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July 20, 2025

CMS 2026 Proposal: A $9 Billion Opportunity for Health Tech Innovators

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Contributed by: Bill Russell
Summary
A Datavant executive discussed the upcoming CMS 2026 Physician Fee Schedule, which proposes a substantial 90% cut in Medicare spending on skin substitutes and introduces mandatory risk-based care models for major conditions. This shift emphasizes the need for specialty care providers to adopt population health management strategies, potentially benefiting health tech companies involved in digital therapeutics and remote monitoring. Furthermore, CMS's move towards data-driven payment decisions over provider surveys may reward businesses that prioritize clinical evidence, encouraging innovation in healthcare technology. Overall, these changes could reshape the industry landscape and create new opportunities for both established players and startups.

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