Healthcare DIVE January 16, 2025
Investors focused their dollars on younger startups, while deal sizes for more established companies declined last year.
Dive Brief:
- Funding for digital health startups fell again last year as investors focused on younger companies and cut check sizes for later-stage firms, according to a report published by venture capital firm and consultancy Rock Health this week.
- Venture capital funding for U.S. digital health companies totaled $10.1 billion across 497 deals in 2024. In comparison, the sector raised $10.8 billion in just over 500 deals in 2023.
- Still, artificial intelligence continued to draw significant investor interest last year, according to Rock Health. Investment in AI-enabled startups made up 37% of the year’s overall funding.
Dive Insight:
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