Medical AI Startup BioStack Raises $9.5 Million in Seed Funding

BioStack, a health technology company established in 2025, has secured $9.5 million in seed funding to develop data infrastructure for medical artificial intelligence. The round was led by Peak XV Partners, with participation from Afore Capital, DCVC, Emerson Collective, SV Angel, Verdict Capital, Streamlined Ventures, and Y Combinator.

Expanding Data Infrastructure

Founders Sanat Mishra and Parth Patwa created the platform to aggregate fragmented clinical information, including electronic health records, medical imaging, and clinical notes. The company uses this data to generate proprietary datasets for biotechnology research and AI model training. According to the company, it has already processed 100 million de-identified patient records, millions of telehealth transcripts, and hundreds of thousands of medical images.

BioStack currently collaborates with hospitals in the United States, Brazil, and Argentina. In India, the firm is also facilitating connections between cancer patients and an investigational vaccine program. The startup offers services including AI model evaluation, disease modeling, and biomarker discovery, while utilizing workflows designed to protect patient privacy.

Global Scaling and Market Trends

The company plans to use the new capital to expand its operations in the U.S., India, Brazil, and Argentina. Funds will also be allocated toward scaling its technology stack and hiring additional engineering and research staff. “We’re building the infrastructure that connects all of the clinical information and makes it useful,” CEO Sanat Mishra said.

The investment arrives as India emerges as a significant hub for AI training data. Startups are increasingly utilizing the country’s large population to collect and process data for international developers. With the Indian AI training dataset market projected to reach $1.3 billion by 2033, industry analysts expect continued growth in data collection pipelines for frontier AI labs.