In the year Despite headwinds in 2022, women’s health startups are better than ever • TechCrunch

The glass ceiling that dominates digital funding seems ready to crack

Seven passed Months since Roe and Wade flipped, and the dust has begun to settle.

Politically, voters have given their opinion A lot of support A person’s right to an abortion. Racial mobilizations continue, and in terms of technology, innovation in the broader field of women’s health Just preparing.

But have things improved for the sector? Or did the waning sentiment in the political environment just scare off investors? TechCrunch conducted a vibe check to see where this sector stands, and found a promising sense of optimism.

For Oriana Papin-Zogby, founder and co-founder of an early stage ovarian cancer detection company, the sector has a lot of growth potential, but some investors still find it challenging to raise capital. Think about it as “market”

However, things are slowly but surely changing: “Women still make up the majority of investors who deeply understand our product, but fortunately we’re seeing an increase in the general population interested in investing,” Papin-Zogby told TechCrush.

She closed a $7 million seed round last year and is now in the process of raising a Series A. “We still have a long way to go to change opinions about the importance of investing in women’s health. We’re not as good a market as 50% of the population.”

Janna Meyrowitz Turner, founder of Synastry Capital, echoed similar sentiments. She pointed out that women’s health initiatives are emerging. More than traditional capital For funding, turn to avenues such as family offices, corporate venture capital and crowdfunding. She also heard discussions about strategic integration and joint working.

“I see capital for healthcare companies increasing in 2023,” she told TechCrunch. But I’m not optimistic about investing in the medical field and public opinion on the health benefits of abortion, or even on the health benefits of sex.

Funding for women’s health care companies doesn’t seem so bad, though. According to Pitchbook, such startups raised around $1.16 billion in 2022, down from the $1.41 billion they raised in 2021. The good news is that $1.16 billion is closer to $496 million, which was the size of women’s health. Companies raised in 2020, the amount raised in 2019 is $476.8 million. This shows that investors have not returned to pre-pandemic levels and the sector is still moving upwards.

In fact, women’s health care technology companies, also known as “femtech,” fared the best when it came to digital health care funding in 2022. Although funding in the digital health sector has declined to about $8.6 billion in 2022 from $16 billion a year ago, FemTech’s share has increased significantly from previous years. 7.6% in 2020, and 11.8% in 2019.

Data visualization by Miranda Halpern.Created with It blooms

If anything, there appears to be increasing investor interest in supporting innovation in this sector, despite economic and political headwinds standing in the way.

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