Industry Insights

What is Healthtech and how does it work?

Derek Watson
Derek Watson
HealthTech Investment opportunities

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What Is FinTech? The Basics

What is Healthtech and how does it work?

Healthtech, also known as digital health, is the intersection of healthcare and technology. It is a rapidly growing industry that aims to improve patient outcomes and streamline healthcare delivery through the use of digital tools and platforms. From telemedicine and virtual reality to artificial intelligence and blockchain, Healthtech is transforming the way we think about healthcare.

The Basics

Healthtech refers to a wide range of digital technologies that are used to enhance healthcare delivery and improve patient outcomes. This includes everything from electronic health records (EHRs) and telemedicine to wearable devices and virtual reality. Healthtech also encompasses the use of big data and artificial intelligence (AI) to improve patient care and medical research.


The concept of Healthtech has been around for decades, but it has only recently begun to gain traction as technology has advanced. The advent of the internet and the proliferation of smartphones have made it easier for patients to access healthcare information and for healthcare providers to deliver care remotely. In the past decade, we have seen a rapid rise in the number of Healthtech startups and an increasing number of venture capital firms investing in the space.

Use Cases

Healthtech has a wide range of applications, including:

Telemedicine: Allows patients to consult with doctors remotely, through video calls or messaging.

Electronic Health Records (EHRs): Allows doctors and hospitals to store patient health information digitally and share it with other healthcare providers.

Wearable Devices: Allows patients to track their health and fitness data, such as steps taken and heart rate.

Virtual Reality: Allows patients to experience simulations of surgeries and other medical procedures, which can be used for training, research, and therapy.

Artificial Intelligence: Allows doctors to analyze large amounts of data and make more accurate diagnoses.

Blockchain: Allows patients to control their own health data and share it with healthcare providers.


Recent breakthroughs in HealthTech include:
The development of AI-powered diagnostic tools that can detect diseases such as cancer and heart disease with a high degree of accuracy.
The use of virtual reality to help patients with chronic pain and mental health conditions.
The use of blockchain to securely store and share patient health data.
The use of telemedicine to provide remote healthcare in rural and underserved areas.

Biggest Companies

Some of the biggest companies in HealthTech include:

Teladoc is a multinational telemedicine and virtual healthcare company headquartered in the United States. Primary services include telehealth, medical opinions, AI and analytics, telehealth devices and licensable platform services.

Cerner is an American supplier of health information technology services, devices, and hardware. As of February 2018, its products were in use at more than 27,000 facilities around the world. The company had more than 29,000 employees globally, with over 13,000 in Kansas City, Missouri.

Athenahealth is a private American company that provides network-enabled services for healthcare and point-of-care mobile apps in the United States. The company was founded in 1997 in San Diego and is now headquartered in Watertown, Massachusetts.

Epic Systems was founded in a basement in 1979 with 1½ employees, Epic develops software to help people get well, help people stay well, and help future generations be healthier.W

Koninklijke Philips N.V., commonly shortened to Philips, is a Dutch multinational conglomerate corporation that was founded in Eindhoven in 1891. Since 1997, it has been mostly headquartered in Amsterdam, though the Benelux headquarters is still in Eindhoven.

Medtronic plc is an American medical device company. The company’s operational and executive headquarters are in Minneapolis, Minnesota, and its legal headquarters are in Ireland due to its acquisition of Irish-based Covidien in 2015.

GE HealthCare Technologies Inc., trading as GE Healthcare, is a global medical technology company headquartered in Chicago, Illinois. It was spun-off from GE on January 4, 2023, with GE retaining 20%.

Siemens Healthineers is a German medical device company. It is the parent company for several medical technology companies and is headquartered in Erlangen, Germany. The company dates its early beginnings in 1847 to a small family business in Berlin, co-founded by Werner von Siemen

Johnson & Johnson is an American multinational corporation founded in 1886 that develops medical devices, pharmaceuticals, and consumer packaged goods.

Boston Scientific Corporation, incorporated in Delaware, is a biomedical/biotechnology engineering firm and multinational manufacturer of medical devices used in interventional medical specialties.

What the Future Has in Store

In the future, we can expect to see even more advanced technologies being used in healthcare, such as:
The use of machine learning to personalize medicine and improve patient outcomes.
The development of smart wearables that can detect early signs of disease.
The use of virtual and augmented reality to improve the patient experience and provide more accurate diagnoses.
The use of blockchain to create a secure, decentralized healthcare system.

Investing in Healthtech startups:

Investing in Healthtech startups is a smart move for several reasons. Firstly, the global healthcare market is projected to reach $10 trillion by 2023. Secondly, as the population ages and healthcare costs continue to rise, there is a growing need for innovative solutions to improve patient outcomes and lower costs. Finally, there is a growing number of venture capital firms and angel investors looking to invest in Healthtech startups, providing a strong support system for these companies.

Some of the biggest Healthtech investors are:

In conclusion

In conclusion, Healthtech is a rapidly growing industry that is transforming the way we think about healthcare. From telemedicine and virtual reality to artificial intelligence and blockchain, HealthTech is providing innovative solutions to improve patient outcomes and lower healthcare costs. With a growing market and a strong support system from venture capital firms, investing in Healthtech startups is a smart move for investors looking for growth opportunities.

HealthTech startups

If you are an HealthTech , there are many potential opportunities for investment from venture capital firms, angel investors, and other potential investors. As HealthTech continues to grow and evolve, startups in this space may be attractive to investors looking to invest in companies with promising technologies and business models. As a startup, it may be helpful to actively seek out investors who are knowledgeable and experienced in the HealthTech industry and can provide financial support, strategic guidance, and connections. Ultimately, finding the right investors can be a crucial step in helping your HealthTech startup succeed and grow.

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