Digital Health Investment Insights

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 --------------------------------------------------------------------

How 2 digital health rainmakers ended the IPO drought Hinge Health and Omada Health, the first digital health companies to go public this year, shared what it really takes to get there at HLTH USA 2025 💡 IPO readiness: Both Daniel Perez (Hinge) and Sean Duffy (Omada) agreed the key question isn’t when the market is ready, but when your business is. Predictable revenue, operational maturity, and disciplined forecasting matter more than timing. Hinge ran “public” internally for two years, requiring four straight beat-and-raise quarters before actually filing. Omada said most founders focus 80% on market timing and only 20% on business readiness, it should be the reverse 🏦 Working with bankers: They warned not to be seduced by inflated ‘bake-off’ valuations. Choose advisors who understand your business and will be honest about the high bar of expectations post-drought and the need for investor education 📈 What investors value: Public investors prize durable revenue growth and free cash flow above all. Growth is valued roughly twice as much as profitability, and positive cash flow changes the conversation from “are you sustainable?” to “how big can you get?” Both companies built track records over multiple quarters before listing 🧠 Building trust: It took 18–24 months of investor engagement to build confidence. Pension funds and institutional investors want a transparent, tech-driven story, not just healthcare services. Both positioned themselves as technology-led care platforms with scalability and 80%+ gross margins 🤖 AI transformation: Omada called 2024 “the year of GLPs and GPTs.” Hinge predicted that all non-touch aspects of care , from symptom analysis to care planning, will be automated by AI. The company has retrofitted AI across finance, HR, and ops, achieving 100% AI tool adoption among engineers. At HLTH, it unveiled AI movement analysis and a 24/7 assistant called Robin 🧭 Life as a public company: Short-term stock moves don’t matter. Both focus on long-term metrics - retention, engagement, NPS, outcomes. Both believe digital health firms with 70–80% margins and tech-led delivery deserve valuations closer to SaaS. “The next wave of IPOs,” Duffy said, “will be a different beast, tech that delivers care itself, not just software wrapped around it.” 💬Final reflections: Preparation is everything. Simulate public operations early, invest in accounting and investor relations, and build your forecasting muscle. As Perez put it: “The IPO day is like a company’s wedding, celebrate it with your team and families” 👀 Ones to watch as 2026 IPO candidates: Sword Health, Transcarent, Quantum Health, Maven Clinic, Virta Health and Zelis 👇Which digital health company do you think will be next to IPO? #htlhusa #hlth #digitalhealth

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

Digital health funding is consolidating around maturity and AI. Growth now favours scale, not experimentation. Global digital health investment is shifting from expansion to concentration. In the first half of 2025, total funding reached about US$12.1 billion across 616 deals, a 13% year-on-year decline (Galen Growth, 2025). The contraction reflects investor discipline. Fewer, later-stage companies with validated business models are now absorbing a greater share of capital. Funding patterns are changing. Health-management solutions attracted around US$2.7 billion, while research-solutions, including tech-bio and AI for biomedical discovery, raised about US$2.4 billion. Therapeutic areas followed similar consolidation trends. Oncology led with US$1.8 billion, followed by mental health (US$1.0 billion) and cardiovascular disease (US$1.0 billion, up 76%). Europe is the new growth engine. Digital-health funding there surged 65% year-on-year in H1 2025, reaching US$3.3 billion, about 26% of global total. Nearly two-thirds of that capital went to AI-powered ventures, led by the United Kingdom (41% of European funding). The European digital-health market is now valued at ~US$96.7 billion and is projected to reach US$222 billion by 2030 (CAGR 18%). North America and Asia-Pacific diverged. North America declined 29% to ~US$7.5 billion, continuing a correction cycle after years of overspend. Asia-Pacific attracted US$1.0–1.2 billion, about 10% below 2024, with AI ventures representing 63% of funding. Why the divergence? Capital is now concentrated around ventures that deliver measurable clinical outcomes, recurring revenues, and scalable AI integration. Pilots and proof-of-concepts no longer attract capital. Validated execution does. What this means for founders and investors → Design for late-stage scalability. Proof of repeatability is now the strongest signal. → Align to regional momentum. Europe is expanding, North America is consolidating, Asia-Pacific is repositioning. → Lead with credible AI propositions. Funding flows to evidence-backed, outcome-driven models. The centre of gravity in digital health has shifted. 2025 marks the end of experimental growth. Capital is following maturity, evidence, and AI-enabled value creation.

One Pitch Deck Does Not Fit All — I Learned the Hard Way When I was a first-time digital health founder raising capital, I made a rookie mistake: I built one beautiful pitch deck, polished every slide… …and sent it to every investor I could find—strategics, VCs, angels. Here’s the truth: It wasn't all that effective, because different investors are playing different games, and I initially didn't understand that. It took me a while to course correct and realize the differences between strategic, institutional and Angel investors. Here's what I wish someone had told me when I first started pitching Strategic Investors Think: pharma, health systems, medtech, insurers, large corporates. What they care about: - Science and clinical validity - Strategic fit with their portfolio, pipeline, geography - How your solution helps them win—market share, cost savings, product differentiation - Integration risk and operational lift How to pitch them: Lead with the strategic opportunity—make it obvious why they should care; Show them partnership models, pilot pathways, IP/licensing options; Address adoption and implementation risks up front Venture Capitalists Think: institutional investors chasing growth and returns. What they care about: - Market size, defensibility, and exit potential - Scalable unit economics (LTV:CAC) - Speed and quality of execution - Whether this can be a big win in their fund How to pitch them: Lead with the market problem and the size of the opportunity. Show traction, strong unit economics, and growth levers. Make the exit potential crystal clear—and framed in terms of their returns, not just your vision Angel Investors Think: high-net-worth individuals, often with personal or industry ties. What they care about: - Founder vision and grit - A story they can connect with - Early proof you can execute How to pitch them: Keep it human—angels invest in you as much as the business and emphasize early traction and why their money will move the needle. Less jargon, more narrative Pro tip: Before you send your deck, ask: - Do I know this investor’s real motivation for investing? - Does my first 5 slides answer that motivation? - You don’t need three totally different decks. But you do need to change the opening, emphasis, and close so each investor sees what they came looking for. That’s how you turn crickets into callbacks. If you’re in the middle of a raise and want to run a tight, investor-ready process that actually gets results—let’s talk. #digitalhealth #healthcare #startup #founder #VC #venturecapital #fundraising

