Aryeh Ganz

Function wants to reimagine healthcare. The preventative diagnostics platform closed a Series A investment led by a16z Bio + Health, bringing its total funding to $53M. Co-founded by functional medicine expert Mark Hyman, MD, the company leverages robust lab testing to improve longevity and healthspan. Taking a proactive approach, twice-annual 100-biomarker panels are reviewed by AI and human clinicians to spot and treat disease. Members can also opt for additional tests as needed. Operating in beta since April, Function Health counts 50K paying customers, a 200K person waitlist, and recently partnered with Equinox. Losing faith in traditional healthcare, more people are seeking preventative scans, alternative medicine, and longevity protocols. Democratizing diagnostics, Function wants to prioritize health over healthcare. 

109

15 Comments

Some VC investors believe that brick and mortar - referring to a physical presence of some kind - should be avoided at all costs. Yet, the track record of clinic and hybrid care businesses in health care indicates otherwise. ==> One Medical (sold for $3.9 billion to Amazon), Oak Street (bought by CVS for $10.6 billion), Lifestance (IPO at $7.5 billion market cap), and PE-backed Premise Health (acquired by OMERS Private Equity for $1.1 billion) If a clinic is indicated as the optimal way to deliver care for that patient population, there are creative ways to build and operate them. Full article below with advice and strategies on how to build and operate hybrid clinics from my teammate Anarghya Vardhana from Maveron, Amir Dan Rubin from OneMedical Group, Steven Eidelman from Modern Animal and more!

13

1 Comment

According to the latest report from Rock Health, digital health funding in Q1 2024 totaled $2.7B across 133 deals, with an average deal size of $20.6M. It doesn’t break out device-related investments, but most medtech founders I meet these days are being forced to chase tiny rounds made up of endless little checks, consuming valuable energy and slowing their progress. The benign neglect of this next generation of diagnostic and therapeutic devices is counterproductive and surprising. Given the crowded virtual care market, for example, I’d expect more such companies would be exploring medtech partnerships, investments or acquisitions that'd enable them to back integrate into delivering sharper, and more differentiated, care and treatment. This is exactly what Maverix Medical is doing from the other direction: Reshaping the entire spectrum of lung cancer care by integrating more advanced + effective approaches to screening and diagnosis, treatment and therapeutics, and even palliative care…And putting it all to work through an innovative provider network. One notable investor exception is Y Combinator partner Surbhi Sarna who’s been backing great teams like Selera Medical (YC W24) doing foundational work on ambitious medical devices. Without more support from investors like her, we’re going to increasingly find ourselves stuck with the incremental portfolio improvements from the incumbents, and that’s just not nearly enough.

59

5 Comments

a16z Bio + Health doubles down on healthcare and invests in Function Health In 2022 Andersen Horowitz made the decision to dive into healthcare - because they believe that the biggest company in the world will be a consumer health tech company. This year, A16Z invested in Function Health as the lead in its Series A.  Since launching its beta in 2023, Function Health has amassed 50,000 members - with no marketing.  It boasts a strong founding team, that including Dr. Mark Hyman Ed.D. as its Chief Medical Officer.  Earlier this year, Function announced its partnership with Equinox.  It has raised a total of $53M. A16Z’s investment in Function might come as a surprise to some but it has made no secret of its bet in tackling consumer healthcare. The US Healthcare industry is massive ($4 trillion USD and 20% of GDP) - which is why A16Z, along with every large tech company (Google, Apple, Facebook, Amazon) are moving towards it.  They are also moving towards it because the current largest healthcare company in the world is not a tech company and does a poor job in consumer engagement.  UnitedHealth Group (UHG) is the 19th largest company in the world and the largest healthcare company with a market cap of $450B (not including Eli Lilly and Company and Novo Nordisk).  UHG by all metrics is technically a consumer company with half of its sales being DTC - yet their consumer engagement is extremely poor with a NPS of 4. A consumer health company’s core competency should be their ability to engage and retain patients - something that most healthcare companies have failed to do historically. The healthcare industry is ripe for a consumer-obsessed, healthcare-native tech company that will reimagine what care can look like.  A consumer health company will win by placing consumers first, while still taking into account the realities of payor and provider incentives. As per A16Z, “Function started a movement and has fundamentally changed consumer behavior. ..it’s a preventative, lifelong approach to health, not just a single event or doctor’s visit. It’s a new routine that enables people to catch health issues early and benefit from AI advancements. Traditional healthcare treats symptoms; Function finds root causes.” - all for $499 / year. Where do you think the biggest opportunity for innovation exists in healthcare?  Let me know below. 👇 #a16z #healthcare #innovation #funding #function #fitness #wellness #digital #disruption #consumer #payor Vator SweatWorks

