Digital Health Investment Insights

#Telehealth has come a long way in Europe. Since 2015, the number of countries in the European region offering remote healthcare services has more than doubled. Today, 78% include it in their #DigitalHealth or broader health strategies. The biggest growth areas? Telemedicine and telepsychiatry. Both have been significantly accelerated during COVID-19.   Still, the road ahead is long. Only 37% of countries report that a telehealth service has been formally evaluated. That’s better than 6% in 2015, but there’s clear room for growth.   Our new WHO Regional Office for Europe policy brief, co-funded by the EU Health and Food Safety (and with many thanks for their support!), highlights six key actions countries can take now to move from small-scale pilot projects to reliable, high-quality and equitable #telemedicine services:   💶 Make the investment case 🛜 Strengthen digital infrastructure ⚖️ Enable supportive laws and funding 🧑🏻⚕️ Train health professionals in digital skills 🚦 Develop clear clinical guidelines 🔎 Monitor progress and invest in research   Though this publication was developed for the European context, its insights would be relevant beyond the region.   Grateful to WHO/Europe leadership Hans Kluge and Natasha Azzopardi Muscat, colleagues (Elettra Ronchi, Ph.D MPP, Clayton Hamilton and Tyrone Reden Sy), and country partners who continue to advance digital health with purpose and impact!   You can read the full brief below. Adding more telemedicine resources in the comments. Reference: Scaling up telemedicine in the WHO European Region (Data and Digital Health Policy Brief Series). Copenhagen: WHO Regional Office for Europe; 2025. https://lnkd.in/ejdx69TP

HealthTech AI is no longer exciting. It’s expensive. And the market has re-priced itself for performance. The first half of 2025 solidified a new reality in digital health. US-based digital health startups secured $6.4 billion across 245 deals (Rock Health). While total funding is up from H1 2024, the trend of fewer, larger checks persists. Rock Health pegs the average deal size at a robust $26.1 million, a significant increase from $20.4 million in 2024, signaling a concentrated investment in more mature, impactful companies. Investors are no longer buying potential. They're buying precision and demonstrable value. They care if your AI: Saves hours, not just clicks: The focus is on quantifiable time savings for clinicians and administrative staff, directly addressing burnout and efficiency gaps. Cuts costs, not just code: Real-world cost reduction is paramount, whether through optimized operations, reduced errors, or improved resource allocation. Embeds in real workflows, not pitch decks: Solutions need to be seamlessly integrated into existing healthcare systems, proving their utility in daily practice. McKinsey calls this the "productivity premium," and it has become the new funding filter. A significant portion of VC dollars continues to flow into AI-enabled startups, not because they're novel, but because they perform and deliver tangible returns. Abridge: This AI note-taking startup for doctors raised a staggering $316 million in June 2025 (Series E), bringing its total funding to over $770 million. Its value proposition is clear: giving clinicians hours back by automating documentation. Innovaccer: Secured $275 million in Series F funding in January 2025 to expand its AI and cloud capabilities, aiming to be a "one-stop shop" for healthcare AI solutions. They focus on data aggregation and intelligence to optimize value-based care programs and reduce administrative burden. Truveta: Raised $320 million in Series C funding in January 2025, solidifying its position in health data and analytics. Their mission revolves around leveraging data to drive insights and improve care. Hippocratic AI: Completed a $141 million Series B financing round in February 2025, valuing the company at $1.64 billion. Their focus is on developing safe, patient-facing AI for non-diagnostic tasks, addressing healthcare staffing shortages. These companies optimize operations, not optics. The delta? Execution. This is not a hype cycle. It’s a competency correction. The end of vision-only founders. The rise of operator-founders who understand: Unit economics: The true cost and value generated by each patient interaction or service delivered. Integration latency: The speed and ease with which new technologies can be embedded into complex, often legacy, healthcare IT infrastructure. Reimbursement drag: Navigating the intricate and often slow process of getting innovative solutions covered by payers. What part of this feels uncomfortably true?

