Australia's Healthcare Faces Unprecedented Strain

RMIT

Australian universities are accelerating the adoption of new digital technologies in the healthcare system, as highlighted in a new report led by the RMIT-Cisco Health Transformation Lab.

The Health x Digital Transformation Report 2025-2026, from the National Industry Innovation Network (NIIN) Health Alliance, features 13 case studies. These showcase how universities, industry, government, and healthcare providers are partnering to improve healthcare.

Through this collaboration, healthcare providers are addressing challenges such as workforce shortages, funding constraints, and outdated infrastructure.

The report's case studies include:

  • virtual emergency departments, AI-powered clinical tools, digitally connected ambulances, and safe care models, improving patient outcomes
  • rapid digital upskilling programs, AI-enabled workforce redesign, and training pathways, building workforce capabilities quickly
  • cybersecurity frameworks, next-generation connectivity, and sandboxes for safe adoption, building necessary digital infrastructure.

RMIT leads two initiatives featured in the report:

  • a rapid upskilling pilot in which 365 Grampians Health staff built essential skills in areas such as generative AI, cybersecurity and digital decision-making
  • the RMIT-Cisco Sandbox facility, a digitally enabled mock care setting where researchers, startups and health system professionals work together on prototypes for the future of health. 

Professor Vishaal Kishore, Executive Chair of the RMIT-Cisco Health Transformation Lab, said when universities, health services and industry partners work together, innovation accelerates.

"Real progress in the health sector happens through collaboration and when technologies are carefully prototyped and rigorously tested. This builds confidence and uncovers challenges early on," Professor Kishore said.

"It's not just about deploying new technologies. It's about rethinking care delivery, empowering the workforce, and building infrastructure for a more connected health system."

Nithya Solomon, Director of the RMIT-Cisco Health Transformation Lab, said the NIIN Alliance prioritises engagement over observation.

"Building trust in new technologies is key to ensuring organisations and workforces embrace the benefits of digital transformation," Solomon said.

"Our process of collaboration, co-design and prototyping leads to confident adoption of new technologies."

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Nithya Solomon (left), Director of the RMIT-Cisco Health Transformation Lab in conversation with Matt Walker, Manager, Network and Communications, Peninsula Health, and Craig Mendel, Manager, IT Customer Experience, Uniting NSW ACT at Cisco Live! Melbourne on 12 November 2025.

Policy directions going forward

Solomon said the Alliance would continue to strengthen its connections and work in the broader Asia Pacific region over the next year.

She said priority directions for the upcoming year include:

  • Embracing AI and the rise in intelligent agents, focusing on human-in-the-loop AI systems that improve patient outcomes and systems efficiency, with built-in transparency, trust and validation.
  • Advancing connected care by designing inclusive, digitally enabled models that expand access, enable remote monitoring, and integrate into existing clinical workflows.
  • Strengthening digital infrastructure and resilience to support the secure and scalable integration of digital tools across the health system.
  • Building workforce capacity and dynamism through upskilling and reskilling initiatives, preparing staff to confidently adopt and adapt to emerging technologies.

"Partners can help shape a more resilient health system, by joining our pilot programs, innovation centres, workforce initiatives, and shared infrastructure projects," Solomon said.

The Health x Digital Transformation Report 2025-2026 is the second of three reports in this series. To read last year's report: Top five health tech trends give a glimpse of the future of healthcare - RMIT University.

About the National Industry Innovation Network (NIIN) Health Alliance

The NIIN is a dynamic network that brings together industry, university, and government partners to drive digital technology advancements in economy and society. 

With more than 24 key sites across Australia, including seven innovation centres, seven Research Chairs, five health-focused labs, and specialised technology hubs, NIIN is uniquely positioned to address critical healthcare challenges through collaborative digital innovation. 

This network includes RMIT University, Adelaide University, Curtin University, Flinders University, La Trobe University, Queensland University of Technology, The University of Queensland, University of Canberra, University of Sunshine Coast and University of Technology Sydney.

About the RMIT-Cisco Health Transformation Lab

The RMIT-Cisco Health Transformation Lab is the place where health and innovation leaders from Australia - and around the globe - come to address the thorniest questions of health system reform, transformation, technology, and value.

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