This morning health data company Diameter Health scored $18 million in Series B funding. Centene Corporation led the round with participation from Optum Ventures, LRVHealth, Connecticut Innovations and Activate Venture Partners.
This new funding round brings the company's investment total to $30 million.
WHAT IT DOES
Founded in 2013, the company focuses on synthesizing clinical data sets. It uses an API system to enable real-time data exchanges.
"So you think about all of that clinical data that is spread across different electronic health records – Epic, Cerner, Allscripts, Meditech, Athena. ... We can retrieve that information and make it organized, accessible and actionable for health information exchanges, for health plans and for the health IT providers nationally. That is the core competency of Diameter Health. I like to talk about semantic interoperability, which is that 'interoperability 2.0' of making data truly usable – that's really where we play in the ecosystem," John D'Amore, president and cofounder of Diameter Health, told HIMSSTV earlier this year.
WHAT IT'S FOR
The company said the new funds will be put towards growing the company. Specifically, the new funds will expand its Fusion system's ability to synthesize and collect data.
“With the addition of Centene, Diameter has pulled together a great group of investors,” Tripp Peake, General Partner of LRV Health and Diameter Health board member, said in a statement. “I attribute the commitments of both financial and strategic investors to overwhelming belief that we all see Diameter Health as revolutionizing the data interoperability market by becoming a foundational layer that brings together siloed data from across the healthcare industry and integrates it all into a meaningful and transformative data asset.”
APIs have been a hot topic this year. In March HHS released its final interoperability rules, which included new regulations preventing information blocking and other anticompetitive behaviors among providers, health information exchanges and health IT developers. New policies outlining standardized APIs will have a particular impact on third-party health app developers.
As of 2021, Medicare Advantage, Medicaid, CHIP and plans on the federal Exchanges will be required to support a standardized API that lets patients tap into claims and various information related to their medical encounter, such as cost or clinical information, through a third-party app of their choice.