really follow FinTech — I can’t even keep up with HealthTech! — but it caught
my eye when Visa announced that
it was acquiring FinTech company Plaid for $5.3b; a 2018 funding round valued
the company at $2.65b. A 100% increase in valuation within a year suggests
that something important is going on, or at least that people think something
there may be some lessons for healthcare in there somewhere.
of you who are equally as unfamiliar with FinTech’s terrain, Plaid has been described as
the “plumbing” that supports many other FinTech companies.
Launched in 2013, one in four people with a U.S. bank account are now believed to
use Plaid to connect with 2,600 FinTech developers connected to more than
11,000 financial institutions. Its customers include Acorns, Betterment,
Chime, Coinbase, Gemini, Robinhood, Transferwise, and Venmo. Plaid claims
it connects with 200 million consumer accounts.
Today on THCB Spotlights, Matthew chats with a couple of the OGs from the original days of Health 2.0—Scott Shreeve, founder and CEO of Crossover Health, and Jay Parkinson, founder and CEO of Sherpaa, who were the first ones doing something different in terms of doctors figuring out this digital health stuff. The two of them ask the question, what would happen if you married the physical world with the online world and created a new care model that exceeds at both? While Scott was putting in onsite primary care clinics to employers like Apple and Facebook, he realized Crossover wasn’t reaching 70% of the people they were contracted with because many employees were geographically remote. Meanwhile, Jay was doing something similar with virtual primary care—which differs from traditional telehealth in that his model enables a true relationship between patient and provider—and the rest is history.
The IDIH Project (International Digital Health Cooperation for Preventive, Integrated, Independent and Inclusive Living) is setting up an expert-driven “Digital Health Transformation Forum” to promote and increase international collaboration, advance digital health, and support active and healthy ageing through innovation. IDIH is funded under the European Union Horizon 2020 Research and Innovation Programme and brings together prominent organizations from EU and five Strategic Partner Countries: Canada, China, Japan, South Korea and the USA.
IDIH is seeking
individuals whose expertise is in alignment with the following focus
1. Preventive care
– Focus: Early diagnosis and detection
2. Integrated care –
Focus: Using new technologies to redesign, coordinate and integrate
health and social services and place citizens, patients and seniors at the
centre of health systems
3. Independent and
connected living – Focus: Tele-monitoring via smart home and living
4. Inclusive living –
Focus: Helping the elderly feel more connected socially/ healthy living
In order to celebrate the next decade (although the internet is confused whether its actually the end of the decade…), we’re taking a step back and listing our picks for the 9 most influential healthcare companies of the 2010s. If your company is left off, there’s always next decade… But honestly, we tried our best to compile a unique listing that spanned the gamut of redefining healthcare for a variety of good and bad reasons. Bon appétit!
1. Epic Systems Corporation
The center of the U.S. electronic medical record (EMR) universe resides in Verona, Wisconsin. Population of 13,166. The privately held company created by Judith “Judy” Faulkner in 1979 holds 28% of the 5,447 total hospital market in America. Drill down into hospitals with over 500-beds and Epic reigns supreme with 58% share. Thanks to the Office of the National Coordinator for Health Information Technology (ONC) and movement away from paper records (Meaningful Use), Epic has amassed annualized revenue of $2.7 billion. That was enough to hire the architects of Disneyland to design their Google-like Midwestern campus. The other amazing fact is that Epic has grown an average of 14% per year, despite never raising venture capital or using M&A to acquire smaller companies.
Over the years, Epic has been criticized for being expensive, non-interoperable with other EMR vendors, and the partial cause for physician burnout. Expensive is probably an understatement. For example, Partners HealthCare (to be renamed Mass General Brigham) alone spent $1.2 billion to install Epic, which included hiring 600 employees and consultants just to build and implement the system and onboard staff. With many across healthcare calling for medical record portability that actually works (unlike health information exchanges), you best believe America’s 3rd richest woman will have ideas how the country moves forward with digital medical records.
It used to be that patients would have to go see a doctor to get lab tests ordered to check their cholesterol or metabolism, but now, thanks to at-home testing companies like Everlywell, those tests (and 30 others, including STI tests) can be ordered online or picked up at some big box retailers. We chatted with Dr. Frank Ong, Everlywell’s Chief Medical and Scientific Officer, about what it means to put patients in charge of ordering their own lab work — and combing through their own testing results — vis a vie the Everlywell platform. As consumers demand more control over their healthcare dollar and the experience it buys, is there a point where patients risk getting in over their heads? How have doctors been responding to patients who come in armed with their own lab results? We check in on how at-home testing kits are ‘testing’ the reaches of patient-led care.
Today on THCB Spotlights, Matthew interviews Carolyn Magill, CEO of Aetion. Aetion is a real world evidence analytics company working to accelerate time to regulatory grade insights. In fact, Aetion recently did a study with Horizon Blue Cross Blue Shield of New Jersey where they analyzed the type 2 diabetes population, identified a subset of patients who should be on a different class of drugs—which are more expensive—that would improve health outcomes and bring down the total cost of care, saving about $5 million for Horizon. Find out where the data and intelligence for this platform came from, and how this female CEO works to empower women both internally and externally.
How can helping a cartoon fox also help your mental health? Enter Socks the Fox and Sinasprite, a world exploration game that teaches players evidence-based treatments and coping methods for anxiety and depression. How does it work? Litesprite CEO Swatee Surve explains that players are charged with helping Socks the Fox become a Zen master (of course) and, in doing so, work through a series of challenges and exercises that teach coping mechanisms that range from journaling to diaphragmatic breathing. With its super-sticky storyline (Socks is adorable) the clinically validated game offers a new, upbeat way to bring tech and game theory into the way we treat mental health disorders.
Filmed at Bayer G4A Signing Day in Berlin, Germany, October 2019.
Today, I’m closing out the year of Health in 2 Point 00 from the ski slopes. In Episode 103, Jess asks me about the ACA ruling that the individual mandate is unconstitutional, whether Sutter Health got what they deserved after the $575 million settlement, health insurer Bright Health raising a huge $635 million round, and a rumor about a $250M Softbank investment coming next week. Wishing you all a very happy 2020! —Matthew Holt