28

6 Comments

🌍 How is healthcare linked to climate change? Global warming is one of the most pressing existential issues of our time, and every industry, particularly healthcare, must play a critical role in addressing it. The global healthcare sector is responsible for 4.4% of worldwide net emissions, the equivalent of two gigatons of carbon dioxide each year. In the United States alone, the healthcare sector accounts for 8.5% of the country’s greenhouse gas emissions. Despite this dire challenge, innovative healthcare solutions hold robust potential to make a substantial, green impact. At Caresyntax, we are committed to sustainability and reducing the healthcare sector's carbon footprint. By optimizing hospital operations, our AI-driven solutions can lead to significant environmental benefits. For example, if Caresyntax were installed in all operating rooms worldwide, it could save 14 million tons of GHG emissions annually, equivalent to the emissions of the entire Air France fleet. Caresyntax’s data-driven platform not only enhances patient care but also contributes to a substantial reduction in energy usage and waste production. It's time for the healthcare industry to lead by example and drive positive change for both patient care and the planet. You can read more about healthcare greenhouse gas emissions here: https://lnkd.in/g9nEXtPs #AI #Sustainability #HealthcareInnovation #Caresyntax #GreenHealthcare

18

Imagine swallowing the competition whole. That's what many players in tech do via roll-up strategies, gobbling up smaller firms to deliver richer solutions and amass greater market share. Where else are roll-up strategies common? // HEALTHCARE Picture being a patient at a medical practice that’s been part of a roll-up in Healthcare Services. It's an industry ripe for roll-ups due to its fragmented nature and potential for greater efficiency. // CONSUMER SERVICES Or let's say you needed your HVAC serviced, and notice your local repairman is now part of a bigger Consumer Services entity? Centralized management and scale economy turn these localized businesses into roll-up targets. // FINANCIAL SERVICES Think about your insurance agent or wealth management advisor. They're working in complex, highly regulated environments. In the Financial Services sector, roll-ups offer an effective way to consolidate expertise, streamline operations, and enhance customer offerings. // MANUFACTURING Now, imagine driving past factories under a new name — the result of Manufacturing and Industrial Services roll-ups. Bulk purchasing reduces costs, enhances production capabilities, and expands geographical footprints. // REAL ESTATE Lastly, envision your real estate brokerage firm. The industry sees roll-ups as a strategic move to increase market penetration, enhance service offerings, and hike up portfolio value. Roll-ups play a huge role in most industries, rather like a snowball rolling downhill, gaining momentum, and size. Are you seeing roll-ups in your sector or considering M&A?

11

1 Comment

The (Healthcare) Ground Beneath Our Feet… This year it is likely that over $10 billion will be invested in the digital health sector – a robust amount, no doubt, but inconsequential when compared to the amount of capital tied up in healthcare real estate assets, which is estimated to be $1.2 trillion by Jones Lang Lasalle. Of that amount, approximately $790 billion is in the hospital sector while the remaining $490 billion is in medical office assets. It is estimated that there are 48.6k facilities with 3.4 billion square feet of healthcare real estate, 42% of which are owned by REITs and another 33% held by other private investment vehicles. Much of the digital health investment is meant to make the physical healthcare infrastructure more productive: greater operating efficiencies, greater patient throughput, more relevant personalized care models with better outcomes. As the healthcare system is being pushed to be more distributed to lower cost sites of care, accelerated now by the rapid proliferation of automation and AI capabilities, the potential impact on healthcare infrastructure assets will be profound. Thoughts on what that might look like... https://lnkd.in/eTfAdUbS #digitalhealth Flare Capital Partners

