An increasing number of individuals are inquiring about their health through OpenAI’s ChatGPT and other large language models (LLMs), often finding that these chatbots provide valuable medical insights.
KJ Dhaliwal (pictured left), who sold the South Asian dating app Dil Mil for $50 million in 2019, has been contemplating the inefficiencies of the U.S. healthcare system since his childhood, during which he served as a medical translator for his parents. He viewed the emergence of LLMs as an opportunity to address these challenges.
In May 2024, he launched Lotus Health AI, a complimentary primary care service available 24/7 and in 50 languages. Recently, Lotus announced the successful completion of a $35 million Series A funding round co-led by CRV and Kleiner Perkins, bringing its total funding to $41 million.
While many individuals are already turning to AI for health concerns, Lotus takes it a step further by facilitating actual medical care, including diagnoses, prescriptions, and referrals to specialists.
Essentially, Lotus is developing an AI-driven healthcare provider that operates like a traditional medical practice, complete with licensure to function in all 50 states, malpractice insurance, HIPAA-compliant systems, and comprehensive access to patient records.
The distinguishing factor is that the majority of the diagnostic work is performed by AI, which is trained to pose questions similar to those a physician would ask.
Recognizing that AI models can generate inaccuracies, Lotus ensures that board-certified medical professionals from esteemed institutions like Stanford, Harvard, and UCSF review all final diagnoses, laboratory orders, and medical prescriptions.
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Lotus has crafted an AI model that, akin to OpenEvidence, integrates the latest evidence-based research with patient history and clinical responses to formulate treatment plans.
“AI is providing the recommendations, but licensed medical professionals are the ones validating them,” Dhaliwal shared with TechCrunch.
Lotus is also cognizant of the limitations inherent to virtual care. For urgent medical situations, Lotus directs patients to the nearest urgent care facility or emergency room. If an issue necessitates a physical examination, the platform promptly refers patients to an in-person doctor, according to Dhaliwal.
Delegating a substantial portion of medical decision-making to AI is a bold move, given the regulatory complexities associated with healthcare. For example, physicians can only treat patients in states where they hold a valid license.
As CRV General Partner Saar Gur, who led the investment and joined the company’s board, stated, “There are numerous obstacles, but it’s not as audacious as SpaceX sending astronauts to the moon.”
Gur (pictured right), a pioneer investor in companies such as DoorDash, Mercury, and Ring, believes that the telemedicine frameworks developed during the pandemic, combined with recent advancements in AI, enable Lotus to navigate many of the existing regulatory and engineering challenges.
“It’s a significant endeavor,” Gur remarked. For investors like him, however, that’s part of the appeal: Lotus is striving to fundamentally transform the primary care landscape.
In an era marked by a shortage of primary care doctors, Lotus asserts that it can accommodate ten times as many patients as a conventional practice, even with each appointment capped at 15 minutes.
Lotus is not the only startup working on an AI-driven medical provider; Lightspeed-backed Doctronic is a competitor. However, Lotus is currently distinguishing itself by offering its full array of services completely free of charge.
Dhaliwal noted that potential future business models may involve sponsored content or subscription services, yet the current focus remains solely on product development and patient acquisition rather than generating revenue.
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