Share:
Research by Quadintel predicts that the global DTx market will be worth $17.6 billion. And a more optimistic prognosis by Insider Intelligence predicts an ever larger size claiming that by 2025, the global DTx market will reach the $56 billion mark. What many reports agree upon is a healthy industry growth rate of 31.4% between 2021 and 2027. In 2023, we are observing all signs of the digital therapeutics (DTx) market explosion: the emergence of unicorns and DTx companies.
This, combined with the $18.5 billion Teladoc-Livongo merger, has heated up competition in the virtual care space and catapulted the global DTx market to reach $56 billion over the next five years.
Top 16 digital therapeutics companies in 2023
Founded | 2000 |
Specialization | Omada is a leading DTx company in identity governance and Administration (IGA). The company offers a full-featured cloud-native IGA solution for enterprises. The products enable organizations to reduce risk, maximize efficiency, and achieve compliance. Omada provides innovative approaches for identity management in complex environments. The solutions run on a proven best-practice deployment approach and process framework. |
Number of employees | 250+ |
Funding | $448.5 million |
Location | Denmark, USA, UK, Germany |
Founded | 2014 |
Specialization | Without using drugs or surgery, Virta creates solutions to reverse type 2 diabetes. At one year, 60% of the individuals who had been included in the clinical research had reversed their diabetes, and 94% of those who were using insulin had cut back or stopped using it entirely. Results show durable improvements in blood pressure, inflammation, liver function, and BMI in addition to diabetes reversal in other metabolic and cardiovascular health categories. The business obtained $93M in Series C investment in 2020, increasing the total equity capital to $166M, to fight the rising prevalence of T2D. |
Number of employees | 413 |
Funding | $373M |
Location | USA |
Learn how to Meet FDA, DiGA, and MDR requirements Read more Planning to engineer or expand your DTx product?
Founded | 2015 |
Specialization | Biofourmis — a biotechnology digital therapeutics company that uses digital pharmaceuticals to provide tailored care and remedies. The company's technology employs AI to combine and analyze continuous physiological data from clinical-grade wearables in order to uncover customized trends and anticipate clinical exacerbation days before a key event. This approach improves patient outcomes in patient treatment. In 2020, the organization worked with Chugait to provide an unbiased evaluation of pain using digital technologies. To help with early diagnosis of deterioration and to enable doctors and nurse teams to respond quickly, the Biofourmis Biovitals Sentinel platform has been used to remotely monitor COVID-19-positive patients. |
Number of employees | 350 |
Funding | $300 million |
Location | USA |
Founded | 2011 |
Specialization | Akili is one of the digital therapeutics startups that creates video game-like cognitive therapies, tests, and diagnostics that have received clinical validation. With the potential to be produced at a fraction of the expense of conventional medical procedures, it promises to create a new kind of electronic medicine that can be remotely deployed to any patient, anywhere, and be prescribed and monitored by doctors. Akili received FDA and EC clearance in 2020 for EndeavorRx, the first prescription medication administered through a video game for children. |
Number of employees | 100 |
Funding | $301.1 million |
Location | USA |
Build compliant and secure DTx solution with us Read more
Founded | 2005 |
Specialization | The company and its eponymous chronic care platform specialize in managing chronic conditions. Welldoc strives to create a comprehensive and efficient care ecosystem, focusing on patients, their care providers, and the health plans they depend on. Besides, Welldoc's DTx solution, Bluestar, became the first FDA-cleared mobile prescription therapy for diabetes management with insurance reimbursement. And in 2023, Welldoc was named "Best Overall Digital Health Company" in the annual MedTech Breakthrough Awards program conducted by MedTech Breakthrough, an independent organization that recognizes the top companies and products in the global healthtech market. |
Number of employees | 140 |
Funding | $55.2 million |
Location | USA |
Founded | 2015 |
Specialization | One Drop is one of the disruptors of DTx in the USA. They use a tool for managing diabetes that aids people in managing their condition collectively. As for now, the diabetes management smartphone app is accessible in 195 countries. The digital therapeutic company improves the lives of people with diabetes and other chronic illnesses throughout the world by using the power of behavioral science, mobile computing, and data science. In 2020, the business purchased all of Sano's assets and intellectual property, including its platform for continuous glucose monitoring. One Drop and Bayer have agreed to work together to create digital health solutions for a variety of therapeutic areas using One Drop's predictive, preventive, and customized self-care platform. The partnership is worth around $98 million. The business introduced SugarRx in April 2020, a digital subscription service that gives users access to reasonably priced on-demand assistance and instructional information. |
