Digital health startups raised $6.4 billion in venture capital during the first half of 2025, surpassing previous years' totals. AI-driven startups accounted for 62% of this funding, showing a strong preference for AI solutions in healthcare. Notably, 11 megadeals occurred, with nine going to AI-focused companies. Hospitals are increasingly adopting AI tools, reporting usage rates as high as 90%, indicating an increased acceptance of technology by providers. This suggests a transition towards more integrated and efficient healthcare solutions post-pandemic.
Digital health startups raised $6.4 billion in venture capital funding during the first half of 2025, slightly more than the preceding two years' totals.
AI-focused startups captured 62% of digital health venture funding, raising an average of $34.4 million per round, which is an 83% premium over non-AI peers.
Of the 11 megadeals closed by digital health startups in early 2025, nine were raised by AI-focused companies, showcasing their significant market presence.
Hospitals report usage rates as high as 90% for AI tools related to ambient documentation and medical reference platforms, indicating a shift in provider technology acceptance.
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