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.
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)
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.