U.S. Healthcare Revenue Cycle Management Market Embraces Cloud Innovation 2025

U.S. Healthcare Revenue Cycle Management Market Size, Top Key Players with Forecast

The U.S. healthcare revenue cycle management market size is calculated at US$ 58.56 billion in 2024, grew to US$ 65.38 billion in 2025, and is projected to reach around US$ 171.97 billion by 2034. The market is expanding at a CAGR of 11.6% between 2025 and 2034.

Thanks to developments in AI and machine learning, the healthcare sector is moving away from Computer-Assisted Coding (CAC) and towards Autonomous Coding. Autonomous coding completely automates the process, reducing the need for human intervention, in contrast to CAC, which uses NLP to help coders with code ideas. By tackling problems including human error, weariness, and changing standards, this change seeks to increase automated medical coding and billing's efficacy, accuracy, and cost-effectiveness. Research shows its increasing popularity and advantages.

Key Takeaways

• U.S. healthcare revenue cycle management sector pushed the market to USD 58.56 billion by 2024.
• Long-term projections show USD 171.97 billion valuation by 2034.
• Growth is expected at a steady CAGR of 11.6% in between 2025 to 2034.
• The global healthcare revenue cycle management market is set to grow from US$136.40 billion in 2023 to US$453.47 billion by 2034 at a CAGR of 11.54%.
• By product type, the integrated segment dominated the U.S. healthcare revenue cycle management market in 2024 and is expected to grow at the fastest CAGR during the forecast period.
• By function type, the claims & denial management segment dominated the market in 2024.
• By function type, the medical coding & billing segment is expected to grow at the fastest CAGR during the forecast period.
• By deployment type, the cloud-based segment dominated the market in 2024 and is expected to grow at the fastest CAGR during the forecast period.
• By end-user, the physician office segment dominated the U.S. healthcare revenue cycle management market in 2024.
• By end-user, the hospitals segment is expected to grow at the fastest CAGR during the forecast period.

Quick Facts Table

What is Healthcare Revenue Cycle Management?

The U.S. healthcare revenue cycle management market is driven by the rising demand for better non-medical services in healthcare. The method used by healthcare organisations to oversee the financial activities involved in billing and collecting payment for medical services is known as revenue cycle management, or RCM. By decreasing claim denials, cutting down on days in accounts receivable, and boosting collections, RCM contributes to increased revenue. As a consequence, healthcare providers maximise their financial performance and obtain accurate and timely reimbursements. In addition to helping healthcare organisations meet legal obligations, effective RCM may significantly increase patient satisfaction.

Market Outlook

• Industry Growth Overview: The growing use of AI, machine learning, and cloud-based solutions to improve accuracy, expedite operations, and guarantee regulatory compliance is fueling the robust expansion of the U.S. healthcare revenue cycle management market. By 2025-2034, the market's worth is expected to have almost doubled or perhaps tripled.
• Major Investors: Along with well-known healthcare IT and service providers like McKesson Corporation and Change Healthcare, as well as significant professional services firms like Veritas Capital Fund Management, major investors include big tech companies like Oracle, Optum (a division of UnitedHealth Group), and Epic Systems.
• Startup Ecosystem: AI is being used by pioneers like Adonis and AKASA in the U.S. healthcare revenue cycle management market startup environment to expedite coding, billing, and rejections. In light of growing expenses, restrictions, and a labour scarcity, the climate favours AI, cloud, and patient-centric solutions.

What is the Role of AI in the Market?

The U.S. healthcare revenue cycle management market is greatly impacted by artificial intelligence. Tasks carried out by artificial intelligence can be completed quickly and with few or no mistakes. AI has the power to completely transform RCM in the US healthcare sector by optimising workflows, cutting expenses, raising precision, and enhancing patient happiness and profitability. Additionally, workers may rely on AI to streamline laborious activities so they can concentrate more on troubleshooting and critical thinking.

What are the Trends in the Market?

Rise in outsourcing: One of the major trends in the U.S. healthcare revenue cycle management market is rise in outsourcing the RCM services. Hospitals and other healthcare service providers majorly focus on provide high-quality care and hence are inexperienced or are unable to focus on other non-medical aspects of healthcare services. Due to this, these healthcare providers are outsourcing RCM services in order to solely focus on patient care.

For instance,

• In October 2024, Virginia's Mary Washington Healthcare is outsourcing its revenue cycle management. The 60-facility nonprofit health system said that it has chosen Ensemble Health Partners to handle its revenue cycle management, joining a growing number of hospitals that are choosing to outsource some or all of their revenue cycle functions.

Segmental Insights

Why was the Integrated Segment Dominant in the Market in 2024?

By product type, the integrated segment dominated the U.S. healthcare revenue cycle management market in 2024 and is expected to grow at the fastest CAGR during the forecast period. For healthcare organisations, integrated systems provide a number of advantages. They streamline departmental data flow, centralise billing data, and increase the accuracy of claims submissions. This enhancement produces superior financial outcomes. Integrated RCM solutions let up healthcare institutions to concentrate more on patient care than administrative duties by minimising errors and decreasing manual entry.

Which Function Type Segment Dominated the Market in 2024?

By function type, the claims & denial management segment dominated the U.S. healthcare revenue cycle management in 2024.The strategic process of locating, looking into, resolving, and avoiding denied insurance claims in order to maximize a healthcare provider's revenue cycle and financial stability is known as claims and denial management. To prevent further rejections, it entails methodically examining denials to identify the underlying reasons, such as coding mistakes or missing documentation, and then revising and resubmitting claims or putting process enhancements into place. Efficient denial management guarantees prompt payment for medical services, enhances cash flow, and lessens administrative workloads.

