Ep 6: Bradley Bostic and Nick Merker Unpack AI’s Impact on Healthcare Regulation and Cybersecurity

The healthcare industry is undergoing a seismic shift as artificial intelligence (AI) and cybersecurity redefine the landscape. While AI promises breakthroughs in patient care and operational efficiency, it also brings challenges that demand careful navigation. At the heart of these conversations are leaders like Bradley Bostic, an innovator driving change in personalized medicine, and Nick Merker, a privacy, cybersecurity, and AI expert with a deep understanding of healthcare’s regulatory complexities.

Nick’s unconventional journey—from computer science to law to healthcare—offers a unique lens on these pressing issues. His technical expertise, coupled with a legal and ethical approach, underscores the importance of transparency and responsibility in implementing AI. "AI in healthcare isn’t just a technology—it’s a trust mechanism," Nick emphasizes. "Transparency in how AI systems are built and maintained is non-negotiable, especially when they influence life-altering decisions."

The regulatory landscape for AI is still taking shape, but some frameworks, like the European Union’s AI Act, are emerging as global benchmarks. The EU AI Act categorizes AI systems by risk, imposing stricter requirements on those deemed “high-risk,” such as healthcare applications. Nick predicts this model will influence policies worldwide. "Much like the GDPR transformed privacy laws globally, the EU AI Act is setting the foundation for how AI is governed across industries," he explains.

The conversation around AI in healthcare isn’t just about rules—it’s also about ethics and practical implementation. AI’s dynamic nature makes it challenging to regulate, as it evolves based on data inputs and usage patterns. Nick argues that transparency and robust monitoring mechanisms will be key. "AI must be designed with accountability baked in. It’s not about preventing issues entirely but about having systems in place to identify and resolve them quickly when they arise."

Cybersecurity is another critical area where healthcare must advance rapidly. The industry’s reliance on interconnected systems and vast amounts of sensitive data makes it an attractive target for cyberattacks. The consequences of a breach go beyond financial losses—patient safety and trust are on the line.

The ransomware attack on a prominent healthcare billing company is a stark reminder of these vulnerabilities. The attack disrupted cash flow for nearly 91% of U.S. healthcare providers, forcing some to take drastic measures to keep their doors open. "Continuity planning isn’t just a good practice—it’s a necessity," Nick says. "Healthcare providers must rethink their reliance on single points of failure, especially in critical areas like billing and patient data management."

Practical steps include developing contingency plans, conducting regular "tabletop exercises" to simulate potential breaches, and diversifying vendor relationships. "Organizations need to treat cybersecurity with the same seriousness they apply to patient care," Nick advises. "If your systems go down, your ability to provide care is compromised—that’s unacceptable in a field where lives are at stake."

Despite these challenges, both Nick and Bradley remain optimistic about the future of healthcare. They view AI as an enabler rather than a disruptor. "AI won’t replace people—it will empower them," Nick asserts. "It’s about using technology to enhance human capabilities, not diminish them." Bradley shares this perspective, emphasizing that AI’s ultimate promise lies in its ability to make healthcare more personalized, efficient, and equitable.