New report: How venture capital is impacting the oral health industry

The COVID-19 pandemic caused a paradigm shift in virtually every health care sector-from the way we treat, view, and manage patients to the adoption of new safety standards. Now oral health, a previously overlooked field, has finally received some of the significant funding it's been needing for years.¹

Prior to the pandemic, government funding mainly went towards cancer and obesity research. Dental care received limited investment at the time-especially from venture capital (VC)-despite the fact that oral diseases affect an estimated 3.5 billion people each year and a subsequent annual economic burden of $710 billion.¹

Based on PitchBook data, a recent report by CareQuest examined trends in VC investment in oral health. Continue reading for the lowdown on what's being covered.

Post-pandemic VC funding for oral health

The amount of VC funding for oral health startups peaked with other sectors in 2021, with 187 deals coming to a total of $1.3 billion. Even though there has been a VC slowdown since late 2022 from market and geopolitical issues, oral health funding is still showing resilience. There have only been 59 deals made in 2024 thus far (totaling $400.2 million), but the good news is that this level still surpasses most annual totals since 2013, indicating sector growth.¹

The bad news? Oral health VC activity is still a small fraction of overall health investment, with just 0.86% of global VC funding going towards this sector in 2024. However, the market for dental care could reach over $430 billion in Organization for Economic Cooperation and Development (OECD) countries by 2030.¹

AI's role in oral health

Oral health is also currently being transformed by artificial intelligence (AI). Digital health and AI/machine learning (ML) are improving various dental procedures, like imaging and modeling, as well as teledentistry and health supplements. Patient data analysis, diagnostics, and user interfaces have also been notably improved by AI. As a result, this has made for an excellent investment opportunity.¹

For example, Al-based dental tech platform, Pearl, has raised $58 million in 2024. There's also DentKits, a company that uses 3D printing and teledentistry for affordable and customized dentures, as well as ThriveLink's AI enrollment agents that help families sign up for health and social programs. Finally, Oraliva has an AI-driven oral cancer detection and Umayana, a biotech giant, uses its patented molecular compound and formulation to prevent and treat oral wounds caused by cancer treatments.¹ All of these innovations reflect the potential of AI and biotech to transform oral care.

Looking ahead

Overall, the demand for accessible and preventive oral care is high. With VC support, new and innovative technologies may help lower care costs and improve access to those who need it. Although oral health VC activity is still in an early stage, the future for investments and oral health technologies is certainly promising.

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