Rad AI: The Fastest-Growing AI Powerhouse in Digital Health

Written by Lynna Truong, PharmD 2027

February 3, 2025

Rad AI: The Fastest-Growing AI Powerhouse in Digital Health

Founded in 2018 by Dr. Jeff Chang, one of America's youngest radiologists, and Doktor Gurson, a serial tech entrepreneur, Rad AI is a healthcare startup shaking the field of radiology. The company has gained recent attention in the digital health industry after securing a $60 million Series C funding round.1,2

What is Rad AI?

Rad AI uses its original, generative AI models to streamline radiologist workflows, reduce burnout, and improve patient care.1 Unlike many startups in the radiology tech market that focus on using AI for image processing, Rad AI assists clinicians with more routine tasks like preparing reports and patient follow-ups.2 The company currently offers three products:

1. Rad AI Reporting: Uses AI to generate draft report text in seconds, reducing dictation time by up to 90% and alleviating radiologist burnout. 

2. Rad AI Impressions: Generates automatic and customized report impressions from a radiologist’s dictated findings. 

3. Rad AI Continuity: Ensures proper patient follow-up for potential new cancers, significantly increasing follow-up rates from 30% to 75% or more at partner health systems.1 

Recent Success

The company’s latest investment brings the company's total funding to over $140 million, valuing Rad AI at $525 million. The oversubscribed round, coming just seven months after a $50 million Series B, highlights strong investor confidence in Rad AI's mission.2  Additionally, the company recently announced its partnership with Google Cloud, which will allow Rad AI to further scale its technology using Google’s MedLM foundation models and cloud services.3

Looking Ahead

Though the company is still relatively young, Rad AI is already working with over 100 healthcare organizations, including 9 of the 10 largest radiology practices in the US.1,2 With this substantial funding and partnerships, Rad AI is positioned for further expansion and innovation. As the company moves forward, it remains committed to its mission of empowering physicians with AI, saving time, reducing burnout, and ultimately improving patient outcomes.

References:

1. Rad AI. Revolutionize Workflows with Powerful Radiology AI. Accessed February 1, 2025. https://www.radai.com/

2. Torrence R, Bergman B. Rad AI raises Series C funding led by Transformation Capital, valuing the startup at $525 million. Business Insider. January 24, 2025. Accessed February 1, 2025. https://www.businessinsider.com/rad-ai-funding-transformation-capital-series-c-2025-1

3. Balasubramanian S. Rapidly growing radiology AI company Rad AI strikes partnership with Google Cloud. Forbes. Published January 16, 2024. Accessed February 1, 2025. https://www.forbes.com/sites/saibala/2024/01/16/rapidly-growing-radiology-ai-company-rad-ai-strikes-partnership-with-google-cloud/