Devoted Health Eyes $25B Valuation in Back-to-Back Funding Rounds

Devoted Health, the Medicare Advantage startup founded by brothers Ed and Todd Park, is in talks to raise a new funding round that would value the company at $25 billion — a dramatic jump from its $16 billion valuation earlier the same year. The rapid succession of fundraising rounds signals intense investor appetite for companies sitting at the intersection of AI and healthcare, particularly in the fast-growing Medicare Advantage market.

Founded in 2017 and based in Waltham, Massachusetts, Devoted blends health insurance with direct medical care for elderly Americans enrolled in Medicare Advantage. Its proprietary AI platform, called Orinoco, coordinates care across its member base. The pedigree of its founders adds credibility: Ed Park was previously COO of athenahealth, while Todd Park served as U.S. Chief Technology Officer under President Obama.

The company's growth metrics justify the bullish valuation bets. Devoted reported 466,000 members as of January 2026 — a staggering 121% year-over-year increase. Its revenue model is built on government-funded Medicare Advantage premiums, making it simultaneously an insurer and a care provider. That dual role is central to its pitch: by controlling both the insurance economics and the care delivery, Devoted argues it can improve outcomes while reducing costs.

Medicare Advantage has become one of healthcare's most fiercely contested arenas. Enrollment has more than doubled over the past decade, and the federal government pours hundreds of billions of dollars annually into the program. That combination of scale and government backing has drawn both legacy insurance giants and a new wave of venture-backed challengers. Devoted's backers include Andreessen Horowitz, General Catalyst, Venrock, Iconiq, and Emerson Collective — a who's-who of top-tier venture capital.