By function type, the medical coding & billing segment is expected to grow at the fastest CAGR during the forecast period. In the complex realm of healthcare, denial management has become essential to both financial stability and effective medical billing. This crucial procedure entails locating, addressing, and averting insurance denials and claim rejections in order to guarantee that medical providers are paid on time and in full. Through creative solutions, businesses are spearheading the transformation in medical billing denial management as automation and technology develop.

How the Cloud-Based Segment Dominated the Market in 2024?

By deployment type, the cloud-based segment dominated the U.S. healthcare revenue cycle management in 2024 and is expected to grow at the fastest CAGR during the forecast period. The power of digital technology and the internet is brought to this vital area of healthcare administration through cloud-based RCM systems. These systems streamline RCM by automating processes such as payment collection, insurance claims, scheduling, and billing. They boost overall process efficiency, lower the possibility of human mistake, and give real-time access to patient data.

Which End-User Segment Dominated the Market in 2024?

By end-user, the physician office segment dominated the U.S. healthcare revenue cycle management market in 2024. Revenue Cycle Management (RCM) is used by a doctor's office to oversee the financial aspects of patient care, including scheduling, insurance verification, filing claims, and collecting payments. RCM solutions are essential to the practice's financial stability and capacity to deliver high-quality treatment because they simplify billing and coding, lessen administrative workloads, and guarantee prompt payment from patients and insurance companies.

By end-user, the hospitals segment is expected to grow at the fastest CAGR during the forecast period. Effective revenue cycle management for hospitals ensures financial stability, boosts cash flow, and reduces administrative expenses. Simplifying each step can help hospitals decrease claim denials, expedite reimbursements, and maintain compliance with healthcare standards.

Regional Insights

The U.S. Healthcare Revenue Cycle Management Market Trends

AI-native revenue management solutions are now vital as U.S. healthcare providers struggle with increasing administrative complexity and margin pressure. Revenue cycle activities alone cost hospitals more than $160 billion a year, and administrative expenditures make up more than 40% of total hospital spending.

In June 2025, the rapidly expanding enterprise Al healthcare technology firm Commure, which powers providers' next-generation infrastructure, announced that it has obtained $200 million in expansion investment from the Customer Value Fund (CVF) of General Catalyst.

In January 2025, a strategic investment from affiliates of New Mountain Capital, LLC ("New Mountain"), a prominent growth-oriented investment company with around $55 billion in assets under management, was announced by Access Healthcare, a leading revenue cycle management (RCM) platform powered by technology.

Global Healthcare Revenue Cycle Management Market Growth

The global healthcare revenue cycle management market was valued at US$ 136.40 billion in 2023 and is expected to reach US$ 453.47 billion by 2034, growing at a compound annual growth rate (CAGR) of 11.54% between 2024 and 2034.

Top Vendors in the Market & Their Offerings

• Optum: Optum's RCM solutions optimise healthcare revenue cycles from start to finish by utilising automation, analytics, and artificial intelligence. By lowering administrative expenses and improving reimbursement accuracy and timeliness, this helps providers' financial performance.
• Oracle Cerner: Among the services provided by Oracle Cerner (Oracle Health) RCM are claims, coding, and billing automation. Contributions boost cash flow, decrease rejections, optimise financial processes, and improve the billing experience for patients.
• Epic Systems Corporation: In order to automate processes like billing, claims, and payment processing, Epic provides complete RCM software that interfaces with their EHR. It assists providers in increasing income streams, decreasing mistakes, and improving financial efficiency.
• R1 RCM: In order to enhance the financial performance of providers and the patient experience, R1 RCM provides technology-enabled, end-to-end revenue cycle management solutions that use automation and artificial intelligence.
• McKesson Corporation: By offering tools and solutions that simplify medical billing, claims processing, and patient registration, McKesson offers RCM services. The financial performance of healthcare providers is enhanced by these initiatives.
• Waystar: Waystar provides providers with cloud software driven by AI that streamlines and automates intricate healthcare payment procedures. Increasing income, enhancing patient financial experience, and increasing efficiency are some of its contributions.
• Athenahealth: To automate billing, claims, and collections, Athenahealth offers cloud-based RCM solutions such as AthenaCollector and AthenaIDX. It helps healthcare providers become more efficient and make more money by providing AI-powered automation and a rules engine that is continuously updated.

Top Companies in the Market

• Optum (UnitedHealth Group)
• Oracle Cerner
• Epic Systems Corporation
• R1 RCM
• McKesson Corporation
• Waystar
• Athenahealth
• Conifer Health Solutions
• Experian Health
• The SSI Group
• eClinicalWorks
• FinThrive Revenue Systems
• Ensemble Health Partners
• NextGen Healthcare
• AdvantEdge Healthcare Solutions (Health Prime International)
• GeBBS Healthcare Solutions
• Huron Consulting Group
• Cognizant (Trizetto Provider Solutions)
• MedEvolve
• CareCloud

Recent Developments in the Market

• In August 2025, the main product of RCM Matter, a TechMatter subsidiary, is a next-generation Medical Billing and Revenue Cycle Management (RCM) software system designed for contemporary healthcare procedures.
• In June 2025, the world's first AI biller tailored to healthcare providers, Amanda, has been launched by Amperos Health to help revenue cycle management (RCM) teams recover unpaid claims and decrease denials. The company has also raised $4.2 million in a seed funding round from leading venture capital firms.

Segments Covered in the Report

By Product Type

• Integrated
• Standalone

By Function Type

• Claims & Denial Management
• Medical Coding & Billing
• Eligibility Verification
• Payment Remittance
• Others

By Deployment Type

• Cloud-based
• On-premise

By End-user

• Physician Office
• Hospitals
• Diagnostic Labs and Ambulatory Surgical Centers
• Others