Date: August 2025

Funding Trends

In H1 2025, U.S. startups in AI digital health funding raised $6.4B across 245 deals. Average round size rose to $26.1M. Investors showed clear preference for AI-enabled platforms, which captured most of the largest financings. These included companies in workflow automation and data infrastructure. Capital is therefore concentrating in fewer but more mature players that can show scale. At the same time, energy use from data centres—driven by AI—could more than double by 2030. This makes computing costs and ESG exposure critical for health tech vendors.

Sustainability Impact

The sustainability angle is now strategic. The IEA projects that data-centre electricity demand may reach ~945 TWh by 2030, with AI as a main driver. For providers and payers under net-zero commitments, the energy intensity of training and running models now affects buying decisions and overall cost. Vendors that focus on efficiency—such as model compression, edge computing, or use of low-carbon power—will face fewer barriers to adoption. They will also protect margins as energy prices and disclosure rules increase. In short, AI digital health funding is now inseparable from sustainability economics.

Investor Implications

For investors, energy must become part of unit economics. This means testing “energy per patient encounter,” checking cloud region carbon intensity, and reviewing GPU lease terms. It also means seeing power supply as a real constraint. Investors should favour companies with efficiency roadmaps, long-term cloud or power contracts, and transparent reporting that links compute use to costs. As a result, M&A opportunities will favour assets that combine workflow ROI with clear evidence of reduced energy demand and emissions. Related insights can be found in our Strategic Atlas of Primary Care.

Source: https://www.fiercehealthcare.com/health-tech/healthcare-ai-rakes-nearly-4b-vc-funding-buoying-digital-health-market-2025, https://www.iea.org/news/ai-is-set-to-drive-surging-electricity-demand-from-data-centres-while-offering-the-potential-to-transform-how-the-energy-sector-works