Digital Health Startups Raised Nearly $5B In Seven Years
Venture capitalists invested $1.2 billion in digital health companies in 2011 — double the amount from 2009, and nearly triple the amount of funds raised in 2007, for a total of nearly $5 billion over seven years.
Many of those companies are focused on the technical side of delivering medical care, but several others are working with cash flow and payment solutions. For example, Drchrono, which has raised more than $4 million to date, integrates a medical billing solution into its electronic medical records (EMR) platform — and added compatibility with Square’s mobile card reader device earlier this month (read more here).
And the space is even hotter in 2012. Through the first six months of the year, investors have written $675 million in checks for health startups, up 73 percent from the same time last year. To date, 92 different VC firms have invested with 68 different health startups, each receiving more than $2 million for their ideas, according to Avado.com’s Dave Chase.
Estimates on funding for digital health were provided by Rock Health, using data from Capital IQ, in a new study on investor interest in health startups.
Please send all press releases and story ideas to Ben Carsley at email@example.com.