Courtesy Omada Health
VC firms are investing in startups like Omada Health, which is focused on digital therapeutics for chronic disease.
- The field of digital health, where companies take a tech-based approach to healthcare, has been exploding.
- Venture capital firms First Round and Jumpstart Foundry are the most active VCs in the space, according to a recent report from CB Insights.
- It's a crowded field: seven other VCs are tied for the number two slot, the report found.
- These firms are investing in companies like Alma Health, which makes coworking spaces for therapists, and the digital therapeutics startup Omada.
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In healthcare lately, tech is king.
Startups taking a tech-based approach to healthcare have been a magnet for VC investment dollars, and the trend shows no sign of slowing down. Around the world, VCs poured $3.5 billion into about 371 different digital health deals and financings in the second quarter of this year, according to CB Insights.
Nine VC firms were especially active in the space, according to a recent CB Insights report focused on the second quarter of 2019. CB Insights ranked the VCs based on the number of unique digital health company investments they had made, but the the report doesn't disclose those figures.
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These VCs have invested in such companies as Alma Health, which makes coworking spaces and tech for therapists, the digital therapeutics startup Omada, and health data platform LunaDNA.
At a time when iPhones are omnipresent and AI is taking over the world, healthcare is a relative latecomer to the potential of technology. The highly-regulated industry moves slowly, and isn't exactly known for its tech-savviness, but a new wave of startups is betting it can change that.
In an indication of how competitive the field has become, there's a two-way tie for the #1 slot on the CB Insights ranking. After that, there are a stunning seven VCs ranked as the #2 most active digital health firms.
Here's who they are, and what they've been betting on:
