Health tech is go­ing through a hype cy­cle, and it’s not nec­es­sar­i­ly a bad thing, a new Besse­mer re­port found: #HLTH23

Besse­mer Ven­ture Part­ners, a ven­ture firm that backs health­care star­tups, es­pe­cial­ly ear­ly-stage star­tups, just re­leased its first an­nu­al re­port look­ing at the state of health tech.

The re­port looked at the bud­ding in­dus­try’s per­for­mance to get a sense of what to make of the mas­sive drop in fund­ing for star­tups cou­pled with un­der­per­form­ing pub­lic mar­kets.

What sur­prised Steve Kraus, part­ner at Besse­mer, was that the in­dus­try wasn’t as bad off as ex­pect­ed. The sec­tor has found it­self in a hype cy­cle, he told End­points News, one that wasn’t as bad as ex­pect­ed when look­ing at the highs and lows. When mar­kets crash, it’s un­der­stand­able for new­er in­dus­tries like health tech to be hit hard.

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