HIMSS conference attendees walk the exhibition floor
Source: HIMSS
Debates over artificial intelligence and its role in health care took center stage at the HIMSS Global Health Conference in Chicago this week, where more than 35,000 physicians, other health-care workers, executives and engineers convened to discuss the latest advancements in health and technology.
Companies such as Microsoft, Google and Amazon prominently advertised new health applications for AI on booths across a sprawling exhibition floor, and panels of experts answered questions about how the technology can be used to address industrywide challenges such as staffing shortages and physician burnout.
Many health-care organizations and companies have been using AI in various capacities for years, but a subset known as generative AI exploded into public consciousness late last year when Microsoft-backed OpenAI launched its viral new chatbot called ChatGPT. Generative AI refers to programs that can use fairly complicated prompts from end users to generate text or images.
Just as generative AI has captured the attention of the general public, it has also captivated the medical community.
AI was the focus of the HIMSS conference’s opening keynote, and HIMSS CEO Hal Wolf prefaced the discussion by revealing that he had asked ChatGPT how to solve global health-care challenges. The Healthcare Information and Management Systems Society, or HIMSS, holds the conference each year.
Wolf posed the question to ChatGPT in jest, but David Rhew, global chief medical officer at Microsoft, told CNBC in an interview that generative AI could really be “transformative” for solving big problems in the health-care industry.
“The opportunity to apply these large language models and the artificial intelligence in clinical workflows is tremendous, and we have to do it responsibly,” he said.
For Rhew, that means starting with “high-impact, low-risk” uses for the technology, such as streamlining administrative tasks.
Developing diagnostic or directly patient-facing generative AI applications are higher risk since they pose significant regulatory questions for companies, academics and federal agencies such as the Food and Drug Administration to work through. Rhew said to think of AI as if the health-care industry has just been introduced to a car, while none of the stop signs, traffic lights or roads have been created yet.
“We still have to figure out how to do this together,” he said.
HIMSS CEO Hal Wolf speaks at the HIMSS conference
Source: HIMSS
But in the meantime, administrative or “back office” tasks require less regulatory oversight, and there is a real need for efficient solutions, since clerical work is often burdensome for clinicians.
A study funded by the American Medical Association in 2016 found that for every hour a physician spent with a patient, they spent an additional two hours on administrative work. The study said that physicians also tend to spend an additional one to two hours doing clerical work outside of working hours.
Similarly, in 2017, the Journal of the Association of American Medical Colleges published a survey where respondents said around 24% of their working hours are spent on administrative tasks. More than two-thirds of the physicians surveyed reported that administrative responsibilities “negatively affect their ability to deliver high-quality care.”
HIMSS attendees told CNBC they believe generative AI can help with these tasks.
Letting AI do the clerical work
On Monday, Microsoft announced an expanded partnership with Epic Systems, a health-care software company that helps hospitals and other health systems store, share and access electronic health records. More than 160 million people use Epic’s MyChart software, which provides patients with direct access to their health information and care team.
Epic’s first application of the AI technology automatically generates draft responses to the messages that physicians receive from patients through MyChart. The physicians don’t have to use the suggested draft at all, but it saves them time if they choose to edit or send it.
Seth Hain, senior vice president of R&D at Epic, told CNBC in an interview that AI could serve as an impactful hypothesis generation tool for physicians in the future. He said they will be able to ask patient-specific questions such as: What do you think I should look at next in regard to this problem?
Peter Lee, corporate vice president of research and incubations at Microsoft, told CNBC that an early look at Epic’s AI developments brought tears to his eyes.
“It just blew me away,” he said.
Microsoft’s speech recognition subsidiary Nuance Communications also announced a clinical notes application called DAX Express ahead of HIMSS in March. DAX Express aims to help reduce clinicians’ administrative burdens by automatically drafting a clinical note within seconds after a patient visit.
In a live demo at HIMSS, Nuance previewed future projects and showcased DAX Express’ capabilities, which were met with gasps and joyful exclamations from some of the physicians, nurses and health-care workers in the room.
More than 35,000 people attended the HIMSS conference in 2023
Source: HIMSS
Other companies are also working to use generative AI to reduce administrative burdens.
