Why Investors In Digital Health Are Whimps!!!
Put somewhat more politely, this article rather profoundly and clearly explains why investors in digital health are more focused on wearables that track the number of steps that we take than they are on devices that would actually help patients with significant medical problems. The first reason the article offers pretty much says it all. “Healthcare is not designed to be open to innovations.” SO. We can jerk around with “activity trackers” all we want, but the developmental time and clinical trials necessary to introduce digital devices that are of clinical significance are sufficiently daunting as to make the investment in developing them unlikely to yield a profit commensurate with the risk involved.
Bottom Line. Since the business model here doesn’t seem to work for most profit-oriented investors, the article suggests that organizations like the Bill and Melinda Gates Foundation, that offer “grants” for digital healthcare solutions, might well be the only funders likely to get something genuinely significant off the ground in this space.
Sad, but likely true!