Number of employees | 150 |
Funding | $106.2 million |
Location | USA |
Founded | 2011 |
Specialization | Lark Health is one of the digital therapeutic companies that has a platform for managing chronic conditions such as diabetes, hypertension, and behavioral health using AI. It is a start-up in the field of digital health that offers remote monitoring, smart devices, and AI coaching. In 2020, Lark began offering behavioral health counseling to people at risk for developing chronic diseases. The AI-powered software focuses on stress management, quitting smoking, managing weight, and general wellness. |
Number of employees | 500 |
Funding | $195.7 million |
Location | USA |
In-app experience development for DTx application Read more DTx Solution Engineering
Founded | 2010 |
Specialization | The goal of Propeller Health, a precision digital health startup, is to empower all people with chronic illnesses to take charge of their health and lead healthier lives. The company enables energizing, care-connected patient experiences and unifies value for all stakeholders, including healthcare and life sciences enterprises, payers, healthcare systems, and pharmaceutical firms. Standing in the line with the top digital therapeutics companies, Propeller provides consumer apps, support, and safe access to clinical data for provider monitoring together with FDA and CE-approved medical devices. The company’s targeted strategy encourages behavior modification and monitors patient adherence, enabling medication optimization and assisting in the early detection of expensive exacerbations. |
Number of employees | 80 |
Funding | $20 million |
Location | USA |
Founded | 2013 |
Specialization | Cognoa is a pediatric behavioral health firm that has a Canvas Dx platform for earlier and more equitable diagnosis and treatment of behavioral health issues, starting with autism. Cognoa is one of the most revolutionary digital therapeutics companies that diagnoses and addresses additional disorders including ADHD and childhood anxiety thanks to the company's AI-based technology platform. |
Number of employees | 60 |
Funding | $127 million |
Location | USA |
Founded | 2016 |
Specialization | Kaia Health is a digital therapeutics company that provides evidence-based therapies for a variety of medical conditions. Kaia offers online programs to support people with COPD, back pain, hip pain, and other musculoskeletal conditions. In 2020, the company released the Kaia Health COPD Pulmonary Rehabilitation app in Europe. The product was a result of a partnership between Kaia Health and Chiesi Group. The business said that its pain management package, which uses digital coaching to revolutionize chronic pain therapy, offers benefits managers peace of mind regarding the expenses associated with delayed, insufficient, or needless care for MSK illnesses. |
Number of employees | 250 |
Funding | $123 million |
Location | USA |
Architecture Consulting For Integrated Patient Management Tool Read more Architecture Consulting for DTx Solution
Founded | 2012 |
Specialization | Happify Health is one of the digital therapy companies that offer a healthcare platform that combines digital treatments with care delivery innovations to enhance both mental and physical health. |
Number of employees | 50 |
Location | USA |
Founded | 2012 |
Specialization | 2Morrow is a DTx company that offers tried-and-true wellness and behavior modification programs via mobile applications. The firm uses behavioral science and technology to treat the most significant health problems, including as smoking, vaping, obesity, stress, and chronic pain. Programs are provided via an intuitive smartphone application for participants and a live dashboard for program administrators that provides insights into the population as well as engagement statistics. |
Number of employees | 50 |
Funding | $4 million |
Location | USA |
Founded | 2016 |
Specialization | Cara is a pharmaceutical firm that supports people with long-term digestive diseases. The company creates complementary digital therapeutics to improve cutting-edge GI illness treatment. In 2020, Sanofi Germany's Consumer Healthcare Business Unit and Cara Care's digital companion app for digestive problems were jointly developed as part of a comprehensive approach to digestive health. The business offers applications to control GERD, BS, IBD, and dyspepsia. |
Number of employees | 50 |
Funding | $16 million |
Location | Germany |
Founded | 2012 |
Specialization | Click Therapeutics accelerates the development of a "prescription digital medicines" online platform. The company's flagship offering is Clickotine, a phone app meant to assist individuals quit smoking with support from behavioral healthcare provider Magellan Health. |
Number of employees | 250 |
