Eye On AI: Funding To Biotech And Healthcare Startups Using AI Takes Off After Dip In 2023
Dec 12, 2024 - news.crunchbase.com
Dimension Capital has raised a new $500 million fund to invest in AI-driven biotech startups, reflecting growing investor interest in AI applications in healthcare. Despite a dip in 2023, funding for AI-related biotech and healthcare startups rebounded in 2024, reaching $6.7 billion by early December. Notable funding rounds in 2024 include Xaira Therapeutics' $1 billion, Abridge's $150 million Series C, EvolutionaryScale's $142 million seed round, and Terray Therapeutics' $120 million Series B. These investments highlight the potential of AI in drug discovery, diagnostics, and healthcare administration.
Additionally, the AI cloud and compute services sector is experiencing significant growth, as evidenced by London-based Nscale's $155 million Series A funding for sustainable AI-ready data centers. This trend underscores the broader impact of AI across various industries, with venture capitalists increasingly betting on its transformative potential in biotech and healthcare.
Key takeaways:
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Dimension Capital raised a new $500 million fund to invest in AI-driven biotech startups, highlighting investor interest in AI applications in healthcare.
Venture funding for AI-related biotech and healthcare startups rebounded in 2024, reaching $6.7 billion by early December, after a decline in 2023.
Significant funding rounds in 2024 include Xaira Therapeutics' $1 billion, Abridge's $150 million, EvolutionaryScale's $142 million, and Terray Therapeutics' $120 million.
AI is impacting various industries, with venture investors betting heavily on its potential in biotech and healthcare.
