Latest news with #KhoslaVentures
Yahoo
16 hours ago
- Business
- Yahoo
R1 Announces Investment from Khosla Ventures as it Accelerates AI-Driven Healthcare Transformation
Investment Follows Recent R37 Launch MURRAY, Utah, May 28, 2025 (GLOBE NEWSWIRE) -- R1, an industry leader in managing and intelligently automating healthcare revenue management with over 20 years of experience, today announced an investment from Khosla Ventures, a leading backer of transformative AI companies. The investment follows the successful launch of R37, R1's enterprise-grade AI lab developed in partnership with Palantir, which is dedicated to strengthening the financial health of providers through core agentic AI applications. As U.S. healthcare providers continue to grapple with rising administrative complexity and margin pressure, AI-native solutions for revenue management have become mission-critical. Administrative costs account for over 40% of hospital expenses, and more than $160 billion is spent annually on revenue cycle operations alone. R1's R37 AI lab addresses this challenge head-on, delivering agentic AI solutions built on R1's unmatched proprietary data set that automate labor-intensive workflows such as coding, billing, and denials management with unprecedented speed and precision. Khosla Ventures invests early into companies that are bold and impactful. It was the first investor in OpenAI, Block, and DoorDash, and early into a range of AI companies from Cognition to Sword Health. 'AI is transforming every corner of the economy with healthcare being one of the largest sectors of impact,' said Vinod Khosla, founder of Khosla Ventures. 'R1 is pioneering the use of AI in healthcare revenue management, and we are excited to partner with them as they leverage AI to simplify the healthcare experience for patients and help providers operate more efficiently.' R1's unmatched footprint — serving 94 of the top 100 U.S. health systems — positions it as a category-shaping force in healthcare financial technology. With over 180 million annual payer transactions, 1.2 billion annual workflow actions, and 20,000 proprietary automation algorithms, R1 has built one of the richest and most actionable data environments in healthcare. The launch of R37 marked a turning point in the company's strategy to apply agentic AI across this ecosystem. 'Following the milestone launch of R37 this year, having Khosla Ventures as an investor is both a validation and a catalyst for the opportunity we see ahead as we bring our proprietary, agentic AI solution to the healthcare ecosystem,' said Joe Flanagan, CEO of R1. 'Khosla Ventures' impressive track record backing transformative AI companies speaks for itself. With their engagement and deep experience with AI, we'll continue our investments in R37 and drive toward a future where we seamlessly combine enterprise-grade AI with our unique data, scale and subject matter expertise, to strengthen the financial health of providers while delivering better patient care.' About R1R1 is a leading provider of automation solutions that transform the financial performance and patient experience for health systems, hospitals, and physician groups. R1's proven and scalable operating models seamlessly complement a healthcare organization's infrastructure, quickly driving sustainable improvements to net patient revenue and cash flows while driving revenue yield, reducing operating costs, and enhancing the patient experience. To learn more, visit: About Khosla VenturesKhosla Ventures is a venture capital firm focused on investments in artificial intelligence, financial services, healthcare, consumer, enterprise, and sustainability sectors. It is known for making early capital investments in startups such as OpenAI, Instacart, Affirm, DoorDash, and Block. Contacts R1:Jonathan Keehner / Madeline JonesJoele Frank, Wilkinson Brimmer Katcher R1RCM-JF@ Will ReillyVP, Marketingmedia@ Khosla Ventures:media@
Yahoo
5 days ago
- Business
- Yahoo
Khosla Ventures among VCs experimenting with AI-infused roll-ups of mature companies
Venture capitalists have always focused on investing in companies that leverage technology to either disrupt established industries or create entirely new business categories. But some VCs are starting to flip the script on their investing styles. Rather than funding startups, they are acquiring mature businesses –such as call centers, accounting firms, and other professional service firms—and optimizing them with artificial intelligence to serve more customers through automation. This strategy, often likened to private equity roll-ups, is being employed by firms such as General Catalyst, Thrive Capital, and solo VC Elad Gil. General Catalyst, touting this as a new asset class, has already backed seven such companies, including Long Lake, a startup that scoops up homeowners' associations in an effort to make the management of communities more streamlined. Since its founding less than two years ago, Long