We solved half the problem & thought we bridged the gap. Ever worked on a solution that looked perfect on paper… but ended up creating more problems than it solved? That’s exactly what happened when I was called in to review a telehealth solution. It was well-designed, checked all the cybersecurity boxes, & allowed patients to consult doctors remotely. The project requirement was clear: enable remote consultations. And the solution delivered exactly that. But here’s the thing: While healthcare systems often operate in silos, patients experience their care as one continuous journey. And this solution missed critical parts of that journey: 🔸 No easy way to book follow-ups. Patients had to call, leading to missed care. 🔸 Medication collection still required hours of travel, making the platform’s convenience meaningless. 🔸 Administrative staff were overloaded, causing delays in care coordination. We solved one problem & unintentionally created three more. The solution was designed for the system’s convenience, not the patient’s journey. To shift the perspective, we expanded the conversation to include voices we hadn’t considered: 🔸 Pharmacists: To integrate medication delivery into the process 🔸 Community Health Workers: To provide local, hands-on support 🔸 Family Caregivers: To highlight logistical & emotional challenges at home 🔸 IT Teams: To automate follow-ups & reduce administrative burden 🔸 Local Transport Providers: To enable last-mile delivery of medications With these insights, we redesigned the solution into a comprehensive care experience: ✅ Patients could book follow-ups easily & get automated reminders ✅ Medications were delivered directly to their homes ✅ Caregivers & community workers ensured patients didn’t fall through the cracks I later learned that: 🔸 Missed follow-ups dropped by 40%. 🔸 Medication adherence & health outcomes improved significantly. The redesigned platform didn’t just connect patients to doctors, it completed the care journey. Next time you’re working on a solution, consider these points: 1️⃣ Patients see one journey While systems operate in silos, patients experience care as a unified process. 2️⃣ Identify all stakeholders Both direct & indirect voices like caregivers, pharmacists & community workers, are essential to closing gaps. 3️⃣ Design for continuity Address every touchpoint in the patient’s journey, ensuring nothing falls through the cracks. Have you worked on solutions where overlooked stakeholders made all the difference? What’s one gap you discovered that changed everything? #DigitalHealth #Innovation #HealthcareTransformation #PatientExperience #Collaboration 💡This post is part of 'Rethinking Digital Health Innovation' (RDHI), empowering professionals to transform digital health beyond IT and AI myths. 💡Find the ongoing series and resources on our companion website (URL in comments). 💡 Repost if this message resonates with you!

The problem with Telehealth isn’t access or tech. It’s Success. 🙃 I know it's an odd thing to say, especially since my book is called Telehealth Success. But hear me out. We’ve spent the last few years talking about expanding access. And that’s important, it’s why telehealth is a fan/my favorite. The reality is that access is only step one. 🌐 I’ve been running and advising telehealth programs since 2013 and what I’ve seen over and over again is this: Telehealth fails not because it’s hard to use but because we don’t define success and why we are doing it correctly. During the pandemic, access exploded. Patients and clinicians adapted. Platforms scaled. Regulations eased. But as soon as the emergency passed its most acute phase, usage dropped. Organizations pulled back. Many programs plateaued or disappeared entirely. We are stuck trying to argue for permanent reimbursement. And no, this is not a post about 'telehealth being dead'. But it did slow down. But not because the tools didn’t work. And not because patients hated it. But because we didn’t build success across all five domains. 📍 Which five domains? Well i'm glad you asked 😉 Here they are (from Telehealth Success): 🟣 Patients receive care that meets their needs and fit into their lives 🟣 Clinicians feel safe using it and it fits into their clinical practices 🟣 Technology works and doesn't create extra work 🟣 There’s financial sustainability not just pilot funding. 🟣 Compliance is proactive, not reactive. Fraud is avoided. Every single one of these needs to work for a long standing successful program. It's like the saying: we are only as strong as our weakest link. Or in this case, telehealth adoption will stall. In my experience, the programs that last are designed with a diverse team, have measurable goals and are intentional with the process are the most successful. And they don’t/can't depend on one-time grants or a public health emergency. 🧠 There is a lot of volatility right now but some things don't change. That includes a practical, stepwise approach to fixing complex problems. 📕 Link to book to learn more: https://lnkd.in/euA_FPRc #telehealth #virtualcare #digitalhealth --------------------------------------------------------------------

