Siemens bundles integrated healthcare competencies

Competencies and technologies associated with electronic health cards and IT security solutions to be transferred from Siemens’ Communications Group (Com) to Siemens’ Medical Solutions Group (Med)

Erlangen, Oct 20, 2006 - Siemens has bundled its expertise in the area of healthcare telematics by transferring the product business of Com’s enterprise systems security unit to Med. The transfer includes Com’s smartcard-based security solutions unit, which is responsible, among other things, for developing the electronic health card. Med will also acquire the product business of Com’s identity and access management unit and network and systems security unit. The move will give Med all the telematics infrastructure components it needs to securely operate electronic health card systems and related applications. The new setup will combine Med’s experience in optimizing processes in the healthcare industry with expertise in deploying secure and high-performance IT infrastructures.

“Information technology plays a crucial role in optimizing processes in the healthcare industry,” underscored Prof. Dr. Erich R. Reinhardt, Member of the Managing Board of Siemens AG and President of the Siemens Medical Solutions Group. “IT ensures greater efficiency by enabling the seamless and secure flow of data along the entire supply chain, from prevention to diagnosis, from therapy to follow-up care,” he said, pointing out that this applies especially to the establishment of national e-health solutions such as the electronic patient file and patient card, as is planned in Germany and has been successfully demonstrated in various pilot projects at Siemens.

“However, this immense potential can only be fully leveraged if IT is teamed with a technically advanced infrastructure,” Reinhardt continued. "So, merging the activities of Com and Med in the area of healthcare telematics is a strategically logical step. This will enable Med to be a single-source supplier of medical and administrative expertise in the area of process optimization and related communications technologies in the future – from the electronic health card with integrated chips to security and encryption technologies in hospitals, doctors’ offices, pharmacies and computer and data centers. By consolidating competencies under one roof, Med will be able to optimally develop integrated solutions that both augment healthcare quality and reduce costs on a national and even international scale.”

The transferred units will be assigned to Med’s Global Solutions Division (GS), which is headed by Dr. Volker Wetekam. “Med’s strategy is to be a single-source supplier of the entire range of logical, physical and electronic security technologies, including services such as consulting and training,” said Wetekam. “We offer both our own cutting-edge products as well as worldwide technology partnerships with leading companies. Security products are the indispensable cornerstone of every IT infrastructure. This applies not only to healthcare and business but also to the public sector. We will continue to offer products for these sectors, especially since security solutions have similar basic functionalities regardless of sector and usage scenario. In this area, we’re working closely with Siemens Enterprise Communications, which will remain the sales channel for solutions for all sectors except healthcare.” Accordingly, Siemens Enterprise Communications will concentrate on comprehensive security solutions and professional services and remain an important partner for these products in the enterprise environment.

Siemens Medical Solutions (Med) is one of the world’s largest suppliers to the healthcare industry. The company is known for bringing together innovative medical technologies, healthcare information systems, management consulting, and support services, to help customers achieve tangible, sustainable, clinical and financial outcomes. From imaging systems for diagnosis, to therapy equipment for treatment, to patient monitors to hearing instruments and beyond, Siemens innovations contribute to the health and well-being of people across the globe, while improving operational efficiencies and optimizing workflow in hospitals, clinics, home health agencies, and doctors’ offices. Employing approximately 33,000 people worldwide and operating in more than 120 countries, Siemens Medical Solutions reported sales of €7.6 billion, orders of €8.6 billion and Group profit of €976 million for fiscal 2005 (September 30). Further information is available at: www.siemens.com/medical.

The brand SIcurity® unites the Siemens IT security offering. SIcurity products and solutions, such as smartcard-based solutions, identity and access management and network and system security, ensure confidentiality, integrity, reliability and availability of information and data.

Reference number: Med BV 200610.003 e

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Holger Reim

Siemens AG

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