Venture Investment in Digital Health Effectively Doubles in H1 2012

Fenwick & West Life Sciences Group
Contact

[author: Michael Esquivel]

Venture investment in healthcare convergence technologies soared in the first half of 2012. According to a recent report from Burrill & Co, digital health, into which they group healthcare IT, mobile health and wireless health, saw a 194* percent jump in financing in H1 2012 over the same period in 2011. [Burrill Report, Vol 2, Issue 8, August 2012]. According to Burrill, more than $500* million dollars in venture funding was invested in the space in the first half of the year, representing 46 transactions.

In addition to their reputation for saving costs and improving outcomes, healthcare convergence technologies - from electronic health records and practice management tools to mobile apps and analytical software for genomics - face a less onerous regulatory road than new molecular entities.

While many important questions remain, especially with regard to patent protection and potential FDA regulation, the overall trend is clear:  We are witnessing an unprecedented surge in investment and support of new companies and products addressing our healthcare challenges with information and mobile/wireless technologies.

*Correction: Originally this post stated the increase in digital health funding in H1 2012 was "threefold" (in the headline) and 317 percent in the text over the same period in 2011. The aggregate funding during that period was stated as $499 million. Those references have been updated in accordance with a correction issued by Burrill & Co from their initial release. [updated 7/30/12] 

 

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© Fenwick & West Life Sciences Group | Attorney Advertising

Written by:

Fenwick & West Life Sciences Group
Contact
more
less

Fenwick & West Life Sciences Group on:

Reporters on Deadline

"My best business intelligence, in one easy email…"

Your first step to building a free, personalized, morning email brief covering pertinent authors and topics on JD Supra:
*By using the service, you signify your acceptance of JD Supra's Privacy Policy.
Custom Email Digest
- hide
- hide

This website uses cookies to improve user experience, track anonymous site usage, store authorization tokens and permit sharing on social media networks. By continuing to browse this website you accept the use of cookies. Click here to read more about how we use cookies.