Jamie Dimon, Chief Executive Officer of JPMorgan Chase & Co., at the Institute of International Finance (IIF) during the annual meetings of the IMF and the World Bank in Washington, DC, USA, on Thursday, October 24, 2024.
Kent Nishimura | Bloomberg | Getty Images
San Francisco, known for its abundance of hoodie-clad tech workers, was this week swamped by thousands of executives in business suits. JPMorganannual health care conference.
Leaders from major health systems, venture capital firms and companies around the world gathered in hotel lobbies to discuss business and strategy for 2025. The sunny skies were a welcome respite from the downpours of years past, but other downsides were harder to ignore.
This year’s conference, colloquially known as JPM, was held a month after UnitedHealthcare CEO Brian Thompson died in New York. Americans greeted the news with numerous posts on social networks expressing resentment according to healthcare industrywith many sharing stories of their negative experiences with insurers.
More than 10 companies, incl Cigna and Walgreensthey subsequently withdrew their appearance at JPM, according to a CNBC analysis of the conference agenda. At the main venue of the conference, the Westin St. Francis, there was a noticeably heavy police presence, and many businesses stepped up security at their private events and parties.
“The underground topic that I think people are talking about over water and cocktails is obviously what happened to the CEO of UnitedHealthcare,” said Wei-Li Shao, president of metabolic health startup Omada. “What does this mean for health care? What kind of transformation should happen? And how do things become more accountable?”
Thompson’s killing was a “staggering, sad event” that served as a wake-up call to the health care industry, said Erik Wexler, CEO of the nonprofit Providence Health System, which consists of 51 hospitals and 1,000 clinics in seven states.
“Why are we here on our separate ways? Why are we fighting?” Wexler said. “Our job is to do good for people who desperately need us at the most important time of their lives, whether you’re a payer or a hospital.”
While Thompson’s death loomed over the conference, there was palpable excitement and buzz around 2025. There was no shortage of discussion about the potential benefits. artificial intelligence and successful weight-loss drugs called GLP-1s, and investors seem cautiously optimistic that the digital health market could turn itself around.
“There are so many amazing things on the horizon for health care,” he said Dexcom CEO Kevin Sayer.
“Drug companies and companies like ours, we try really hard to improve people’s lives and make a big difference,” said Sayer, who knew Thompson well. “Be a little optimistic and give us a break, we’re all trying to do good things.”
Here are CNBC’s big takeaways from JPM 2025:
Nvidia headquarters in Santa Clara, California, USA, on Tuesday, November 19, 2024.
David Paul Morris | Bloomberg | Getty Images
Generative AI stole the show
Generative AI was undoubtedly the “it girl” for healthcare in 2024, and that doesn’t seem to change in 2025.
As U.S. health care systems struggle with attrition, understaffing and extremely tight margins, companies are racing to develop artificial intelligence tools that can streamline some of the industry’s more tedious administrative tasks. The topic was practically impossible to avoid at JPM.
For example, a healthcare payment company Waystar announced a new generative artificial intelligence feature that aims to help doctors quickly fight insurance denials by automatically composing appeal letters. Amazon Web Services and venture firm General Catalyst announced a new partnership aimed at accelerating the development and deployment of AI tools in healthcare. Healthcare startup Abridge announced The Mayo Clinic will release its AI-powered device clinical documentation technology to about 2,000 clinicians across the company.
“At the highest level, I think it cannot be underestimated how much impact artificial intelligence is already creating in healthcare,” said Dr. Shiv Rao, Founder and CEO of Abridge. “At least in our segment, the feedback we get on a daily basis is simply amazing, and the adoption rate shows that this is the right thing.”
Nvidiawhich makes the hardware that powers AI applications, was a particularly popular JPM attendee this year. The company has announced partnerships with several healthcare organizations, including a clinical research provider IQVIAneurotech startup Synchron, a genomics company Illumina and Mayo Clinic Academic Medical Center.
“We have more than a billion dollars worth of business between direct revenue and revenue with our partners,” said Kimberly Powell, Nvidia’s vice president of healthcare. She added that Nvidia sees more room for growth for AI health applications.
Ozempic and Wegovy tanks seen at Children’s Hospital in Aurora, CO on November 18, 2024.
Kevin Mohatt | The Washington Post | Getty Images
Executives are bullish on GLP-1
At presentations and cocktail parties this week, CNBC spoke with executives who raved about the benefits of a growing class of weight-loss drugs known as GLP-1.
Novo Nordisk company and Eli Lilly diabetes and obesity treatment has been extremely successful in helping patients lose weight in recent years. AND may study found that patients taking NewFor example, the anti-obesity drug Wegovy maintained an average of 10% weight loss for up to four years.
Research shows that GLP-1 may also help treat cardiometabolic disease, kidney disease, and addiction, among other conditions. The US Food and Drug Administration approved Lilly’s weight loss drug Zepbound as a treatment for sleep apnea in December.
Some analysts estimate that obesity drugs could grow into a $100 billion industry by the end of the decade.
“These drugs are outstanding and they’re not going away,” said Dexcom’s Sayer.
The lack of supplies is one of the big obstacles for companies in the market, as the increasing demand has made it difficult for many patients to access the treatments. The drugs typically cost $1,000 a month without insurance, and coverage still varies for many Americans.
Despite this, many health executives are optimistic that GLP-1 will significantly improve public health in the US
“I was joking, it was two G’s, wasn’t it? It’s like GLP, GPT,” said Omade CEO Sean Duffy.
US President-elect Donald Trump speaks after a meeting with congressional Republicans at the US Capitol building in Washington on January 8, 2025.
Jeenah Moon | Reuters
Uncertainty surrounding the Trump administration
In front of the newly elected president Donald TrumpAt Monday’s inauguration, JPM executives had many unanswered questions about what his administration has in store for the health care sector.
Health care was not a big focus for Trump on the campaign trail, meaning his policy goals for the industry are unclear. Besides, he made some controversial the government chooses from the election.
Trump nominee vaccine skeptic Robert F. Kennedy Jr. lead the Ministry of Health and Social Services, a famous TV presenter Ph.D. Mehmet Oz lead the Centers for Medicare & Medicaid Services and a pancreatic surgeon Ph.D. Marty Makary lead the Food and Drug Administration. All three candidates still need Senate confirmation.
“Until we have a little more insight into this administration coming into the US, the market is going to be volatile and a bit more depressed,” Rebecca Stevenson, HSBC’s head of investment banking for the Americas, told reporters. round table.
Owen Tripp, CEO of virtual care platform Included Health, said the Trump administration appeared to be business-friendly and suggested he would push for greater access to care.
“It’s not even about who’s in the White House, it’s really about the fact that you have a Republican Congress and Senate that have basically aligned themselves with expanding access and transparency,” Tripp said. “I think you’re going to see more transparency in the pricing of drugs and health services, which is also extremely positive.”
Watch: The UnitedHealthcare tragedy is a wake-up call for corporate America, says Wharton’s Americus Reed
