Providence spun off its venture capital arm and renamed it Allumia Ventures. The newly independent venture capital firm also recently closed its third fund, in which Providence invested $150 million. Allumia is looking to grow the fund by inviting 3-5 other health systems to be limited partner investors.
This year has seen a slight decline in digital health funding, but investors are still optimistic about the landscape. In 2024, investors poured millions into startups selling AI-powered healthcare tools, and this is likely to remain true for years to come.
Zelis CEO Amanda Eisel shares her perspective on how the company is solving the problems of a fragmented health financial system to benefit all.
During a panel discussion at MedCity News’ INVEST Digital Health conference in Dallas, three venture capital investors shared some of the questions they ask when getting pitched by digital health startups.
Create Health Ventures announced the close of its inaugural $21 million fund, which is focused on technology for payers. This is because payers are “the lynchpin” for the types of change that the fund wants to see, such as better care access and improved population health outcomes, Managing Partner Amit Aysola said.
Digital health investors agree that the market is settling into a steady investment pace, as well as returning to reasonable valuations. Only time will tell if this can bolster the tepid rate of exit activity in the sector.
Here is a list of some of the most notable funding round announcements that took place this March in the provider technology space.
Closing cancer health equity gaps require medical breakthroughs made possible by new funding approaches.
During a recent panel, Flare Capital Partners' Michael Greeley and Mount Sinai's Robbie Freeman shared some attributes that they think stand out among digital health startups that have found success in today's environment.
At ViVE, investors and health system executives shared their biggest pet peeves when it comes to pitches from digital health startups.
This year, industry experts think that some digital health startups will have to confront their challenges more head-on than they did in 2023. Some companies may need to do things like fundraise at a lower valuation, explore opportunities for an acquisition or exit or, in some cases, consider the possibility of shutting down operations.
This year's digital health fundraising environment requires startups to focus more on their unit economics and pathway to profitability, according to Ian Wijaya, managing director at Lazard. He predicted that the ability to achieve profitability will be much more important in 2024 than it has been in the past four years or so.
The progress in artificial intelligence (AI) is reshaping patient care, across various dimensions, from facilitating faster discharge to curating treatment plans and suggesting lifestyle changes.
In 2023, digital health fundraising took on a bit of a different shape, according to a new Rock Health report. Startups tried out some creative ways to keep their businesses afloat — including series extension rounds, unlabeled fundraises and silent deals from existing investors.
Healthcare's share of the global PE and VC deal count will likely continue decreasing in 2024, according to a new Pitchbook report. The report also predicted that generative AI and surgical robotics will continue to be hot areas of interest for investors, and that there will be at least three digital health IPOs next year.
One investor is most interested in mental health startups that focus on high acuity care, while another wants to see companies that are built with the end-user in mind, they shared during recent interviews.
At HLTH, Bessemer investors Sofia Guerra and Steve Kraus detailed four predictions about where they think the digital health world is headed in 2024. One of these was that "services-as-software" will emerge as a new category of healthcare AI. Another was that some healthcare technology vendors will have to rethink their distribution models and rely on indirect monetization strategies.
The digital health sector's quarterly investment trends seem to be stabilizing in 2023, according to a new report from Rock Health. The report noted investors are shifting their focus away from pandemic-era categories like telehealth and pharmaceutical R&D catalysts — instead, they're interested in startups creating products for disease treatment, the improvement of nonclinical workflows and the enablement of value-based care.