Function Health raises $298M Series B at $2.5B valuation

From electronic health records and blood tests to the flood of data from wearable devices, the amount of health information people generate is rapidly increasing. Yet many users struggle to connect this wealth of data in a meaningful way and actually use it to improve their health.

Function Healthwhich offers a mainstream lab testing service to help people track their health, wants to change that by consolidating health data and making it actionable for its customers by connecting that data to an AI model. To further these efforts, the company recently raised $298 million in a Series B round led by Redpoint Ventures at a valuation of $2.5 billion.

a16z also participated in the financing round; Aglaé Ventures; Alumni companies; NBA athletes Allen Crabbe, Blake Griffin and Taylor Griffin; Battery companies; Nat Friedman and Daniel Gross’ investment firm, NFDG; and Roku founder Anthony Wood. The round brings the company’s total capital raised to $350 million.

In addition to the funding, Function unveiled Medical Intelligence Lab, an effort to build a generative AI model for ‘medical intelligence’ that can be used to provide personalized health insights based on user data, content and research. The company said the model is trained by doctors. For its customers, the company offers an AI chatbot that can answer questions based on their health data and use previous lab results, doctor notes and scans to provide customized guidance.

“It’s not good enough to be in a world where AI exists and not apply it to your health,” Jonathan Swerdlin, CEO and co-founder of Function, told TechCrunch. “You should be able to manage your biology. The goal of Function Health is to apply the best available technology to human health.”

Swerdlin noted that the platform complies with HIPAA standards, fully encrypts user data and never sells personal information. “Your data and your identity are never for sale. Every piece of your information is fully encrypted and protected. We are committed to keeping you and your data safe.”

Function’s chief medical scientist, Dr. Dan Sodickson, and co-founder and chief physician Dr. Mark Hyman, co-lead the development of MI Lab and his team of physicians, researchers and engineers. The MI model is trained by physicians and they remain involved in the process, Swerdlin said.

While the space has many players, Function stands out from competitors like Superpower, Neko Health and InsideTracker thanks to its device-agnostic approach, Swerdlin said, adding that the platform integrates lab testing, diagnostics and clinical insights to offer more than a typical AI coach or wellness app.

Function has 75 locations in the U.S. and members “can get lab testing done at 2,000 Quest locations,” he added. Function says it has conducted more than 50 million laboratory tests since 2023.

This article has been updated to reflect that Function Members have access to testing at 2,000 mission locations.