Venrock’s 2019 Healthcare Prognosis

by Gregg A. Masters, MPH

Received this embargoed report earlier this week. Venrock has formally released the report this morning.

One reason I am fond of their work is I’ve been following Bob Kocher, one of Venrock’s principals, since the turbulent introduction of the ACA by the Obama administration.

More recently perhaps due to Venrock’s ‘brave’ investment in a unique business model at Aledade – a ‘hybrid‘ tech enabled ACO practice management company and associated network of participating entities, run by former National Coordinator for HealthIT Farzad Mostashari, MD.

I say ‘unique’ as when contrasted to previous models of MSOs (management services organizations) or ‘PPMC’s” (physician practice management companies), Aledade’s calculus is based on a ‘no outcome, no income‘ skin in the game basis. In other words, if member ACOs don’t achieve savings above the benchmarks or risk model thresholds no fee is paid to Aledade (at least this was there original formula).

So the report is available here. There’s a wide swath covered in this survey, which according to MedCity News:

shows optimism for #healthIT companies continues to grow, but challenges remain

An understatement?

Enjoy!