Femtech has boomed, with VC investment surpassing $1 billion in 2022 and industry value reaching $28 billion in 2023. Forecasts project the market to hit $103 billion by 2030. Women were only included in drug trials from 1993, leading to limited understanding of female physiology and drug effects. Studies show women experience stronger side effects from medications in over 90% of cases, driving rapid growth in women's health research.
Interest in femtech has surged in recent years, with VC investment exceeding $1 billion in 2022. Femtech, short for female technology, focuses on women's health, including areas like menstrual and reproductive health, pregnancy, sexual wellness, menopause, and conditions affecting women disproportionately. Despite representing just 2% of healthtech investment, femtech companies were valued at over $28 billion in 2023, with forecasts predicting a $103 billion industry by 2030.
Historically, women were excluded from clinical research trials until 1993, leading to significant gaps in understanding female physiology and the effects of medications on the female body. Studies show that women experience stronger side effects from medications in over 90% of cases, highlighting the need for increased research and innovation in women's health.
The term "femtech" was coined in 2016 by Ida Tin, CEO of Clue, to legitimize companies focusing on women's health for male investors. Femtech presents a growing market with positive social impacts, offering opportunities for early movers to address women's health beyond reproduction. It has the potential to disrupt healthcare across various segments, with VC investment showing an upward trend.
North America leads in femtech funding, with notable investors like General Catalyst Partners and BoxGroup. Femtech unicorns, like Ro Health and Myovant Sciences, demonstrate the industry's potential for growth and innovation. As femtech continues to evolve, it is reshaping the healthcare landscape and offering new possibilities for improving women's health and well-being.
Despite a decline in early-stage funding in 2022, femtech investment is projected to rise in 2023. The industry's focus on areas like reproductive health, general wellness, and oncology has attracted significant investment. Top VC firms and angel investors are actively supporting femtech startups, recognizing the sector's potential for social impact and financial returns. As femtech continues to gain momentum, it is poised to transform healthcare for women globally, offering innovative solutions and improved access to care.