Forward, a healthcare startup that aimed to revolutionize the industry with its tech-forward approach, has abruptly shut down all its locations and laid off nearly 200 employees. The company, founded in 2017, had raised over $650 million from prominent investors such as Khosla Ventures, Softbank, and Salesforce’s Marc Benioff. Despite the company’s fall, some of its investors are eager to see what the founder and former CEO, Adrian Aoun, will do next.
Less than a week after the closure announcement, Aoun is already teaming up with former Forward executives Jonathan Lesser and Bali Raghavan to launch a new venture. Lesser informed former Forward employees that Aoun will be a co-founder, board member, and advisor to the new startup. However, the specifics of the startup’s focus or whether any of Forward’s previous investors will be involved remain unclear.
“We just burned not quite half a billion dollars on an idea. And a lot of people’s reaction is, what are you doing next? Let’s do it again,” Aoun expressed, reflecting on the resilience and unique culture of Silicon Valley.
Forward’s shutdown has left numerous patients without access to their medical records. Cathy Link, a Chicago resident, has not been able to retrieve her records despite several attempts.
Forward shuttered, CEO’s new venture
“It’s been silence from them. I haven’t heard anything back,” she said. “The numbers are all disconnected.”
Dr.
Peter Winkelstein, executive director of the Institute for Healthcare Informatics at the University at Buffalo, explained that the law requires companies to maintain medical records for several years and provide access to them within a reasonable timeframe. Aoun responded, stating that the company would provide instructions for accessing medical records after December 13. This seems to contradict the current notice on Forward’s website, which claims the medical team is available by email until that date.
The State of Illinois requires medical providers to give a 30-day notice before closing and to inform patients on how they can obtain their medical records. If patients cannot retrieve their records from a closed facility, they may file a complaint with the Office of Civil Rights at the U.S. Department of Health and Human Services. Forward’s futuristic design didn’t address widespread affordability issues, and consumer distrust in AI-generated healthcare information also played a role.
Burning through cash before it could build trust, Forward was forced to close its doors. However, the concept may evolve, and human-in-the-loop successors could learn from Forward’s journey and improve on the model.
