Fusion Health: From Prison Tech to Public Health Modernization
The niche tech firm leverages its correctional expertise to overhaul state hospitals and tackle complex compliance, signaling a major strategic shift.
Fusion Health: From Prison Tech to Public Health Modernization
WOODBRIDGE, N.J. – December 18, 2025 – In a year marked by quiet but significant expansion, New Jersey-based Fusion Health has demonstrated how specialized technology forged in the nation's correctional facilities can be a powerful tool for modernizing broader public healthcare systems. The privately held company, known for its electronic health record (EHR) and pharmacy management systems, spent 2025 expanding its footprint beyond prison walls and into complex state hospital environments, all while deepening its commitment to the demanding world of correctional care.
This strategic growth culminated in the addition of three new state agencies to its client roster, extending the company’s reach to support care for over 20,000 individuals. The year's moves signal a calculated strategy: leveraging deep expertise from one of the most challenging healthcare settings to deliver reliable, compliant, and human-centered solutions across a wider public-sector landscape.
Modernizing a Legacy System in Illinois
The most prominent example of this strategic pivot is a new multi-year contract with the Illinois Department of Human Services (IDHS). This agreement will see Fusion Health deploy its CIPS pharmacy management system across 14 state hospital facilities that serve patients with intellectual disabilities and significant mental health needs. The project represents a crucial modernization effort, replacing what was described as a “decades-old legacy platform” that limited the state's ability to integrate and streamline pharmacy operations.
For the approximately 3,400 residents within these facilities, the upgrade promises a more secure and interoperable healthcare infrastructure. Replacing an aging system is a complex undertaking, particularly in environments with high-acuity patients and stringent regulatory oversight. The move by IDHS indicates a significant level of trust in Fusion Health's ability to manage such a transition, a capability honed through years of work in secure correctional settings. This contract is a major step for the company, moving it from its established niche into the broader, higher-complexity arena of public hospital systems and demonstrating the transferability of its specialized technology.
This expansion in Illinois is not isolated. Earlier in the year, Fusion Health also secured a contract with the Illinois Department of Corrections (IDOC) to implement its FusionEHR platform across 29 state-run correctional facilities, showcasing a growing and multifaceted partnership with the state.
Tackling a National Compliance Challenge
Beyond overhauling state-level infrastructure, Fusion Health also made a strategic move to address a pressing national regulatory hurdle impacting pharmacies everywhere. The company signed a contract with MMCAP, a national cooperative purchasing organization, to offer its Fusion360 solution to members at negotiated prices.
Fusion360 is a compliance management tool designed specifically for the Drug Supply Chain Security Act (DSCSA), a complex federal law intended to prevent counterfeit drugs from entering the supply chain. Since the law's full enforcement in late 2023, institutional and public-sector pharmacies have grappled with its requirements for electronic, package-level tracing and data management. For many, especially smaller entities, the cost and operational burden of compliance are significant.
By partnering with a trusted cooperative like MMCAP, Fusion Health is making its turnkey DSCSA solution more accessible to a wide range of public-sector entities. The platform helps pharmacy teams manage transaction data, validate suppliers, and quarantine suspect products, providing a workflow designed to hold up under the scrutiny of an audit. This partnership isn't just a product sale; it's a strategic play that positions Fusion Health as a key problem-solver for a widespread industry challenge, reinforcing its reputation for delivering practical, compliance-focused tools.
Deep Roots in Correctional Healthcare
While these new ventures mark a significant expansion, the company remains firmly anchored in the correctional and juvenile justice sectors where it built its reputation. Throughout 2025, Fusion Health maintained a consistent presence at key industry gatherings, demonstrating a continued commitment to the unique needs of secure environments. The year began with participation in the American Correctional Association's Winter Conference and continued with engagement at the National Conference on Juvenile Justice and two National Commission on Correctional Health Care (NCCHC) conferences.
This steady engagement underscores the company's philosophy of building trust through long-term relationships and a deep understanding of on-the-ground realities. Company leaders emphasize that these are not just sales opportunities but forums for learning from clinical and operational leaders who navigate daily pressures of staffing, security protocols, and audits. This operator-informed perspective was even brought to a global stage when CEO Bryan J. Jakovcic and COO Akanksha Karwar attended the International Corrections and Prisons Association Technology Conference in Bangkok, contributing to discussions on how to implement “smart prison” technology that genuinely supports security and rehabilitation.
A Purpose Beyond the Platform
This commitment to challenging environments is underpinned by what the company describes as a purpose-driven culture, a theme brought into sharp focus at its annual team-building event, Reactor. The event's keynote speaker was Marcus Bullock, a formerly incarcerated entrepreneur who founded Flikshop, an app that helps families send postcards to their loved ones in prison.
Bullock’s story—of turning his experience of isolation into a mission to foster human connection—served as a powerful reminder of the ultimate goal behind the technology. His belief that “family connectivity is the number one contributor toward success after prison” resonates deeply with Fusion Health's focus on supporting continuity of care and positive human outcomes. Featuring a speaker like Bullock highlights a corporate ethos that looks beyond data and workflows to the people whose lives are impacted by their systems.
This focus on steady, purpose-driven execution was also recognized externally, with Chief Growth Officer Michael Jakovcic being named an NJBIZ 40 Under 40 honoree. As the year closes, Fusion Health’s trajectory illustrates a clear strategy: leveraging deep expertise from one of the most difficult healthcare environments to deliver reliable and respectful solutions across an expanding public-sector landscape.
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