New report recognizes best hospitals in Houston

better than all the rest

Houston Methodist stood out yet again on an annual best hospitals report, but several other Houston institutions were recognized as well. Courtesy of Methodist Hospital/Facebook

Hospitals across Houston were ranked by their patient care, patient safety, outcomes, nursing, advanced technology and reputation in an annual report that identifies the top medical facilities in the country.

U.S. News & World Report released its 31st annual best hospital rankings this week, which included both adult and children's hospital tracks across several categories. The report released both overall and local rankings after evaluating over 4,500 medical centers nationwide in 16 specialties, and 134 hospitals were ranked in at least one specialty.

For the ninth year in a row, the top hospital in Houston and Texas, according to the report, is Houston Methodist, which ranked at No. 20 nationally and made the report's Honor Roll.

"Our U.S. News rankings are especially meaningful right now as this has been an exceptionally difficult time for our health care workers," says Marc Boom, M.D., president and CEO of Houston Methodist, in a news release. "We have always served our community by providing exceptional care — during the COVID-19 pandemic and before. It's a true testament to our commitment to being unparalleled."

Houston Methodist Sugar Land Hospital tied for No. 4 in Houston and No. 6 (three-way tie) in Texas. Additionally, the hospital was recognized on the top lists for 11 specialties:

  • No. 12 for cardiology/heart surgery
  • No. 13 for orthopedics
  • No. 14 for gastroenterology/GI surgery
  • No. 17 for cancer
  • No. 19 (tie) for nephrology
  • No. 20 for pulmonology and lung surgery
  • No. 23 for neurology/neurosurgery
  • No. 26 for geriatrics
  • No. 26 (tie) for gynecology
  • No. 28 for diabetes and endocrinology
  • No. 49 for ear, nose and throat

The second-best hospital in Houston on this year's ranking was Baylor St. Luke's Medical Center, which was also named the No. 3 hospital in the state.

"At Baylor St. Luke's, we are transforming the way we deliver care for our patients through groundbreaking technologies and a multidisciplinary approach that allows us to give the best possible care to patients and their families," says Doug Lawson, CEO of St. Luke's Health, in a news release. "I praise our dedicated staff and physicians for helping us achieve this recognition."

Baylor St. Luke's also made an appearance across five specialties:

  • No. 17 for cardiology/heart surgery
  • No. 21 for gastroenterology/GI surgery
  • No. 21 for neurology/neurosurgery
  • No. 27 for cancer
  • No. 47 for geriatrics

"This is a great report that confirms the efforts of our partnership at Baylor St. Luke's and our affiliated hospitals to provide unsurpassed care to patients, conduct research that will change lives and train the next generation of physicians", says Dr. Paul Klotman, president, CEO, and executive dean at Baylor College of Medicine. "Baylor St. Luke's high ranking in Texas is in parallel with Baylor College of Medicine being the highest ranked medical school in Texas. Together, we are an outstanding academic medical center and learning health system."

Memorial Hermann - Texas Medical Center came in No. 3 in Houston and No. 5 in Texas. The hospital ranked in one adult specialty and two children's specialties.

  • No. 43 for ear, nose and throat (adult)
  • No. 22 for cardiology/heart surgery (pediatric)
  • No. 31 for neurology/neurosurgery (pediatric)

On the children's hospital track, Houston's Texas Children's Hospital ranked as No. 4 nationally and was recognized in all 10 pediatric specialties, which included:

  • No. 1 for pediatric cardiology/heart surgery
  • No. 2 for pediatric nephrology
  • No. 2 for pediatric neurology/neurosurgery
  • No. 3 for pediatric pulmonology and lung surgery
  • No. 4 for pediatric cancer
  • No. 5 for pediatric diabetes and endocrinology
  • No. 5 for pediatric gastroenterology/GI surgery
  • No. 6 for pediatric urology
  • No. 10 for neonatology
  • No. 15 for pediatric orthopedics

Zooming in on the specific specialties, several other Houston hospitals in addition to these top tier hospitals, secured spots in the top 10 rankings.

University of Texas MD Anderson Cancer Center was ranked No. 1 nationally for adult cancer treatment. Additionally, the hospital made an appearance in six other adult specialties and one pediatric specialty.

