IBM to Acquire Merge Healthcare for $1 Billion

IBM is acquiring medical imaging company Merge Healthcare for $1 billion. The Chicago-based firm supplies medical image handling, processing, interoperability and clinical systems.

The computer giant plans to combine Merge with its Watson Health Cloud, which will cross-reference the medical images against a deep collection of lab results, electronic health records, genomic tests, clinical studies and other health-related data sources.

By combining the two businesses, IBM hopes to enable physicians and healthcare providers in radiology, cardiology, orthopedics and ophthalmology to develop more personalized methods for treating and monitoring patients, the company says.

The transaction is expected to close later this year. — Michael Cipriano