with a major pharma company, its severance could challenge the idea that DTx-pharma partnerships are a guaranteed win-win scenario — with pharma tie-ups able to extend the reach and resources of digital health startups, while opening up new revenue streams for drug makers.
However, we don't think the DTx market will suffer from any negative side effects as a result of Novartis' decision to end its DTx tie-up, especially considering strong investor appetite in DTx startups.
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