Rock Health October 2, 2023
If Q1 and Q2 2023 charted the course for a brave new venture market, Q3 gave clear signals of the world emerging. While the digital health sector experienced significant reductions in funding and deal volume, quarterly trends are stabilizing within a new investment cycle. Investors are funding startups exploring new treatment pathways and tackling nonclinical workflow solutions. And though 2023 has witnessed some notable bankruptcies of former IPO darlings, public market performance of the full digital health cohort has steadied. Taking this all together, digital health’s new reality is “smaller but mighty.” In this piece, we’ll walk through what this new sector mindset requires of founders, funders, and healthcare organizations.
The “new normal” within a new funding cycle
In...