Healthcare’s Sci-Fi Future at Epic UGM

Where there’s smoke, there’s fire, and Epic just lit up its sci-fi themed User Group Meeting with enough futuristic new solutions to prove last week’s rumors true – and then some.

The future is now. This year’s event gave us a look at over 160 AI projects currently under development at Epic, including a three-product family set to immediately shake up the industry.

ART is a provider copilot for charting, pre-visit summaries, queuing up orders, and yes – ambient scribing.

  • ART will reportedly be able to provide real-time suggestions during visits, and its highly-anticipated scribe still came as a surprise after Epic revealed that it will be powered by Microsoft when it arrives in early 2026. More on that later.

Emmie is a patient-facing advocate within MyChart that can help with everything from scheduling and reminders to education and navigation.

  • Epic is positioning Emmie as the best place for patients to ask health questions and get answers that are actually grounded in their personal medical history.

Penny is an administrative assistant targeted at revenue cycle management, generating appeal letters, and supporting back-office tasks.

  • There isn’t as much information out there on this one, but Epic doesn’t appear to be shying away from claims and payor workflows.

The EHR is dead, long live the CHR. Judy grabbed even more headlines by announcing that she’s retiring the term “EHR” in favor of “Comprehensive Health Record,” which seems fitting considering the other major announcements that joined the Big Three.

  • Cosmos AI will provide diagnosis and treatment support, as well as discharge planning.
  • MyChart Central will give patients a single login across all sites of care.
  • Flower Pot will expand access to lightweight Epic implementations for smaller practices.

The scribe is real. Now what? Epic’s decision to team up with Microsoft on documentation was pretty unexpected given its 46-year track record of building everything in-house, confirming that the CHR giant would rather bend its core rules than lose market share.

  • Scribes proved how fast health systems would layer on their own AI if Epic couldn’t keep up, and we’ll now have to wait and see if the cost and experience of Epic’s scribe is enough to compete with the flock of ambient AI innovators dedicated to this problem.
  • Epic might own the “operating system,” almost as much as Microsoft owns Windows, but just because MS Paint exists doesn’t mean the world doesn’t need Adobe Photoshop.

The Takeaway

Some call it consolidation. Others call it innovation. Either way, this year’s UGM will probably go down as a key step along Epic’s march toward intergalactic domination. 

Is AI Robbing Physicians of Their Skill? 

A study in The Lancet threw some refreshingly cold water on the AI hype train after finding that healthcare’s shiny new models might be de-skilling physicians.

Here’s the setup. Researchers tracked four Polish health centers that gave their gastroenterologists AI to help spot polyps during colonoscopies before yanking it away after three months.

  • Long story short, the doctors’ ability to detect polyps plummeted 6% below baseline following the AI rugpull.
  • Unassisted polyp detection rates fell from 28.4% before the AI teaser to 22.4% after, raising concerns that relying on AI might rob physicians of hard-won skills. 

Sounds familiar. The findings echo a recent MIT preprint that showed that people who used AI to write essays used less of their brains and had worse recall of their writing than those who mustered up the words on their own.

  • That’s probably not a shocker to anyone that’s used ChatGPT for more than five minutes, but it’s easy to see that it might spell trouble when applied to medicine.
  • If gastroenterologists start leaning on AI to detect polyps, what happens if they lose their ability to detect them without it?

Right idea, wrong question. People were better at mental math before they had calculators, but that doesn’t mean society would be better off without them. The question we have to ask ourselves is, which skills are we willing to lose?

  • Gastroenterologist Dr. Spencer Dorn nails it: AI doesn’t just risk de-skilling doctors in polyp detection, it risks diminishing their overall critical thinking skills.
  • “My real concern is not the technical skills we can afford to lose, but the foundational ones we can’t: critical thinking, sound judgment, and compassionate care. These aren’t just important to preserve – they’re irreplaceable.”

