# Venture Capital in Healthcare * **Definition:** Venture Capital in Healthcare refers to the investment of funds by venture capital firms or investors in early-stage companies that are developing innovative products, services, or technologies aimed at improving healthcare delivery, patient outcomes, or operational efficiencies within the healthcare sector. * **Taxonomy:** Capital & CTOs / Venture Capital in Healthcare ## News * Selected news on the topic of **Venture Capital in Healthcare**, for healthcare technology leaders * 25.1K news items are in the system for this topic * Posts have been filtered for tech and healthcare-related keywords | Date | Title | Source | | --- | --- | --- | | 5/21/2025 | [**Portable Medical Devices Market Opportunities 2025: What Investors Need to Know**](https://www.linkedin.com/pulse/portable-medical-devices-market-opportunities-s1zbf) | [[Linkedin]] | | 5/20/2025 | [**Ambulatory Surgical & Emergency Center Services Market 2025: AI, Electrification, and ...**](https://www.linkedin.com/pulse/ambulatory-surgical-emergency-center-fotve/) | [[Linkedin]] | | 5/12/2025 | [**UPMC Enterprises debuts 2nd company**](https://www.beckershospitalreview.com/healthcare-information-technology/innovation/upmc-enterprises-debuts-2nd-company/) | [[Beckers Hospital Review]] | | 4/28/2025 | [**This 35-year-old investor has backed the hottest companies in AI, from Mistral to Sierra**](https://www.aol.com/35-old-investor-backed-hottest-125740716.html) | [[AOL]] | | 3/13/2025 | [**AI Healthcare Startup OpenEvidence Raises Funding from Sequoia at $1 Billion Valuation**](https://www.healthcareittoday.com/2025/03/13/ai-healthcare-startup-openevidence-raises-funding-from-sequoia-at-1-billion-valuation/) | [[Healthcare IT Today]] | | 3/12/2025 | [**Define Ventures Appoints Carolyn Magill as Venture Partner**](https://hitconsultant.net/2025/03/12/define-ventures-appoints-carolyn-magill-as-venture-partner/) | [[HIT Consultant]] | | 2/7/2025 | [**70 chief strategy officers to know - 2024 - Becker's Hospital Review**](https://www.beckershospitalreview.com/lists/70-chief-strategy-officers-to-know-2024.html) | [[Beckers Hospital Review]] | | 1/13/2025 | [**Amazon Web Services, General Catalyst Announce Collaboration - Healthcare Innovation**](https://www.hcinnovationgroup.com/interoperability-hie/cloud-computing-storage/news/55260611/amazon-web-services-general-catalyst-announce-collaboration) | [[Healthcare Innovation]] | | 12/31/2024 | [**Precision Medicine Software Market Focused Insights 2024-2029, with Key Player Profiles of ...**](https://www.businesswire.com/news/home/20241231013633/en/Precision-Medicine-Software-Market-Focused-Insights-2024-2029-with-Key-Player-Profiles-of-Syapse-AccessDX-Laboratory-Fabric-Genomics-Foundation-Medicine-Intel-and-IBM---ResearchAndMarkets.com) | [[Business Wire]] | | 12/31/2024 | [**Precision Medicine Software Market Focused Insights 2024-2029, with Key Player Profiles of Syapse, AccessDX Laboratory, Fabric Genomics, Foundation Medicine, Intel and IBM - ResearchAndMarkets.com**](http://www.businesswire.com/news/home/20241231013633/en/Precision-Medicine-Software-Market-Focused-Insights-2024-2029-with-Key-Player-Profiles-of-Syapse-AccessDX-Laboratory-Fabric-Genomics-Foundation-Medicine-Intel-and-IBM---ResearchAndMarkets.com/?feedref=JjAwJuNHiystnCoBq_hl-Q-tiwWZwkcswR1UZtV7eGe24xL9TZOyQUMS3J72mJlQ7fxFuNFTHSunhvli30RlBNXya2izy9YOgHlBiZQk2LOzmn6JePCpHPCiYGaEx4DL1Rq8pNwkf3AarimpDzQGuQ==) | [[Business Wire]] | | 12/18/2024 | [**The Patient Remote Monitoring Systems Market study offering a thorough summary of ... - LinkedIn**](https://www.linkedin.com/pulse/patient-remote-monitoring-systems-market-study-offeringa-6celf) | [[Linkedin]] | | 12/1/2024 | [**How physicians can get started in digital health and health care innovation - Kevin MD**](https://kevinmd.com/2024/12/how-physicians-can-get-started-in-digital-health-and-health-care-innovation.html) | [[KevinMD]] | | 10/9/2024 | [**Venture capital funding in D.C. region still sluggish, but there's one bright spot**](https://www.bizjournals.com/washington/news/2024/10/10/pitchbook-nvca-venture-monitor-dc-q3.html) | [[The Business Journals]] | | 9/18/2024 | [**Cooley Named Rising Law Firm of the Year in Hong Kong**](https://www.cooley.com/news/coverage/2024/2024-09-18-cooley-named-rising-law-firm-of-the-year-in-hong-kong) | cooley.com | | 9/17/2024 | [**Philip Morris to Take $220 Million Loss on Sale of Inhaled-Medicine