109

6 Comments

PRP is OUT; fertility financing is IN: Find out all the hot trends (and research) in the fertility space of late in our weekly roundup…   1/The WSJ tackles the global decline in fertility rates: “We suspect that this shift reflects broad societal changes that are hard to measure or quantify.” What about fertility struggles? It’s a huge (infertile) elephant in the room.🐘https://lnkd.in/eguaHD6E 2/Controversial platelet-rich plasma procedures *do not* improve egg yield after stims in women under 38 with a history of poor ovarian response (POR), according to an RCT for ESHRE by Dr. Andrés Reig. Our medical advisor Dr. Pietro Bortoletto of Boston IVF’s TL;DR? Stop doing it.https://https://lnkd.in/ewqNEwRd   3/Chronic stress during puberty could impact fertility, according to an ESE study. It’s based on putting rats in enclosed spaces for an hour every morning, so if you were just a lil stressed as a tween, you’re probs fine.😅https://lnkd.in/enth8Nda 4/Three-quarters of U.S. adults support using emerging technology to screen embryos during IVF for likelihood of developing certain health conditions. https://lnkd.in/er8mPW47 5/Researchers say genetic information from placental cells outside the embryo may not be that helpful. Sampling fetal cells is better. .https://lnkd.in/euJWDu8V 6/The reversal of Roe v. Wade combined with women delaying TTC, has led to a rise in venture-backed companies focused on financing fertility treatments, since many can’t afford them, but they can’t afford to wait. (Cc our partner Bundl Fertility and friends Sunfish.) https://lnkd.in/eU7mf8F9 7/Oof: Our lunch ‘n learn this week with reproductive lawyer Melissa Brisman touched on this.⚖️https://lnkd.in/egNH29Ya 8/The Mamas First Act could make doulas and midwives reimbursable through medicaid.👏https://lnkd.in/emJmzG87 9/Survey finds 8K women a month are getting abortion pills in states where it’s restricted or illegal.https://https://lnkd.in/er528nYt 10/There’s a millennial mother midlife crisis (M.M.M.C.) happening. It’s so important to talk about all the pressures on this parenthood journey.😭https://lnkd.in/esDM62uv 11/We have a must-read FREE newsletter that comes out on Fridays. Sign up here! ➡️ https://lnkd.in/eZBEYJwA

26

1 Comment

"Digital health is no longer the future; it is the present, reshaping our healthcare landscape in real-time." Excited to be part of the UCSF Digital Health Hub Foundation's Quarterfinalist Party! As a past board member, I'm honored to celebrate the outstanding quarterfinalists. As we reflect on the state of digital health in 2024, it's evident that the COVID-19 pandemic has fundamentally transformed healthcare delivery. The rapid adoption of telemedicine during the crisis has become a permanent fixture, with over 60% of physicians continuing to utilize this technology. The sprint towards smarter healthcare, catalyzed by necessity, has shattered preconceptions about digital-first health experiences. Virtual care is no longer a stopgap but an integral part of a seamless, anytime, anywhere health ecosystem. 🌍 We're witnessing the rise of B2B2C models in remote consultations, with companies like Teladoc Health and Amwell partnering with insurance providers to integrate their services into health plans. Public sector collaborations, like eConsult Health 's partnership with the NHS in the #UK, underscore the potential for remote consultations to enhance efficiency and accessibility at a national level. The digital health landscape is evolving rapidly, with advancements in remote consultations, mental health support, at-home diagnostics, and patient monitoring. AI and generative AI transform care delivery, making it more efficient, personalized, and patient-centric. 🤖 Yet, challenges remain. While venture capital funding for digital health has stabilized after the pandemic boom, it remains below its 2021 peak. Sectors like digital therapeutics face reimbursement hurdles, and we've seen major players like Walmart and Optum close telehealth businesses. Looking ahead, we anticipate further consolidation in digital health, driven by acquisitions to create broader ecosystems encompass telemedicine, mental health, and other specialized services. As healthcare leaders, we must leverage these digital advancements to improve access, enhance patient outcomes, and drive efficiency in our healthcare systems. The future of healthcare is digital, and the time to embrace this transformation is now. Congratulations to all the finalists! 🎉 Looking forward to the grand finale at #HLTH2024 in #LasVegas! 🙌 By the way, the pink drink that we were holding was delicious—and nonalcoholic! The Digital Health Hub Foundation - Digital Health Awards #HealthcareInnovation #DigitalHealth #UCSFHealthHub #Networking #HealthTech #Entrepreneurship #LasVegasFinale Walter Greenleaf, PhD Daniel Kraft, MD Unity Stoakes StartUp Health University of California, San Francisco UCSF Innovation Ventures American Association for Precision Medicine (AAPM) WISE World Investors & Entrepreneurs Society #AAPMhealth #aapm_health