Amazon Web Services on Monday announced an expanded partnership with Philips, a Netherlands-based health technology company. AWS has already been supporting many of Philips’ existing cloud-based and AI initiatives, such as those that help radiologists analyze scans and medical images more quickly — even from their homes.
But Monday’s announcement means Philips will also use AWS’ generative AI technology to simplify its clinical workflows and advance its imaging capabilities even further.
“What’s most exciting is the fact that we are approaching a precipice where we have this tipping point, where we make the right thing the easy thing,” Shez Partovi, Philips’ chief innovation and strategy officer, told CNBC in an interview. “And right now, in most technology, the right thing is a lot of clicks away.”
Partovi said all the small tasks that physicians have to complete are like “death by 1,000 cuts,” so using AI to tease out administrative challenges can make a real impact on the quality of physicians’ lives.
On Tuesday, 3M Health Information Systems also announced that it is also working with Amazon Web Services’ machine learning and generative AI to help reduce physicians’ administrative workload. 3M HIS supports a conversational AI platform used by more than 300,000 physicians, and the company said in a release that the AWS technology will make it easier for doctors to automate and complete accurate clinical notes in the electronic health record.
Similarly, Google Cloud announced a Claims Acceleration Suite last week that uses AI to streamline health insurance claims processing and prior authorization.
According to the Centers for Medicare & Medicaid Services, the current prior authorization process takes an average of 10 days. Google’s AI will help alleviate some of that administrative burden for providers by converting the unstructured data that appears in images, PDFs or other health records into a more easily digestible, structured format.
“They actually require a human being to go in there and to take that data and rekey it into the system for review,” Amy Waldron, director of global health plans strategy and solutions at Google Cloud, said during a media briefing with reporters at HIMSS. “Which, to me, makes absolutely no sense given that someone has to take time to put all that rich data there, and we have AI that can unlock that value.”
Generative AI has “tremendous” potential to improve administrative efficiency in health care, said Microsoft’s Rhew. But as health-care and technology companies continue to make more sophisticated advancements, industry leaders, regulators and academics in the community will have to ensure that generative AI is equitable and does not cause harm to communities.
The technology is vulnerable to bias and discrimination if it is trained on health-care data that does not properly represent a patient population, which could ultimately lead to inadequate decision-making or treatment plans.
As a result, Rhew said, there is a collective responsibility to figure out how to deploy AI with care.
“It is a transformative technology,” he said, “but we have to figure out how to do it responsibly.”
Baidu has launched a slew of AI applications after its Ernie chatbot received public approval.
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Chinese tech giant Baidu saw its shares in Hong Kong soar nearly 16% on Wednesday as the company ramps up its artificial intelligence plans and partnerships.
Shares in the Beijing-based firm, which holds a dominant position in China’s search engine market, had gained nearly 8% overnight in U.S. trading.
The strong stock performance comes after Baidu earlier this week secured an AI-related deal with China Merchants Group, a major state-owned enterprise, focused on transportation, finance, and property development.
“Both sides plan to focus on applications of large language models, AI agents and ‘digital employees,’ vowing to make scalable and sustainable progress in industrial intelligence based on real-life business scenarios,” according to Baidu’s statement translated by CNBC.
Baidu has been aggressively pursuing its AI business, which includes its popular large language model and AI chatbot Ernie Bot.
As it seeks to gain an edge in China’s competitive AI space, the company on Tuesday disclosed a 4.4 billion yuan ($56.2 million) offshore bond offering. This follows a $2 billion bond issuance back in March.
Other Chinese AI players, such as Tencent, have also been raising funds, including via debt sales this year, to support the billions being poured into their AI capabilities.
Signs of AI strength
At a developer conference last week, Baidu unveiled a series of AI advancements, including the company’s latest reasoning model, Ernie X 1.1.
According to the company, multiple benchmark results showed that its model’s overall performance surpassed that of Chinese AI start-up DeepSeek’s latest reasoning model. CNBC could not independently verify that claim.
To train its AI models, the company has also started using internally designed chips, The Information reported last week, citing people with direct knowledge of the matter.
