Khosla Ventures and Data Collective backed 5 startups each.
The number of startups entering the healthcare AI space has increased in recent years, with over 50 companies raising their first equity rounds since January 2015. Deals to healthcare-focused AI startups went up from less than 20 in 2012 to nearly 70 in 2016. Last year also saw two new unicorns emerge in the space: China-based iCarbonX and oncology-focused Flatiron Health.
“By 2025, AI systems could be involved in everything from population health management, to digital avatars capable of answering specific patient queries.” — Harpreet Singh Buttar, analyst at Frost & Sullivan.
We identified over 100 companies that are applying machine learning algorithms and predictive analytics to reduce drug discovery times, provide virtual assistance to patients, and diagnose ailments by processing medical images, among other things.
We first published the market map below in April 2016 and it has been updated as new companies have entered the field. The market map includes companies in the space that have raised an equity funding round since January 2013 and excludes exited companies like MetaMind, which was recently acquired by Salesforce. It is not meant to be exhaustive of companies in the space.
Click on the image to enlarge.
A few investment highlights:
- Increasingly crowded imaging & diagnostics: 19 out of the 24 companies under imaging & diagnostics raised their first equity funding round since January 2015 (this includes seed or Series A rounds, as well as a first round raised by stealth startup Imagen Technologies). In 2014, Butterfly Networks raised a $100M Series C, backed by Aeris Capital and Stanford University. This was one of the largest equity rounds to an AI in healthcare company, after China-based iCarbonX’s $154M mega-round and two $100M+ raises by oncology-focused Flatiron Health.
- Remote patient monitoring: London-based Babylon Health, backed by investors including Kinnevik and Google-owned DeepMind Technologies, raised a $25M Series A round in 2016 to develop an AI-based chat platform. New York-based AiCure raised $12.3M in Series A funding from investors including Biomatics Capital Partners, New Leaf Venture Partners, Pritzker Group Venture Capital, and Tribeca Venture Partners, for the use of artificial intelligence to ensure patients are taking their medications. California-based Sense.ly has developed a virtual nursing assistant, Molly, to follow up with patients post-discharge. The company claims Molly gives clinicians “20% of their day back.” Sentrian, backed by investors including Frost Data Capital, analyzes biosensor data and sends patient-specific alerts to clinicians.
- Core AI companies bring their algorithms to healthcare: Core AI startup Ayasdi, which has developed a machine intelligence platform based on topological data analysis, is bringing its solutions to healthcare providers for applications including patient risk scoring and readmission reduction. Other core AI startups looking at healthcare include H2O.ai and Digital Reasoning Systems.
- Top VCs: Khosla Ventures and Data Collective are the top VC investors in healthcare AI startups, and have backed 5 unique companies each. Khosla Ventures backed California-based Ginger.io, which focuses on patients with depression and anxiety; healthcare analytics platform Lumiata; Israel’s Zebra Medical Vision and California-based Bay Labs, which applies AI to medical imaging; as well as drug discovery startup Atomwise. Data Collective backed imaging & diagnostics startups Enlitic, Bay Labs and Freenome, analytics platform CloudmedX, and previously mentioned Atomwise.
- Drug discovery is also gaining attention: Startups are using machine learning algorithms to reduce drug discovery times, and VCs have backed 6 out of the 9 startups on the map. Andreessen Horowitz recently seed funded twoXAR, developer of the DUMA drug discovery platform; Khosla Ventures and Data Collective backed Atomwise, which published its first findings of Ebola treatment drugs last year, and has also partnered with MERCK; Lightspeed Venture Partners invested in Numedii in 2013; Foundation Capital participated in 3 equity funding rounds to Numerate.
- AI in oncology: IBM Watson Group-backed Pathway Genomics has recently started a research study for its new blood test kit, CancerIntercept Detect. The company will collect blood samples from high-risk individuals who have never been diagnosed with the disease to determine if early detection is possible. Other oncology-focused startups include Flatiron Health, Cyrcadia (wearable device), CureMetrix, SkinVision, Entopsis, and Smart Healthcare.
