Artificial intelligence is gaining a larger role across the global and Latin American health sectors as companies and policymakers respond to market growth, rising demand for preventive care and ongoing workforce shortages. New research, investment patterns and expert commentary suggest AI is becoming embedded in clinical workflows, diagnostics, digital health and personalized wellness, while raising concerns regarding safety, misinformation and regulatory readiness.
Credence Research projects that the AI-driven personalized nutrition and wellness solutions market will grow from US$12.3 billion in 2023 to US$68.3 billion by 2032. The segment includes platforms that analyze metabolic, genetic and behavioral data to offer individualized dietary and health recommendations. The expansion is fueled by user adoption of wearables, mobile health applications and continuous monitoring tools. “AI will be pervasive across healthcare,” said Waleed Mohsen, Founding CEO, Verbal. “But we need the equivalent of airbags for healthcare AI: safeguards that prevent harm.”
The global shift toward digital and personalized health is also shaping activity in Latin America. According to LatamList, the proportion of regional healthtech startups using AI rose from 14% to 20% between 2022 and 2024. After a market correction in 2022 and 2023, investment flows stabilized in 2024 as founders and investors narrowed their focus to diagnostics, biotechnology, mental health and preventive platforms. Mayra Hurtado, Co-Founder and CEO, Hormony, said the region “is beginning to set its own pace,” pointing to increased traction in Mexico and Brazil. She noted that technologies once considered speculative, such as at-home hormone tests or real-time stress monitoring—are becoming mainstream.
Business activity reflects this consolidation. Avant and Ainnova recently merged to expand AI-based diagnostics, particularly in radiology. The combined company aims to improve access to imaging interpretation through automated analysis. Hospitals in Brazil have reported patient wait-time reductions of up to 30% linked to early use of AI support tools in triage and decision-making. Similar systems are now being tested in Mexico and Colombia, where resource constraints have accelerated digital experimentation.
Mental health is another area gaining attention. AI-powered platforms are increasingly used as entry points for individuals who face stigma or have limited access to traditional care. Emotional chatbots, adaptive therapy tools and cognitive support applications are showing adoption in Brazil and Mexico. However, specialists warn that engagement tools cannot substitute clinical evaluation. Mental health remains one of the least-funded and least-regulated areas in Latin America, despite growing demand. Experts argue that AI must be deployed with mechanisms that prioritize safety and accountability.
Concerns about accuracy, bias and misinformation form a significant counterweight to the expansion narrative. Erick Ponce Flores, President, International Cannabis and Cannabinoids Institute (ICAN), warned that some large language models (LLMs) produce oversimplified or agreeable responses rather than evidence-based guidance. He described the trend as “AI pandering,” emphasizing that systems optimized for user engagement risk reinforcing misconceptions rather than clarifying them. In the context of medical cannabis, he said issues are already visible. Patients often receive AI-generated recommendations for products that are not appropriate for their conditions. In some cases, chatbots have directed users to illegal or black-market options.
According to Ponce, the challenge is compounded by existing gaps in medical cannabis literacy among both physicians and patients. AI-generated summaries, which mimic the tone of expertise, can influence decisions in ways that traditional search results did not. Patients often arrive with AI-informed assumptions such as “CBD is enough for my condition” or “cannabis is illegal in Mexico,” statements that are either incomplete or incorrect. “Information is not guidance,” said Ponce. “A chatbot’s suggestion cannot replace a physician’s judgment.”
Mohsen echoed that caution, noting that the pace of AI adoption in healthcare is driven in part by market pressures and public expectations. While AI can increase access and reduce operational burdens, he said the sector must avoid practices associated with rapid deployment in consumer technology. Healthcare “is not the place for moving fast and breaking things,” he said, arguing that the long-term consequences of errors require more oversight than in other industries.
Regional market conditions add further complexity. Hurtado described Latin America’s healthtech environment as promising but constrained. Limited early-stage capital, fragmented regulation and persistent mistrust of digital health services slow expansion. Telemedicine rules vary by country, and only a few markets have developed guidance for AI used in clinical settings. Many hospitals do not yet have interoperable systems, creating barriers for platforms that rely on structured data. Hurtado said that startups with hybrid models, combining digital services with physical components, such as lab integrations or clinical partners, are more likely to scale sustainably.
Despite these constraints, market indicators point to continued growth. Global investment in biotechnology and longevity has increased, with companies like BioAge Labs, Freenome and Alzheon raising substantial funding. Although Latin American markets remain focused on preventive approaches, startups such as Clivi in Mexico are testing hybrid models for chronic disease management, emphasizing continuous monitoring and education. Digital health also continues to expand. PitchBook reports that the global digital health market reached US$25.1 billion in 2024, growing by 5.5%, while Latin America grew by 37.6% during the same period.
Direct-to-consumer models dominate in the region due to limited private insurance coverage. Companies like Mevo in Brazil and Plenna in Mexico reflect demand for accessible care pathways that bypass traditional systems. According to Hurtado, this acceleration is driven not only by digitization but by the need to “make the impossible accessible” for people who previously lacked specialized services.
As AI integrates further into the health ecosystem, experts argue that education for both patients and professionals will be critical. Ponce said that misinformation in medical cannabis illustrates the broader risk of intellectual stagnation, in which users accept AI-generated statements without question. He urged healthcare organizations to promote education that differentiates between general information and clinical decision-making. Hurtado added that the next stage of healthtech success will be defined by demonstrated impact rather than rapid product launches.
The intersection of AI, biotechnology and digital health is expected to shape the region’s trajectory over the next decade. Market analysts anticipate selective investment rather than broad funding cycles, with greater emphasis on regulatory compliance and clinical validation. Organizations including HealthTech Hub LatAm are working to align startups, governments and investors to modernize regulatory frameworks. Open APIs, data standardization initiatives and low-code systems are gaining attention as potential tools to facilitate adoption in fragmented healthcare environments.
While challenges persist, the region presents substantial opportunities. Latin America has more than 600 million people, many of whom lack access to consistent, high-quality healthcare. Analysts argue that technologies that increase access without compromising safety could play a significant role in closing that gap. Mohsen summed up the sector’s current debate: AI can expand access and improve outcomes, but it must be integrated responsibly to avoid creating new layers of risk. “Some things cannot be fixed easily,” he said. “AI everywhere in healthcare must follow the airbag path.”
As adoption accelerates, stakeholders across Mexico and the broader region are weighing innovation against long-term safety, seeking to establish a framework in which AI supports, rather than substitute, clinical expertise. Their decisions will influence how the market evolves and whether new technologies can deliver on their potential without reinforcing existing inequities or creating new sources of error.