SVB – Future of Healthtech Report, 2023

SVB's Future of Healthtech 2023 Report provides an in-depth analysis of the current state of the healthtech innovation market, highlighting trends, opportunities, and challenges. The report acknowledges the difficulties faced in the innovation economy this year but suggests that economic conditions have stabilized and show signs of improvement. While there have been fewer deals, slower investment pace, smaller check sizes, and downward pressure on valuations, there are reasons for optimism. Healthtech publics have shown resiliency, and the M&A market has seen a rise in deal volume. Value-based care has also seen promising investment, with large payers and retailers leading the way in strategic acquisitions. The investment environment has reset valuations to match achievable growth and profitability targets, leading to a more functional market. Venture fundraising has rebounded, and there is still ample funding available for the healthtech innovation economy. Overall, despite the challenges, SVB believes that the most innovative companies will not only survive but also emerge stronger in this new investment landscape.