|Company||Total Funding ($M)||Investors|
|Advenio TecnoSys||$0.10||Kstart, Zone Startups|
|AiCure||$15.10||Biomatics Capital Partners, National Institute on Drug Abuse, National Institutes of Health, New Leaf Venture Partners, Pritzker Group Venture Capital, Tribeca Venture Partners|
|Amara Health Analytics||$0.07||NA|
|analyticsMD||$13.84||Fenox Venture Capital, FundersClub, StartX, Y Combinator|
|Apixio||$45.36||Bain Capital Ventures, First Analysis, SSM Partners, Undisclosed Angel Investors,|
|Arterys||$12.00||AME Cloud Ventures, Asset Management Ventures, Emergent Medical Partners, GE Ventures, Morado Venture Partners, Norwich Ventures, StartX|
|Atlas||$2.91||Indiegogo, Techstars, In-Q-Tel|
|Atomwise||$6.12||AME Cloud Ventures, Data Collective, Draper Fisher Jurvetson, Khosla Ventures, OS Fund, Y Combinator|
|Avalon||$0.14||Entrepreneur First, Techstars|
|Ayasdi||$97.88||Centerview Capital, Citi Ventures, Draper Nexus Ventures, Floodgate, Institutional Venture Partners, Khosla Ventures, Kleiner Perkins Caufield & Byers|
|Babylon Health||$25.00||DeepMind Technologies, Hoxton Ventures, Innocent Drinks, Kinnevik|
|Bay Labs||$7.80||Eleven Two Capital, Jack Culpepper, Kevin Goodwin, Khosla Ventures, National Science Foundation, Nicolas Pinto, Randy Martin, Vince Monical, Yann LeCun|
|BioBeats||$3.23||AXA Strategic Ventures, Cantora Records, Damon Wayans, ENIAC Ventures, Gotham Chopra, IQ Capital Partners, Justin Boreta, K5 Ventures, Ken Hertz, Mark Beaven, Scooter Braun, Slow Ventures, , White Cloud Capital, Will Smith, ZhenFund|
|BurstIQ||$0.25||500 Accelerator, PV Ventures|
|Butterfly Network||$100.00||Aeris Capital, Stanford University|
|Clinithink||$0.00||Finance Wales Investments, Vanguard Atlantic|
|Cloud Pharmaceuticals||$1.73||National Science Foundation,|
|CloudMedX||$6.72||FundersClub, Lux Capital, Tencent, Y Combinator|
|CureMetrix||$0.00||Analytics Ventures, evoNexus, Keshif Ventures, La Costa Investment Group|
|Cyrcadia||$2.45||Reno Angels, Undisclosed Angel Investors|
|Deep Genomics||$3.74||Bloomberg Beta, True Ventures, Undisclosed Angel Investors, University of Toronto Early-Stage Technology|
|Desktop Genetics||$3.15||Angels in MedCity, Boundary Capital, Darrin Disley, Execute Technologies, Illumina, Innovate UK, IQ Capital Partners, Jonathan Milner, London Co-Investment Fund, Martin Murphy, Michael Martin, Richard Youngman|
|Digital Reasoning Systems||$75.63||Goldman Sachs, HCA, Health Evolution Partners, Lemhi Ventures, NASDAQ, Silver Lake|
|Enlitic||$15.00||Amplify Partners, Capitol Health Partners, Data Collective|
|EnsoData||$0.56||HealthX Ventures, Y Combinator|
|Entopsis||$1.73||Breakout Labs, Krillion Ventures,|
|Envisagenics||$0.10||HealthX Ventures, Y Combinator|
|Flatiron Health||$313.00||Allen & Company, Baillie Gifford & Co., Casdin Capital, Google Ventures, Roche Venture Fund|
|Freenome||$7.05||Andreessen Horowitz, Data Collective, Founders Fund, Third Kind Venture Capital|
|Gauss Surgical||$24.81||AVIA Health Innovation, Jump Capital, LifeForce Ventures, Promus Ventures, Providence Ventures, StartX, Summation Health Ventures, Taube Investment Partners, TMCx, UHC|
|Ginger.io||$28.22||Ari Buchler, Bill Warner, ENIAC Ventures, James Joaquin, Kaiser Permanente Ventures, Kapor Capital, Khosla Ventures, LaunchCapital, Romulus Capital, Techstars, True Ventures, Ty Curry, Walt Winshall|
|H2O.ai||$33.60||Capital One Growth Ventures, Nexus Venture Partners, Paxion Capital Partners, Transamerica Ventures|
|Healint||$1.01||GREE Ventures, JFDI.Asia, Shin Ryoku, Singapore National Research Foundation, Undisclosed Angel Investors, Wavemaker Partners|
|Health Fidelity||$19.26||Charter Life Sciences, The University of Pittsburgh Medical Center|
|Hindsait||NA||Guidewell, Healthbox Global Partners|
|iCarbonX||$199.00||China Bridge Capital , Tencent, Vcanbio|
|Imagia Cybernetics||NA||BDC Healthcare Venture Fund, Emerillon Capital, Lumira Capital, Real Ventures|
|InSilico Medicine||$0.80||Deep Knowledge Ventures|
|Intendu||NA||Impact First Investments|
