Over the past two years, Sid Paquette and I, in addition to the broader OMERS Ventures team, have spent a lot of time learning about opportunities in health care through a tech lens and ultimately getting smart about the Canadian health care technology landscape.
One of the reasons health care opportunities are appealing from a venture capital (VC) perspective is due to the growing total addressable market. According to Deloitte’s Global Health Care Outlook for 2018, global health care spending is estimated to reach $8.7 trillion by 2020 and life expectancy is expected to increase by greater than one year between 2016 and 2021 resulting in 11.5% of the population being over the age of 65. Chronic disease is also on the rise with 642 million people expected to have diabetes by 2040.
Although there are positive strides being made in health care (e.g. value-based care), there continues to be existing and new challenges where technology can play a significant role.