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Welcome back —

This is what’s on the docket this week:

  • The $4B quarter that tells a bigger story

  • AI is the first stop, doctors are the final say

  • Patients use chatbots to fight medical bills

  • 25 new tools/partnerships, 6 funding updates, new AI jobs & link-worthy content

Read time: 5 minutes

Our Picks

Highlights if you’ve only got 2 minutes…

1/

The $4B quarter that tells a bigger story

Digital health startups raised $4B across 110 deals in Q1 2026, about $1B more than this time last year, but the bigger story is concentration. Nearly 59% of all capital flowed into just 12 mega deals (most AI-driven), reinforcing a clear divide between the winners and everyone else. Five forces are shaping the market right now:

  • Capital is concentrating. Average deal size hit $36.7M, the highest since 2021, driven by large rounds from companies like WHOOP, OpenEvidence, and Verily. Big checks are going to scaled players with traction.

  • The exit market is mixed. M&A ticked up to 43 deals, but the IPO window is still narrow. Strategic buyers are active, but public markets remain selective, so patience is still the dominant strategy.

  • AI is now the baseline. AI is no longer a differentiator. The edge is shifting to companies embedding it into high-value, workflow-heavy use cases across clinical care and operations.

  • D2C is back. Telehealth flexibilities, clearer FDA guidance, and an increasingly engaged consumer are pulling capital back into direct-to-consumer healthcare, especially AI-native experiences.

  • Policy is setting the rules. Models like ACCESS are pushing outcomes-based reimbursement, while interoperability enforcement is tightening. Regulation is no longer a blocker, it is shaping where innovation can scale fastest.

2/

AI is the first stop, doctors are the final say

Even with the rise of AI and social media, Americans still trust doctors most for health information. A new Pew study found that 85% of people turn to healthcare providers at least sometimes, and most view them as the most accurate source available.

That said, behavior is evolving. About two-thirds of Americans also look to people with similar health experiences, while smaller but growing shares turn to social media (36%) and AI chatbots (22%). The appeal of these newer tools is clear. They are fast, convenient, and always available. But trust has not caught up.

Half of Americans say it is difficult to judge the accuracy of health information, and more than half struggle to know what to believe when sources conflict.

The takeaway is a bit of a paradox. AI is becoming a go-to starting point, but when it really matters, people still want a human in the loop. (link)(twtter)

3/

Patients use chatbots to fight medical bills

Patients are increasingly turning to AI chatbots like ChatGPT and Claude to help navigate one of the most frustrating parts of healthcare: medical bills. A recent NYT report highlights how people are using these tools to challenge charges, understand insurance decisions, and find financial assistance options, often without any professional help.

In some cases, the results are meaningful. Patients have successfully used AI guidance to dispute large bills or uncover resources they didn’t know existed. But the outcomes are mixed. Experts warn that chatbots can misunderstand complex billing rules or insurance policies, sometimes giving incorrect advice that could backfire.

The trend speaks to a deeper shift that as healthcare costs rise and complexity grows, patients are looking for ways to level the playing field. AI is becoming a new kind of advocate, not perfect, but increasingly hard to ignore and worth a shot. (link)

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Tools & Partnerships 🔧

Latest on business, consumer, and clinical healthcare AI tools and partnerships…

TOOLS

  • Oxford AI predicts heart failure years early: Researchers developed an AI model that detects subtle changes in heart fat on CT scans, identifying high-risk patients up to five years before onset with 86% accuracy. (link)

  • Meta launches multimodal agentic AI model: Meta introduced Muse Spark, a natively multimodal reasoning model with tool use, visual reasoning, and multi-agent orchestration aimed at real-world applications like healthcare. (link)

  • Glass Health releases new clinical AI model: Glass 5.5 is now available via API, with the company claiming it outperforms leading models across nine clinical accuracy benchmarks. (link)

  • Google adds mental health support to Gemini: Google updated Gemini with features that detect distress signals and direct users to crisis resources with one-touch access. (link)

  • Pearl launches ambient clinical documentation tool: Pearl introduced Pearl Voice, an AI scribe that captures and structures clinical notes in real time with direct integration into practice systems. (link)

  • Frequent AI scribe use boosts efficiency: A JAMA study found clinicians using ambient documentation tools more consistently saw greater reductions in EHR charting time. (link)

  • AI helps rescue downed airman with AI heartbeat detection: The U.S. reportedly used an AI heartbeat detection tool in a real-world rescue, marking a rare operational use of AI in emergency response. (link)

  • FDA highlights real-world evidence in AI approvals: A new FDA report outlines 73 examples of how real-world data supported medical device authorizations between 2020 and 2025. (link)