94

7 Comments

How do we erase the $1.9T of healthcare cost from poor nutrition in the United States? 14T globally. Slowly. Then all at once. How will pressure from Ozempic change CPG, fresh, meat, retail, food science, ingredients, crops, processors, trucking, farmer profitability...... iSelect's 70 portfolio companies have been working on the core technology for nearly 10 years. Slowly. Knowing this moment would arrive. Each of the 60k Sku's in retail will move from cheap carbs to affordable nutrition. And consumers will internalize health cost into price elasticity in purchase decisions. Slowly, then all at once. Katie Stebbins Ellen Brown Sherry Frey

62

19 Comments

As physicians, we are committed to improving patient care through clinical excellence. However, there's an often-overlooked avenue where our expertise can significantly impact healthcare innovation: serving as medical advisors for startups. Here are a few reasons why I believe we should engage with the entrepreneurial community 👇 1️⃣ Driving Innovation Forward: Startups are at the forefront of medical technology and services. By contributing our clinical expertise, we can guide these companies to develop solutions that are not only innovative but also practical and patient-centered. 2️⃣ Broadening Impact: While our primary influence is within the confines of our practices or hospitals, working with startups allows us to extend our impact globally. Technologies we help develop could benefit patients worldwide, many of whom could never visit us in person. 3️⃣ Learning and Growth: Engaging with startups exposes us to the latest technologies and business strategies, enriching our understanding beyond the medical field. This cross-disciplinary knowledge can enhance our own practices and the way we approach patient care. 4️⃣ Professional Networking: Collaborating with entrepreneurs and other tech innovators can open new doors. These connections can lead to other advisory roles, speaking opportunities, and even advancements in our own careers. 5️⃣ Financial Opportunities: Often, advising roles come with financial compensation, including equity options. These can provide significant financial benefits, particularly if the startup succeeds. 6️⃣ I urge my fellow clinicians to consider stepping into the role of a medical advisor. Our insights are invaluable, and our participation can be the key differentiator in the success of health-focused innovations. ---- Join our vibrant community of 2,000+ healthtech experts and thought leaders. Comment below or DM me, and I’ll provide you with an invitation to our fast-growing network. 📩

50

9 Comments

Join host Sam Tejada in this compelling episode of ‘A Healthy Point of View’ as he sits down with Dr. Joseph Purita, a pioneer in functional and regenerative medicine, to discuss groundbreaking methods for health and longevity. Dr. Purita shares his journey from traditional orthopedics to becoming a leading expert in regenerative therapies and the science of cellular health. This conversation covers a fascinating array of topics, from Platelet-Rich Plasma (PRP) therapy and the role of mitochondria in preventing neurodegenerative diseases, to cutting-edge treatments like intermittent hypoxia therapy and extracorporeal blood oxygenation. Throughout, Dr. Purita emphasizes the importance of viewing the body as both hardware and software—highlighting how our cellular pathways and mitochondria play a pivotal role in keeping us youthful and energized. If you’re curious about the future of health, healing, and functional medicine, this episode is a must-watch. Tune in to hear insights from two health visionaries dedicated to reshaping wellness care. PUR-FORM Joe Purita, MD #AHealthyPointOfViewPodcast #AgeManagement #Wellness #FunctionalMedicine #PurForm #DrJosephPurita #Viral #OOTD #Fashion #HealthTok #HealthTips #HealthyTips #IVDrips #Liquivida #SamTejada #Stemcell #VO2Max #DexaScan #Biohack #biohacker #WINNERGY