Health systems are becoming investment portfolios. Private equity is buying clinics, data platforms are treated as financial assets, and healthcare is being reshaped by the logic of capital. We are witnessing a shift.This shift goes beyond privatisation. Financialisation occurs when the logic of finance — asset ownership, short-term returns, debt leverage, and investor value — begins to shape decisions about how health services are delivered, how data are used, and how value is defined. Hospitals, clinics, insurance schemes, and even patient data are increasingly treated as financial assets — bought, sold, and traded across investment portfolios. The OECD’s latest analysis (Trends in the Financialisation of Outpatient Care across OECD Countries, 2025) shows a striking pattern: • Financial firms now own large shares of outpatient and diagnostic services in many countries. • Private equity investment is rapidly expanding in sectors such as dentistry, radiology, and laboratory services. • These trends are often invisible in national health accounts but have profound effects on system design, equity, and accountability. So, what’s driving this? Fiscal constraints — Governments under pressure to meet rising health costs turn to private capital. Investor demand — Health is viewed as a “safe” sector offering predictable returns. Digital transformation — Data, algorithms, and health platforms create new assets to monetise. Governance gaps — Regulation hasn’t kept pace with complex investment structures. While financialisation can mobilise new resources and spur innovation, it also reshapes incentives — and not always in ways that support Universal Health Coverage (UHC). The dilemma: • When investors prioritise short-term returns, health equity suffers. • When providers are financed through debt or dividend extraction, financial protection weakens. • When ownership becomes opaque, accountability declines. Financialisation can move health systems away from solidarity and toward commodification. That doesn’t mean rejecting private capital — it means governing it differently. We need to: Reassert public stewardship. Require transparency . Protect essential services. Financialisation is happening now and accelerating. The question now is whether countries can harness it for health, rather than allowing health to serve finance. In my latest Substack piece, released on Monday I unpack this transformation. I explore how financialisation affects each dimension of UHC — access, quality, and financial protection — and propose governance approaches that keep systems people-centred and equitable. Read the full article here: https://lnkd.in/e8743R_8 #HealthGovernance #UHC #HealthSystems #PublicPolicy #OECD #DigitalHealth #HealthFinancing #GovernanceInnovation #Stewardship #HealthEquity Views my own.

AI Dominates Digital Health Funding in H1 2025 as IPOs Return and Provider Adoption Ramps Up: 🔘Digital health funding reached $6.4B across 245 US deals in H1 2025, holding steady with 2023–2024 levels but with bigger average deal sizes and fewer total deals 🔘AI is now driving the sector: 62% of all funding went to AI-enabled startups, which raised an average of $34.4M per round, an 83% premium over non-AI peers 🔘Top funded areas were non-clinical and clinical workflow tools and data infrastructure, together drawing 55% of funding, all being transformed by AI and automation 🔘Abridge and OpenEvidence are leading examples of provider-facing AI tools gaining real traction, with Abridge now embedded into Epic and OpenEvidence passing 100K clinician users 🔘H1 saw 11 mega deals over $100M, 9 of them AI-led, including back-to-back rounds for Abridge and rising interest in rumored deals like OpenEvidence 🔘Two major digital health IPOs broke the exit drought: Hinge Health and Omada Health both went public, showing that long-term resilience and AI integration are now rewarded 🔘Hinge and Omada have each embedded AI into their care delivery, with Hinge pushing automation and Omada releasing a consumer-facing AI for nutrition support 🔘M&A is hot: 107 deals closed already this year, with digital health companies driving most activity and private equity firms rolling up AI startups into legacy healthcare platforms 🔘Policy turbulence looms: new Medicaid work requirements and ACA changes may shrink the insured population, creating downstream pressure on startups and systems 🔘Amid this uncertainty, federal agencies are actively soliciting input on digital health and AI, offering innovators a rare chance to shape policy and future reimbursement models 👇See links to Rock Health report and other commentary below #DigitalHealth #AI

