Crisis or Cure? Decoding the Divisive Debate on AI's Role in Modern Healing India's healthtech startups attracted approximately USD 233.5 million in funding, in the first half of 2024. Yet, behind the numbers lies a pressing question echoing across clinics, policy tables, and investor meetings: Is artificial intelligence (AI) the panacea India's overburdened healthcare system needs, or does it risk turning care into crisis?

In the first half of 2024, India's healthtech startups attracted approximately USD 233.5 million (TheKredible data) in funding—a promising sign of the sector's growing momentum. Yet, behind the numbers lies a pressing question echoing across clinics, policy tables, and investor meetings: Is artificial intelligence (AI) the panacea India's overburdened healthcare system needs, or does it risk turning care into crisis?

Dr. Charit Bhograj, cardiologist and Founder & CEO of Tricog Health, explained it with a sobering reality. "India is unfortunately the capital of diabetes and perhaps even the capital of heart disease," he said. "The number of patients is growing quicker and quicker, and the number of doctors… abysmally small." He illustrated this crisis with a compelling visual, "Imagine two graphs—one showing a rapidly increasing patient population, and another, much flatter, showing our medical workforce. That gap is where AI needs to step in," he explained.

But Dr. Charit insists that AI is not a replacement, it's an amplifier. "I see AI as augmenting doctors like me so that we can treat patients even in the most remote locations."

The human touch still matters

Vishal Lathwal, CEO of Apollo Home Healthcare, brought a different lens—one that focused on care beyond the hospital walls. "Care is not just delivery," he noted. "The human touch and the compassion of assisted care can never be replaced by technology."

Yet, Lathwal believes AI plays a critical supporting role in the future of home care. "We will get older before we get richer," he warned. "AI can aid clinical decision systems, support remote monitoring, and be instrumental in upskilling our limited workforce," he added.

He views AI not as a disruptive force, but as a stabiliser. "It's a cure for the crisis. That's how we should see AI."

Bringing intelligence to the point of care

The promise of AI rests on one thing—data. But in India, much of it is locked away in analog records. Several startups have stepped forward to change this scenario. Innovaccer is one of them. "We started with solving the problem of disparate health records," explained Ankit Maheshwari, the company's CTO and Founding Team Member.

By creating unified patient records and combining historical data with real-time clinical insights, Maheshwari says AI can now suggest "next best actions" to doctors at the point of care. "Humanly, it's not possible to go through 100-page care guidelines while the patient is sitting in front of you. But AI can surface that in real time," he added.

Still, he emphasised a core truth about machine learning in medicine: "AI in its primest nature is going to hallucinate unless you fine-tune it. That's why small language models tailored for specific diseases or workflows will be far more useful."

The investor angle

While sharing ongoing startup trends in the healthcare sector, Gaurav Porwal, Partner at W Health Ventures and COO of 2070 Health, divided AI health startups into three categories—B2B, B2P2C (Business to Provider to Consumer), and direct-to-consumer (B2C).

"B2B is the most evolved," he said, referencing companies like Innovaccer that simplify hospital workflows. "The risk is lower because AI isn't directly exposed to the patient."

However, the B2P2C model is where Porwal sees rising promise: "AI assists doctors, but the provider is still making the final call." He mentioned Dozee and Cure.ai as startups thriving in this zone.

The B2C segment, where AI directly engages with patients, is advancing rapidly—especially in areas like mental wellness. "We were early backers of Wysa," Porwal shared. "It's done well because it humanises AI."

But he believes accountability remains a challenge. "AI can detect cancer better, but if something goes wrong, who is responsible?" he questioned. "That's the self-driving car problem in healthcare."

Nevertheless, despite the complexities, Lathwal and Dr. Charit echoed the optimism. "We are a country where the healthcare crisis is very real… but technology is one thing no one on this table—or sitting opposite—would bet against," Lathwal emphasised.

Dr. Charit concluded, "If I can control a patient's blood pressure better using AI, I might prevent a stroke. That's a life saved. The impact of AI in India's healthcare won't just be significant—it'll be transformative."