Lake has secured $670 million in funding, according to PitchBook data. While the strategy is still new, a few other venture outfits have told TechCrunch that they are also considering trying out the investment model. Among them is Khosla Ventures, a firm known for making early bets on risky, unproven technologies with long development timelines. "I think we'll look at a few of these types of opportunities," Samir Kaul, general partner at Khosla Ventures, told TechCrunch. Interestingly, this PE-flavored approach could be a surprising benefit to the multitudes of AI startups VCs are backing. If a VC marries old businesses with new technology, AI startups wanting to serve these industries would essentially gain instant access to large, established clients. According to Kaul, such access would be helpful when new startups have difficulties securing customers on their own. With the rapid rate of change in AI, the number of startups pouring into the market, and the historically long sales cycles involved in selling to enterprises, such difficulties apply to many AI startups. But Khosla Ventures wants to proceed with caution. "The companies we're looking at are very unlikely to lose money," Kaul said, but he doesn't want the strategy to ruin the firm's strong return track record. "My biggest stress in life is I'm managing other people's money, and I want to make sure that I continue to be a good steward of it." While Khosla Ventures is starting to "dabble" in AI roll-up investments, Kaul explained that the firm wants to do a few deals to assess if such investments deliver strong returns for the firm before possibly raising money for some kind of vehicle specifically aimed at this investment strategy. If early bets pan out, Khosla would likely partner with a PE-style firm to help it with acquisitions rather than hire a team. "We wouldn't do it alone, we don't have that expertise," he said. This article originally appeared on TechCrunch at
Yahoo
5 days ago
- Business
- Yahoo
Khosla Ventures among VCs experimenting with AI-infused roll-ups of mature companies
Venture capitalists have always focused on investing in companies that leverage technology to either disrupt established industries or create entirely new business categories. But some VCs are starting to flip the script on their investing styles. Rather than funding startups, they are acquiring mature businesses –such as call centers, accounting firms, and other professional service firms—and optimizing them with artificial intelligence to serve more customers through automation. This strategy, often likened to private equity roll-ups, is being employed by firms such as General Catalyst, Thrive Capital, and solo VC Elad Gil. General Catalyst, touting this as a new asset class, has already backed seven such companies, including Long Lake, a startup that scoops up homeowners' associations in an effort to make the management of communities more streamlined. Since its founding less than two years ago, Long Lake has secured $670 million in funding, according to PitchBook data. While the strategy is still new, a few other venture outfits have told TechCrunch that they are also considering trying out the investment model. Among them is Khosla Ventures, a firm known for making early bets on risky, unproven technologies with long development timelines. "I think we'll look at a few of these types of opportunities," Samir Kaul, general partner at Khosla Ventures, told TechCrunch. Interestingly, this PE-flavored approach could be a surprising benefit to the multitudes of AI startups VCs are backing. If a VC marries old businesses with new technology, AI startups wanting to serve these industries would essentially gain instant access to large, established clients. According to Kaul, such access would be helpful when new startups have difficulties securing customers on their own. With the rapid rate of change in AI, the number of startups pouring into the market, and the historically long sales cycles involved in selling to enterprises, such difficulties apply to many AI startups. But Khosla Ventures wants to proceed with caution. "The companies we're looking at are very unlikely to lose money," Kaul said, but he doesn't want the strategy to ruin the firm's strong return track record. "My biggest stress in life is I'm managing other people's money, and I want to make sure that I continue to be a good steward of it." While Khosla Ventures is starting to "dabble" in AI roll-up investments, Kaul explained that the firm wants to do a few deals to assess if such investments deliver strong returns for the firm before possibly raising money for some kind of vehicle specifically aimed at this investment strategy. If early bets pan out, Khosla would likely partner with a PE-style firm to help it with acquisitions rather than hire a team. "We wouldn't do it alone, we don't have that expertise," he said. Error while retrieving data Sign in to access your portfolio Error while retrieving data