Patients loved the convenience of Telehealth. So why are they flooding back to clinics? During COVID, Telehealth became a lifeline, offering care without commutes or waiting rooms. However, as this convenience became permanent, its limitations surfaced. While it solved access and immediacy, it didn't fully address the deeper need for continuous, personalized care. Recent data from the National Center for Health Statistics indicates Telehealth usage declined from 37% to roughly 30%, and some reports quote a 45% drop since the pandemic peak. Patients aren't rejecting it outright. Though it’s becoming clear they're seeking the continuity and personal connection that some forms of virtual visits fail to deliver. This shift has strained already overworked reception teams and increased patient frustration, highlighting that convenience alone isn't enough. Telehealth was an important first step, but it was never designed to stand alone. Today, some experiences feel like watching a TV series out of sequence - disconnected, isolated, and difficult to follow. This fragmentation is especially problematic for patients with chronic or complex health needs, who require coherent, ongoing understanding that picks up from where they left off, rather than disconnected appointments. The next wave in healthcare is not systems overhaul, it’s smarter integration. Intelligent voice AI and autonomous operational systems, like Reggie Health, can bridge this continuity gap by proactively managing patient journeys. These solutions remember patient histories, facilitate scheduling, and handle follow-ups efficiently, freeing staff to focus on meaningful interactions rather than repetitive tasks. Regulatory shifts reflect this need. Medicare and private insurers are increasingly emphasizing continuity and patient outcomes, making the integration of continuous, personalized care a financial and clinical imperative. Ultimately, effective healthcare requires coherence, not just connectivity. The future won't be defined by more isolated technological solutions, but by care systems that genuinely understand and respond to patient needs across every encounter. If your practice struggles to balance convenience with meaningful connection, let's explore how Voice AI can help bridge this critical gap. #Health #Healthcare #HealthTech #BostonHealth

The global HealthTech funding map may just be rebalacing. Here's where capital is flowing in 2026. 🇬🇧 𝗨𝗞: £𝟯𝟬𝗠 𝗛𝗲𝗮𝗹𝘁𝗵𝗧𝗲𝗰𝗵 𝗔𝗱𝗼𝗽𝘁𝗶𝗼𝗻 𝗔𝗰𝗰𝗲𝗹𝗲𝗿𝗮𝘁𝗶𝗼𝗻 𝗙𝘂𝗻𝗱 The NHS didn't release £30M for more pilots. They released it for adoption infrastructure. The difference matters. The UK has innovation fatigue. What NHS needs now is implementation confidence. The companies winning this capital understand that "innovative technology" doesn't unlock procurement anymore. Demonstrable adoption pathways do. If your pitch deck still leads with features, you're solving 2023's problem. 🇪🇺 𝗘𝘂𝗿𝗼𝗽𝗲: €𝟭𝟰𝗕 𝗛𝗼𝗿𝗶𝘇𝗼𝗻 𝗘𝘂𝗿𝗼𝗽𝗲 𝟮𝟬𝟮𝟲-𝟮𝟬𝟮𝟳 Europe just approved €14 billion for Horizon Europe's 2026-2027 work programme. Health, digital, and AI infrastructure are prioritised. Calls opening throughout Q1. This isn't academic R&D. This is infrastructure capital for companies building cross-border data systems, AI diagnostics, and interoperable health platforms. Europe is betting on systems, not apps. Single-market solutions won't capture this. Multi-country architecture will. 🌍 𝗔𝗳𝗿𝗶𝗰𝗮: $𝟰.𝟭𝗕 𝗧𝗼𝘁𝗮𝗹 𝗙𝘂𝗻𝗱𝗶𝗻𝗴 (+𝟮𝟱% 𝗬𝗼𝗬), 𝗛𝗲𝗮𝗹𝘁𝗵𝗧𝗲𝗰𝗵 +𝟮𝟯𝟮% African tech funding hit $4.1 billion in 2025, up 25% year-over-year. HealthTech specifically? $215M. Up 232%. This marks the first time since 2021-2022 that non-fintech sectors exceeded $200M in annual equity funding. The ecosystem isn't emerging anymore. It's executing. Where it's concentrating: → Kenya: $1.04B raised (+72% YoY) → Kenya, South Africa, Egypt, Nigeria: 72% of total capital The 'Africa is too early for HealthTech' narrative just died. Thank you to Rowena Luk from Africa Health Ventures for the data. What the three signals tell us: • UK is funding adoption infrastructure. • Europe is funding cross-border systems. • Africa is funding B2B backbone. • The global theme? Capital is flowing to implementation, not innovation theater. If you're post-Series A and your funding strategy still assumes investors reward potential over proof, you're pricing for the wrong market cycle. ----- ⭐I’m Sara - a HealthTech strategic advisor, fractional operator, and 4x founder who’s scaled ventures to £10M+ ARR across the UK, Europe and Africa. I help founders navigate complexity, rebuild strategic clarity, and scale sustainably. Founder of Well Purposed.

