AI Is Driving Healthtech Investments To New Heights, But Watch These 3 Overlooked Areas

Investments in AI have been gaining rapid momentum across industries, however 2025 is proving to be the year that it's taking off in the healthcare space.

This has been accelerated by several huge funding rounds that promise to open up AI-powered data analytic solutions and GenAI to healthcare organizations worldwide, including $275 million in further investment for healthcare data company Innovaccer, $141 million for Hippocratic AI, and $105 million for automated surgical workflow company Qventus, to mention just a few examples. 

We're also seeing new funds spring up that promise to drive market interest for AI in healthcare even further, including a new $500 million biotech ecosystem fund from Eli Lilly (NYSE:LLY) and Andreessen Horowitz. 

Further, we can see that these bets are already starting to pay off. 

Companies at the intersection of AI and health are finding incredible success with their product market fit, with businesses growing from $1 to $10 million ARR in record time. 

However, there are also some more surprising trends at play. Although the most popular and well-funded examples of AI in health from the past year leverage data analytic platforms and automation, a number of other applications offer interesting investment potential. 

Mental health diagnostics is one that's gaining traction. According to a global Lancet study, only a fraction of mental health conditions are currently identified by doctors. "That means a good 60% to 70% of people really just fall through the cracks,” according to Kintsugi CEO Grace Chang.

More broadly, the global healthcare market is projected to reach $6.16 trillion by 2030, showing that there are investment opportunities abound.  

Here are three untapped areas in healthcare where companies have the space to generate impressive returns. 

Innovators unlocking access to real-world data (RWD) 

The ongoing adoption of technology in the healthcare space means that real-world data is now available in unprecedented ways. 

For instance, traditionally, new medical solutions have needed to undergo multiple stages of development, in addition to many controlled clinical trials. 

However, today the increasing availability of electronic health records (EHRs), monitoring devices and wearable technologies mean that real world data can be used to improve clinical trials, personalized medicine, and accelerate drug development. 

Here, investors should pay attention to innovators in this space that break down accessibility barriers to make data and evidence available for clinical use. While the upside is clear, at the same time the sensitive nature of healthcare data and presence of HIPAA controls means that data initiatives are more complex than in other industries. 

Companies are increasingly creating specific data platforms for healthcare and forging partnerships to deliver solutions that maintain compliance and make insights available, which is opening up new doors for transparency.

With the creation of infrastructure and tools for real-world data, expect this to increasingly open up new opportunities in healthtech more broadly. AI tools that can turn complex data into clear, actionable insight have already proven valuable in other industries. In healthcare, the demand is growing fast. 

Hospitals and insurers need better ways to make informed decisions quickly, and real-world data gives them a way to do that. 

What's worth paying attention to is that the companies building these tools now aren't just solving a short-term need; they're creating the systems that others will likely adopt, from hospital networks to government offices. Patient privacy will remain a major hurdle, but those who find secure ways to manage and share this data will earn trust, and ultimately competitive advantages for both the companies and early investors.

Health equity improvements reduce burden of disease 

The theme of health equity is not always associated with investments in healthtech, usually falling more under the area of governance and policy. However, investment opportunities in health are often tied to where the biggest value to the care system can be generated, making the case for digital health equity solutions. 

Defined by the World Health Organization as "the absence of avoidable or remediable differences among groups of people," making standards of care more equal across the US will reduce costly healthcare burdens.

Today, the U.S. consistently ranks last among high-income countries on measures of health equity. In fact, if left unaddressed health inequity could cost the U.S. $1 trillion by 2040.

This disparity in care isn't just about income between populations, but also the basic standards that are available. For example, rural populations are disproportionately underserved with healthcare provision typically centered around city-based delivery systems. 

Fragmentation within healthcare can also cause issues with things like the provision of medication. A patient may see multiple specialists, and if records aren't easily available, issues can fly under the radar.

When patients fall through the cracks, the cost doesn't just hit families, it hits the system. Missed diagnosis and poor medication tracking drives up expenses for societies. Technologies that help prevent that are increasingly being adopted by health plans and providers looking for savings. Investing today in companies that are providing solutions in areas where the system shows weakness could prove to be valuable in the form of returns in the long run. 

As more money and focus is spent on health equity in the U.S. and across the globe, expect this to provide increasing opportunity for investors.  

Increased adoption of technology in clinical practices

The benefits of AI in healthcare are huge. However, the huge spike in investments from investors could deliver lackluster returns if doctors and clinicians aren't properly engaged. 

Some healthcare professionals may be reluctant to rely on technology in place of traditional methods, too busy to learn new systems, or distrustful of the companies building the solutions. 

If these platforms aren't adopted by doctors, they won't be effective, making this a key barrier to growth. Hesitation in adapting these tools is also rooted in fear that the technology will replace the human element.

Another way that companies can improve healthcare outcomes is by using digital solutions to break down language barriers for physicians and clinicians where English isn't the first language. "Improving access to clinical decision support tools in Spanish contributes to better decision-making, strengthens daily medical practices, and helps reduce health inequalities in Latin America," according to Manuela Gutiérrez of 360 Health Data. 

Today, more than 2 in 3 physicians are using health AI—up 78% from less than 2 years ago. As doctors increasingly adopt these technologies, expect even more growth opportunities for investments in this space.

An exciting chapter ahead for healthtech

The recent spate of high-value rounds and new funds clearly demonstrate that investor interest in healthtech is on the rise. 

While larger rounds have dominated much of the attention, investors can also find opportunities in places that are at times more overlooked, such as the increased access to real-world data, health inequalities being addressed, and solutions that engage doctors and clinicians.

Benzinga Disclaimer: This article is from an unpaid external contributor. It does not represent Benzinga’s reporting and has not been edited for content or accuracy.