  • No. 4 for ear, nose and throat
  • No. 6 for urology
  • No. 14 for gynecology
  • No. 27 for diabetes and endocrinology
  • No. 41 for geriatrics
  • No. 46 for gastroenterology/GI surgery
  • No. 38 for cancer (pediatric)
TIRR Memorial Hermann in Houston ranked No. 3 nationally for rehabilitation.
For all 31 years, The Menninger Clinic has been recognized as a top hospital in the psychiatric speciality. This year, the clinic ranked at No. 9 nationally.

"Our clinical teams provide personalized care with the right blend of art and science. We have pioneered measuring the effectiveness of this treatment, and the results consistently demonstrate that patients sustain their well-being for at least a year after they leave Menninger," says Armando Colombo, president and CEO, in a news release. "Going forward, we will improve access to make it easier for more Texans to access these life-changing results."

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Texas' first decacorn and more top innovation news for January 2025

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Editor's note: It's time to look back at the top innovation headlines from January 15-30. Here are the most-read InnovationMap stories for the second half of January 2025, from the birth of Texas' first decacorn to an exciting collaboration between researchers at top Texas universities.

1. Biosciences startup becomes Texas' first decacorn after latest funding

Colossal Bioscience.Texas bioscience company Colossal is reportedly the state's first decacorn. Courtesy photo

A Dallas-based biosciences startup whose backers include millionaire investors from Austin and Dallas has reached decacorn status — a valuation of at least $10 billion — after hauling in a series C funding round of $200 million, the company announced this month. Colossal Biosciences is reportedly the first Texas startup to rise to the decacorn level. Continue reading.

2. Houston investor on why 2025 will be the year of exits

Samantha Lewis of Mercury joins the Houston Innovators Podcast. Photo courtesy of Mercury

Samantha Lewis will be the first to admit that the past few years have been tough on startups and venture capital investors alike. However, as she explains on the Houston Innovators Podcast, the new year is expected to look very different. Continue reading.

3. Houston private equity firm beats target on first investment fund

The Sallyport Partners Fund focuses on investments in founder- and family-owned businesses, corporate carve-outs and startups in various industries. Photo via Getty Images

Houston-based private equity firm Sallyport has raised $160 million for its first investment fund, exceeding the target amount by $10 million. The Sallyport Partners Fund focuses primarily on investments in founder- and family-owned businesses, corporate carve-outs and startups in various industries. Continue reading.

4. Texas universities develop innovative open-source platform for cell analysis

Baylor College of Medicine, Texas A&M and University of Houston researchers have designed SPACe, a new open-source image analysis platform. Photo via Getty Images

What do labs do when faced with large amounts of imaging data? Powerful cloud computing systems have long been the answer to that question, but a new riposte comes from SPACe. That’s the name of a new open-source image analysis platform designed by researchers at Baylor College of Medicine, Texas A&M University and the University of Houston. Continue reading.

5. The Ion names new coworking partner for Houston innovation hub

Coworking company Industrious replaces WeWork-owned Common Desk at The Ion. Photo via thecommondesk.com

Rice University subsidiary Rice Real Estate Co. has tapped coworking company Industrious as the new operator of the Ion’s 86,000-square-foot coworking space in Midtown. Industrious replaces WeWork-owned Common Desk in that role. Continue reading.

Justice Department sues to block Houston-based HPE's $14B buyout of Juniper

M&A News

The Justice Department sued to block Hewlett Packard Enterprise's $14 billion acquisition of rival Juniper Networks on Thursday, the first attempt to stop a merger by a new Trump administration that is expected to take a softer approach to mergers.

The Justice complaint alleges that Hewlett Packer Enterprise, under increased competitive pressure from the fast-rising Juniper, was forced to discount products and services and invest more in its own innovation, eventually leading the company to simply buy its rival.

The lawsuit said that the combination of businesses would eliminate competition, raise prices and reduce innovation.

HPE and Juniper issued a joint statement Thursday, saying the companies strongly oppose the DOJ's decision.