The Takeaway

If doctors keep outsourcing their thinking to AI, it could be a one-way ticket to a world where Dr. GPT is the only one patients can turn to. Seems dystopian, but is it really that bad if it also means better outcomes for those patients?

AI Spotlight on Epic, Abridge, and Oracle 

Epic, Abridge, and Oracle just gave us a year’s worth of blockbuster AI announcements in three days, and at least one of them was more than speculation and old news.

‘Twas the week before UGM, and the rumor-mill has been overheating with reports that Epic might finally launch its own EHR-native scribe at its upcoming User Group Meeting.

  • Over 40% of U.S. hospitals are already on Epic, which means its scribe would have access to one of the biggest distribution channels in healthcare even if its UX and performance aren’t best-in-breed (which they won’t be).
  • That means about 100 ambient AI startups could be about to find out why scribing is a feature – not a product – and the race will be on to differentiate through other capabilities like RCM and specialty-specific tuning.

Abridge doesn’t plan on being commoditized. Less than 24 hours after Epic’s scribe leaked, Abridge unveiled the exact type of solution that’ll define who survives the incumbent squeeze: real-time prior authorization at the point of conversation.

  • Abridge is co-developing the new solution alongside Highmark Health, a Pittsburgh-based payvidor that operates both a multistate payor division and the 14-hospital system Allegheny Health Network.
  • Integrating Abridge’s ambient AI platform across Highmark’s entire organization will allow patients to get approval for necessary treatments before they even leave the office, a perfect example of how “scribes” can be truly transformative beyond just transcripts.

Oracle couldn’t let Epic and Abridge have all the fun. It decided to “usher in a new era of AI-driven health records”… by reintroducing us to the same AI EHR it unveiled last October.

  • Although mostly a PR stunt to grab headlines ahead of UGM, the new EHR includes several features that underscore where the AI puck is heading, including a native scribe, voice-first navigation, and agents to support clinical workflows.
  • These features are also a good list of use cases where startups might not have a lot of juice left to squeeze after EHRs start bringing them in-house (and prior auths just so happen to be the last thing Oracle wants to get its hands dirty with).

The Takeaway

Native scribing is (very likely) on its way to Epic, Abridge is giving patients the gift of time with instant prior auths, and Oracle is banking on voice for the future of EHR navigation. What a week for digital health.

The Generalist-Specialist Paradox of Medical AI

Technological advances have ushered in an era where many AI models outperform specialists on specific tasks, but AI still lags far behind experts in less controlled settings.

That’s the Generalist-Specialist Paradox of Medical AI laid out in a recent NEJM AI editorial, which paints a picture of a world where AI might soon start redrawing the boundaries of medical specialties as they exist today.

  • AI is already delivering great results on well-defined tasks like interpreting EEGs or CT scans, but it’s still consistently struggling on generalist tasks with less clear boundaries.
  • If that trend continues, the article argues that tasks that used to be in the hands of specialists will be at the fingertips of primary care (just as tasks that used to belong to primary care will now belong to patients).

LLMs don’t care what specialty a case belongs to. They can ingest the full clinical context across visit notes, labs, and imaging to come up with the most probable diagnosis.

  • Breyer Capital Partner Dr. Morgan Cheatham recently made the case that this feature of AI could lead to the collapse of traditional medical specialties as we know them.
  • “Some domains will converge. Others will splinter into new subspecialties defined not by organ systems, but by data fluency, workflow design, or model supervision.”

Not so fast. There’s no doubt that AI will reshape roles, but that doesn’t mean that specialists are about to start offloading everything onto generalists.

  • High-quality care requires more than following AI-friendly guidelines, and specialists incorporate judgment earned through years of experience to deliver effective treatments. LLMs are also still a ways away from replacing anyone’s hip.
  • Primary care providers also aren’t exactly sitting around looking for extra work, and it’s far-fetched to think that they can start taking on specialty care for their ever-growing patient panels.

