The epicenter of healthcare talk moved from Washington, DC to San Francisco this past week as the city hosted several healthcare conferences surrounding the epic JP Morgan Healthcare Conference.
In this podcast, Bill Geary, cofounder and partner of Flare Capital Partners, tells us what he heard during the countless meetings and cocktail receptions surrounding the event.
Geary, co-chair of the Digital Healthcare Innovation Summit, shares some of the themes we could be discussing during this year’s October 11 conference.
Among his observations:
- Digital Health and tech will both be at an exciting inflection point over the next 12 to 24 months, so Digital Health and tech companies must begin to prove their value proposition.
- We’ll continue to see significant capital flowing into health tech/Digital Health from experienced investors, customer partners, and tech investors new to healthcare.
- While financing rounds are getting bigger, the time between financing rounds is lengthening.
- Digital technology is helping to solve massive industry problems with the support of life sciences, medtech, payers, providers, and employer customers. These adoptions will create partnering and investing opportunities.
- Valuations continue to rise, which, of course, equates to rising exit expectations, which are undoubtedly inflated today by comparison to just a few years ago – troublesome, for sure, but the market opportunity and resulting cost savings and new revenue opportunities warrant the enthusiasm.
- The growing interest of big tech companies in healthcare is a long time in the making, an important adoption sign, and bodes well for both enterprise and consumer adoption.
- Many start-ups today offer only evolutionary point products not revolutionary breakthrough platforms that solve broad enterprise needs across the industry. We’ll see a shakeout of those more focused companies over the next 12 to 24 months.
- The IPO market remains daunting, but M&A activity will further increase over 2018 and 2019 – and, simultaneously, breakout opportunities will come into more clear focus.
Enjoy this podcast and block off October 11 as we’re likely to delve into many of these issues at the Digital Healthcare Innovation Summit.