NSW Health has renewed its partnership with Amazon Web Services (AWS) in a $159.6 million agreement, strengthening its digital overhaul and accelerating the state’s transition to cloud-based healthcare services. The three-year deal is part of a broader multi-cloud strategy, which also incorporates Microsoft Azure, and reflects the department’s commitment to building a modern, secure, and innovative digital health ecosystem.
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A Major Step in Digital Health
Over the past several years, NSW Health has taken deliberate steps to digitise its operations and streamline service delivery. Already, 60% of its business applications and critical systems have migrated to the public cloud. More than 20 key platforms are hosted on AWS, including electronic medical records (eMR), contact centres, and the Telestroke service that provides rapid access to specialists for stroke patients.
The new AWS contract, secured through the federal government’s procurement arrangement, ensures that NSW Health continues this momentum. According to eHealth NSW, the agency leading the digital transition, the shift is about much more than IT. It represents a fundamental change in how healthcare services are designed, delivered, and accessed.
Cloud as the Backbone of Healthcare
Cloud computing has quickly become the backbone of NSW Health’s digital transformation. Critical systems such as the enterprise data lake, eMR, and intensive care records now operate within cloud environments, improving scalability, speed, and security.
One of the most anticipated projects—the single digital patient record—is being hosted on AWS under a separate 10-year, $163 million agreement signed last year. This platform will unify patient information across hospitals, clinics, and primary care providers, giving clinicians faster access to complete health histories and improving continuity of care.
An eHealth NSW spokesperson explained:
“By adopting cloud technologies, NSW Health is accelerating innovation, modernising service delivery, and improving outcomes for patients and clinicians while keeping information safe and secure. This transition aligns with the NSW government’s cloud-first strategy and is pivotal to NSW Health’s digital transformation.”
Consolidation of Services
The shift to AWS has also enabled NSW Health to consolidate fragmented systems into streamlined platforms. For example, seven separate instances of the iPharmacy service—used by pharmacists to access prescriptions and patient histories—were merged into a single, state-managed cloud environment. This move reduces duplication, improves efficiency, and ensures consistency of care across facilities.
Similarly, the statewide data centre reform program has delivered impressive results. According to NSW Health’s annual report, 87% of targeted applications and 83% of infrastructure have now transitioned from locally hosted systems to centralised cloud platforms. This large-scale migration reduces operational costs while ensuring resources are easier to manage and scale.
Why AWS?
The decision to extend AWS as a strategic partner highlights several advantages:
- Reliability and scalability – AWS provides the flexibility to expand services as demand increases, a critical feature for large healthcare systems.
- Security and compliance – Sensitive health data is protected under strict security frameworks and Australian government regulations.
- Innovation capabilities – Cloud environments enable faster deployment of new technologies, from AI-driven analytics to telehealth applications.
- Cost efficiency – Moving away from physical infrastructure reduces maintenance costs and allows resources to be redirected toward patient care.
These benefits explain why AWS remains central to NSW Health’s cloud-first strategy, despite the parallel use of Microsoft Azure for multi-cloud resilience.
The Role of eHealth NSW
eHealth NSW plays a vital role in steering the department’s digital direction. The agency oversees programs ranging from telehealth services to electronic records and cloud migration. Its mission is to deliver world-class digital health solutions that improve patient outcomes, empower clinicians, and create a connected health system.
Through the AWS deal, eHealth NSW ensures that critical applications operate on reliable platforms while supporting statewide integration of data and services. This focus helps break down silos across hospitals and regional health districts, making healthcare delivery more consistent and efficient.
Benefits for Patients and Clinicians
The cloud overhaul is not just about technology—it directly impacts patient care. Clinicians can access patient information more quickly and securely, leading to faster diagnoses and better treatment decisions. Services like Telestroke demonstrate how real-time cloud access can save lives by connecting patients in regional areas with metropolitan specialists within minutes.
For patients, the upcoming single digital patient record will be transformative. No matter which hospital or clinic they visit, healthcare professionals will have access to the same complete, up-to-date medical history. This reduces the risk of errors, avoids duplication of tests, and provides a smoother healthcare experience.
Addressing Challenges
While the benefits are clear, cloud transformation is not without challenges. Migrating legacy systems, training staff, and managing cybersecurity risks remain ongoing priorities. NSW Health must also ensure that digital systems remain accessible to all patients, including those in rural or underserved communities where internet connectivity can be limited.
To address these issues, the department is investing in staff training, improving security frameworks, and collaborating with technology partners to maintain service reliability. The multi-cloud strategy—using both AWS and Microsoft Azure—adds resilience, ensuring that services remain uninterrupted even if one provider experiences downtime.
The Future of Digital Health in NSW
Looking ahead, NSW Health’s cloud-first approach positions it as a leader in digital health innovation. Artificial intelligence, predictive analytics, and machine learning will likely play a larger role in patient care as cloud infrastructure expands. These technologies can help predict patient needs, personalise treatment, and identify health risks before they become critical.
Moreover, cloud-based systems will enable better collaboration between public and private healthcare providers. Patients can expect more seamless sharing of information across the entire healthcare ecosystem, reducing barriers and improving continuity of care.
The renewed AWS deal is also expected to create opportunities for local technology partners, researchers, and startups that can integrate their solutions with NSW Health’s cloud platforms. This ecosystem approach may drive further innovation in telehealth, remote monitoring, and digital diagnostics.
Frequently Asked Questions:
What is the value of NSW Health’s new AWS agreement?
The renewed agreement is worth $159.6 million and covers a three-year period under the federal government’s AWS procurement framework.
Why did NSW Health choose AWS for its cloud transformation?
AWS offers scalability, security, cost efficiency, and advanced innovation capabilities that help NSW Health modernise service delivery and protect sensitive patient data.
How many systems has NSW Health migrated to the cloud?
So far, about 60% of business applications and critical systems have moved to the public cloud, with more than 20 key platforms hosted on AWS.
What are some critical services now hosted in the cloud?
Cloud infrastructure supports electronic medical records (eMR), intensive care records, contact centres, the enterprise data lake, and the Telestroke service.
What is the Single Digital Patient Record project?
It’s a 10-year, $163 million project hosted on AWS, designed to unify patient data across hospitals, clinics, and healthcare providers for seamless access and better care.
How does this transformation benefit patients?
Patients will benefit from faster diagnoses, improved continuity of care, reduced errors, and easier sharing of health records across facilities.
How does the deal affect healthcare staff and clinicians?
Clinicians gain quicker, more reliable access to patient information, reducing delays and improving decision-making in critical care situations.
Conclusion
NSW Health’s renewed $159.6 million AWS agreement is more than a technology investment—it marks a decisive step in transforming healthcare delivery across the state. By migrating 60% of its critical systems to the cloud, consolidating services like I Pharmacy, and preparing for the Single Digital Patient Record, the department is building a smarter, more connected healthcare ecosystem. This cloud-first approach strengthens patient outcomes, empowers clinicians with faster access to information, and ensures sensitive data remains secure. With AWS as a strategic partner and a multi-cloud strategy in place, NSW Health is setting the benchmark for digital health innovation in Australia, paving the way for more efficient, reliable, and future-ready healthcare services.
