GenAI healthcare startup investments surge amidst funding drop

Venture capital deals related to the technology stood at $447m in H1.

Investments in generative artificial intelligence (GenAI) healthcare startups have increased from $81m to $439m from January 2022 to June 2024, a report by GlobalData revealed.

This is in contrast to the overall healthcare startup funding declining by 65% within the same period.

According to GlobalData’s Practice Head for Disruptive Tech, Manish Dixit, this surge is driven by the technology’s potential to enhance diagnostics precision, advance operations, and improve patient outcomes.

Meanwhile, an analysis revealed that during the first half of the year (H1), the healthcare sector’s venture capital (VC) deals in the GenAI theme stood at a value of $447.m

“AI-assisted decision-making is becoming a cornerstone for healthcare companies aiming to reduce operational costs and optimise their services,” Dixit said.