IBM's Watson Gets Its First Piece Of Business In Healthcare

by Bruce Upbin.  This article originally appeared at Forbes.com on 2/8/2013..
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IBM’s Watson, the Jeopardy!-playing supercomputer that scored one for Team Robot Overlord two years ago, just put out its shingle as a doctor or, more specifically, as a combination lung cancer specialist and expert in the arcane branch of health insurance known as utilization management.  Thanks to a business partnership among IBM, Memorial Sloan-Kettering and WellPoint, health care providers will now be able to tap Watson’s expertise in deciding how to treat patients.

Pricing was not disclosed, but hospitals and health care networks who sign up will be able to buy or rent Watson’s advice from the cloud or their own server. Over the past two years, IBM’s researchers have shrunk Watson from the size of a master bedroom to a pizza-box-sized server that can fit in any data center. And they improved its processing speed by 240%. Now what was once was a fun computer-science experiment in natural language processing is becoming a real business for IBM and Wellpoint, which is the exclusive reseller of the technology for now. Initial customers include WestMed Practice Partners and the Maine Center for Cancer Medicine & Blood Disorders.

Even before the Jeopardy! success, IBM began to hatch bigger plans for Watson and there are few areas more in need of supercharged decision-support than health care. Doctors and nurses are drowning in information with new research, genetic data, treatments and procedures popping up daily. They often don’t know what to do, and are guessing as well as they can. WellPoint’s chief medical officer Samuel Nussbaum said at the press event today that health care pros make accurate treatment decisions in lung cancer cases only 50% of the time (a shocker to me). Watson, since being trained in this  medical specialty, can make accurate decisions 90% of the time. Patients, of course, need 100% accuracy, but making the leap from being right half the time to being right 9 out of ten times will be a huge boon for patient care. The best part is the potential for distributing the intelligence anywhere via the cloud, right at the point of care. This could be the most powerful tool we’ve seen to date for improving care and lowering everyone’s costs via standardization and reduced error. Chris Coburn, the Cleveland Clinic’s executive director for innovations, said at the event that he fully expects Watson to be widely deployed wherever the Clinic does business by 2020.

Watson has made huge strides in its medical prowess in two short years. In May 2011 IBM had already trained Watson to have the knowledge of a second-year medical student. In March 2012 IBM struck a deal with Memorial Sloan Kettering to ingest and analyze tens of thousands of the renowned cancer center’s patient records and histories, as well as all the publicly available clinical research it can get its hard drives on. Today Watson has analyzed 605,000 pieces of medical evidence, 2 million pages of text, 25,000 training cases and had the assist of 14,700 clinician hours fine-tuning its decision accuracy. Six “instances” of Watson have already been installed in the last 12 months.

Watson doesn’t tell a doctor what to do, it provides several options with degrees of confidence for each, along with the supporting evidence it used to arrive at the optimal treatment. Doctors can enter on an iPad a new bit of information in plain text, such as “my patient has blood in her phlegm,” and Watson within half a minute will come back with an entirely different drug regimen that suits the individual. IBM Watson’s business chief Manoj Saxena says that 90% of nurses in the field who use Watson now follow its guidance.

WellPoint will be using the system internally for its nurses and clinicians who handle utilization management, the process by which health insurers determine which treatments are fair, appropriate and efficient and, in turn, what it will cover. The company will also make the intelligence available as a Web portal to other providers as its Interactive Care Reviewer. It is targeting 1,600 providers by the end of 2013 and will split the revenue with IBM. Terms were undisclosed.