|Lucina Health||$19.64||Arboretum Ventures, Cape Andover Capital Partners, Chrysalis Ventures, JumpStart, North Coast Angel Fund, Qualifying Therapeutic Discovery Project|
|Lumiata||$20.00||BlueCross BlueShield Venture Partners, Intel Capital, Khosla Ventures, Sandbox Industries|
|Lunit||$4.13||Formation 8, K Cube Ventures, Softbank Ventures Korea|
|Magnea||$0.22||Elis Nemes, Karl-Mikael Syding|
|Medal||$3.78||8VC, Draper Associates, Founders Fund, ZhenFund|
|Medalogix||$5.00||Coliseum Capital Management|
|Medasense||$8.00||8200 EISP, Baxter Ventures, Benslie Investment Group|
|MedAware||$2.35||DreamIt Ventures, GE Ventures, MassChallenge, OurCrowd.com, Winton Ventures|
|MedWhat||$1.12||Caixa Capital Risc, Microsoft Ventures Accelerator, Stanford Hospital & Clinics, Stanford University, Startcaps Ventures|
|MedyMatch Technology||$2.00||Exigent Capital, Genesis Capital Advisors|
|Mindshare Medical||$2.00||Frost Data Capital|
|NarrativeDx||$1.80||Capital Factory, DreamIt Ventures, Floodgate, Live Oak Ventures, LiveOak Venture Partners, Silverton Partners, Undisclosed Investors|
|NextHealth Technologies||$9.50||Daniel Spirek, James Bradley, Norwest Venture Partners, Peter Everett, Point B Capital, Trace Devanny|
|NuMedii||$3.50||Claremont Creek Ventures, Life Science Angels, Lightspeed Venture Partners|
|Numerate||$17.50||Atlas Venture, Foundation Capital, Lanza techVentures, Lilly Ventures|
|Nuritas||$8.80||Ali Partovi, Marc Benioff, New Protein Capital|
|Oncora Medical||$1.32||BioAdvance, Dorm Room Fund, Dr. Thomas Mackie, DreamIt Ventures, iSeed Ventures, Science Center|
|Ovuline||N/A||Bridge Boys, David Cohen, LaunchCapital, Lead Edge Capital, Lightbank, LionBird, Martin Ventures, Paris Wallace, Techstars, Techstars Ventures, Zaffre Investments|
|Pathway Genomics||$40.00||Edelson Technology Partners, Founders Fund, IBM Watson Group|
|Picto Connection||$0.02||Rockstart Accelerator|
|Proscia||$1.00||A-Level Capital, Emerald Development Managers, Robin Hood Ventures, TCP Venture Capital|
|Qualaris Healthcare Solutions||$0.20||Carnegie Mellon University, Innovation Works|
|Roam Analytics||N/A||8VC, AITV, Blumberg Capital, Undisclosed Angel Investors|
|Sense.ly||$3.79||Alchemist Accelerator, Eastlink Capital Management, Fenox Venture Capital, Launchpad Digital Health, TA Ventures, TMCx, Undisclosed Angel Investors|
|Sentrian||$15.82||Frost Data Capital, REV, Tech Coast Angels, TELUS Ventures|
|SigTuple||$0.00||Accel Partners, Ashok Bareja, Binny Bansal, Debanjan Mukherjee, Nirupa Bareja, Sachin Bansal|
|SkinVision||$3.47||Leo Pharma, PHS Capital, Seedmoney|
|Smart Healthcare||$0.03||Chalmers Ventures|
|TAO Connect||$1.56||Florida Angel Nexus, Florida Funders|
|Touchkin||$0.40||Alok Mittal, Amit Gupta, Anuj Srivastava, Himanshu Aggarwal, Puneet Agarwal, Raghunandan G., Swiss Re|
|Wellframe||$10.30||Carl Byers, Draper Fisher Jurvetson, Formation 8, James Nahirny, John McEleney, Jonathan Bush, Michael Gaiss, Pam Garside, QueensBridge Venture Partners, Rock Health, Steve Papa, Tim Draper, , Waterline Ventures|
|WellTok||$238.62||Bessemer Venture Partners, Catholic Health Initiatives, EDBI, Emergence Capital Partners, Flare Capital Partners, Georgian Partners, Hearst Ventures, IBM Watson Group, InterWest Partners, Miramar Digital Ventures, Miramar Venture Partners, New Enterprise Associates, Okapi Venture Capital, Qualcomm Ventures, TriZetto Corporation|
|Zebra Medical Vision||$20.00||Deep Fork Capital, Intermountain Healthcare, Khosla Ventures, Marc Benioff|
|Zephyr Health||$32.50||Google Ventures, Icon Ventures, Kleiner Perkins Caufield & Byers, Susa Ventures|
|Keen Eye Technologies||$1.60||Seventure Partners|
|Lytics||$0.52||Mattias Paulsson, Swedish Growth Fund|
|Maxwell MRI||$0.20||River City Labs|
|Picwell||$7.05||Kevin Hill, Trevor Fetter, Paul Kusserow, Osage University Partners, MassMutual Ventures, Andrew Kress, Bruce Perkins|
|Roam Insight||$22.37||Undisclosed Angel Investors|
|VITL||$1.50||Alex Chesterman, David de Rothschild, Cameron James Edwards, Simon Franks, Ben Stanway, Joseph Aluin Lenzie|