Instead of fixing the health system, Silicon Valley start-ups just keep inviting controversy.
Health-tech is a hot space for venture firms, which see a $3.5-trillion industry filled with tons of bloat, inefficiencies and unhappy customers. Advancements in software and artificial intelligence along with new ways for health brands to go directly to consumers have investors believing that there are plenty of opportunities to build big businesses.
Elizabeth Holmes, former CEO of Theranos leaves the Robert F. Peckham courthouse with her attorney after her arraignment in San Jose on June 14th, 2018., an investor at Oak HC/FT, a venture firm that focuses on health. "We have to also make sure the patient outcomes are there, and that we can show results."
Deitch has some recommendations for investors going into the health-tech space. For one, they should pay as much attention to the chief medical officer as the chief revenue officer. And they also have to make clear that key performance indicators aren't solely about sales and user growth.
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