The Takeaway

AI might be great at well-defined tasks like many seen in specialty care, but we’re still a ways away from having primary care physicians replacing cardiologists.

Ambience Healthcare Joins Unicorn Club With Series C Raise

Another week, another ambient AI mega-round – this time from none other than Ambience Healthcare and its massive $243M Series C.

Welcome to the unicorn club. The round vaulted Ambience’s valuation to $1.25B, making it the second-highest valued startup in the ambient arena behind Abridge, which was valued at an eye-popping $5.3B during its recent $300M Series E.

  • Funnily enough, a16z led both rounds. We don’t usually see VCs cut a check for a startup then turn around and fund their biggest competitor, but playing both sides is a great way to not lose a race.

Ambience isn’t just a scribe. It’s an ambient AI platform for documentation, coding, and clinical documentation integrity.

  • The platform was “architected with the understanding that health systems are not monolithic enterprises” and adapts to the unique context of different care settings.

If you ain’t first, you’re last. Ambience was one of the only ambient AI players to lean in on the revenue cycle component right out of the gate, and the head start is reflected in the results from head-to-head pilots.

  • During a six month bake-off at Cleveland Clinic (now a happy customer), Ambience saw 80% clinician utilization and an NPS of 60, both the highest by a wide margin.
  • Ambience Co-Founder Nikhil Buduma told us that the secret sauce is the platform’s ability to make clinicians feel like “it’s almost reading their minds,” which is made possible by continuous fine-tuning the model for individual specialties.

Where do we go from here? If the launch of Doximity’s free scribe taught us anything, it’s that documentation is officially a commodity. Ambience’s new funds will help it do everything else.

  • That includes diving deeper into the revenue cycle and clinical trials, as well as moving upstream into taking care of patients outside of the four walls of the clinic.
  • It also includes scaling up operations, and Ambience has already begun hiring dozens of former startup founders to lead its new verticals.

The Takeaway

We’re now in a world where perfect transcripts are table stakes, which means the winners of the ambient AI race will be the companies that can help carry the tasks happening after the clinical conversation. Ambience just bulked up to do some heavy lifting.

OpenEvidence Locks in $210M Series B in Second Raise of the Year

OpenEvidence might just be the hottest startup in healthcare after locking in another $210M of Series B funding and tripling its valuation to a whopping $3.5B.

Déjà vu. If that sounds familiar, it’s probably because OpenEvidence first joined the unicorn club just five short months ago when it notched a $1B valuation through its $75M Series A.

  • Since then, the LLM-powered medical search engine inked a multi-year content agreement with JAMA to bring full-text articles directly to its platform, and continued to add new doctors at the breakneck pace of 65k per month.
  • It turns out that getting doctors to use a sleek new AI tool isn’t the hardest thing in the world when you make it available at no cost, and over 40% of doctors in the U.S. apparently don’t mind a few pharma ads if you can make their job easier.

Does that justify the valuation? Depends what physician trust is worth. OpenEvidence has added over 430k verified physicians since launching in 2023, and they’re now supporting over 8.5M clinical consultations every month.

  • The volume of medical research published annually is doubling every five years, and physicians are flocking to OpenEvidence so that they can search once, skip the scavenger hunt, and surface the science in seconds.
  • That type of growth is nearly unprecedented in healthcare, and investors are looking to capitalize by dogpiling into startups like OpenEvidence and Abridge, which also raised back-to-back megarounds in the first half of the year.

OpenEvidence is only ramping up from here. CEO Daniel Nadler told Forbes that he views the commoditization of AI copilots similar to TV streaming services, which have to differentiate around content and partnerships.

  • The Series B funds will help OpenEvidence add more strategic content to its medical knowledge library, and fuel new products that can take advantage of it – including its new DeepConsult research assistant.
  • DeepConsult helps physicians get up to speed on a topic by cross-referencing hundreds of studies to deliver comprehensive Ph.D.-level research reports in a matter of hours.

