First Citizens BancShares Inc., through its division Silicon Valley Bank, has released its 2025 Healthtech market analysis, highlighting a surge in venture capital investment in provider operations. According to the report, provider operations-covering activities such as scheduling, documentation, and billing-have attracted $5.5 billion in investment so far this year, with projections reaching $8.25 billion by year-end. This sub-sector now accounts for 44% of overall Healthtech investment, on track to surpass previous records. AI-enabled solutions dominate the sector, comprising 73% of Healthtech mega-deals and 52% of all deals in 2025. The report also notes a 42% increase in seed-stage AI valuations since 2021 and a notable rise in consolidation, with 32 M&A deals recorded in provider operations this year. Generalist investors like Andreessen Horowitz and General Catalyst are driving a 22% valuation premium in mega-deals, which make up 38% of total Healthtech investment. Overall, Healthtech investment is expected to reach $18.5 billion by the end of 2025.