Sword Health, a virtual musculoskeletal care provider, announced a $130 million funding round on Tuesday. The company also unveiled a new AI care specialist that will talk to users and guide them through their sessions.
New York City-based Sword Health addresses muscle and joint issues from the neck to the ankle. It also has a women's health program called Bloom that takes care of pelvic disorders. The company serves both employers and health plans. Through Sword Health's AI care platform, patients have access to clinical experts, personalized programs, educational content, and technology that supports them through exercise.
The $130 million funding round was raised from both new and existing investors. The company did not disclose the names of the investors in the round, but existing investors include Khosla Ventures, General Catalyst, Founders Fund, and others. The announcement said the round was a “combination of a primary and secondary sale to provide liquidity to current and former employees, as well as early investors.” SwordHealth has raised a total of $340 million, giving it a valuation of $3 billion (a 50% increase from its Series D valuation announced in 2021). The company also told MedCityNews that it may pursue an IPO in the near future.
Sword Health's new AI care specialist (called Phoenix) has historical data on a patient's condition and progress. It can verbally communicate with users, asking how they're feeling and providing motivation. It also provides real-time feedback and suggestions during sessions. And it summarizes the patient's performance data after each session, which helps clinicians better understand the patient's progress.
“Since pioneering the novel concept of AI care in my doctoral studies over a decade ago, we have worked relentlessly to evolve it through various iterations,” Virgilio “V” Bent, founder and CEO of Sword Health, said in a statement. “Now, the launch of Phoenix marks the biggest leap for our model to date, and we are excited to see how this will impact the way the world accesses and receives care.”
The company said Phoenix will be rolled out throughout 2024, first in Sword Health's physical pain solution, Thrive, then in Bloom, before eventually being integrated across the company's entire platform.
Phoenix's funding and announcement comes at a time when the World Health Organization reports that approximately 1.71 billion people worldwide suffer from musculoskeletal conditions, making them a leading cause of disability. But AI can significantly improve care, according to Vinod Khosla, founder of Khosla Ventures.
“AI is the only way to deliver personalized, accessible healthcare to all,” Khosla said in a statement. “We made an early bet on Sword based on their bold vision to create a new category of AI-powered healthcare. Their execution is world-class, and we are excited to continue working with them as they bring their AI care platform to more people around the world.”
Sword Health isn't the only company offering musculoskeletal support – others include Hinge Health and Kaia Health.
Photo: Sword Health
