Roughly a year ago, Google offered health-data company Cerner Corp. an unusually rich proposal.
Cerner was interviewing Silicon Valley giants to pick a storage provider for 250 million health records, one of the largest collections of U.S. patient data. Google dispatched former chief executive Eric Schmidt to personally pitch Cerner over several phone calls and offered around $250 million in discounts and incentives, people familiar with the matter say.
Google had a bigger goal in pushing for the deal than dollars and cents: a way to expand its effort to collect, analyze and aggregate health data on millions of Americans. Google representatives were vague in answering questions about how Cerner’s data would be used, making the health-care company’s executives wary, the people say. Eventually, Cerner struck a storage deal with Amazon.com Inc. instead.
The failed Cerner deal reveals an emerging challenge to Google’s move into health care: gaining the trust of health care partners and the public. So far, that has hardly slowed the search giant.
Google has struck partnerships with some of the country’s largest hospital systems and most-renowned health-care providers, many of them vast in scope and few of their details previously reported. In just a few years, the company has achieved the ability to view or analyze tens of millions of patient health records in at least three-quarters of U.S. states, according to a Wall Street Journal analysis of contractual agreements.
In certain instances, the deals allow Google to access personally identifiable health information without the knowledge of patients or doctors. The company can review complete health records, including names, dates of birth, medications and other ailments, according to people familiar with the deals.
Many taxpayer supported K-12 school districts use Google services, including Madison.