In remote regions, healthcare isn't delayed. It's often out of reach entirely. But telehealth is changing that without building more hospitals Here’s how countries around the world are using it to reshape care: Rural and remote communities face brutal realities: 6-hour drives to see a doctor, no local specialists, understaffed hospitals. This isn't just inconvenient - it leads to avoidable deaths. Health systems aren't solving this with more buildings. They're using smarter connections. 6 ways telehealth is reshaping rural care: 1. Remote consultations - the most obvious one Western Australia: Telehealth saves patients ~600 km/appointment. India's eSanjeevani = 1M+ daily remote visits. Patients see specialists from home instead of chartering flights. 2. Emergency specialist access Small hospitals now tap urban expertise instantly. Queensland's tele-stroke network supports 41 regional hospitals. U.S: Telestroke has cut treatment delays by 30–50% in remote ERs. This improves survival and reduces transfers. 3. Chronic disease monitoring Patients share blood pressure, glucose, oxygen data digitally. New South Wales saw a 53% drop in hospital admissions. Rwanda scaled mobile hypertension tracking in rural zones. 4. Mental health reach In rural Australia, suicide rates are 66% higher than in cities. Video psychiatry now reaches isolated patients. Zimbabwe's Friendship Bench offers virtual mental health follow-ups in low-income areas. 5. Supporting rural doctors Project ECHO connects rural clinicians to urban specialists for case reviews and training. Used in over 40 countries, it reduces professional isolation and helps retain skilled staff. 6. Strengthening local hospitals When rural clinics manage more cases locally: • Fewer patient transfers • Better use of local beds • More sustainable budgets Australia's Telechemotherapy Program enables cancer treatment in 57 rural towns via remote oncologist oversight. Alaska's tele-emergency services helped 180+ villages avoid unnecessary medevacs. But challenges remain: weak internet, low digital literacy, uneven funding, outdated licensing policies. These must be addressed to scale success. The next frontier: • Offline-capable diagnostic tools • AI decision support for frontline workers • Shared care plans across systems • Culturally tailored tools for Indigenous communities Therefore, Telehealth isn't just a tech upgrade. It's modern community-based care that keeps patients local and removes barriers without moving people from where they live. The bottom line: Telehealth isn't a backup. For rural care, it's the foundation. The question isn't whether to scale it - it's how fast we can make it work for everyone. ↓ Thanks for reading! I'm Sam Armstrong, Founder of Kismet Healthcare. If you liked this, follow me for insights on healthcare innovation and building community-driven businesses.