AI deployment platform Ferrum Health ups fundraising total to $31M
Artificial intelligence deployment platform Ferrum Health has ballooned its fundraising total to $31 million, leaders announced on Thursday.
Venture capital firm Foundry led the Series A financing round with participation from Catalyst by Wellstar, Headwaters Ventures, and UnitedHealthcare Accelerator. Founded in 2017, the Sunnyvale, California, company offers vendor-neutral software for utilizing AI products in healthcare institutions.
“Our new funding will allow us to double down on product development and partner expansion, so healthcare professionals can leverage the power of AI to make more informed decisions and improve patient outcomes,” CEO Pelu Tran said in a Sept. 19 announcement.
Ferrum’s platform allows radiologists and other clinicians to validate the performance of AI on local datasets and deploy such software in existing workflows. Its library of algorithms now also covers oncology, cardiovascular care, neurology and orthopedics. Over 250 care sites use its product, among them, Asheville Radiology Associates, Radiology Associates of Albuquerque and Mercy Radiology. Ferrum estimates that it has seen an 86% revenue increase over the last six months
Previous investors that also joined the current round included Blumberg Capital, Cercano, GSR, Urban Innovation Fund, and Singtel Innov8.
"While there's been over $100 billion invested in clinical AI startups, adoption remains at a dismal 5% across the healthcare industry," Jaclyn Freeman Hester, JD/MBA, a partner at Foundry, said in the announcement. "Ferrum Health's approach is unlocking AI adoption at scale.”
Marty Stempniak has covered healthcare since 2012, with his byline appearing in the American Hospital Association's member magazine, Modern Healthcare and McKnight's. Prior to that, he wrote about village government and local business for his hometown newspaper in Oak Park, Illinois. He won a Peter Lisagor and Gold EXCEL awards in 2017 for his coverage of the opioid epidemic.