2020’s stress test to our healthcare system created what felt like a fast forward button for digital health, with unprecedented growth in funding, adoption, policymaking, and national attention. While questions remain about a new equilibrium for the digital health market, this post explores four factors underpinning what we see as a durable investment sector: sustained commitment from investors, new consumer behavior change, rising enterprise buyer appetite, and a breakout exit market.
In 2020, Rock Health and Dr. Ivor Horn launched a new Diversity in Digital Health initiative. This post showcases key findings from the 678 digital health startup leaders who completed our survey, offering insight into the current state of diversity. Read on for new, data-driven insights to launch conversations and inform how we build a more inclusive digital health community.
We’re honored to announce our investment in Oula, a company that is reimagining how women experience pregnancy and delivery. Offering women support from conception through postpartum, Oula brings together the best of obstetrics and midwifery, modern maternity clinics, and an integrated care management technology platform.
Major market forces are accelerating change in a healthcare environment that is ripe for the rapid adoption of innovation. The Rock Health Consulting team shares our take on the future of healthcare—over the coming weeks we will expand upon these themes in a series of deep dives.
Venture capital dollars flowing to US digital health continued to surge in Q3 2020. One thing is for sure—2020 will be the largest funding year ever for digital health, spurred by 24 mega deals so far. Moreover, the stock market’s sharp recovery and pandemic-initiated policy and regulation changes have enabled large competitive moves and commercialization activities.
Existing models of care often fall short in addressing what is needed to make lifestyle interventions work for patients with chronic illnesses. As an investor in Virta Health, we have been excited to see how the team continues to push the boundaries of virtual care to create transformational health and economic outcomes for patients and payers.
A look at the merger between Teladoc and Livongo and what it means for the industry
Two digital health companies have gone public since July 1, 2020. These public offerings make it clear that last year’s flurry of IPOs was no fluke—nine digital health companies have gone public over the past fourteen months. With Amwell’s IPO on deck for later this year, it’s clear that the COVID-19 pandemic and its resulting financial uncertainty have not dampened public investors’ appetite for new digital health shares.
In the midst of a global pandemic and a US recession, US digital health companies raised $5.4B in venture funding across the first six months of 2020. The sector is on track to have its largest funding year ever. Large deals are once again driving the overall trend as average deal size hit a record $25.1M in H1. We take a look at the unprecedented past six months and share our thoughts on the impact of COVID-19 on digital health innovation, funding trends, and the investment area that has raised an eye-popping amount of funding so far this year—behavioral health.