OpenEvidence, a healthcare-focused chatbot startup, has secured $75 million in funding from Sequoia Capital Operations LLC, valuing the company at over $1 billion. The funding round brings the total amount raised by OpenEvidence to more than $100 million.
Founded by Daniel Nadler, who previously sold his AI startup Kensho Technologies Inc. to Standard & Poor’s Financial Services LLC for $700 million in 2018, OpenEvidence aims to create a generative AI chatbot exclusively for doctors. The tool is designed to assist doctors in making informed decisions about patient care and is already used by approximately a quarter of all U.S. physicians.
Nadler claims that the OpenEvidence chatbot is more accurate than similar platforms like ChatGPT, thanks to its training data sourced from peer-reviewed medical journals such as The New England Journal of Medicine. This approach enables the chatbot to avoid “hallucinations,” where AI systems may provide inaccurate or made-up responses.
OpenEvidence’s business model relies on advertising revenue, and the company has achieved significant adoption among doctors due to word-of-mouth recommendations. Sequoia partner Pat Grady notes that OpenEvidence has spread rapidly among doctors, much like consumer internet companies, due to its positive user experiences.
Nadler emphasizes that AI-powered automation in healthcare will ultimately benefit humanity, particularly by addressing the shortage of physicians in the U.S., which is projected to reach nearly 100,000 by the end of the decade. With the Sequoia funding, OpenEvidence plans to enhance the capabilities of its chatbot and establish partnerships with prominent medical publications.
Source: https://siliconangle.com/2025/02/19/openevidence-raises-75m-become-chatgpt-doctors