Zenith, led by Shiang-Wan Chin, is developing an AI-first operating system to optimize treatment protocols and reduce costs, particularly in expensive therapeutic settings. Vince Hartman, co-founder and CEO of Abstractive Health, discussed solving physician burnout by creating real-time summaries of patients’ medical records using AI. Neuralenz, presented by its founder Oybek Kholiqov, focuses on non-invasive methods to measure brain health, potentially revolutionizing neurocritical care by avoiding invasive procedures.

The founder coaching featured discussions on how advanced AI and data analytics are being integrated into new healthcare solutions, aiming to improve patient care and reduce costs. In this article, we outline three key tips for startups on their AI journey, using the experiences of these startups as actionable examples.

Find your market and differentiate your offering

Zenith is making waves in the neuropsychiatry field by using advanced AI to make treatments like ketamine, MDMA, and psilocybin therapies more accessible and affordable. With the neuropsychiatry market set to expand from $4 billion to $20 billion in the next five years, Zenith has strategically positioned itself to reduce operational costs significantly in clinics with its AI-powered platform. Their AI co-pilot takes on administrative tasks, patient monitoring, and treatment recommendations, cutting the need for multiple therapists and lowering costs by 30-40%.

For startup founders looking to carve out a niche, Zenith offers a blueprint. Start by identifying a high-growth market with unmet needs, as Zenith did with neuropsychiatry. Use AI to streamline and enhance your offering, making it not only more efficient but also more appealing to your target market. Zenith is utilizing AI not only to automate and optimize processes but also to enhance the accessibility of advanced treatments. A diversified revenue model, like Zenith's mix of subscriptions, licensing fees, and premium features, such as advanced analytics and reporting, ensures multiple income streams and resilience.

We can’t emphasize enough that founders must always make sure your unique selling points are crystal clear—what sets you apart? In Zenith’s case, it’s the AI-driven enhancements tailored for neuropsychiatry that distinguish it from traditional electronic health record (EHR) systems. Moreover, Zenith’s coaching session highlighted the importance of not only having a strong product but also understanding and adapting to market dynamics and regulatory environments. As the regulatory landscape evolves with Food and Drug Administration (FDA) approvals for new treatment modalities, Zenith can position itself as a leader in facilitating these cutting-edge therapies.

The journey from a groundbreaking idea to a market-leading product involves continually assessing market needs, refining your product based on user feedback, and staying agile to pivot when necessary.

Highlight the product's monetizable value

With Abstractive Health, we discussed the financial benefits of their product. While the technical capabilities of an AI solution are crucial, the ability to clearly communicate its financial benefits is equally important. This includes identifying how the product can save costs, increase efficiency, or open new revenue streams for customers. A compelling financial narrative helps attract investors and customers alike.

While reducing physician burnout is a great goal, it's the product's potential to improve risk coding that offers clear monetizable value. Accurate risk assessment directly influences healthcare reimbursements, making this a key selling point. By shifting the narrative to highlight how the product aids in accurate risk assessment and billing, Abstractive Health can significantly enhance its appeal to healthcare providers. Additionally, the company's specialization in family medicine sets it apart in the market, offering a unique value proposition.

We see the team’s use of a salient model structure and the LLaMA language model for summarizing patient data as a major strength. This approach not only effectively avoids common AI pitfalls like hallucinations but also streamlines operations by focusing on summarization rather than diagnosis, thus sidestepping the need for FDA approval.

Lutz also reviewed Abstractive Health’s subscription pricing model, starting at $99 per month, positively. There is potential to upsell additional features, particularly those enhancing risk coding and evaluation and management (E&M) levels. Integration with EHR systems like Epic and Cerner adds significant value, making the product more attractive to healthcare organizations.

We encouraged Abstractive Health to emphasize its unique selling points, especially its role in improving risk coding accuracy. This focus not only clarifies the product's value but also strengthens its market position, showcasing how specialized AI can drive financial benefits in healthcare.

Provide a solid foundation for credibility, future expansions, and applications

Neuralenz is revolutionizing brain health monitoring with its advanced optical sensors that measure hemodynamic responses non-invasively. This approach not only avoids the risks of traditional invasive procedures but also enhances the clinical workflow by providing real-time data on conditions like stroke and traumatic brain injury. This data is crucial for preventing secondary complications such as bleeding or swelling and expands patient care to those for whom invasive procedures are too risky.

For startups aiming to build credibility and future-proof their innovations, Neuralenz offers valuable insights. First, ensure your product addresses a critical need with clear, measurable benefits. Neuralenz’s system improves patient safety and efficiency in treatment—key selling points that resonate with clinicians.

Second, focus on establishing a strong foothold in your initial market. Neuralenz is prioritizing FDA approval and solidifying its presence in the medical device sector before exploring broader applications. This strategic focus is essential for building credibility and laying the groundwork for future growth.

Finally, be prepared to adapt and refine your technology. Neuralenz is exploring advancements like silicon photonics to enhance device scalability and miniaturization. By honing your product and demonstrating its value, you can pave the way for a solid market foundation and strategic planning for future applications.

The coaching session at Cornell Tech provided valuable tips for these startups, emphasizing the critical role of AI in transforming healthcare. For startups embarking on their AI journey, it is essential to find and define your market, communicate the monetizable value of your product, and establish a solid foundation for future growth. By following these tips and learning from the experiences of others, startups can navigate the complex landscape of AI to achieve sustainable success.

The session was recorded for The Edge, our very own podcast breaking down the latest developments in AI. Tune in to explore these insights and more!