AdvancedMD: This Company Builds Cloud Software For Medical Practices – A $6+ Billion Market

By Amit Chowdhry ● Jun 23, 2023

AdvancedMD builds cloud software for independent medical practices that deliver industry-leading patient outcomes and financial performance. Pulse 2.0 interviewed AdvancedMD vice president and head of product Tim Costantino to learn more about the company.

Tim Costantino’s Background

Costantino has a computer science background with an emphasis on artificial intelligence and psychology. Prior to joining AdvancedMD, he held multiple leadership positions in both technology and product organizations across the financial and healthcare technology sectors, including positions at SS&C Technologies, StayWell, and National City Bank. Tim earned a Bachelor of Science degree in Computer Science in 2004 with an emphasis in Artificial Intelligence and Psychology from Case Western Reserve University.

“I have worked in both financial technology and healthcare technology throughout my career. I switched from a technical role into a product role about 13 years ago and joined AdvancedMD about three years ago,” said Costantino.

Costantino is responsible for the product and user experience teams. And his team is responsible for building the best platform possible to help clients focus on what is most important: taking care of their patients.

Challenges Faced

What challenges does Costantino face in building product? “Building a 100% cloud-based platform to support a diverse set of specialties, business models, and patient needs is complex but critically important,” Costantino acknowledged. “The regulatory landscape can help accelerate investment in certain critical areas but also has the potential to slow innovation. Balancing these needs is challenging, rewarding, and vital for us to create a platform that serves our clients’ needs at a price point that they can afford.”

Core Products

What are the AdvancedMD core products and features? “AdvancedMD provides an all-in-one EHR, practice management, and patient engagement platform for medical practice owners. Our technology enables medical offices to easily automate workflow processes, driving major productivity gains that result in measurable outcomes,” Costantino explained. “We focus on providing a unified user and patient experience across the entire product suite, with seamless scheduling capabilities, payment features, telehealth services, and so much more. Underpinning these core product capabilities is the most robust interoperability solution available. We serve more than 800 of the nation’s largest billing service and BPO companies that use our technologies to serve their clients.”

Evolution Of AdvancedMD Technology

How has AdvancedMD technology evolved since launching? “AdvancedMD is a pioneer in cloud-based healthcare platforms. We have always been cloud-based and that has provided huge value to our clients in terms of time-to-implement, time-to-receive-updates, and total cost of ownership,” Costantino replied. “A few years back, we made a massive investment to give our clients one unified cloud experience with Amazon Web Services. This enables them to achieve unprecedented stability and security with instant access to their data. We have leveraged this advantage to create a robust set of mobile technologies to support both the physician and the patient. We are excited about the new frontier of healthcare technology powered by the next generation of artificial intelligence.”

Significant Milestones

What have been some of the most significant milestones? Costantino cited the following milestones:

2000 – Launched first web-based billing and practice management solution

2006 – Launched electronic medical records 

2009 – Launched ePrescribing for practice management clients

2010 – Reached milestone of 1.5 million claims processed in a single month

2012 – Launched the Apple iPad app and the iPad charge capture 

2016 – Launched telemedicine and unified practice management, EHR and telemedicine bundle 

2017 – Launched reputation management with patient feedback surveys

Launched mental health edition with discounted pricing

Launched physical therapy edition with discounted pricing

2018 – Launched ePayments

2019 – Launched patient card framework in the EHR

2020 – Launched a prescription drug monitoring program for EPCS (Electronic Prescribing for Controlled Substances.)

2021 – Hit a record of 40,000 practitioners and 850 billing service clients

Customer Success Stories

When I asked Costantino about customer success stories, he pointed out that they work with Sterling Structural Therapy; Thomas Miller, MD; JPL Family Medicine; Morganstern Urology; CommunityMed; Bluebonnet Counseling; Pennsylvania Dermatology Partners; Fort Collins Spine; and the TMJ Sleep Center.

Funding/Revenue

When I asked Costantino about funding and revenue, he replied

“AdvancedMD is wholly owned by Global Payments, a Fortune 500 company. We are a well-funded organization with an eye toward growth by investment. Our revenue has been steadily increasing year over year and we are proud of the continued trajectory.”

Total Addressable Market

What is the total addressable market (TAM) size that AdvancedMD is pursuing? “The TAM for AdvancedMD is massive. The global EHR market size is estimated at $5.8 billion in 2021 and is expected to grow to $9.6 billion by 2030 (Precedenceresearch.com). Telemedicine is estimated at $28.1 billion by Trillian Health and $83.5 billion by Grandviewresearch.com. The bottom line is there is a lot of room for innovation and expansion of market share,” assessed Costantino.

Differentiation From The Competition

What differentiates AdvancedMD from its competition? “AdvancedMD is, and always has been 100% cloud-based. We support customizable workflow to support an efficient experience across specialties and business models. We provide a unified experience across all core practice functions,” Costantino emphasized.

Future Company Goals

What future company goals does AdvancedMD hope to achieve? “We want to provide a frictionless experience for our clients and their patients. There is still a lot of friction throughout the Healthcare market and our goal is to address that by streamlining and automating workflows so that our clients can focus on what is most important: their patients,” concluded Costantino.