“We will vigorously defend against the Department of Justice’s overreaching interpretation of antitrust laws and will demonstrate how this transaction will provide customers with greater innovation and choice, positively change the dynamics in the networking market,” the companies said.

The combined company would create more competition, not less, the companies said.

The Justice Department's intervention — the first of the new administration and just 10 days after Donald Trump's inauguration — comes as somewhat of a surprise. Most predicted a second Trump administration to ease up on antitrust enforcement and be more receptive to mergers and deal-making after years of hypervigilance under former President Joe Biden’s watch.

Hewlett Packard Enterprise announced one year ago that it was buying Juniper Networks for $40 a share in a deal expected to double HPE’s networking business.

In its complaint, the government painted a picture of Hewlett Packard Enterprise as a company desperate to keep up with a smaller rival that was taking its business.

HPE salespeople were concerned about the “Juniper threat,” the complaint said, also alleging that one former executive told his team that “there are no rules in a street fight,” encouraging them to “kill” Juniper when competing for sales opportunities.

The Justice Department said that Hewlett Packard Enterprise and Juniper are the U.S.'s second- and third-largest providers of wireless local area network (WLAN) products and services for businesses.

“The proposed transaction between HPE and Juniper, if allowed to proceed, would further consolidate an already highly concentrated market — and leave U.S. enterprises facing two companies commanding over 70% of the market,” the complaint said, adding that Cisco Systems was the industry leader.

Many businesses and investors accused Biden regulatory agencies of antitrust overreach and were looking forward to a friendlier Trump administration.

Under Biden, the Federal Trade Commission sued to block a $24.6 billion merger between Kroger and Albertsons that would have been the largest grocery store merger in U.S. history. Two judges agreed with the FTC’s case, blocking the proposed deal in December.

In 2023, the Department of Justice, through the courts, forced American and JetBlue airlines to abandon their partnership in the northeast U.S., saying it would reduce competition and eventually cost consumers hundreds of millions of dollars a year. That partnership had the blessing of the Trump administration when it took effect in early 2021.

U.S. regulators also proposed last year to break up Google for maintaining an “abusive monopoly” through its market-dominate search engine, Chrome. Court hearings on Google’s punishment are scheduled to begin in April, with the judge aiming to issue a final decision before Labor Day. It’s unclear where the Trump administration stands on the case.

One merger that both Trump and Biden agreed shouldn’t go through is Nippon Steel’s proposed acquisition of U.S. Steel. Biden blocked the nearly $15 billion acquisition just before his term ended. The companies challenged that decision in a federal lawsuit early this year.

Trump has consistently voiced opposition to the deal, questioning why U.S. Steel would sell itself to a foreign company given the regime of new tariffs he has vowed.

Houston VC funding surged in 2024, fueled by major Q4 activity

by the numbers

The venture capital haul for Houston-area startups jumped 23 percent from 2023 to 2024, according to the latest PitchBook-NVCA Venture Monitor.

The fundraising total for startups in the region climbed from $1.49 billion in 2023 to $1.83 billion in 2024, PitchBook-NVCA Venture Monitor data shows.

Roughly half of the 2024 sum, $914.3 million, came in the fourth quarter. By comparison, Houston-area startups collected $291.3 million in VC during the fourth quarter of 2023.

Among the Houston-area startups contributing to the impressive VC total in the fourth quarter of 2024 was geothermal energy startup Fervo Energy. PitchBook attributes $634 million in fourth-quarter VC to Fervo, with fulfillment services company Cart.com at $50 million, and chemical manufacturing platform Mstack and superconducting wire manufacturer MetOx International at $40 million each.

Across the country, VC deals total $209 billion in 2024, compared with $162.2 billion in 2023. Nearly half (46 percent) of all VC funding in North America last year went to AI startups, PitchBook says. PitchBook’s lead VC analyst for the U.S., Kyle Stanford, says that AI “continues to be the story of the market.”

PitchBook forecasts a “moderately positive” 2025 for venture capital in the U.S.

“That does not mean that challenges are gone. Flat and down rounds will likely continue at higher paces than the market is accustomed to. More companies will likely shut down or fall out of the venture funding cycle,” says PitchBook. “However, both of those expectations are holdovers from 2021.”

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