Funding | $926.4 million |
Location | USA |
Founded | 2014 |
Specialization | With the help of CureApp, users may control their addictions and other important health vitals online. The business provides a smartphone app to help people quit smoking and monitor their body's vital signs for improved health management. Users of CureApp Smoking may submit information about their smoking behaviors, which the algorithm embedded into the app uses to provide suggestions. Additionally, individuals can register their activities for a doctor to review. The business creates the NASH App for medical facilities to treat liver cirrhosis. Additionally, it offers the HERB blood pressure management app, the Secure corporate smoking cessation app, and ascureSPARX, which provides mental health programs for cognitive training. |
Number of employees | 250 |
Funding | ¥13.3 billion |
Location | Japan |
Founded | 2008 |
Specialization | Noom is a leader in behavior modification and weight loss sectors. The company has a platform that combines the power of AI, mobile technology, psychology, and the empathy of more than 2,500 personal coaches to help individuals change their lifelong behaviors and lead better lives. Leading pharmaceutical and healthcare firms currently utilize the platform to help patients across the world receive better care. |
Number of employees | 1696 |
Funding | $657.3 million |
Location | USA |
How do digital therapeutics providers succeed?
There’s no “magic recipe” that will make your DTx company thrive. There is, however, a list of best practices digital therapeutics companies share. Here’s a short list for inspiration:
- Evidence-based efficacy: Effectiveness of the DTx company’s product proven throu clinical trials.
- Reimbursement coverage: Almost every successful DTx company strives to secure reimbursement coverage from payers for digital therapeutic services.
- User-friendly technology: Products should have seamless integration with existing healthcare ecosystems and user-friendly interfaces.
- Strong partnerships: Top digital therapeutics companies collaborate with healthcare providers and payers to make products more accessible and affordable.
- Regulation compliance: Adhering to regulatory guidelines and standards in the digital health space.
- Personalized treatment: Many digital therapeutics startups cater tailored treatment plans based on individual patient needs.
- Strong patient engagement: DTx companies spend large parts of the budget encouraging patient participation through gamification and real-time feedback.
- Data-driven insights: Digital therapeutic companies pay special attention to collecting and analyzing data to continually improve treatment outcomes and patient experiences.
Among other frequently quoted tips given to digital therapeutics companies is to focus on resolving a real health problem and dealing with real-life scenarios. Yes, it might sound obvious but there are cases when companies were focused on the product itself, and not the issue they have to tackle.
How software development company can help DTx providers?
In many cases, digital therapeutics companies are founded by people with no software engineering skills. It doesn’t necessarily mean that they learn to code by themselves. Far from that. The majority engages tech partners that complete the engineering part. In the best-case scenario, their tech partners adhere to international security and quality standards and have hands-on experience of building versatile applications for DTx companies.
Binariks has an abundant experience in engineering digital solutions for top digital therapeutics companies in the world. We have a track record of using our experience, skills, and capacity to deliver software for leaders of DTx in the USA and the EU.
We’ve recently helped several DTx companies to refine their solution architecture.
YourCoach
YourCoach is one of the booming digital therapeutics startups that operate with a robust practice management platform and an operational setting that encourages collaboration between health and wellness coaches, their clients, companies, and employees. By involving our engineers, YourCoach improved the integration of its HIPAA-compliant platform with the DTx products of its customer.
Medloop
Architecture consulting for an integrated patient management tool
Medloop is a DTx company with a solution that provides evidence-based preventative medicine to enhance sickness outcomes, the incidence of chronic diseases, and care management. Our team reviewed the product architecture, linked the system to the NHS in the United Kingdom, and aided with HIPAA compliance.
Final thoughts
The market is booming with an exploding number of digital therapeutics startups: some excel and some fail but the predictions for market growth remain pretty optimistic. Taking into consideration the fact that the DTx industry is quite “new”, the pantheon of the top digital therapeutics companies isn’t established yet.
So let us know if you are interested in refining or engineering a product for your DTx company. We’ll come back to you promptly!
