The fifth industrial revolution (I5.0), which is based on the utilization of interconnected data for efficient resource usage in meeting human requirements, proposes efficient solutions to resource constraint situations. However, the transition to I5.0 in the health sector is not easy and has to face several obstacles. This study dives deep into exploring and handling the obstacles in the integration of I5.0 practices into the existing Indian health system and suggests measures for overcoming them. Twenty‐three obstacles were identified from literature analysis and experts' suggestions. The identified obstacles were further clubbed under organizational, technological, behavioral, financial, and regulatory and legal categories. Further, the obstacles were put to the fuzzy DEMATEL approach, which prioritized them based on their interaction/influence with each other. Triangular Fuzzy Number (TFN) approach was used to accommodate any uncertainty in responses from the experts. The findings from the study highlight the lack of integration of pertinent “I5.0” technologies in medical work, the lack of patient security law and general data protection regulation for healthcare services, and the lack of support from top management for “I5.0” adaptation as the top three ranked obstacles requiring immediate attention. The cause‐effect classification in the study paved the direction to address first the causal obstacles, utilizing their interrelationship with other obstacles to achieve integration of I5.0 in the health sector. This study can be an important guiding document to the policymakers and various healthcare stakeholders to integrate the I5.0 concept in addressing the needs of the vast Indian population.