Unit - WSJ**](https://www.wsj.com/health/pharma/philip-morris-to-take-220-million-loss-on-sale-of-inhaled-medicine-unit-a58687e2) | [[The Wall Street Journal]] | | 9/4/2024 | [**How the biggest companies prepare for a tech crisis - EY - US**](https://www.ey.com/en_us/media/webcasts/2024/09/how-the-biggest-companies-prepare-for-a-tech-crisis) | ey.com | | 9/4/2024 | [**Fairway Private Equity & Venture Capital Opportunities Fund Announces Second Quarter Results**](http://www.businesswire.com/news/home/20240904906199/en/Fairway-Private-Equity-Venture-Capital-Opportunities-Fund-Announces-Second-Quarter-Results/?feedref=JjAwJuNHiystnCoBq_hl-Q-tiwWZwkcswR1UZtV7eGe24xL9TZOyQUMS3J72mJlQ7fxFuNFTHSunhvli30RlBNXya2izy9YOgHlBiZQk2LOzmn6JePCpHPCiYGaEx4DL1Rq8pNwkf3AarimpDzQGuQ==) | [[Business Wire]] | | 9/3/2024 | [**Principal, CVS Health Ventures - ImpactAlpha**](https://impactalpha.com/job/principal-cvs-health-ventures/) | impactalpha.com | | 8/27/2024 | [**Spotlight On: Peter Frosch, President & CEO, GREATER MSP - Capital Analytics**](https://capitalanalyticsassociates.com/spotlight-on-peter-frosch-president-ceo-greater-msp/) | capitalanalyticsassociates.com | | 8/20/2024 | [**Carlyle to inject capital into tech consultancy Seidor - PE Hub Europe**](https://www.pehubeurope.com/carlyle-to-inject-capital-into-tech-consultancy-seidor/) | pehubeurope.com | | 8/10/2024 | [**Indian Startup Funding — Indian Startups Raised $112 Mn This Week - StartupNews.fyi**](https://startupnews.fyi/2024/08/10/indian-startup-funding-indian-startups-raised-112-mn-this-week/) | startupnews.fyi | | 7/25/2024 | [**North America Venture Capital Market By Application - LinkedIn**](https://www.linkedin.com/pulse/north-america-venture-capital-market-application-1xruf) | [[Linkedin]] | | 7/19/2024 | [**Top digital health funding: Huma, Thyme Care, Freshpaint - Modern Healthcare**](https://www.modernhealthcare.com/digital-health/top-funding-huma-thyme-care-freshpaint-truvian) | [[Modern Healthcare]] | | 6/13/2024 | [**Flinn Foundation-Sponsored Study Identifies Three Bioscience Growth Areas to Advance Innovation and Economic Growth in Greater Phoenix**](http://www.businesswire.com/news/home/20240613324046/en/Flinn-Foundation-Sponsored-Study-Identifies-Three-Bioscience-Growth-Areas-to-Advance-Innovation-and-Economic-Growth-in-Greater-Phoenix/?feedref=JjAwJuNHiystnCoBq_hl-RLXHJgazfQJNuOVHefdHP-D8R-QU5o2AvY8bhI9uvWSD8DYIYv4TIC1g1u0AKcacnnViVjtb72bOP4-4nHK5ieT3WxPE8m_kWI77F87CseT) | [[Business Wire]] | | 5/24/2024 | [**Top digital health funding: Tuesday Health, Eir Partners**](https://www.modernhealthcare.com/digital-health/top-funding-tuesday-health-eir-partners) | [[Modern Healthcare]] | ## Topic Overview (Some LLM-derived content — please confirm with above primary sources) ### Key Players - **INITIATE Ventures**: A venture capital firm that closed its debut fund to invest in early-stage health tech and life sciences companies. - **Eir Partners Capital**: A venture capital firm that closed a $496 million fund aimed at investing in healthcare technology and tech-enabled services. - **2Flo Ventures**: A venture capital firm focused on healthcare solutions for health disparities and equity. - **General Catalyst**: A venture capital firm known for acquiring healthcare systems and investing in technology optimization. - **Sovereign's Capital**: A venture capital firm that focuses on early-stage technology startups, particularly in healthtech, fintech, and deep tech, with a commitment of over $60 million in its latest fund. - **Allumia Ventures**: The venture capital arm of Providence, focusing on healthcare solutions and integrated delivery networks. - **Mayo Clinic's MedTech Accelerator**: A regional asset contributing to the growth of digital health and medical devices through venture capital investments. - **Terumo Corporation**: A global leader in medical technology that established 'Terumo Ventures' to invest in early-stage healthcare companies. - **Innovaccer**: A health tech company specializing in aggregating patient data across care settings, recently raised $275 million to enhance AI capabilities. - **Parkway Venture Capital**: A firm specializing in early-stage funding for innovative technology startups, particularly those leveraging disruptive technologies in simulation and AI. - **Kurma Partners**: A venture capital firm that has been supporting Vico Therapeutics since its inception. - **Connetic Ventures**: A Kentucky-based venture