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The company is now valued at $3.2 billion
Despite being the most important thing to many people, and despite growing faster than any other industry, at a 35% compound annual growth rate, healthcare data has somehow managed to become less connected than any other kind of data. Think about when you go see a new doctor: despite your whole medical history being recorded over the years, you sit have to in an office filling out paper forms. Yet, you can probably visit your bank's ATM anywhere in the world. That seems backwards.
Innovaccer is a company that wants to make healthcare work exactly like all those other industries, and the company specializes in bringing together and synthesizing siloed data.
"When healthcare systems don’t talk to each other, clinical workflows can't be integrated, the patient record is incomplete, doctor's don't have a complete view of the patient, and the patient experience is fragmented and frustrating," Abhinav Shashank, the company's co-founder and CEO, told me, noting that, "This is why a majority of Americans hate the healthcare system."
Innovaccer's solution is its Health Cloud, which is a full stack cloud platform for healthcare that enables integration with EHRs and other HIT systems; third-party SDoH, community, and other data sources; a cloud-native Data Activation Platform; AI-enhanced analytics engines; open FHIR APIs; an intelligent Application Suite; and a Developer Toolkit.
"With our Health Cloud, organizations have everything they need to quickly unify their healthcare data and enable new and better ways of delivering care. 80% of the work they used to struggle with to extract value from data, integrating it from various sources, curating it, organizing it, all of that work is gone. They can focus entirely on where they can add value," said Shashank.
The company has already made a mark, and is now working more than 50 customers, including One Medical, Roche, CommonSpirit Health, Franciscan Health, Dayton Children’s Health Partners, St. Luke’s Health System, Sentara Healthcare, Adventist Health, Children’s Health Alliance, Premier Health, Atlantic Health System, Providence, Cityblock Health, Florence Health, and Zus Health.
And now it has a big new funding round as well: on Wednesday, Innovaccer announced its $150 million Series E led by Mubadala Capital, with participation from existing investors B Capital Group, Microsoft’s M12 fund, OMERS Growth Equity, Dragoneer, Steadview Capital, Tiger Global Management, and new investors Whale Rock Capital Management, Avidity Partners, and Schonfeld Strategic Advisors.
This round brings its total capital raised to over $375 million and it values the company at $3.2 billion.
The company works with any healthcare organization that needs to unify massive amounts of data in order to make that data accessible and useful, explained Shashank. That includes providers, payers, life sciences companies, medtech companies, and digital health innovators.
On top of its Health Cloud, the company also has plans to release a portfolio of Innovation Accelerators in 2022, which will be the company's focus in the coming year.
Shashank describes these Accelerators as "building blocks that will help healthcare organizations rapidly assemble new solutions on their own to tackle the most pressing, high-impact use cases in a fraction of the time associated with traditional methods and technologies."
"Our customers key use cases are also unique. They leverage the Health Cloud and, soon, our Innovation Accelerator building blocks, to rapidly assemble new solutions to meet specific requirements," he explained.
"So, we don't offer generalized one-size-fits-all solutions as much as our platform and ecosystem enables the rapid development and delivery of innovative new solutions that are perfectly suited to the customer's unique and specific needs. We co-create these solutions with our customers as a true partnership."
Innovaccer’s solutions have been deployed across more than 1,000 care settings in the U.S., working with more than 37,000 providers; so far, the company has helped organizations unify health records for more than 24 million people and generate more than $600 million in savings.
Part of the new funding will go toward growing its customer experience, product, and engineering teams; Innovaccer currently has over 1,400 employees, and is looking to fill more than 100 roles, mostly in the US and India. The majority of the money, though, will go toward investing in R&D to release its new Innovation Accelerators next year.
"There's never been a faster way to solve a use case. Customers will simply plug into the Innovaccer Health Cloud’s data activation platform, configure their Accelerator, and off they go. A new business, clinical or technical objective is achieved! Using Innovation Accelerators, we believe the ability to innovate and transform has never been faster," Shashank said.
The company's mission since its founding has been to connect and curate the world's healthcare information in order to make it accessible and useful. That means taking all of the disparate healthcare data and unifying it so that caregivers have access to all of a patient's information, allowing them to make better decisions at a lower cost.
That's why Shashank believes now is the time for healthcare to take to the cloud, and join virtually all other industries in embracing the cloud's potential to bring industries together for the greater good.
"We've reached a turning point where the world of fragmented, fee-for-service ‘sick care’ is giving way to a world of integrated, value-based, digitally-native care. The EHR brought healthcare into the digital world, but it's seen its best days, and is a walled garden primarily focused on billing, not delivering whole-person care," he told me.
"Providers, payers, and life science companies recognize the urgent need for a new, open platform that brings all healthcare data together to provide a singular view of the patient, and enable friction-free care across the entire patient journey. This is the future of health that everyone expects, this is what we are building with the Innovaccer Health Cloud, and this is what we are helping our customers speed to market with our new Innovation Accelerators."
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