Healthcare funding is surging again. Crunchbase data shows investors put an estimated $10.7 billion globally into startups in AI-powered health tech categories so far this year ' already 24% higher than 2024's full-year total. But what funders are failing to understand is that in this sector, adoption happens in regulatory cycles instead of viral ones. Their impatient push for hockey-stick growth is quietly suffocating the kind of systemic change that healthcare actually needs. Bessemer Venture Partners' 2025 Healthcare AI Adoption Index found that while most health systems are running pilots, only 3 in 10 projects reach production. This shows that venture speed keeps outpacing the system's ability to absorb it. When investors push for short-term traction, founders are forced to chase momentum instead of integration. They pivot to whatever metric looks good on a dashboard, even if it drags them further from clinical adoption. Some health tech startups start building out...
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