While many industries are rapidly adopting AI, healthcare has moved more slowly, testing the waters with various pilots. However, feedback from 228 US healthcare executives shows that we have come to an important crossroads. Across healthcare, the conversation around AI is no longer about potential; it’s about scaling AI to solve real business problems.
This insight and other healthcare AI investment trends are detailed in KLAS Research’s new report with Bain & Company: Healthcare IT Investment: AI Moves from Pilot to Production.
Points to Know
- IT spending remains a top priority in healthcare, but leaders are increasingly seeking investments that provide measurable ROI—especially through tools that drive immediate impact.
- Providers are refocusing on revenue cycle management (RCM). This shift shows a desire for solutions that directly improve revenue through better documentation and reduced claim denials.
- Payers are continuing to invest in member care coordination and utilization management. There is also growing interest in AI-driven tools for prior authorization and call center efficiency.
- Both payers and providers are moving from AI exploration to execution. 70% of providers and 80% of payers have AI strategies underway. The next challenge lies in scaling these pilots into sustainable, enterprise-wide outcomes that deliver consistent benefits.
Read on for deeper insights from the report.
Spending Reflects Broader IT Investment Shifts
Spending for IT continues to be a high priority, despite ongoing costs and staffing pressures. And when it comes to AI, executive leaders seem to feel it is riskier to do nothing. Instead, they are carefully strategizing and investing in areas where they will see the biggest impact with a clear ROI.
Investing Focus for Providers
Cybersecurity and IT infrastructure took the top spot for investment in 2024 in the wake of the Change Healthcare breach. In 2025, however, providers’ investment priorities shifted back to focus on revenue cycle management (RCM). It makes sense; with better documentation and cleaner claims, providers can see real gains in revenue as it prevents claim denials further downstream.
Many organizations also see RCM as a practical entry point for generative AI, given its potential to improve margins and reduce manual rework. Currently, the most common use for AI in this area is with documentation support, including ambient documentation.
Tools that help with clinical workflow optimization are still being prioritized as labor shortages continue. As is also supported by KLAS Arch Collaborative findings, organizations that work to improve their clinician experience and efficiency both help to reduce clinician burnout and retain their people.
For Payers
Payers are increasingly investing in network optimization and plan design; however, their top priority still lies in tools for member care coordination and utilization management. In that vein, we are seeing promising win-win outcomes for payer-provider pilots on automated prior authorization. The majority of AI tools being used in the payer space are for call center operations and member engagement.
What’s Coming Next
While we are still in the early days of healthcare AI, healthcare leaders from both payers and providers continue to feel optimistic. A striking 70% of providers and 80% of payers have an AI strategy in development, demonstrating that organizations are shifting from simply exploring what’s out there to focusing on executing specific strategies.
The early outcomes we’re seeing are encouraging, but now, attention needs to focus on scaling. As AI usage continues to move past pilots and into performance, healthcare leaders will need to grapple with how to sustain momentum and turn isolated success stories into consistent, enterprise-wide outcomes. The organizations that align innovation with an intentional focus on workflows and operation models will be best positioned to turn AI’s potential into everyday results.
Check out the full Healthcare IT Investment report to explore how AI is transforming healthcare IT investment priorities and operational strategies.
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