PathAI raises $165 million in Series C funding round for its diagnostic and drug development software

Powered by machine learning and deep learning technologies, PathAI‘s solution not only identifies biomarkers of disease but is also able to predict responses to treatments, while continuously advancing and improving the work of pathologists and pharmaceutical researchers. 

PathAI‘s promising solution has so far secured 3 multi-million funding rounds and is backed by industry-leading partners. Launched five years ago, the company aims to develop artificial intelligence-based technologies to improve the work of pathologists. The platform uses machine learning and deep learning to improve diagnostic and treatment capabilities by identifying disease biomarkers and predicting how individual patients will respond to different treatments.

Its latest round of funding, a $165 million Series C, was led jointly by D1 Capital Partners and Kaiser Permanente. A dozen other investors followed, including Bristol Myers Squibb, Labcorp and Merck’s Global Health Innovation Fund.

By April 2019, it had already secured USD 60 million from an investor group led by General Atlantic. About six months later, the round officially closed with an additional $15 million from Merck’s Global Health Innovation Fund and Bristol Myers Squibb.

The technology visionary will use the funds to expand the platform’s commercial reach and clinical research capabilities. The next goal is to expand its planning to include new disease indications beyond its current work in the diagnosis and treatment of cancer and non-alcoholic steatohepatitis, or NASH.

In addition, the Boston-based start-up is eager to bring its platform into all facets of biopharmaceutical research and drug development, from potential target identification to clinical trials and the commercialisation process, with the help of the significant funding it has just secured.

Working closely with pharmaceutical diagnostics researchers and digital pathology companies, PathAI is focused on developing AI-powered technology for the diagnosis and treatment of disease in a variety of fields.

Labcorp, in particular, expanded its existing collaboration with PathAI earlier this year. Under the expanded partnership, Labcorp will use PathAI’s algorithms to identify disease-specific biomarkers and biomarker-positive patients who will best respond to certain treatments, in order to improve clinical trials run by Labcorp’s drug development division.

As a result of this collaboration, Labcorp will also explore the possibility of using these same AI algorithms to create and commercialise complementary diagnostic devices to accompany drugs in development.

Last fall, PathAI and its long-term partner, Gilead, presented the findings of a joint study demonstrating that PathAI’s machine learning technology was able to analyse liver biopsies to accurately predict the progression of NASH and chronic hepatitis B virus infection and determine the effectiveness of standard treatments, thereby highlighting the potential of AI in improving the diagnosis and treatment of liver disease.