ePhysician Gets $18M Investment from CVS, Palm Inc.

Mountain View-based ePhysician on Tuesday received $18 million in its third round of financing, after a group of investors, including Palm Inc. and CVS Corp., decided to back the company, Reuters reports. ePhysician aims to increase physicians' use of hand-held computers for writing prescriptions, improving treatment and diagnosis, streamlining records and reducing medical costs. ePhysician will use the funding to expand clinical applications and to boost sales and marketing of the company's software (Reuters, 1/23). Currently, ePhysician has 8,000 physicians who use the company's products. ePhysician CEO Stuart Weisman said, "We are proud to announce the closing of our third round of funding ... particularly at a time in which it has been difficult for many companies to raise capital" (Fried, Associated Press, 1/23). Since its launch in 1998, the privately-held ePhysician has raised $30 million (Reuters, 1/23).