Physicians often ask, “How do I get into venture capital?” Let me be blunt: If you're a physician breaking into VC, your biggest asset isn't mastering pitch decks, an MBA, or regurgitating corporate speak - there are lots of folks who do that. It’s your decades of frontline, real-world clinical experience - that is your strategic advantage. Healthcare VC is not like investing in consumer tech or SaaS. The startups that succeed aren’t just those with the latest shiny tech or the most promising financial projections. The winners are the ones who can actually solve real-world problems that clinicians and patients face every day. And there’s only one group of people who truly understand these issues — physicians. Physicians bring deep clinical expertise that VCs without healthcare experience don’t have. We know what works in practice, what doesn’t, and why. If you are an investor or founder, high failure rates due to poor adoption should make physicians with front-line experience even more valuable. Some sectors of health tech where this gap is clear: 1. Point-of-care Diagnostics Failure Rate: 50-60% Why: These tools often fail due to integration issues with hospital systems and workflow misalignment. If a device is bulky or doesn’t fit seamlessly into the way clinicians work, it’s dead on arrival. 2. Wearable Health Devices Failure Rate: 65% Why: Many wearables promise to track health metrics but fall short in accuracy and clinical value. Physicians understand that data quality is critical — and without actionable insights, wearables are just another gadget. Add poor patient engagement and a lack of integration into healthcare systems, and you have a recipe for low adoption. 3. Telemedicine Platforms Failure Rate: 60% Why: Telemedicine platforms are struggling with long-term adoption. Poor integration with EHR systems, user experience issues, and regulatory hurdles are major barriers. 4. Remote Patient Monitoring (RPM) Failure Rate: 50-70% Why: RPM tools promise to monitor chronic diseases remotely, but they often fail due to integration issues with healthcare systems and data overload. Patients don’t always use these tools consistently, and when they do, the data is overwhelming and not always actionable. 5. Digital Therapeutics for Chronic Conditions Failure Rate: 60-70% Why: Digital therapeutics (DTx) for conditions like diabetes and mental health often fail because they lack clinical relevance and patient engagement. A JAMA study found that only 20% of patients adhered to DTx programs beyond 6 months, leading to a limited impact on clinical outcomes. Why Does This Matter? So, if you’re a physician looking to enter venture capital, don’t focus on the jargon or pitch decks. Focus on the real-world clinical applicability of these innovations. Your clinical knowledge and unique vantage point are your greatest assets. Use them to make a real impact. PhyCap Fund #venturecapital #physicianVC

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.

In 2020, healthcare discovered its most powerful tool: Eliminating the clinic itself. For addiction patients, this accessibility and affordability has meant the difference between treatment and suffering. Before telehealth, getting addiction treatment meant taking time off work, finding transportation, facing stigma in waiting rooms, and waiting weeks for appointments. For many, these barriers meant no treatment at all. The pandemic forced a massive change in regulations. Suddenly, doctors could prescribe addiction medications like Suboxone via telehealth. Treatment retention rates jumped dramatically when patients could access care from home. Opioid overdoses kill over 80,000 Americans annually – more than car accidents and gun violence combined. This telehealth expansion has been particularly impactful in rural areas where access was most limited. Three major innovations transformed addiction treatment: • Same-day medication access • Elimination of transportation barriers • Privacy that reduces stigma Studies from 2021-2023 showed telehealth patients were more likely to remain in treatment compared to in-person only care. For addiction treatment, consistency is everything. The longer someone stays in treatment, the higher their chances of long-term recovery. Suboxone, the primary medication for opioid addiction, works by reducing withdrawal symptoms, decreasing cravings, blocking opioid effects, and stabilizing brain chemistry. When paired with telehealth access, it's saving countless lives. Companies like QuickMD connect patients with physicians who can prescribe Suboxone via telehealth. This means someone with opioid use disorder can go from crisis to treatment in hours rather than weeks. Traditional addiction treatment often required multiple preliminary appointments, insurance hurdles, and travel to specialized facilities. Now a patient can: • Book an appointment online • See a doctor virtually same-day • Get Suboxone prescribed immediately • Start recovery within 24 hours The future of healthcare isn't defined by physical locations – it's in accessible, affordable care. Healthcare is evolving from places to systems that deliver care anywhere. Providers embracing this shift will thrive. Follow me on X @ryanlissack for insights on telehealth, health optimization, and startup leadership. Subscribe to my newsletter for deep dives on healthcare innovation, GLP-1 meds, and building in regulated industries.