If the rounds that Health Catalyst and Zephyr Health have put together are any indication of how the rest of the year might go for fledgling healthcare data analytics startups, we can expect to see bigger, mid-stage deals this year, and not in the places you might expect.
New analysis from research firm CB Insights found that venture funding for companies developing predictive and prescriptive data analytics for healthcare more than doubled from 2012 to 2013, while deal volume rose 40 percent. These are companies that are working with providers or payers to convert all of the data they’re collecting into insights that will hopefully guide more effective and less costly care.
With the Rise of AI, What IP Disputes in Healthcare Are Likely to Emerge?
Munck Wilson Mandala Partner Greg Howison shared his perspective on some of the legal ramifications around AI, IP, connected devices and the data they generate, in response to emailed questions.
Seed-stage and Series A deals, like Mayo Clinic spinout Ambient Clinical Care’s recent seed round, have dominated activity over the past two years, but as CB notes, mid-stage financing is growing as the market matures.
Also growing is the amount being invested in health data companies outside of major IT hubs in California, Massachusetts and New York. Salt Lake City-based Health Catalyst, for one, has garnered the biggest round yet this year, pulling in $41 million from Norwest Venture Partners, Sequoia Capital and Kaiser Permanente Ventures.
CB Insights says about half of deals in this sector have been done outside of the major tech hubs.
MedCity News will be talking with entrepreneurs and physicians working to wrangle big data during a Google Hangout this Friday at noon.
A Personalized Approach to Medication Nonadherence
At the Abarca Forward conference earlier this year, George Van Antwerp, managing director at Deloitte, discussed how social determinants of health and a personalized member experience can improve medication adherence and health outcomes.
[Image credit: CB Insights]
