After pouring billions of dollars into digital health throughout the COVID-19 pandemic, venture capital is in for a painful correction in part driven by higher interest rates, ACME Capital’s general partner Aike Ho said.
“We’re seeing a massive normalization happening in this space,” Ho said while speaking on a panel at Fortune’s Brainstorm Health event. She predicted less capital available in the coming decade as well as a shrinking number of investors and VC firms in general. It is likely companies will not be able to continue raising rounds, she added.
“We’re not sure that venture capital is an asset class that will endure,” Ho said.
Finance took center stage at Fortune’s healthcare-focused event as investors and executives weighed in on evolving healthcare models and how the way consumers pay for health services could change going forward, Fierce Healthcare reports. Venture capitalists discussed their thoughts on the future of investing with wide-ranging views, from existential to optimistic. Read more.
