The HL7 Interoperability Push Changes Everything for Multi-Location Groups
What this week's device connectivity standard means for your practice consolidation timeline
By Localhost Labs
TL;DR
-
HL7 interoperability standards will eliminate custom integration costs ($50K–$200K annually per location) within 18 months by forcing vendors to use common data formats.
-
You'll finally build a tech stack by mixing best-of-breed tools instead of buying bundled systems; swapping one vendor won't require rebuilding everything else.
-
This week, search your vendor contracts for "FHIR" and email your account rep requesting their HL7 FHIR roadmap in writing to assess their commitment.
TL;DR: HL7 interoperability standards are about to make custom integrations obsolete. For multi-location groups, this means you can finally build a tech stack instead of buying a vendor's bundle. Within 18 months, the integration tax that's been costing you $50K–$200K per location annually will disappear.
Three years ago, Apple forced all iPhone chargers to USB-C. Manufacturers screamed. Retailers had to retrain staff. But here's what actually happened: consumers stopped needing a drawer full of cables gathering dust. The real cost wasn't the transition—it was the years of pretending incompatibility was a feature.
Healthcare is having its USB-C moment. This week, HL7 launched a device interoperability community to make medical devices and EHRs talk without custom integrations. It sounds technical. It's actually about permission to stop overpaying for broken promises.
For multi-location practices, this changes what you can afford to do next.
The Integration Tax Is About to Disappear
For years, vendors sold you integration as a premium feature. Your scheduler doesn't talk to billing? Buy their billing module. Your devices don't feed into the EHR? Pay for a custom bridge. Multi-location groups spend approximately $50K–$200K annually per location just to make systems communicate—money that disappears into vendor lock-in, not outcomes.
Here's what's shifting: HL7 FHIR adoption among major EHR vendors reached 68% in 2024, and the push for standardized device interoperability will reach industry-wide adoption within 18–24 months. When devices and software must share data in standard formats, vendors can't charge you for the conversation anymore.
Integration Costs Multiply Across Multi-Location Practices
Source: MGMA Data Dive | Estimated annual integration costs per location
Within two years, this won't be a competitive advantage. It'll be table stakes.
You Can Finally Build Your Stack Instead of Buying Someone Else's
Right now, you're locked into bundles. You keep ModMed even though it's slow because ripping it out means rebuilding integrations with your scheduler, your billing, your devices. The switching cost isn't the software—it's the integration plumbing.
Interoperability standards flip this. You can keep your EHR and swap your scheduler for something faster. You can replace your billing system without replacing everything else. More importantly: you won't need a six-month integration project to add a location. You'll plug in the tools you need and they'll talk to each other by default.
What to Ask Your Vendor Next Week
When a vendor pitches you, ask one question: "Does this support HL7 FHIR natively?" If they say "we're working on it" or "our integration team can handle it," they're selling you the old model. The vendors ahead of this are already building FHIR into their products.
Check their roadmap. If interoperability isn't on it for 2025–2026, they're betting you'll stay trapped. You don't have to.
This week: Pull your current vendor contracts and search for "FHIR" and "interoperability." If neither appears, email your account rep and ask for their HL7 FHIR roadmap in writing. Their answer tells you whether they're preparing for the future or hoping you don't notice it's already here.