Digital health venture capital funding cooled off in 2024 following the fever pitch of investment from 2020 to 2022. But investors still see bright opportunities for the sector.

Digital health startups banked $10.1 billion in venture funding in 2024, down from $10.8 billion in 2023 but higher than 2019's funding total. Several key trends shaped digital health investment in 2024: a handful of large, more established players dominated healthcare innovation headlines and heavyweight investors drove sector dealmaking. Investors focused on earlier-stage funding and pulled back on later-stage check sizes, according to Rock Health’s year-end report.

Executive editor Heather Landi sits down with Sari Kaganoff, chief commercial officer at Rock Health, to discuss the digital health sector's performance last year and the trends that will shape venture funding in 2025.

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