Confido Health, a healthcare technology company founded by Chetan Reddy and Vichar Shroff, has raised $12.5 million in a round led by Z47, the venture firm formerly known as Matrix Partners India, to expand its artificial intelligence platform for healthcare operations.
Existing investors Together Fund and Blume Ventures also participated, according to Entrackr. The company described the new money as an addition to its Series A; it follows a $10 million Series A round announced in September and a $3 million seed round led by Together Fund in December 2024.
The company will use the funds to scale its AI platform, which automates the administrative tasks that consume a large share of time and money in medical practices.
The Paperwork Problem
Healthcare in the United States is notoriously administrative. Before a patient sees a clinician, staff must schedule the appointment, verify insurance coverage, collect intake information, process referrals and coordinate follow-up. After the visit, there are prescription refills, billing and payments to manage. Much of this work is done by phone, fax and manual data entry, and it is a major driver of cost and staff burnout.
Confido Health builds AI agents that take over these tasks. Its agents handle appointment scheduling, insurance verification and care coordination, and can be deployed without code, with the company claiming setup takes under five minutes. The platform integrates with more than 50 systems, including electronic health records, practice management software, phone systems, billing tools and fax.
A key design principle is that providers do not need to change their existing software. Confido says its platform works "without requiring healthcare providers to change their existing technology stack", a significant selling point for practices that have invested heavily in electronic health records and are wary of disruptive migrations.
From Intake to Action
Confido's approach goes beyond answering phones. The platform uses data gathered at intake, such as patient details, referrals and payer requirements, to trigger linked workflows, including referrals, appointments, prescription refills and payments. In effect, it aims to turn information that practices already collect into automated actions, rather than leaving it sitting in records for staff to process manually.
The company reports that its AI agents handle more than 95 per cent of key end-to-end office workflows without human intervention, and that it adds capacity equivalent to three to five full-time employees on average within three months of deployment. These figures are company-reported.
Scale Across the US
Confido says it now serves more than 1,500 care sites across 27 US states, mainly independent practice groups, and about 3,200 providers. It claims that one in 50 patients in the US can now reach their providers through its AI agents and that it has grown 15 times since its previous funding round.
Its target specialties include ophthalmology and optometry, physical therapy, dental care, primary care and community care, areas with high appointment volumes and significant administrative overhead, where independent practices often lack the resources of large hospital systems.
Indian Founders, American Market
Confido Health is part of a growing cohort of startups founded by Indian entrepreneurs that target the large and lucrative US healthcare market. Founded in 2022, the company has drawn backing from investors that are prominent in India's venture ecosystem.
Z47, which rebranded from Matrix Partners India, has been active in AI and software-as-a-service companies targeting global markets. Together Fund, founded by Indian SaaS entrepreneurs, focuses specifically on AI-first software companies, and Blume Ventures is one of India's best-known early-stage firms.
Indian-founded companies selling software to US customers have become a well-established category, often combining access to India's deep pool of engineering and operations talent with the higher revenue potential of American buyers. The formula has produced several successful Indian SaaS companies, and healthcare is one of the largest markets it is now being applied to.
A Crowded but Expanding Market
Confido is entering one of the most active segments in healthcare AI. Startups and established vendors alike are building AI voice agents, ambient documentation tools and revenue cycle automation, encouraged by the scale of administrative spending in US healthcare.
Competition is intense, and healthcare buyers are cautious, requiring strong privacy protections under US law and proof of reliability before handing patient-facing tasks to AI. Confido's emphasis on integration with existing systems and measurable staff capacity gains is designed to address those concerns.
The Economics of Independent Practices
Confido's focus on independent practice groups reflects the particular pressures they face. Unlike large hospital systems, independent practices often lack dedicated technology teams and large administrative staffs, yet they must navigate the same complex insurance rules, documentation requirements and patient expectations. Rising labour costs and staff shortages in front-office roles have made it harder for many practices to keep up with call volumes and paperwork, leading to missed appointments, delayed payments and frustrated patients.
For these practices, technology that can absorb routine administrative work without requiring a major software overhaul is especially attractive. If AI agents can reliably answer calls, book appointments and verify insurance, practices can redeploy staff to higher-value tasks or manage growth without proportionate increases in headcount. That value proposition, measured in recovered staff time and fewer missed appointments, is easier for small businesses to understand than abstract promises about artificial intelligence, and it may help explain Confido's reported growth since its previous funding round.
Why It Matters
Administrative burden is one of the most persistent problems in healthcare worldwide. Clinicians spend significant time on non-clinical tasks, and patients often face long hold times and delays in scheduling care. AI agents that can handle routine administrative work reliably could free staff for patient-facing tasks and improve access, particularly for smaller practices.
The challenge will be maintaining reliability and trust as the company scales. In healthcare, errors in scheduling, insurance verification or prescription handling can affect patient care and practice finances. Confido's reported handle rates suggest strong performance so far, but sustaining that across thousands more sites and new specialties will be the real test.
With fresh capital from Z47 and its existing backers, Confido Health now has the resources to expand its reach and deepen its product. If it succeeds, it could become one of the more significant healthcare AI companies to emerge from India's startup ecosystem, built not on clinical breakthroughs but on solving the everyday operational problems that weigh on healthcare delivery.
