At Calm/Storm, we’re fortunate to work alongside talented individuals who bring fresh perspectives to the challenges and opportunities in HealthTech. Our Venture Fellow, Alexa Cheng, is currently pursuing her Master’s in Healthcare Administration at Columbia University, Alexa combines her academic insights with her close connection to the European healthtech ecosystem through her work with us. In this blog, Alexa explores the contrasts between Europe and the U.S. in HealthTech innovation. Drawing from her unique vantage point as both an MHA student in the U.S. and an insider in Europe’s HealthTech landscape, she highlights the key differences shaped by each region’s healthcare systems, funding environments, and regulatory frameworks also drawing on the experiences of our portfolio companies Nolea and Levy

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Europe’s Strength: Patient-Centered, Sustainable Innovation

Europe’s healthcare systems emphasize equity and accessibility, inspiring startups to develop solutions that benefit patients and support public health. This approach drives innovation in areas like preventive care, chronic disease management, and systemic challenges in care delivery. The focus on long-term impact ensures that sustainability and inclusivity are at the heart of healthcare advancements.

In the U.S., the market-driven healthcare system fosters rapid growth and bold innovation. Employer-sponsored and private insurance models create opportunities for startups to scale solutions that meet a wide range of needs, from enterprise clients to individual consumers. At the same time, challenges like gaps in access and affordability for underserved populations highlight areas where innovation can make a real difference.

Rich Dawes, Founder and CEO of Nolea Health, a company that uses AI-driven technology to connect healthcare organizations with top talent, offers insight into these regional contrasts. Originally founded in the UK and recently transitioning its base to the U.S., Nolea Health has firsthand experience navigating these healthcare landscapes. Rich explains: “The healthcare systems reflect the broader cultural values of their regions. The UK’s system emphasizes public accountability and equitable access, while the U.S. thrives on competition and innovation, prioritizing profitability and personalization. These differences shape everything—from technology adoption to the way partnerships are formed.”

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Funding: Lean Efficiency vs. Big Budgets

One of the most striking differences between Europe and the U.S. lies in how startups are funded. In the U.S., access to abundant venture capital allows startups to raise large rounds, scale aggressively, and launch quickly. This environment supports high-risk, high-reward innovation, making the U.S. a powerhouse for global healthtech. However, the emphasis on rapid growth can sometimes cause startups to expand too quickly, sacrificing careful execution in the process.

European startups, on the other hand, operate in leaner funding environments. With fewer resources available, they’re often forced to get creative. Thus, they focus on execution and delivering measurable results right from the start. This lean approach fosters a culture of efficiency, where every euro spent must deliver impact.

Nolea Health’s experience reflects this adaptability: “In the UK, selling into the NHS often focuses on cost savings and operational efficiency. In the U.S., however, the conversation shifted to how we could help organizations grow and drive profitability. Adapting this messaging allowed us to connect more effectively with stakeholders in the American healthcare system.”

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Regulation: Trust Through Rigor

Europe’s regulatory frameworks, such as GDPR for data privacy and MDR for medical devices, set high standards to ensure that products are safe, ethical, and trustworthy. While these regulations can slow down time-to-market, they also help startups build credibility and earn the trust of healthcare providers—qualities that are essential in such a high-stakes industry.

In the U.S., regulations are also strict but often more flexible in areas like digital health. Programs such as the FDA’s 510(k) clearance process allow companies to iterate faster and bring products to market quickly. This flexibility supports innovation while maintaining oversight, although areas like post-market monitoring and data privacy could benefit from closer alignment with global standards.

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Universal Healthcare Drives Accessibility and Inclusion

Europe’s universal healthcare systems provide a safety net that ensures startups innovate for everyone, not just those who can afford care. These systems encourage healthtech companies to focus on solutions that address public health challenges and underserved populations, driving broad accessibility and sustainability.

In the U.S., the healthcare system may be more fragmented, but this diversity opens up opportunities for startups to target a variety of segments. Many healthtech companies are working to expand access for underserved communities while also creating tailored solutions for employer-sponsored plans, private payers, and higher-income consumers. This ability to address both specific market needs and broader societal challenges is a key driver of innovation.

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Final Thoughts

The differences between Europe and the U.S. don’t have to be barriers—they’re opportunities. Nolea Health’s expansion into the U.S. highlighted this potential. As they noted:

"Flipping to the U.S. felt like designing for a completely different audience. The openness and enthusiasm for trying new solutions were astounding. The U.S. healthcare market challenged us to rethink our approach—where the UK values equity and cost efficiency, the U.S. prioritizes growth and speed. Adapting to this dynamic taught us that innovation isn’t just about technology; it’s about understanding the unique motivations of each system."

By blending Europe’s emphasis on equity and sustainability with the U.S.’s capacity for scale and speed, healthtech startups can create solutions that are both impactful and accessible on a global scale. At Calm/Storm, we’re committed to bridging these strengths to drive meaningful innovation in healthtech.

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