TLDR: Datavant, a prominent U.S. healthcare data collaboration platform, has acquired DigitalOwl, an AI-driven medical insurtech company. The acquisition, estimated at over $200 million, aims to create an end-to-end platform for medical data analysis, streamlining processes for the legal and insurance industries.
Datavant, a leading U.S.-based data collaboration platform for the healthcare sector, announced on September 25, 2025, its acquisition of DigitalOwl, a New York City-headquartered medical insurtech company with a significant development center in Israel. While the financial terms of the deal were not officially disclosed, market estimates suggest the acquisition price is in excess of $200 million, primarily in cash.
This strategic move is set to significantly expand Datavant’s capabilities, making health data more accessible and actionable, particularly for the legal and insurance industries. The integration of DigitalOwl’s advanced technology with Datavant’s existing infrastructure is expected to transform the currently time-consuming and error-prone process of medical record reviews. These inefficiencies often lead to delays in case resolutions for legal clients and claim approvals for insurance members, while simultaneously driving up operational costs.
DigitalOwl, founded in 2018 by brothers Yuval Man (CEO) and Amit Man (CTO), specializes in leveraging artificial intelligence to analyze and summarize complex medical records. Their proprietary data extraction and AI technology are designed to classify and annotate unstructured medical data, providing actionable insights for insurance and legal professionals. The company’s AI models were developed in-house, predating the widespread public availability of generative AI. DigitalOwl was recently recognized as the 2025 Natural Language Generation Platform of the Year for Medical Record Reviews, underscoring its innovative approach.
Kyle Armbrester, CEO of Datavant, highlighted the market need, stating, “Legal and insurance customers are looking to consolidate and simplify the process of finding, accessing and analyzing specific medical information from a vast amount of both structured and unstructured data sources.” He added that DigitalOwl’s technology, combined with Datavant’s digital record exchange platform and Ontellus’ (a Datavant entity) health records retrieval and claims intelligence capabilities, will create a comprehensive solution for a market ripe for change.
Yuval Man, DigitalOwl’s CEO, emphasized the complementary nature of the two companies: “They are leaders in information retrieval, and we are leaders in summarizing and analyzing the information. This is the first time in which there will be a company in the US that offers both services together.” DigitalOwl’s commitment to transparency in its AI algorithms, allowing users to trace insights back to original medical records, is seen as a significant competitive advantage.
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Datavant, established in 2017, has grown to become a dominant player in health data management. In 2021, it merged with Ciox Health in a substantial $7 billion deal. The company’s platform facilitates the secure transfer of over 60 million healthcare records among thousands of organizations, including 75% of the 100 largest health systems. DigitalOwl’s Israel development center is slated to remain operational and may even see expansion following the acquisition.
