VC Investment In Digital Health Up In Q1 2017

Global venture capital funding for digital health companies in Q1 2017 almost doubled over the previous quarter, according to Mercom Capital Group, a market intelligence firm.

Healthcare IT/digital health companies did 165 deals for a total raise of $1.6 billion in the first quarter of this year, which almost doubled the $845 million raised for 159 deals in last quarter of 2016.

This billion dollar quarter was the ninth such quarter since 2014, according to Mercom. In fact, since 2010, venture capital funding in this healthcare IT sector has crossed $2o billion.

Practo and Doctolib, which provide health appointment systems, received investments this quarter totaling $315, the highest in the sector.

Also receiving investments were data analytics and telemedicine segments. And mobile and wireless health care models brought in $230 million.

Data analytics brought in $193 million, population health management bagged $115 million, telemedicine garnered $112 million, and social health network brought in $102 million.

The top VC deals were: Hudong Feng Technology ($200 million), Alignment Healthcare ($115 million), PatientsLikeMe ($100 million), Nuna ($90 million), and PointClickCare ($85 million).

The U.S. received the most venture capital funding during this time period, with $903 million in 110 deals. Nineteen countries received digital health funding.

An Expert’s Take on Digital Health

Clearly digital health and mHealth are exploding areas of healthcare.

Digital advocate Paul Sonnier defines digital health as “the convergence of the digital and genomic revolutions with health, healthcare, living, and society.”

“Digital health is empowering us to better track, manage, and improve our own and our family’s health, live better, more productive lives, and improve society. It’s also helping to reduce inefficiencies in healthcare delivery, improve access, reduce costs, increase quality, and make medicine more personalized and precise,” Sonnier says.

mHealth is a term describing the use of mobile phone and other handheld wireless technology in medical care. TechTarget says “The most common application of mHealth is the use of mobile phones and communication devices to educate consumers about preventive health care services. However, mHealth is also used for disease surveillance, treatment support, epidemic outbreak tracking and chronic disease management.”

How CardioVisual Fits In

CardioVisual, while not venture capital-backed, is among the forefront of companies making an impact in the digital health/mHealth space.

CardioVisual is a free, cardiologist-created mobile app (iPhone, iPad and Android) that provides clear understanding of complex heart conditions, treatments and procedures via high-quality, commercial-free videos. Doctors and nurses use the app in their practice and hospitals to facilitate patient communication, and then send patients home with a patient version of the app for further study.

CardioVisual offers several advantages:

  • Better understanding and clarity of information for patients
  • Simplified discussion of complex cardiac problems
  • Enormous time savings
  • Educational resource for trainees
  • Improved quality of care and satisfaction for patients
  • Ease of use — instant access on any mobile device that can be used anywhere
  • Consistent patient messaging — they can revisit the same information at home

We are thrilled to see so much investment in the digital health space; it’s good for all of us — entrepreneurs, healthcare providers, and especially, patients.  We look forward to growing right along with the rest of the industry.