Rad AI, a trailblazer in healthcare technology, has secured $60M in Series C funding, further solidifying its position as a leader in generative AI solutions for healthcare. This latest funding round, led by Transformation Capital, has elevated Rad AI’s valuation to $525M. The round also saw participation from prominent investors like Khosla Ventures, World Innovation Lab, and Cone Health, among others. Notably, this comes just seven months after the company raised $50M in its Series B round.
With over $140M in total funding, Rad AI has rapidly emerged as a game-changer in the healthcare sector. Radiology, which comprises nearly 10% of healthcare spending in the U.S., is a focus area for the company. Remarkably, Rad AI’s solutions are currently utilized by radiologists across health systems that account for nearly 50% of all medical imaging performed in the country. This achievement has also earned Rad AI recognition as the 19th fastest-growing company in North America, according to Deloitte’s Fast 500 rankings.
Addressing Radiologist Burnout with Generative AI
The rise in annual imaging exams has led to increased workloads, with a staggering 88.4% of radiologists reporting being at or over capacity. Rad AI’s generative solutions, like Rad AI Impressions and Rad AI Reporting, are designed to alleviate these challenges. By reducing dictated words by up to 90% and saving up to 50% of radiologists’ time, these tools have become indispensable for healthcare professionals. The innovative Rad AI Reporting solution even won the prestigious “Best New Radiology Software of 2023” award from AuntMinnie.
Scott Bundy, MD, CEO of Strategic Radiology, highlighted the significant impact of Rad AI’s tools, stating, “Rad AI has been instrumental in addressing staffing shortages, burnout, and technological challenges. Nearly two-thirds of our practices use Rad AI Impressions, with many now adopting their latest solution, Rad AI Reporting.”
Transforming Patient Care with AI-Driven Follow-Ups
Rad AI is also making strides in patient follow-up care with its innovative Rad AI Continuity solution. This tool ensures patients with actionable findings in radiology reports, such as potential new cancers, receive timely follow-ups. The result? A dramatic increase in follow-up rates from 30% to over 75%, leading to earlier diagnoses and improved patient outcomes.
As healthcare professionals continue to face mounting pressures, Rad AI’s generative solutions are proving to be a vital resource. By empowering physicians and improving efficiency, the company is driving meaningful change across the industry.
Future Directions and Expansion
With this new funding, Rad AI plans to accelerate its development of generative AI technologies and expand its reach. The company is actively hiring across various roles to build a world-class team dedicated to solving healthcare’s most complex challenges.
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Rad AI’s journey exemplifies how disruptive technologies can address systemic challenges, enhance efficiency, and ultimately improve quality of care. As healthcare continues to embrace AI, Rad AI is poised to lead the charge in transforming the industry.