Romania is actively developing its healthcare start-up ecosystem with targeted support programs and a new accelerator. Leveraging the assistance provided by the European Institute of Innovation and Technology (EIT) and the country’s abundant IT talent, Romania’s start-ups within the EIT Health community are demonstrating signs of success.
According to a benchmarking survey published in April, Romanian participants in EIT Health programs are performing above average in terms of external grants received, valuation, and the percentage of market entry start-ups. However, they lag behind in the amount of external funds raised. Despite this, Romania stands out as the country with the most respondents to the survey, indicating a successful community-building effort, largely credited to FreshBlood, a non-profit organization representing EIT Health in the country.
Romania’s start-ups within the EIT Health community are demonstrating signs of success.
The country’s healthcare start-up ecosystem encompasses a wide range of companies, although they often address complementary aspects of the healthcare system rather than major medical challenges. For example, one gap identified is the lack of adequate support or structure for rehabilitation services in the Romanian healthcare system. To address such barriers, FreshBlood was established in 2016 by Ion-Gheorghe Petrovai, a medical doctor and pharmaceutical industry veteran. FreshBlood aims to bridge the gap between tech-savvy individuals and the healthcare field by providing understanding, context, and connections.
Romania’s advantage in forming healthcare companies lies in its large pool of digital talent. Many Romanian healthcare start-ups originate from personal experiences or encounters with medical problems that founders believe they can solve using their existing skills. Even experienced entrepreneurs identify healthcare market problems and leverage their know-how to develop innovative solutions while building a business.
One notable start-up, Parol, based in Bucharest, was inspired by doctors who spent significant time writing consultation reports. Leveraging their expertise in building a voice assistant for an online media platform, the founders developed a system that records conversations between doctors and patients, generating real-time synchronized transcripts. These transcripts are then processed by AI to produce consultation reports, which can be directly integrated into a hospital’s records.
Synaptiq, founded by Dragoș Dușe, addresses bottlenecks in accessing radiotherapy treatments. Dușe, having worked on AI algorithms for cancer diagnosis in Germany, recognized the need to optimize treatment pathways. He investigated how AI algorithms could solve the problem of manual analysis of patient images and decided to pursue the idea. Returning to Romania offered practical advantages and a more welcoming ecosystem, including linguistic and cultural familiarity, facilitating connections with potential investors and clinical partners.
Both FreshBlood and LevelUP, Romania’s first healthcare and life sciences start-up accelerator, emphasize the importance of connecting start-ups with the healthcare system. They aim to overcome bureaucratic hurdles and foster collaboration between start-ups and major players in Romania’s healthcare system.
To further develop the sector, Romania requires growth and critical mass. However, resources, government funding, multi-annual budgeting, and support are considered insufficient and inflexible. Greater collaboration and involvement from major hospitals and healthcare companies are also desired. Nevertheless, Romania is viewed as a favorable place to start a start-up due to its talented programmers, improving project management skills, and increased access to capital, including the establishment of Cleverage, a venture capital fund specializing in health technology.
In summary, Romania is actively cultivating its healthcare start-up ecosystem, capitalizing on the support of EIT and its IT talent pool. While the country has made progress, it aims to further strengthen connections with the healthcare system, foster collaboration, and drive growth within the sector.