capital firm that launched a fund to democratize access to venture capital investments. - **Andreessen Horowitz**: A venture capital firm that co-led Pomelo Care's Series B funding round. - **First Round Capital**: A venture capital firm that led Pomelo Care's Series B funding round. - **Guidehealth**: A value-based care enablement startup partnering with Emory Healthcare to enhance primary care services. - **Seroba**: A European life sciences venture capital firm based in Dublin, involved in funding healthcare innovations. - **WellBe Senior Medical**: A company providing home-based care for older adults, backed by investments from CVS Ventures. - **UPMC Enterprises**: A healthcare organization that sold its teleconsult technology to eVisit. - **Pepticom**: A biotech startup utilizing AI for peptide-based therapeutics, recently raised $6.6 million in Series A1 funding. ### Partnerships and Collaborations - **Terumo Ventures**: Terumo has been building relationships with medtech startups through investments in venture capital funds. - **XVC Tech and Shealth.AI**: XVC Tech made a strategic investment in Shealth.AI, focusing on AI-driven diagnostics. - **Cathay Innovation's C.Lab**: A strategic advisory arm connecting corporations with innovative startups in healthcare. - **UPMC and Vanderbilt Health**: Joined a digital consortium with Aegis Ventures to develop digital solutions for healthcare. - **Clouds of Care**: A MedTech company that secured €5 million to enhance its digital health technologies, supported by TCD Capital and other funds. - **1m and Healthcare Organizations**: 1m raised $10 million in Series A financing led by Banner Health, emphasizing collaboration with major healthcare organizations. - **Aegis Ventures Digital Consortium**: A collaborative effort among nine health systems to innovate healthcare through technology solutions. - **Vico Therapeutics and Investors**: Vico has received support from various investors including Ackermans & van Haaren, Droia Ventures, and EQT Life Sciences. - **Hackensack Meridian Health**: Pursuing partnerships with academic institutions, government agencies, and venture capital firms to drive scientific breakthroughs and improve patient care. - **Innovaccer and Kaiser Permanente**: Innovaccer has formed a partnership with Kaiser Permanente to enhance its healthcare AI offerings. - **Ballad Health**: Focusing on enhancing technology-based services and expanding partnerships with construction firms to improve patient-provider communication. - **Pomelo Care and Payer Partnerships**: Pomelo Care aims to enhance payer partnerships for its maternal and newborn services through Series B funding. - **UPMC and eVisit**: UPMC sold its inpatient teleconsult technology to eVisit, enhancing virtual care capabilities. - **Twelve Labs and Infrastructure Providers**: Twelve Labs secured a $30 million strategic investment from companies like Databricks and Snowflake Ventures to enhance interoperability in video analytics. - **Emory Healthcare and Guidehealth**: Partnering to enhance primary care services for over 350,000 patients in Georgia. - **Philip Morris International**: Engaged in a strategic sale of its inhaled-therapeutics unit to Molex Asia Holdings, reflecting a shift in focus within its pharmaceutical operations. ### Innovations, Trends, and Initiatives - **Healthtech Investment Trends**: Venture capital firms are increasingly focused on healthtech, fintech, and greentech, particularly in Southeast Asia, with a strong preference for impact-driven investments aligned with ESG criteria. - **Terumo Ventures**: Aims to invest in early-stage companies focused on cardiovascular and chronic disease treatments. - **Maternal Health Investments**: Venture capital firms are increasingly investing in maternal health, with early investments totaling $306.5 million in 2023. - **AI in Healthcare**: Venture capital investment in AI-backed health-tech companies surged past $1 billion in 2023, reflecting a significant increase in automation across healthcare functions. - **Healthcare Analytics Market**: Projected to grow from USD 44.83 billion in 2024 to USD 133.19 billion by 2029, driven by government initiatives and increased venture capital investment. - **Telemedicine Adoption**: Accelerated by the COVID-19 pandemic, leading to significant investments in telehealth companies. - **Digital Health Market Trends**: Despite a decline in funding, interest in reproductive