The Takeaway

OpenEvidence is off to the races, and “the fastest-growing platform for doctors in history” still hasn’t even started charging doctors to use it.

Tennr Raises $101M Series C for AI-Powered Referrals 

Tennr just raised $101M of Series C funding to have AI help solve one of healthcare’s most timeless challenges: fax machines. 

Tennr got its start in 2021 improving the patient intake and documentation review process, but has quickly expanded its capabilities to make sure that patients don’t get lost in a “black hole” during the referral process.

  • More than one-third of Americans receive a medical referral each year, half of which aren’t completed due to miscommunication, misdirected referrals, or missing information.
  • Tennr’s orchestration platform and proprietary language models automate these workflows to help providers convert more patients, cut denials, and deliver care without growing their teams.

The secret sauce is Tennr’s specialized language models (RaeLM), optimized to understand the nuanced data in medical determinations and evaluate it against strict payor criteria.

  • Tennr integrates with over 50 types of e-faxes, phone lines, emails, and portals to collect patient information, then leverages RaeLM to structure the data into usable information that can be shared with EHRs and pharmacy management systems.
  • The thesis was that if Tennr could read the documents and structure the data, it would be in a good spot to bolt-on more services – such as its eligibility benefits product, patient communication solution, and referral management suite. 

The fresh funds will fuel the launch of the Tennr Network, designed to equip referring providers, receiving providers, and patients with real-time visibility into the referral status.

  • Referring providers can see the status of every patient they’ve sent out, eliminating phone tag and guesswork.
  • Receiving providers can track the status of every referral, see which need more documentation, and identify which sources are driving the most conversions.
  • Patients can see when their referral was accepted, when it’s scheduled, and what to expect to pay – matching the “transparency we take for granted in food delivery or e-commerce.”

The Takeaway

Faxes are here to stay, and Tennr has $101M to make sure that they’re actually serving the practices using them. The plan isn’t to give healthcare a new AI tool, but to use AI to help the industry get more out of the tools it already has.

Nabla Series C Brings Agentic AI to the Heart of Healthcare

Healthcare’s “zero-screen future” is looking closer than ever after Nabla locked in $70M of Series C funding to put AI agents to work restoring the human connections at the heart of the industry.

Ambient AI is hot, but Agentic AI is hotter. The round follows a wave of adoption across U.S. health systems as Nabla sets its sights on growing beyond its roots in ambient documentation.

  • Nabla’s AI assistant is now used by 85k clinicians across 130+ healthcare orgs, ranging from FQHCs and rural hospitals to academic medical centers and national providers.
  • In the past six months, Nabla’s grown its Live ARR by over 5X (meaning its annual recurring revenue from clients that have already gone-live, not “contracted” revenue, and definitely not annual run rate).

The key to Nabla’s success has been its ability to deliver highly personalized AI experiences without compromising on reliability, and the fresh funds will help build out an Adaptive Agentic Platform that brings that same ethos to new use cases:

  • Proactive Coding Agent – a real-time coding assistant that flags billing issues and surfaces compliance nudges.
  • Context-Aware Agent – strengthens existing support for patient summaries and pre-charting with direct EHR commands and the ability to initiate orders.
  • Custom Care Setting Agent – adds new capabilities for nurses and inpatient teams to bring tailored support to frontline workers.

The Agent Era has arrived. The days when every ambient scribe demo got a standing ovation are long gone, and health systems are looking for AI that can automate increasingly complex workflows (or better yet, generate revenue that justifies its cost).

  • Nabla clearly got the memo, but so did competitors like Abridge, Ambience, and Suki – all of which are actively working to add coding and other new features to their platforms.
  • The race is on, and the entire healthcare industry – patients and providers alike – should be better off because of it.

The Takeaway

Nabla’s been making quick progress toward some ambitious goals, and agentic AI just raised the goalpost even higher. In the words of CEO Alex LeBrun, “Our mission: bring agentic AI to clinicians in a safe, compliant, and ethical framework. The journey?‍ 1% done.”

