Function Health, a provider of regular lab testing services aimed at health data consolidation, has announced the completion of a $298 million Series B funding round, valuing the company at $2.5 billion. The investment was led by Redpoint Ventures, bringing Function Health's total capital raised to $350 million.
The funding round saw participation from multiple investors including a16z, Aglaé Ventures, Alumni Ventures, Battery Ventures, Nat Friedman and Daniel Gross’ investment firm NFDG, Roku founder Anthony Wood, and NBA athletes Allen Crabbe, Blake Griffin, and Taylor Griffin.
Concurrent with the funding announcement, Function Health unveiled its Medical Intelligence Lab. This initiative is focused on developing a generative artificial intelligence (AI) model designed to provide personalized health insights. The company stated that the model is trained by medical doctors and will leverage users' health data, existing content, and research.
For its customers, Function Health is rolling out an AI chatbot. This tool is engineered to address user inquiries based on their individual health data, integrating previous lab results, doctor's notes, and medical scans to deliver tailored guidance.
Jonathan Swerdlin, CEO and co-founder of Function Health, stated that the platform adheres to HIPAA standards, encrypts user data, and does not sell personal information. "Your data and your identity are never for sale. Every bit of your information is fully encrypted and protected. We are committed to keeping you, and your data, safe," Swerdlin said.
The Medical Intelligence Lab is co-led by Dr. Dan Sodickson, Function's chief medical scientist, and Dr. Mark Hyman, co-founder and chief medical officer. Swerdlin noted that doctors are involved in both the training and ongoing development process of the MI model.
Function Health distinguishes itself from competitors through a device-agnostic approach, integrating lab testing, diagnostics, and clinical insights, according to Swerdlin. The company currently operates 75 locations across the United States and aims to expand to nearly 200 by the end of the year. Since 2023, Function Health reports completing over 50 million lab tests.
