International Digital Originals

Name: 90% of investors don't understand the demand for this $1 trillion industry – here's why
Uploaded: 2023-06-12T01:53:15.000Z
Duration: 8 min 48 s
Description: A relatively new sector of tech is set to be worth $1 trillion by 2027 – but it's struggling to get the attention of investors. Women's health technology – or FemTech – is a blossoming industry that aims to tackle issues suffered by half of the global population. But there are barriers preventing the sector from getting the funding it needs to get off the ground.

90% of investors don't understand the demand for this $1 trillion industry – here's why

A relatively new sector of tech is set to be worth $1 trillion by 2027 – but it's struggling to get the attention of investors. Women's health technology – or FemTech – is a blossoming industry that aims to tackle issues suffered by half of the global population. But there are barriers preventing the sector from getting the funding it needs to get off the ground.

08:48

Sun, Jun 11 20239:53 PM EDT

Hannah Ward-Glenton

Investors are ignoring a huge subsection of tech because of its "taboo" nature – even though it is set to be worth $1 trillion by 2027.

The term "FemTech" was coined in 2016, and it includes all tech and innovations designed to solve health issues suffered solely, differently, or disproportionately by women. That covers everything from health during pregnancy and menopause to Alzheimer's and HIV.

Women make up half of the global population, which means the target market for products focusing on their health is massive.

And the industry is full of exciting innovation, with the number of startups in the space increasing by 1,000% in the last 10 years. But the sector faces unique barriers to accessing funding.

"These issues are taboo issues, anything to do with our products, to do with the breasts, that are to do with vaginas — people don't like to talk about it," Tania Boler, founder of FemTech company Elvie, told CNBC.

But there are considerable gains to be made from the FemTech sector, including wider economic and social advantages.

A $300 million investment into improving female health could generate around $13 billion, according to Women's Health Access Matters, a nonprofit organization focused on funding for women's health research.

So, are investors missing out by ignoring FemTech? Watch the video above to find out.