and mental health startups remains strong. - **NAVIGANTIS**: Developing the VASCO robot for neurovascular procedures, addressing significant global health issues. - **Digital Health Market**: Expected to reach $379 billion by 2026, highlighting the financial potential of innovations in digital health technologies. - **Vico Therapeutics**: Developing therapies for severe neurological diseases, with its lead program VO659 in clinical trials. - **Femtech Growth**: The Femtech market is projected to grow significantly, driven by advancements in AI and IoT, with a focus on women's health technologies. - **Telemedicine Growth**: The telemedicine market is rapidly expanding, driven by the demand for remote care solutions and innovative digital tools. - **AI in Mental Health**: Videra Health raised $5.6 million to expand its AI-assisted mental health assessment platform, showcasing the integration of AI in healthcare. - **Value-Based Care Models**: Health systems are increasingly focusing on value-based care to enhance patient outcomes and financial stability. - **Telehealth Expansion**: The telehealth market is rapidly growing due to technological advancements and increased demand for mental health services. - **Precision Medicine Software**: The precision medicine software market is projected to grow significantly, integrating AI and machine learning for personalized treatment pathways. - **Huma Cloud Platform**: A no-code platform launched by Huma to enable developers to create disease-management tools. - **Pomelo Care**: Utilizes claims and health record data to identify risk factors during pregnancy to improve care outcomes. ### Challenges and Concerns - **Funding Fluctuations**: Venture capital investment in digital health peaked in 2021 but has seen a decline in subsequent years. - **Investment Polarization**: Venture capitalists are less optimistic compared to growth equity investors, indicating a polarized outlook on health IT investing. - **Venture Capital Landscape**: The current landscape is challenging for newer and smaller firms, with a stark divide between successful established firms and struggling newcomers. - **Investment Landscape**: 2023 saw a decline in venture funding for AI-related biotech and healthcare startups, indicating a challenging investment environment. - **Economic Shifts**: The venture capital landscape is facing a decline in active participation, with a drop in unique investors, indicating a consolidation trend. - **Economic Volatility**: Despite economic challenges, venture capital firms are seeking agile and resilient businesses that can adapt to market fluctuations. - **Funding Challenges for Startups**: Many digital health startups face reduced valuations and funding challenges, leading to shutdowns or acquisitions. - **Drug Development Costs**: The drug development process is costly and uncertain, requiring significant funding from venture capitalists for biotechnology startups. - **Regulatory Hurdles**: MedTech startups encounter significant funding challenges due to high development costs and complex regulatory pathways. - **Healthcare Cybersecurity**: Growing concerns over cybersecurity in healthcare have led to increased investment in data privacy platforms like Transcend. - **Funding Disparity**: Established firms are raising more funds than emerging managers, indicating a tough fundraising environment. - **Regulatory Compliance**: Emerging biotechnology companies face challenges in navigating regulatory complexities. - **Regulatory Issues**: Telemedicine faces challenges such as regulatory variations and privacy concerns that hinder widespread adoption. - **Data Security**: Concerns about data security and privacy in digital health solutions continue to be a significant issue. - **Regulatory Scrutiny**: The public's discomfort with autonomous vehicles and incidents involving self-driving cars have influenced investment strategies. - **Data Governance Gaps**: 56% of hospital systems lack established data governance or analytics strategies, indicating a substantial opportunity for improvement in data infrastructure. - **Implementation Costs**: High implementation costs and interoperability issues are significant barriers to the adoption of precision medicine software. - **Economic Downturn Impact**: Investors are cautious during economic downturns, seeking companies with strong products and clear paths to success. ## Related Topics [[Private Equity in Healthcare]]