Compliance & Regulatory

22 confirmed failures

Funding Burned

$2.9B

Median Lifespan

7 years

Dominant Failure

Regulatory Scope Creep

50% of cases

Period

2011 — 2026

Failure Pattern Distribution

Regulation moved faster than the company11 (50%)

Outspent by bigger competitors3 (14%)

Ran out of money before clinical trials2 (9%)

Couldn't prove the product worked2 (9%)

Product claims exceeded actual capabilities1 (5%)

Couldn't get paid by insurance1 (5%)

Customer acquisition costs too high1 (5%)

Sold through the wrong channel1 (5%)

Curator's Note

auto-generated

This section of the registry contains 22 healthcare Compliance & Regulatory startups that shut down between 2011 and 2026, representing $2.9B in combined funding. The dominant failure pattern is Regulatory Scope Creep (50% of cases). Competitive Displacement accounts for another 14%. These entries were coded using the Gioia three-level qualitative methodology. Inter-rater reliability: 0.82 (strong agreement). This note is auto-generated and will be replaced by editorial analysis.

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Sample verdict

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Based on 28 Compliance & Regulatory failures in the corpus. Not your thesis.

KILLEDKill threshold 69%

Regulation moved faster than the company

New regulations changed the rules after you built your company around the old ones.

Precedents

Bright Health Group, Inc. (HC-0035) · 2023
Olive AI (HC-0002) · 2023
Theranos (HC-0022) · 2018

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Building in compliance & regulatory? Stress-test your thesis against these 22 failures.