Samsung Electronics Co. agreed to acquire Xealth Inc., a Seattle-based healthcare integration platform, as the South Korean technology giant continues its costly diversification away from volatile semiconductor markets.
Financial terms of the deal weren’t disclosed, though Samsung paid $92.7 million for French medical imaging startup Sonio last year. The transaction is expected to close within 2025, subject to regulatory approvals.
Xealth operates across more than 500 U.S. hospitals and works with over 70 digital health solution providers. The company, which spun out of Providence health system in 2017, enables healthcare providers to prescribe and monitor digital health applications.
The acquisition represents Samsung’s latest attempt to monetize health data collected through its Galaxy smartwatches and other wearables. The digital health sector has grown from $150 billion in 2020 to an estimated $330 billion in 2025, attracting technology companies seeking new revenue streams.
Samsung faces formidable competition from Apple Inc., which has established dominance in health monitoring through its Watch and Health app ecosystem. This marks Samsung’s third acquisition in non-chip businesses in 2025, following purchases in robotics and artificial intelligence.
Samsung expects the takeover to complete before the end of the year, though integrating hospital networks with consumer devices presents significant technical and regulatory challenges.