  • Anthropic packages managed AI agents: Anthropic launched a managed agents offering, abstracting away infrastructure to help enterprises deploy autonomous systems more easily. (link)

  • AssemblyAI introduces Medical Mode: AssemblyAI rolled out a healthcare-focused speech model that improves accuracy on medical terminology for voice AI applications. (link)

  • Regard expands AI diagnostics to new specialties: Regard is extending its real-time diagnostic AI platform into cardiology and surgery workflows. (link)

  • AI safety needs longitudinal evaluation: A JMIR viewpoint argues chatbot safety should be assessed over entire conversations, not single responses, to better reflect real mental health risks. (link)

  • Viz.ai ranked top clinical AI platform: Viz.ai was named the #1 clinical decision support AI platform for the second year, recognized for workflow orchestration and real-time coordination. (link)

  • Anthropic unveils powerful but restricted AI model: Project Glasswing introduces Claude Mythos, a highly capable model limited to select partners for cybersecurity applications due to its power. (link)

  • Counsel expands AI-first care model: Counsel Health is expanding into lifestyle and chronic condition management, offering AI-guided care with rapid physician access. (link)

  • Cedar enhances AI financial decision engine: Cedar is expanding its AI platform to personalize patient billing and improve provider collections using real-time behavioral data. (link)

  • Waystar uses AI to recover lost provider revenue: Waystar is deploying AI and automation to identify payer “take-backs” and match them to original claims, helping providers uncover and recover lost revenue across the revenue cycle. (link)

  • UNC launches AI research platform with real EHR data: UNC Health and UNC-Chapel Hill introduced SHIRE, a cloud platform for developing AI models using real-world clinical data. (link)

  • AI struggles to predict patient no-shows: A study found only moderate success in predicting missed appointments, highlighting the complexity of patient behavior. (link)

  • Commure expands voice AI across workflows: Commure launched Dictation, enabling clinicians to use ambient voice AI across any application, from notes to orders. (link)

PARTNERSHIPS

  • Medtronic + Tempus: Medtronic and Tempus used AI-enabled EHR alerts to improve management of valve disease, increasing timely interventions and specialist evaluations. (link)

  • HealthEx + Clover Health: HealthEx partnered with Clover Health to enable Medicare Advantage members to access and share claims and clinical data, supporting patient-controlled health records. (link)

  • Sutter Health + Epic: Sutter Health became the first to deploy Epic’s Emmie AI assistant to answer patient questions and support care navigation through MyChart and messaging. (link)

  • b.well + Noom + Humana + Welldoc: b.well partnered with Noom, Humana, and Welldoc to expand digital access to medical records under the CMS interoperability framework. (link)

  • Cleveland Clinic + Luminai: Cleveland Clinic partnered with Luminai to deploy AI agents that automate referral processing and reduce administrative workload. (link)

Deal Desk 💰

Spotlight on latest capital raises, M&A, and investments…

FUNDING

  • Chapter, the leading AI company focused on retirement, raised $100M in Series E funding. The round was led by Generation Investment Management. (link)

  • Luminai, an AI-native enterprise automation platform for healthcare operations, raised a $38M Series B funding round, bringing total capital raised to $60M. The round was led by Peak XV Partners. (link)

  • HeyDonto AI Technology, an AI-native dental interoperability platform provider, raised $20M in a seed round at a $200M valuation. (link)

  • Beacon Biosignals, a Boston-based brain data startup, raised $11M in Series B extension funding from JSL Health, Palo Santo VC, Kicker Ventures, and Samsung Next. (link)

  • Ultralight, an NYC-based EHR startup focused on longevity and personalized medicine clinics, raised $9.3M in pre-seed and seed funding. The General Partnership led. (link)

  • TeiaCare, an Italian care monitoring startup, raised €7M led by P101. (link)

MERGERS & ACQUISITIONS

  • Function Health + Getlabs: Function Health acquired Getlabs to integrate at-home blood draw services with its AI-driven diagnostics platform, expanding access to lab testing through in-home and on-demand collection. (link)

as of 4/12/26

Other Relevant News 🔍

News, podcasts, blogs, tweets, resources, etc…

  • Insurers, hospitals agree AI scribes raise healthcare costs. Now what? (link)

  • The state of healthcare AI according to CIOs (link)

  • Voters say affordability is biggest concern led by healthcare (link)

  • The MEDVi files (link)

Visuals of the Week 📸

Funny memes, cool pics, and interesting data from around the web…

That’s it for this week friends! Back to reading — I’ll see you next week.

Stay classy,

— Healthcare AI Guy (X/Twitter | LinkedIn)

PS. I write this newsletter for you. So if you have any suggestions or questions, feel free to reply to this email and let me know

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