Ellipsis Health Closes Series A, Unveils Sage AI Care Manager

Care management gaps are becoming a pressing problem as the provider shortage deepens, and Ellipsis Health just raised $45M of Series A funding to show why empathy is the answer. 

Ellipsis put Sage front and center in the announcement, unveiling its emotionally intelligent AI care manager that expands staffing capacity through proactive patient engagement.

  • Sage’s Empathy Engine leverages Ellipsis’ patented vocal biomarker tech and training from millions of real clinical conversations to support the patients driving a majority of healthcare costs: those with complex physical, behavioral, and social needs.
  • Unlike traditional AI agents, Sage adjusts its tone and approach based on a patient’s emotional state, exactly how a human care manager would when conducting health risk assessments, post-discharge follow-ups, or care transitions.

The Series A investor roster suggests that Ellipsis has some strong tailwinds working for it.

  • The round was led by Salesforce (workflow integration through Salesforce Health Cloud), Khosla Ventures (tech validation from an AI fund and early investor in OpenAI), and CVS Health Ventures (plenty of Aetna members to reach meaningful scale).
  • Those investors will only help Ellipsis land and expand across more enterprises as it continues building evidence that Sage moves the needle with patient outcomes.

Competition is heating up. Companies like Hippocratic and Innovaccer have been rolling out fleets of AI agents that can handle routine tasks like appointment scheduling, but Ellipsis is setting out to prove that empathy is a difference maker in actual case management.

  • It’s the little things between visits that can decide whether a patient gets their hypertension under control, like walking them through lab results or making sure they take their medication.
  • It’s also the same little things that slip through the cracks when you have a staff shortage or burned out clinicians, and a little empathy could go a long way toward filling these gaps and driving the behavior change that leads to better outcomes.

The Takeaway

Ellipsis envisions a future for healthcare where AI can “extend human capabilities while preserving the empathy and clinical judgment that defines great care.” Sage is the tool that Ellipsis built to carve that future, and it now has $45M to put it in the hands of more providers.

OpenEvidence Partners With JAMA Ahead of Next Raise

“The fastest-growing platform for doctors in history” continues to step on the gas, and OpenEvidence is reportedly on the verge of notching a $3B valuation after inking a deal to bring JAMA Network journals to its AI medical search engine.

The multi-year content agreement will make full-text articles from the American Medical Association’s JAMA, JAMA Network Open, and 11 specialty journals available directly within the OpenEvidence platform.

  • OpenEvidence’s medical search engine helps clinicians make decisions at the point of care, turning natural language queries into structured answers with detailed citations.
  • The model was purpose-built for healthcare using training data from strategic partners like the New England Journal of Medicine, which joined the platform through a similar deal earlier this year.

The Disney+ content strategy has arrived in healthcare. OpenEvidence compares its approach to streaming services that drive subscriptions through exclusive movies.

  • If a physician wants information from top journals to support decision making, they’ll either have to get it straight from the source or use OpenEvidence, just like how anyone who wants to stream Moana needs to go to Disney+.
  • The kicker is that OpenEvidence is available at no cost to verified physicians, and advertising generates all of the revenue. 

The blueprint is working like a charm. OpenEvidence has over 350k doctors using its platform plus another 50k joining each month, and it’s apparently close to raising $100M at a $3B valuation just a few months after closing its $75M Series A.

  • It’s rare to find hockey stick growth in digital health, and OpenEvidence is a good reminder that many areas of healthcare change slowly… then all at once.
  • It also isn’t too surprising to hear that VC’s like Google Ventures and Kleiner Perkins are lining up to fund a company with a similar ad-supported business model to Doximity – one of the only successful healthcare IPOs since the start of the pandemic.

The Takeaway

Content is king, and OpenEvidence is locking in partnerships to make sure its platform is wearing the crown. The results have been speaking for themselves, but healthcare’s genAI streaming wars are just getting started.

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