Days after OpenAI introduced healthcare-focused talent chops within ChatGPT, the company is now making another significant bet in this sector by acquiring Torch, a small four-person startup that has developed a platform to unify health records from hospitals, labs, pharmacies, and wearable devices into a single, AI-ready format. The deal, reportedly valued at a gigantic $100 million, is being described as an acqui-hire, highlighting the strategic value of Torch’s technology and team as OpenAI aims to expand the capabilities of ChatGPT Health and other AI-driven healthcare tools.
Torch’s platform tackles a major problem in healthcare because patient information is often scattered across hospitals, clinics, labs and fitness apps. The technology brings all of this data together into one organized and easy-to-understand system that acts like a medical memory for AI to use to give better insights and recommendations.
Along with the technology Torch has built, OpenAI was also attracted to the team’s previous experience. The entire Torch team comes from Forward Health, a startup that spent eight years trying to reinvent primary care and raised over $400 million in venture funding. Even though Forward ultimately shut down in 2024, the team’s experience in handling complex healthcare systems and building tech-driven solutions made them a perfect fit for the ChatGPT maker.
The Sam Altman-led AI giant has already shown its interest in healthcare with ChatGPT Health, a service that lets users link their personal medical data to ChatGPT for advice, test result explanations, and wellness guidance. And now by integrating Torch’s technology, ChatGPT Health could move beyond generic responses and offer users a more complete understanding of their health. For example, the unified medical data could allow ChatGPT to track patient history across multiple encounters, connect insights from wearables, and provide more personalized guidance while maintaining AI’s signature natural-language interface.
The move comes at a time when AI companies are moving aggressively into healthcare. Other prominent players, including Anthropic, have already launched healthcare-specific AI products, while tech giants like Google and Microsoft are exploring AI-powered clinical tools.
However, the latest OpenAI-Torch deal also comes with significant challenges. Integrating Torch’s team and technology means handling highly sensitive medical data, navigating complex privacy and security requirements, and ensuring compliance with strict healthcare regulations. This is particularly crucial as OpenAI is already facing heightened regulatory scrutiny and ongoing legal challenges over data usage, AI safety, and user privacy.
The Tech Portal is published by Blue Box Media Private Limited. Our investors have no influence over our reporting. Read our full Ownership and Funding Disclosure →
