Subtle Medical Inc., the global market leader in AI-powered medical image acquisition, has raised close to $10 million in a Series B+ round. Investors include existing shareholders like Fusion Fund and top US and global investors, such as EnvisionX Capital, BRV Capital, Ignite Innovation, and Samsung Ventures. This latest funding round brings Subtle Medical’s Series B to over $30 million and total financing to over $50 million. The funds will primarily support accelerating US and global sales initiatives and expediting the launch of new AI-driven products.
Subtle Medical is currently leading its category with multiple times the revenue of its closest competitors and significantly higher adoption as the first mover in the market. Serving more than 600 sites globally and 2.5 million patients annually worldwide, the company has sustained a remarkable 2x year-over-year growth rate, a trend expected to continue throughout 2024.
Founded in 2017 by Dr. Enhao Gong, a serial entrepreneur with a PhD in Electrical Engineering from Stanford University, and Dr. Greg Zaharchuk, a radiologist and professor at Stanford University, Subtle Medical is headquartered in Silicon Valley with a globally distributed team. The company leverages AI and advanced generative models to accelerate the data acquisition stage of medical imaging exams, including MRI, PET, CT, SPECT, and angiography – several in the product pipeline. Their AI products aim to enhance image quality and efficiency while potentially reducing radiation and contrast agent dosages, thereby improving examination safety and accuracy.
The company holds exclusive licensing rights to technology developed by the founders at Stanford University in 2016, boasts over 30 global patents, and has more than 20 peer-reviewed publications validating their products worldwide. Subtle Medical has achieved seven FDA clearances to date, with major products also CE Mark (MDR) approved, along with other regional clearances globally. The company has earned multiple industry accolades, including the NVIDIA Inception AI award, multiple CB Insights Top AI 100 Company, and Top GenAI 50 Company.
Currently, Subtle Medical operates with multiple business models to commercialize its AI technologies globally. They primarily offer AI solutions as SaaS or software systems to hospitals and imaging centers in the United States, Europe, and Latin America. Recently, they have seen significant growth in the APAC region, including China and Southeast Asia, with plans to enter the Korean and Japanese markets in 2024. Additionally, Subtle Medical has been contracted by leading medical imaging equipment manufacturers, such as Siemens Healthineers, and pharmaceutical companies, such as Bayer and Bracco, leveraging Subtle’s AI solutions and platform to enhance workflow, quality, efficiency, and radiopharmaceutical applications in MRI and PET Imaging.
Subtle Medical leads its category with market-leading products and an expanding product line, including flagship products SubtleMR™ and SubtlePET™, which were the first of their kind to receive FDA approval in 2018 and 2019, respectively. With seven FDA clearances secured so far, Subtle Medical is one of the leading vendors in AI devices. This year, the company has announced new FDA clearances for SubtleREFORMAT™, a new AI product for MRI data harmonization and quality standardization, and SubtleSYNTH™, a new category-defining software solution that further improves quality and efficiency with AI-powered synthetic image generation, leveraging more data and resulting in greater acceleration.
“With tens of millions of dollars worth of contracts secured from top radiology providers worldwide, Subtle Medical is poised to capture a significant market share of the $35 billion AI-powered radiology market,” said Sean Seoho Lee, Executive Director at Ignite Innovation. “Focusing on the image acquisition stage of radiology, rather than the crowded downstream diagnostics market, the company has established itself as a clear category leader. Subtle Medical stands out from its competitors by encompassing multiple imaging modalities beyond just MRI, tapping into a larger market, and enabling partnerships with pharmaceutical companies. Led by a world-class team of AI experts, clinical leaders, and experienced healthcare executives, the company is set to propel substantial growth and continue its impressive trajectory.”
“In addition to the advantage of expanding AI product lines, Subtle Medical further differentiates itself from others with solid partnerships built with top scanner manufacturers and top radiology pharmaceutical companies, ensuring its leading position in this vertical,” said Lu Zhang, Founder and Managing Partner of Fusion Fund.
“Subtle Medical boasts a proven suite of AI-powered SaaS products with a strong product-market fit,” added a representative from Samsung Ventures. “The company’s value proposition centers on improving efficiency, reducing costs, and enhancing patient care for hospitals. Subtle Medical’s AI-powered solutions deliver a clear return on investment for hospitals and imaging centers by doubling scanner throughputs. Subtle also continuously leads with new innovation, winning multiple awards to advance research and technology that potentially reduces radiation dosage and contrast dosage for patients by 90%. This impressive ROI has resulted in a growing base of satisfied customers and an expanding partnership network, driving strong market traction and solidifying the company’s leadership in the industry.”
“Improving the quality and efficiency of data generation can significantly optimize imaging workflows, helping serve more patients better and enabling better AI training for diagnosis and treatment,” said Dr. Enhao Gong, CEO at Subtle Medical. “The new funding and product line expansion distinguish us from any competitors, allowing us to continue leading and building a new era of AI-powered imaging acquisition and workflow solutions.”
