Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.

StartUp Health Insights Digital Health Funding Rankings Q1 2016

12,831 views

Published on

2015 was the year digital health funding hit its stride, and 2016 has already stepped it up a notch with a record-setting first quarter. Signs continue to point to a market transitioning from something reminiscent of the Wild West to the early stages of maturity.

Published in: Healthcare
  • Hello! Get Your Professional Job-Winning Resume Here - Check our website! https://vk.cc/818RFv
       Reply 
    Are you sure you want to  Yes  No
    Your message goes here

StartUp Health Insights Digital Health Funding Rankings Q1 2016

  1. 1. © 2016 StartUp Health, LLC Published: April 1, 2015 StartUp Health Insights Digital Health Funding Rankings Q1 2016 TM A StartUp Health InsightsTM Report 
 Published April 1, 2016 | Report data through March 30, 2016 Report is inclusive of seed, venture, corporate venture and private equity funding Sign up to receive weekly funding insights at startuphealth.com INCLUDING 50+ MARKET FUNDING SPONSORED BY
  2. 2. Source: StartUp Health Insights | startuphealth.com/insights Note: Report based on public data on seed, venture, corporate venture and private equity funding only through March 30, 2016. © 2016 StartUp Health LLC 2015 was the year digital health funding hit its stride and 2016 is stepping it up a notch with a record-setting first quarter. Signs continue to point to a market transitioning from something reminiscent of the Wild West to the early stages of maturity. 2016 Q1 Summary 1 2016 Starts Strong: With a record $1.8B in funding, Q1 2016 started with big numbers. 2016 already saw 4 deals over $100M, as compared to 7 in all of 2015. 2 Big Data / Analytics No Longer a Buzzword: We’ve seen buzzwords come and go, but big data has become a household name. As a robust ecosystem of startups begins to mature, we’re seeing data wranglers establish real ROI, both on the clinical and financial realms, and receive the financing they need to grow. We expect to see the days of point solutions disappear as more versatile data analytics companies begin to proliferate and gain significant market share. 3 Nuanced Investors: The most active investors in 2016 include institutional VCs, as well as a hospital system and a payor, continuing the trend of previous years of a diverse investor base. Large organizations ramp up their investments and begin placing bets as they increasingly look externally for innovation. With such a disruptive digital health landscape, looking outside the walls of an institution is becoming an important strategy. 4 Drop in Deal Volume, Increase in Funding: We tracked approximately $600M and 600 deals in 2013 - ever since, funding has swelled and deal volume has dropped. While there is still an extremely active Seed ecosystem, all signs point to venture learning - learning what a successfully positioned digital health startup looks like, learning about competition dynamics, about what solutions have business models that work and who can prove ROI. With that learning comes backing for more mid-stage and late-stage deals. 5 New York Takes the Lead: New York overtook the San Francisco Bay Area in funding amount this quarter, in large part due to Oscar’s $400M funding. Los Angeles, Salt Lake City and Chicago are also great examples of new bustling health tech hubs that 5 years ago were not on the map. DEALS & FUNDING INVESTORS 2 50+ MARKET
  3. 3. Source: StartUp Health Insights | startuphealth.com/insights Note: Report based on public data on seed, venture, corporate venture and private equity funding only through March 30, 2016. © 2016 StartUp Health LLC 150 280 465 617 561 490 100 Digital Health Funding Snapshot Year Over Year (2016 YTD) Funding($B) $2 $4 $6 $8 2010 2011 2012 2013 2014 2015 2016YTD Q1 Q2 Q3 Q4 2016 starts off with a record setting $1.8B quarter. While 22% of that funding was directed to the insurance upstart, Oscar Health, the remaining funding was distributed in increasingly mature rounds. Q1 Deal Count DEALS & FUNDING INVESTORS $1.1B $1.8B 3 $1.7B$618M$553M$389M$194M 50+ MARKET
  4. 4. Source: StartUp Health Insights | startuphealth.com/insights Note: Report based on public data on seed, venture, corporate venture and private equity funding only through March 30, 2016. © 2016 StartUp Health LLC $0 $250,000,000 $500,000,000 $750,000,000 $1,000,000,000 $1,250,000,000 2010 2011 2012 2013 2014 2015 R² = 0.5582 Digital Health Funding Snapshot Month Over Month As the market continues to progress, monthly ups and downs have begun to trend at $700M/month. DEALS & FUNDING $320M Series B $150M Series C $37.5M Venture $37.9M Venture $101M Series B $394M Venture $33M Series B $31M Series A $400M Series C $230M Series B $500M Series C R2 = 0.5582 4 $1.25B $1.00B $0.75B $0.50B $0.25B $400M Venture 2016YTD INVESTORS 50+ MARKET
  5. 5. Source: StartUp Health Insights | startuphealth.com/insights Note: Report based on public data on seed, venture, corporate venture and private equity funding only through March 30, 2016. © 2016 StartUp Health LLC DEALS & FUNDING 5 INVESTORS 50+ MARKET Get the free full report now!

×