AI Medical Scribe Abridge Doubles Valuation to $5.3B

Abridge Secures $300 Million in Series E Funding

Abridge, a company specializing in AI-driven automation of medical documentation, has successfully raised $300 million in a Series E funding round. This new investment brings the company’s valuation to $5.3 billion, as reported by the Wall Street Journal.

The funding round was spearheaded by Andreessen Horowitz, with additional participation from Khosla Ventures. This follows a previous $250 million fundraise in February, which valued Abridge at $2.75 billion.

Dominance in the AI Medical Scribe Market

Established seven years ago, Abridge is currently recognized as a frontrunner in the rapidly expanding market for AI-powered medical scribes. Its early market entry and strategic integration with Epic Systems, the leading electronic health record software, have been key to this position.

Financial Performance and Growth

Recent reports from The Information indicate that Abridge achieved $117 million in contracted annual recurring revenue during the first quarter of the year. This figure encompasses all signed recurring contracts, even those with customers who haven’t yet been fully integrated.

Expansion into AI-Powered Medical Coding

Alongside the funding announcement, Abridge revealed its expansion into the realm of AI-powered medical coding. The company will now convert notes taken during patient appointments into standardized medical codes.

This new capability positions Abridge as a direct competitor to companies such as CodaMetrix, and also overlaps with a feature offered by its existing partner, Epic Systems.

Widespread Adoption in Healthcare Systems

Founded by cardiologist Shiv Rao, Abridge asserts that its AI scribe technology is currently utilized by more than 150 of the largest health systems across the United States.

The technology is designed to streamline clinical workflows and reduce the administrative burden on healthcare professionals.