Andreessen Horowitz July 27, 2022
Jay Rughani and Vineeta Agarwala

The most significant bottleneck in the adoption of healthcare technology to date has been distribution. Over the last decade, generations of digital health companies have struggled to reach escape velocity—not because their products and services weren’t transformative, but because they failed to find an executable path for sustainable distribution and value capture.

Some of that was simply due to the overall immaturity of the market and its inability (or resistance) to absorb and pay for novel, software-based products that didn’t slot easily into existing budgets and care plans. Some of it was that companies lacked the capital to be able to survive long healthcare enterprise sales cycles that were the primary path for going to market.

In response, resourceful digital health...

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