DOCSF Venture 2023: What Technologies are Getting Funded?
Welcome to DOCSF Venture 2023!
In this episode, Dr. Doctor Nancy Lynch, Founder, and President of Advisorthopædics and DOCSF Venture Director presents a detailed analysis of the trends in 2022’s MSK investments with data from Silicon Valley Bank’s annual report for Healthcare Investments and Exits. As explained by Dr. Lynch, the data shows that 2022 didn’t match 2021’s unprecedented peaks, but the overall trajectory for health tech investments is still upward. To swiftly deliver her points, Dr. Lynch focuses only on any-size equity investments in private companies that have an application to facilitate MSK care.
In 2022, 7% of the venture investments were in MSK, with mid-sized deals gaining more traction. Interestingly enough, 80% of the investment made over the last five years in ortho-MSK went to ortho-facilitated ancillary technologies and focused ortho-spine technologies. Data showed that most funded digital technologies aren’t directly applicable to operative procedures or their preparation. On the other hand, three-quarters of the non-digital health MSK investments are technologies that can be applied in the operating room directly.
With the data presented, Dr. Lynch points out some takeaways, like more than half of the investments being AI-enabling approaches to digital MSK care. She also notices an increasing trend in technology related to surgery performance. Additionally, Hinge Health stood out amongst the compilation of investment data by making megadeals and financing substantially in patient engagement platforms.
Listen to Dr. Nancy Lynch break down what she believes are transformational investments in the MSK field!