Written by Ekaterina Evchenko, Sr. Associate at BGV
The Health Care Challenge
Healthcare is one of the most complex—and high-potential—sectors for innovation and investment. Famously accounting for nearly 20% of U.S. GDP, it is shaped by a dense web of stakeholders: payers, providers, patients, and increasingly, policymakers. However, the system is under pressure. Costs continue to rise with limited progress in outcomes. Care is fragmented. Regulation is turbulent. Clinicians face increasing administrative burdens, and workforce shortage is reaching crisis levels.
Yet, progress is emerging. AI is beginning to deliver clear, measurable value: cutting costs, saving time, and improving outcomes. From ambient scribing and imaging to and back-office automation, AI is helping systems operate more efficiently. While it may not be a silver bullet, it’s providing much-needed relief. For investors, this is a rare opportunity: long-standing problems are finally encountering scalable, practical solutions.
A Shift in Consumer Demand
Demand for healthcare is increasing across prevention, chronic care, mental health, and personalized wellness. Two factors are driving this surge: an aging population requiring complex and continuous care and a cultural shift toward proactive, self-directed health management. Today’s consumers expect more; they want convenience, transparency, and care experiences that feel personalized.
One striking example is the rapid adoption of GLP-1 drugs like Ozempic and Wegovy, which are transforming how we approach metabolic health. Their impact goes far beyond obesity, affecting eating habits, wellness expenditures, and payer strategies. In response, employers, digital health platforms, and insurers are rethinking care models to address the needs of a more engaged, health-conscious population.
The Power of Unstructured Data
Healthcare’s digital infrastructure has matured. Systems like EHRs and practice management platforms now store vast amounts of data—much of it unstructured: clinical notes, imaging, lab results, and asynchronous patient messages.
Historically, this data was difficult to utilize—buried in PDFs, voice files, or unsearchable formats. However, new advancements in generative models are changing that. As this data becomes more accessible, it’s fueling smarter care delivery—enabling better risk stratification, earlier intervention, and the automation of routine tasks. In a constrained labor environment, these improvements are essential. The ability to harness unstructured data isn’t only about providing better analytics—it’s reshaping how the system operates.
Scaling Healthcare Companies Across Border
Scaling healthcare solutions across borders is uniquely challenging. Regulatory frameworks, payer systems, clinical workflows, and data standards vary significantly from country to country. While this complexity can hinder rapid global scale, it doesn’t make it impossible—particularly when startups thoughtfully tailor their approach.
We’ve seen that cross-border success often requires more than translation—it demands adaptation. In some cases, startups must re-define their product or go-to-market strategy to align with local clinical practices, regulatory requirements, or reimbursement dynamics.
At BGV, we have deep experience supporting cross-border teams. Whether it’s a European startup entering the U.S. or a U.S. company expanding into international markets, we understand what it takes to localize successfully and achieve product-market fit in new environments.
What Will Define the Next Wave of Winners
Winning in healthcare demands more than just capital and code. Security and trust are essential. Seamless integration into existing workflows is crucial.
However, the true differentiator is a deep understanding of how care is delivered, how incentives work, and how trust is established among stakeholders. Founders who can navigate regulations, align with payer priorities, and reduce friction for end-users will create the most resilient companies. The next wave of winners will rethink care delivery—anchored in a human-centric approach and trust.
Our Investment Focus
We believe that Healthcare IT is among the most compelling areas for long-term value creation. It aligns with our broader Enterprise 5.0 investment thesis, where data and workflows intersect to redefine productivity across industries.
In healthcare, this convergence is especially powerful. It is a sector marked by complexity and fragmentation —conditions that make it ripe for AI-driven transformation.
What we seek:
- AI-native platforms that integrate data intelligence with workflow—creating a flywheel that enhances performance over time
- Clear ROI—through time savings, cost reduction, or improved outcomes
- A human-centered approach that prioritizes trust and security — essential for an industry built on mission-critical data and outcomes
We support founders with deep healthcare insights and bold visions for scalable, lasting impact. Our goal is to help build enduring companies that address real problems and earn a meaningful role in care delivery.
Conclusion: Why BGV, Why Now
Healthcare is a vital system needing transformation. Rising demand, workforce shortages, and advances in AI have created a unique opportunity for impact. At BGV, we’re ready to support the next generation of healthcare leaders. We bring a strong track record in enterprise AI and a thesis-driven approach grounded in systems thinking. If you’re building in this space—or exploring where to start—we’d love to connect. Reach out to us at katya@bgv.vc and buatois@bgv.vc.
