Siemens Healthineers inks ‘unprecedented’ $131M partnership with large health system
Varian, part of the larger Siemens Healthineers, has inked what those involved call an “unprecedented” $131 million, 10-year deal with a large health system.
The company has formed a multidisciplinary oncology partnership with Nova Scotia Health covering the purchase of hardware, software, digital solutions and services, along with teaming to develop a new digital imaging concept.
Varian—acquired by Siemens in 2021 for $16.4 billion—also plans to establish an office in the Canadian province’s city of Halifax. It has committed to staff the new outpost with at least 60 full-time employees and made a 10-year payroll and rent commitment of nearly $37.4 million (USD).
"We are so impressed with the magnitude and breadth of Nova Scotia Health's ambition to not only stay on the cusp of advances in cancer care but also contribute to creating those advances so that patients can receive better, more effective, more coordinated care," Arthur Kaindl, head of Varian, said in a Jan. 4 announcement.
The two parties had already been collaborating since December 2022 to build a “unified, connected cancer care network.” The agreement paves the way to expand the scope of their work. Varian did not specify details but said it will work with Nova Scotia Health to develop a new “digital imaging concept” with feedback from the hospital system. If the work proves fruitful, Varian plans to commercialize the new imaging product and establish an innovation fund for future projects in the province.
Nova Scotia Health is the largest provider in its namesake geography, employing over 24,000 individuals working across 100-plus locations.
Marty Stempniak has covered healthcare since 2012, with his byline appearing in the American Hospital Association's member magazine, Modern Healthcare and McKnight's. Prior to that, he wrote about village government and local business for his hometown newspaper in Oak Park, Illinois. He won a Peter Lisagor and Gold EXCEL awards in 2017 for his coverage of the opioid epidemic.