Dive Brief:
-
The digital health industry is on pace to have its best year of annual funding. So far, nearly 300 funding deals have equaled $6.5 billion, including $3.8 billion in the second quarter, according to StartUp Health’s mid-year funding Insights report.
-
StartUp Health said there were more Series A deals than seed deals in the first half of the year. The San Francisco area picked up the most regional activity with $2.3 billion. New York was a distant second with $577 million.
-
StartUp Health said workflow, big data/analytics, wellness, medical devices, personalized health/quantified-self and research sectors received the most Series A funding. Patient/consumer experience, workflow and big data/analytics received the most seed funding.
Dive Insight:
StartUp Health, which tracks digital health deals, is predicting that digital health companies may see a record-breaking amount of funding this year. The second quarter alone saw $3.8 million from investors, which is a huge jump from last year’s second quarter ($2.1 billion). Rock Health, which also tracks digital health deals, also recently tweeted that the first half of the year was the biggest yet (both organizations generally track digital health funding differently)
A sneak peak into our midyear funding report: we're still crunching the numbers, but H1 2017 is #digitalhealth's biggest yet. #aim2innovate
— Rock Health (@Rock_Health) June 28, 2017
Data analytics is getting the most attention and led the industry with $1.2 million in total funding in the second quarter. The top 10 deals so far this year were all more than $100 million. Grail had the largest digital health deal at $914 million invested.