Avelios, a healthcare startup based in Munich, Germany, has announced a significant €30 million Series A funding round to accelerate the development of its innovative administrative system for hospitals. The investment, led by Sequoia's London office, marks a major milestone in the company's mission to transform the healthcare industry with modern, AI-powered technology.

The funding round, which also saw participation from existing investors Revent, High-Tech Gründerfonds, and individual investors, brings Avelios's total funding to €35 million. This substantial investment will enable the company to expand its team, enhance its product, and drive international growth, with a focus on breaking into new markets in Spain, France, and the UK.

Avelios's ambitious project aims to replace outdated, siloed hospital systems with a comprehensive, end-to-end administrative platform that integrates electronic health records, billing, clinical records, lab results, patient portals, and collaborative environments for researchers and healthcare professionals. By leveraging AI and cloud services, the startup seeks to provide a seamless, efficient, and data-driven experience for hospitals and patients alike.

The company's origins date back to the COVID-19 pandemic, when co-founder and chief medical officer Sebastian Krammer, a doctor, struggled with manual reporting and data analysis in German hospitals. He teamed up with CTO Nicolas Jakob, an expert in deep learning, to develop an AI-powered solution. However, they soon realized that the existing legacy systems were inadequate for their vision, prompting them to embark on a more comprehensive project – building a new hospital information system from scratch.

Avelios's CEO, Christian Albrecht, emphasized the importance of addressing the root causes of healthcare system inefficiencies, rather than just treating the symptoms. This approach has allowed the company to develop a modular system that can be implemented incrementally, reducing the risk of disruption to hospital operations and minimizing costs.

The startup's progress has been impressive, with 12 customers already signed up in Germany, including prominent hospital chains and medical institutions. Avelios's success has also been fueled by the shift in the healthcare industry towards AI-powered solutions and the need for modern, interoperable systems. The company's focus on structured data and AI integration has positioned it as a leader in the healthcare technology space.

Sequoia's partner, Anas Biad, who led the investment, praised Avelios's under-the-radar approach, which allowed the company to quietly build a robust system and secure significant customer traction. Biad expressed his amazement at the startup's ability to win over major hospitals in Germany, despite its relatively low profile.

Avelios's innovative approach and significant funding injection are expected to have a profound impact on the healthcare industry, driving the adoption of modern, AI-powered administrative systems and paving the way for more efficient, data-driven healthcare services.