Biotech Soars While Other Health Care Plunges In VC Reality

Healthcare venture capital just split in half and the gap is brutal. Biotech deals climbed 8.7 percent last quarter while digital health collapsed 39 percent—not a typo, thirty-nine—because the market finally remembered that FDA approvals and regulatory moats beat software margins every single time. Big Pharma faces 180 billion in patent expirations by 2028 and they're hunting biotech acquisitions to replace blockbusters going generic, while digital health companies that raised at 200 million valuations in 2021 are doing inside rounds or shutting down.