Healthcare AI Trends to Watch: M&A Exits & Generative AI Use Cases

Artificial intelligence in digital health is experiencing a renewed surge, with a focus on emerging technologies like large language models and generative AI, according to Alex Lennox-Miller, lead analyst at CB Insights. The healthcare AI landscape holds promise as investment pours into startups and providers and payers initiate more AI pilot programs. Key trends to monitor include the prioritization of use cases for generative AI by providers and payers, as well as merger and acquisition activities in the healthcare AI sector. While some healthcare areas like image analysis and digital pathology have long benefited from AI, the sector is increasingly exploring novel applications, notably generative AI. Automated documentation and ambient notetaking for providers stand out as prominent use cases. Companies such as Nuance, Abridge, Deep Scribe, and Suki are at the forefront of developing generative AI models for clinical documentation. It's worth noting that while this area garners attention, efforts in deploying generative AI for clinical documentation remain relatively nascent within the industry.