TechCrunch
5 days ago
- Business
- TechCrunch
Khosla Ventures among VCs experimenting with AI-infused roll-ups of mature companies
Venture capitalists have always focused on investing in companies that leverage technology to either disrupt established industries or create entirely new business categories. But some VCs are starting to flip the script on their investing styles. Rather than funding startups, they are acquiring mature businesses –such as call centers, accounting firms, and other professional service firms—and optimizing them with artificial intelligence to serve more customers through automation. This strategy, often likened to private equity roll-ups, is being employed by firms such as General Catalyst, Thrive Capital, and solo VC Elad Gil. General Catalyst, touting this as a new asset class, has already backed seven such companies, including Long Lake, a startup that scoops up homeowners' associations in an effort to make the management of communities more streamlined. Since its founding less than two years ago, Long Lake has secured $670 million in funding, according to PitchBook data. While the strategy is still new, a few other venture outfits have told TechCrunch that they are also considering trying out the investment model. Among them is Khosla Ventures, a firm known for making early bets on risky, unproven technologies with long development timelines. 'I think we'll look at a few of these types of opportunities,' Samir Kaul, general partner at Khosla Ventures, told TechCrunch. Interestingly, this PE-flavored approach could be a surprising benefit to the multitudes of AI startups VCs are backing. If a VC marries old businesses with new technology, AI startups wanting to serve these industries would essentially gain instant access to large, established clients. Techcrunch event Join us at TechCrunch Sessions: AI Secure your spot for our leading AI industry event with speakers from OpenAI, Anthropic, and Cohere. For a limited time, tickets are just $292 for an entire day of expert talks, workshops, and potent networking. Exhibit at TechCrunch Sessions: AI Secure your spot at TC Sessions: AI and show 1,200+ decision-makers what you've built — without the big spend. Available through May 9 or while tables last. Berkeley, CA | REGISTER NOW According to Kaul, such access would be helpful when new startups have difficulties securing customers on their own. With the rapid rate of change in AI, the number of startups pouring into the market, and the historically long sales cycles involved in selling to enterprises, such difficulties apply to many AI startups. But Khosla Ventures wants to proceed with caution. 'The companies we're looking at are very unlikely to lose money,' Kaul said, but he doesn't want the strategy to ruin the firm's strong return track record. 'My biggest stress in life is I'm managing other people's money, and I want to make sure that I continue to be a good steward of it.' While Khosla Ventures is starting to 'dabble' in AI roll-up investments, Kaul explained that the firm wants to do a few deals to assess if such investments deliver strong returns for the firm before possibly raising money for some kind of vehicle specifically aimed at this investment strategy. If early bets pan out, Khosla would likely partner with a PE-style firm to help it with acquisitions rather than hire a team. 'We wouldn't do it alone, we don't have that expertise,' he said.
Forbes
13-05-2025
- Business
- Forbes
Somite AI Raises $47M Series A To Reinvent Cell Replacement Therapy
Regenerative medicine and therapeutic stem cell therapy to regrow damaged cells as treatment for ... More disease Startup Somite AI announced today that it has raised over $47 million in a Series A funding round, bringing its total funding to about $60 million. The round was led by Khosla Ventures, with participation from SciFi VC, the Chan Zuckerberg Initiative, Fusion Fund, Ajinomoto Group Ventures, Pitango HealthTech, TechAviv, Harpoon Ventures, and prominent angel investors such as Fidji Simo, the new CEO of Applications at OpenAI. Legendary investor Vinod Khosla said in a statement: 'Somite AI's foundation models, once fully developed and validated, will not only create value for their own pipeline, but have the potential to reshape the entire field of human cell therapy.' Somite's initial ambition was to design a 'life language model' to drive the development of Somites, the embryonic structures at the origin of the musculoskeletal system, and use them in cell replacement therapy targeting particular ailments such as Duchenne muscular dystrophy, the most common hereditary neuromuscular disease. With today's announcement, Somite is publicly broadening its scope, aiming to revolutionize the production of any human cell type through its AI foundation model platform, DeltaStem, to address a broad spectrum of diseases, including metabolic disorders such as Type 1 Diabetes, orthopedic conditions, muscular diseases, and blood disorders. When Somite was established just over a year ago, the founders asked themselves what they would be able to do if they could create any type of human cell. 