Proteus Digital: Proteus Digital Health has filed for bankruptcy

This story was delivered to Insider Intelligence Digital Health Briefing subscribers earlier this morning. Insider Intelligence publishes hundreds of insights, charts, and forecasts on the Digital Health industry with the Digital Health Briefing. You can learn more about subscribing here. California-based digital therapeutics (DTx) startup Proteus Digital Health - maker of the first trackable, sensor-embedded pill to earn FDA clearance - has filed for Chapter 11 bankruptcy protection, according to MobiHealthNews. Proteus' bankruptcy filing follows the startup's furloughing of the majority of its employees in November 2019 after a $100 million funding round fell through, and after it pivoted away from a focus on mental disorder treatment toward oncology and infectious disease treatment adherence in January of this year. The decision to file for bankruptcy represents a significant fall from grace for the DTx startup that once had a valuation of $1.5 billion.Proteus' failure could be attributed in part to its long-term focus on schizophrenia and bipolar disorder - two patient populations with notoriously low adherence levels and who distrust medication tracking. Pharma companies were eager to tie-up with Proteus given the potential of the startup's "smart pill" to offset the US' $300 billion medication nonadherence problem.See the rest of the story at Business InsiderSee Also:HCSC and Epic are rolling out an information exchange platformAkili Interactive lands first FDA clearance for EndeavorRx, its ADHD video game therapeuticOnly 3 states have agreed to adopt Apple-Google contact tracing tech