not disclosed.

ITelagan provides hosted EHR (electronic health records) solutions for physicians and medical practices. Planet Logic, based in Newton, N.J., offers healthcare-centric hosting and cloud services, with a particular emphasis on HIPAA and SAE16/SOC Type II-compliant data centers. Key Planet Logic partners include Net Access Corp. and ViaWest.

ChannelE2E is checking to see how many employees ITelagen & Planet Logic had ahead of the deal, and how the teams will be organized after the deal is finalized.

MSPs Focus on Healthcare

ITelagen is part of growing MSP and CSP movement toward the healthcare market.

Of the MSPs going vertical, roughly 25 percent are focused on healthcare as their first priority, according to ChannelE2E's Top Vertical Market MSP survey and research (results coming June 16).

Still healthcare isn't for the faint of heart. The Office for Civil Rights (OCR) this year is stepping up audits of healthcare firms (aka Phase II Audits). As a result, healthcare firms and their business associates -- including MSPs -- have to be extra careful with patient information and other data.