'We'd be able to replace and replenish any diseased or damaged tissue in the body,' says co-founder and CEO Micha Breakstone, defining their mission as reverse engineering of stem cell biology with artificial intelligence. 'Today, we only know how to reliably produce about 10 types of cells, but there are over 5,000 types of cells in the human cell atlas,' says Breakstone. 'There are more possible ways of creating a specific cell than there are atoms in the universe.' To take a stem cell to a specific mature state, researchers adjust both its environment and the specific biological signals it receives—such as the concentration of a growth factor or a change in pH—learning through step-by-step experimentation the precise sequence of conditions that guide its developmental trajectory. How do you re-engineer a process that takes many years, tens of millions of dollars, and lots of trial and error, with no guaranteed result? As in other domains (e.g., quantum computing error correction), where the 'search space,' the initial set of potential solutions to a problem, is beyond human comprehension (e.g., larger than the number of atoms in the universe), AI could be of great help. However, you need vast quantities of data to successfully apply today's AI or deep learning. The first ingredient in Somite's recipe for developing a cell foundation model is its innovative method for efficiently generating data at scale in a completely natural way. Professor Alon Klein, another Somite co-founder, had a thinking-inside-the-box breakthrough moment when he asked, as Breakstone tells it, 'What would happen if instead of taking the signals to the cells, we take the cells to the signals?' The box or boxes in this case are semi-permeable capsules, each containing a few cells, with minuscule 'windows' allowing the signals to come in and affect the cells. The Somite lab team sends millions of these capsules through many signals or conditions, and each cell-condition encounter is recorded with a barcode. Put all the barcodes together and 'you get an address that correlates with exactly the specific trajectory that the capsule went through, a beautiful model of the development of the embryo,' explains Breakstone. This capsule technology generates cell state transition data at an unprecedented scale, achieving 1000x greater efficiency than existing methodologies. For Jonathan Rosenfeld, another Somite co-founder, this data serves as the basis for developing an AI foundation model for the human cell. Currently, Somite is running experiments at roughly a one-million-condition scale, mapping the developmental paths embryonic cells take under these varied conditions. It plans to reach 10 million conditions by the end of the year. Given the enormous size of the 'search space,' even 100 million would be just a drop in the vast ocean of 'protocols,' all the possible trajectories of cell development. 'However,' says Breakstone, 'it's a drop large enough to learn from, and that's the beauty of deep learning. From a relatively small amount of data, we can develop and train a working model to generate novel protocols that we haven't seen before.' With its DeltaStem platform, Somite aims to overcome key challenges of current lab-based stem cell development—the prohibitively expensive, slow, manual, trial-and-error methods researchers use to guide stem cells toward specific mature cell types. Major obstacles include purity (percentage of desired cells produced), scalability (efficient cell manufacturing at therapeutic scale), and reproducibility (consistent results across batches). 'What AlphaFold did by predicting protein structures, transforming structural biology, DeltaStem aims to achieve for stem cell biology—predicting the conditions needed to precisely generate mature human cell types at scale,' says Breakstone. Unlike biotech companies traditionally engaged in individual drug development, 'TechBio' companies like Somite focus on developing broad technology platforms addressing multiple indications. Their approach is data-driven, and their goal is to develop proprietary AI that reduces costs and risks, shortens drug and treatment development time, and accelerates the shift to more personalized medicine. The success of Moderna and the Nobel Prize awarded to AlphaFold have attracted increased venture capital and corporate investment in applying data and AI to current healthcare challenges, including improving regenerative medicine: 'Artificial intelligence presents broad utility in the discovery and development of new biotherapeutics.' Somite's AI foundation model and platform will help build a future 'where we can create any human cell on demand, like a supply of cellular spare parts to repair or replace diseased or damaged tissue,' says Breakstone.
