At $1.7 billion, telehealth companies led financing activity for the first half of 2020's record $6.3 billion in digital health funding, according to a recent Mercom Capital Group report.
For its "1H and Q2 2020 Digital Health (Healthcare IT) Funding and M&A Report," Mercom analyzed venture capital funding in the digital health space for the first half of the year.
Four report insights:
1. Telemedicine contributed $1.7 billion to the overall $6.3 billion raised during the first half of 2020. The next top-funded categories were analytics at $826 million, mHealth apps at $794 million and clinical decision support at $545 million.
2. Telemedicine companies received a record $962 million in 50 deals during the second quarter of 2020, compared to $930 million raised in 35 deals in the first quarter of the year.
3. In the second quarter of 2020, telemedicine funding increased 42 percent year over year compared to the same period last year.
4. For the first half of the year, mHealth apps led merger and acquisition activity with 10 transactions, followed by data analytics and practice management solutions companies with nine transactions each and telemedicine companies with eight transactions.