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Hippocratic AI has once again captured investors’ attention. The healthcare startup just raised $126 million in a Series C round led by Avenir Growth, pushing its valuation to $3.5 billion and cementing its status as one of the most valuable AI companies in the healthcare space. The raise underscores how venture capital continues to pour into artificial intelligence startups despite broader market caution. Over the past year, private funding has held steady as investors chase the next big AI breakout. Global venture funding climbed 38% year-over-year to $97 billion in the third quarter, with nearly half — 46% — going to AI companies. Hippocratic’s latest round drew participation from a group of top-tier investors, including CapitalG (Google’s growth fund), Andreessen Horowitz, General Catalyst, Kleiner Perkins, and Universal Health Services. “Their rapid growth is a testament to the demand for solutions to our industry’s labor and patient access crisis,” said Julie Yoo, general partner at Andreessen Horowitz, in a statement. Healthcare Startup Hippocratic AI Raises $126 Million, Tripling Valuation to $3.5 Billion This new round comes just months after Hippocratic AI raised $141 million at a $1.64 billion valuation earlier this year. With the fresh funding, the company plans to scale through acquisitions, product development, and international expansion, bringing its total capital raised to $404 million. Founded by CEO Munjal Shah, along with a group of physicians, hospital administrators, and AI researchers from institutions such as El Camino Health, Johns Hopkins, Stanford, Microsoft, Google, and NVIDIA, Hippocratic AI is developing generative AI agents for healthcare. The startup has already partnered with more than 50 healthcare organizations, including Cleveland Clinic, Northwestern Medicine, Ochsner Health, Moffitt Cancer Center, and University Hospitals. The company’s approach combines medical expertise with large language models to help address one of the industry’s toughest challenges: the shortage of healthcare workers and the strain on patient access. Its technology aims to support—not replace—human providers by improving communication, triage, and administrative processes. The funding comes as GenAI continues to seep into nearly every sector, from banking to industrial manufacturing. For healthcare, though, the stakes are higher and the impact more immediate. And with Hippocratic AI’s latest valuation jump, investors seem convinced that this intersection between AI and medicine is just getting started.