In addition to providing a new potential business venture, Baidu’s chip drive could help it reduce reliance on AI chips from Nvidia, which has been subject to shifting export controls from Washington.
Gimme Credit Senior Bond Analyst, Saurav Sen, said in a report last week that Baidu’s recent capital allocation revealed that the company is making an “all-in AI pivot.”
Baidu, whose Hong Kong shares have gained nearly 59% this year, reported a drop in second-quarter revenue last month as its core advertising business struggled and returns from AI investments remained limited.
Andy Jassy, CEO of Amazon, speaks during an unveiling event in New York on Feb. 26, 2025.
Michael Nagle | Bloomberg | Getty Images
Amazon CEO Andy Jassy said Tuesday that he’s working to root out bureaucracy from within the company’s ranks as part of an effort to reset its culture.
Speaking at Amazon’s annual conference for third-party sellers in Seattle, Jassy said the changes are necessary for the company to be able to innovate faster.
“I would say bureaucracy is really anathema to startups and to entrepreneurial organizations,” Jassy said. “As you get larger, it’s really easy to accumulate bureaucracy, a lot of bureaucracy that you may not see.”
A year ago, as part of a mandate requiring corporate employees to work in the office five days a week, Jassy set a goal to flatten organizations across Amazon. He called for the company to increase worker-to-manager ratios by at least 15% by the end of the first quarter of this year.
Jassy also announced the creation of a “no bureaucracy email alias” so that employees can flag unnecessary processes or excessive rules within the company.
Amazon has received about 1,500 emails in the past year, and the company has changed about 455 processes based on that feedback, Jassy said.
The changes are linked to Jassy’s broad strategy to overhaul Amazon’s corporate culture and operate like the “world’s largest startup” as it looks to stay competitive.
Jassy, who took the helm from founder Jeff Bezos in 2021, has been on a campaign to slash costs across the company in recent years. Amazon has laid off more than 27,000 employees since 2022, and axed some of its more unprofitable initiatives. Jassy has also urged employees to do more with less at the same time that the company invests heavily in artificial intelligence.
Transforming Amazon into a startup-like environment isn’t an easy task. The company operates sprawling businesses across retail, cloud computing, advertising, and other areas. It’s the U.S. second-largest private employer, with more than 1.5 million employees globally.
“You have to keep remembering your roots and how useful it is to be scrappy,” Jassy said.
The StubHub logo is seen at its headquarters in San Francisco.
Andrej Sokolow | Picture Alliance | Getty Images
Online ticket platform StubHub is pricing its IPO at $23.50, CNBC’s Leslie Picker confirmed on Tuesday.
The pricing comes at the midpoint of the expected range that the company gave last week. At $23.50, the pricing gives StubHub a valuation of $8.6 billion. StubHub will trade on the New York Stock Exchange under the symbol “STUB.”
The San Francisco-based company was co-founded by Eric Baker in 2000, and was acquired by eBay for $310 million seven years later. Baker reacquired StubHub in 2020 for roughly $4 billion through his new company Viagogo, which operates a ticket marketplace in Europe.
StubHub has been trying to go public for the past several years, but delayed its public debut twice. The most recent stall came in April after President Donald Trump‘s “Liberation Day” tariffs roiled markets.
The company filed an updated prospectus in August, effectively restarting the process to go public.
The IPO market has bounced back in recent months after an extended dry spell due to high inflation and rising interest rates. Klarna made its debut on the NYSE last week after the online lender also delayed its IPO in April. Tyler and Cameron Winklevoss’ Gemini, stablecoin issuer Circle, Peter Thiel-backed cryptocurrency exchangeBullish and design software company Figma have all soared in their respective debuts.
At the top of the pricing range StubHub offered last week, the company would have been valued at $9.2 billion. StubHub had sought a $16.5 billion valuation before it began the IPO process, CNBC previously reported.
StubHub said in its updated prospectus that first-quarter revenue increased 10% from a year earlier to $397.6 million. Operating income came in at $26.8 million for the period.
The company’s net loss widened to $35.9 million from $29.7 million a year ago.