Digital Health Trends (Year in Review)
Click the cover to download the report
Enterprise EHR Foundation
Epic continues to dominate the US acute EHR market and pull further ahead in global share. It also leads in ambulatory core solutions mindshare, with room for ModMed and others in specialty solutions, for example in a competitive oncology segment. And it set the industry AI agenda with product announcements for clinicians, administration, research, and patient engagement.
Physician ambient scribes is the strongest healthcare organization AI trend, with good enough results from Kaiser and St. Luke’s, and $1.6 billion in venture financing, with Abridge and Ambience notable.
Healthcare Analytics and Intelligence
A key to AI adoption is understanding how physicians and AI can work best together with AI explainability aligned with clinical risk linked to clinician trust. We again reported on over a hundred innovations this year in clinical AI. Notable investments over $200m in analytics include science factories, drug design, real-world data, image analytics, and brain-computer interface.
Consumer Health and Technology
Retail health players recalibrated in 2025, with Walgreens going private and Rite Aid filing for bankruptcy a second time, leaving an opening for mass merchants and grocers to increase their pharmacy market share. Rural Americans continued to struggle with access to care, including three million that live in counties without a hospital or reliable internet access. Meanwhile, fueled by demand for weight loss drugs, Eli Lilly joined an elite club of companies with a $1 trillion market cap, becoming the first healthcare company to hit the milestone.
Stakeholders
Hinge Health and Omada broke the digital health IPO drought, with both firms offering solutions for digital MSK care, a segment that continues to attract venture dollars. Pharma companies signed deals with the Trump administration to make their weight loss drugs available at a potentially lower price point, as they simultaneously evolve their own direct-to-consumer strategies, with virtually every major pharma currently participating, or planning to.