Pivotal Analysis Reveals Care Economy Investments Are Growing 33 Percent Annually, Announces New Investments
As families across the country remain desperate for more caregiving supports, investors are stepping in to help fill the gap: Pivotal’s analysis of PitchBook data revealed that investments in companies providing caregiving solutions are growing at an average annual rate of 33 percent, which is more than double the growth of the overall market.
Building off its deep commitment to improving the U.S. care infrastructure, Pivotal Ventures is announcing new investments in two startups that reduce caregiving burdens: Seen Health, which focuses on getting older adults quality care, and Synapticure, which provides virtual care for people with neurodegenerative disease.
"Investors are recognizing the scalable, profitable innovations across the care economy, and the massive market opportunity that has been overlooked. As our caregiving infrastructure fails to keep pace with the needs of an aging population, technological innovation through venture-backed solutions can improve access to quality, affordable care. These investments are good for both business and society."
Source: Pivotal analysis based on PitchBook data
The Care Economy, which includes services and products related to caregiving responsibilities, such as helping people better care for their children, parents, and loved ones with disabilities, is currently valued at $648 billion—surpassing the U.S. pharmaceutical industry. As families around the country remain in urgent need of more accessible and affordable care, Pivotal predicts that this market will continue to grow; even by the most conservative estimates, family caregivers currently spend more than a quarter of their income on costs related to care every year.
Since 2019, Pivotal has committed a total of $265 million to organizations focused on easing the caregiving burdens of women and families. This commitment includes both philanthropic and investment capital.
With more investors recognizing the potential of the care economy, Pivotal Ventures is offering a closer look at its venture capital investments, all of which are developing and scaling sustainable business models that deliver better care for families:
Direct Investments in Companies Innovating in Care
Little Otter
AI-powered mental health services for children and families.
Mon Ami
A software solution that supports government agencies to deliver quality care to seniors living at home while meeting reporting requirements.
Seen Health
A health platform that offers on-site medical care, rehabilitation, social programming, meals, and door-to-door transportation for Asian and Pacific Island elders.
Summer Health
An AI-enabled at-home 24/7 pediatric service, created by parents for parents.
Synapticure
Personalized virtual care platform for people living with neurodegenerative diseases like Alzheimer's and Parkinson's Diseases.
Venture Fund Investments in the Care Economy
BBG Ventures
Invests in underrepresented founders who are building solutions for people that have traditionally been overlooked and underserved:
Cake Ventures
Invests in solutions Americans will need as they are living longer:
- Guaranteed : technology modernizing value-based hospice and end-of-life care.
- Joshin : benefits and support for disability and neurodivergence, guiding companies, employees, and their families.
Magnify Ventures
Invests in companies that will transform life, work, and care for modern families:
- Cocoon : a B2B SaaS platform streamlining and modernizing employee leave.
- Kinside : a digital childcare ecosystem for families, providers, employers, and government agencies recently acquired by UrbanSitter.
Kalos Ventures
Invests in purpose-driven founders innovating in workplace, education, and care:
Impact America
Invests in companies that bridge financial and cultural divides for marginalized communities:
- CareAcademy : provides home-care agencies with the training, compliance, and administrative tools they need to support and retain caregivers.
- Winnie : empowers parents to search for childcare that meets their specific needs.
About Pivotal
Founded by Melinda French Gates in 2015, Pivotal is a group of organizations that work to accelerate the pace of social progress and expand women’s power and influence in the U.S. and around the world. Through high-impact investments, philanthropy, partnerships, and advocacy, Pivotal seeks to remove the barriers that hold women—and all people—back. Pivotal includes Pivotal Ventures, LLC and Pivotal Philanthropies Foundation, a 501(c)(3) private foundation launched in 2022.
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