Wheel Secures $150 Million Series C to Reinvent Telehealth

Wheel Secures $150 Million to Expand Virtual Healthcare Infrastructure

Michelle Davey, founder of Wheel – a healthcare platform focused on clinical workforce management – initially faced the challenge of securing investment based on two key predictions. These included the anticipated surge in consumer demand for high-quality virtual care and the subsequent, significant shift in behavior necessitating robust infrastructure to support scaling hybrid medical workforces.

Industry Shift Towards Virtual Care

Davey observed a widespread industry trend toward increased virtual patient care. This movement encompasses traditional healthcare stakeholders, such as insurance companies, as well as large retail corporations like Walmart and Amazon. However, early implementations often resulted in fragmented patient experiences due to a proliferation of isolated point-of-care solutions.

The pandemic accelerated the adoption of telehealth, validating Davey’s vision. The increased usage and impact of online visits prompted Wheel to evolve beyond an urgent care focus.

Evolution to a Comprehensive Platform

Wheel transitioned to a more comprehensive platform capable of supporting the entire patient journey. This includes services ranging from primary care and pediatrics to the management of chronic conditions.

Series C Funding

To facilitate this expansion and provide a more holistic infrastructure for telehealth services, Wheel announced the successful completion of a $150 million Series C funding round. Lightspeed Venture Partners and Tiger Global co-led the investment.

New investors, including Coatue and Salesforce, joined existing investors CRV, Tusk Venture Partners, and Silverton Partners in this round. This brings Wheel’s total funding to $216 million, following a $50 million Series B raise in May 2021.

Expanding Service Offerings

The newly acquired capital will enable Wheel to extend its platform’s reach to more companies offering comprehensive virtual care services. The company aims to facilitate a seamless patient experience, guiding individuals from initial telehealth consultations to necessary labs, diagnostics, and even in-person appointments.

Davey emphasized that this transition within healthcare is complex, requiring updated clinical protocols, regulatory compliance, new software, infrastructure development, and a skilled workforce capable of delivering care across the entire continuum.

Competitive Landscape

Wheel is not alone in offering solutions to broaden the scope of point-care services. Established players like Teladoc and Truepill provide white-label solutions, powering the operations of companies such as Hims & Hers, Nurx, and GoodRx. Furthermore, companies like SteadyMD are developing “AWS for healthcare” platforms, integrating digital recruitment with EMR systems, communication channels, and prescription referrals.

Build vs. Outsource Debate

The availability of turnkey solutions raises critical questions regarding the benefits of in-house infrastructure development versus outsourcing. Some startups prioritize maintaining control over their clinician base, viewing it as a core competitive advantage, and are therefore hesitant to rely on third-party staffing.

Wheel’s Clinician-Centric Approach

Davey asserts that Wheel differentiates itself through its commitment to clinicians. Wheel focuses on empowering clinicians to deliver care at their highest potential.

The company reports a clinician network growth of over 60% this year, coupled with a 90% retention rate. This is attributed to the platform’s integrated telehealth workflows, eliminating the need for clinicians to manage disparate services.

The platform’s scale also provides clinicians with access to a wider range of work opportunities, allowing them to flexibly transition between in-person, virtual, or hybrid care models.