11

1 Comment

50% theory. 50% practice. 100% knowledge.🌟 Dive into the world of functional and integrative health with this program. Learn more here: https://lnkd.in/eM9aX8GU #FunctionalHealth #IntegrativeHealth #PharmD

8

The global infant formula market is projected to grow to ~$100B by 2030. Since 1980, two brands – Enfamil and Similac – have held 80% market share in the US. When a Cronobacter sakazakii outbreak resulting in several illnesses and two infant deaths was linked to powdered formula in 2022, that began to shift. Supply chain gaps from the pandemic, broken infrastructure, and lack of breastfeeding support led American consumers to view European formula brands as superior. As a result, parents started zooming in on nutritional profiles in American baby formula. Corn syrup, fillers, and palm oil are prominently listed on America’s dominant formula labels – ingredients you wouldn’t find in their European counterparts. For example: • The EFSA sets stringent guidelines for nutrient levels, the inclusion of DHA (an essential omega-3 fatty acid), and strict limits on contaminants such as pesticide residues. • European formulas mimic the nutritional profile of breast milk with lactose as the carbohydrate source, avoiding other sweeteners common in American formulas. • European formulas are largely organic and non-GMO, not yet standard in the US. The challenge? Despite proven benefits, regulatory red tape from the FDA prevents many European brands from entering the US. One way forward? Meet the demands of both European and American nutritional standards. Today, Bobbie is the only company bridging this gap. Coining the term “European-style” formula, Bobbie meets FDA’s regulatory standards while checking the EFSA boxes: • Lactose as the carbohydrate source • Organic and non-GMO • Meets EU standards for DHA The demand for cleaner baby formula ingredients is clear. Of course, there are subjective preferences, accessibility limitations, and cost considerations that ultimately determine what parents buy. But the trend toward “European style,” better-for-you formula is here to stay.

66

24 Comments

It was wonderful to be in conversation with Madison Mills of Yahoo Finance at their annual Invest conference earlier this week. We covered everything from the venture outlook for 2025, impact of elections on women's health investing and innovation, and more. Full clip and summary below 👇 https://lnkd.in/gS67sc2Y

94

6 Comments

Anne Wojcicki, CEO of 23andMe, has announced plans to take the genetic testing company private. This strategic move aims to provide more flexibility in navigating regulatory challenges and to accelerate growth opportunities. The decision follows a trend of health tech companies seeking private ownership to focus on long-term objectives. Wojcicki highlighted the importance of this shift to maintain the company's commitment to innovation and customer-centric services. Taking 23andMe private reflects a bold step towards enhancing its position in the rapidly evolving genomics industry. Read more about this exciting development here: https://lnkd.in/gdrC3a64 #genomics #IPO #privatisation #23andMe

13

A prospective $3.1 billion U.S. IPO in a market with very few listed early childhood education firms. This rare public listing highlights the growing global trend of scaling early childhood education companies, as private equity and large operators seek consolidation for operational efficiencies. With increased focus on education investments, this IPO could pave the way for more large-scale moves in the sector. #Education #EarlyYears #Earlychildhoodeducation #Childcare #Nurseries #Preschools #Edtech #K12Education #PrivateEquity #VentureCapital #ImpactInvesting https://lnkd.in/dTu3DyPS

4

Exciting news from Monica Chopra, Jeffrey De Flavio, MD, Samantha Adelberg, and the rest of the Auxa Health team as they officially announce their $5.2M Seed round. The team's deep industry expertise and drive for change have led them to solve critical infrastructural friction to providing quality healthcare and adoption of value-based care. Auxa's AI benefit navigation platform is simplifying the complexities of healthcare by streamlining all of the fragmented and siloed data and information to make it actionable in real-time for healthcare organizations. For the 70% of Americans who aren't getting access to the health and social care benefits they deserve, Auxa's solution will be pivotal in enabling equitable care. We're thrilled to partner with co-investors Zeal Capital Partners, AlleyCorp, Laconia, and Chaac Ventures on this journey and look to share many more milestones ahead. Cc K50 Ventures, Ryan Bloomer, Daniel Vásquez, Nick Talwar, Stefanie Ng https://lnkd.in/dPDY7-Db

44

4 Comments