London-based biotech startup Isomorphic Labs has raised a staggering $600 million in its first-ever external funding round, a major milestone in the race to harness artificial intelligence for drug development. Spun out of Google DeepMind in 2021, the company is now doubling down on its mission to revolutionize how new medicines are discovered and developed.
The fresh capital injection was spearheaded by Thrive Capital, with GV (Google Ventures) also backing the round. Parent company Alphabet—which had previously funded Isomorphic—will continue to support the firm with follow-on investment.
Isomorphic CEO and co-founder Sir Demis Hassabis described the raise as a pivotal step in building a powerful next-gen AI platform capable of tackling the world’s most complex diseases.
Hassabis’ statement partly read:
“This funding will further turbocharge the development of our next-generation AI drug design engine, help us advance our own programs into clinical development, and is a significant step forward towards our mission of one day solving all disease with the help of AI.”
Big Money Pours into AI Drug Discovery
Isomorphic’s latest round reflects a growing appetite from investors for startups combining AI and biotech. The intersection of these two fields has become a hotbed for innovation—and funding.
In just the past year, several AI-powered drug discovery companies have raised eye-popping sums:
- Xaira Therapeutics, based in San Francisco, pulled in $1 billion in a massive Series A led by Arch Venture Partners and Foresite Capital.
- New York’s Formation Bio followed up with a $372 million Series D, backed by Andreessen Horowitz.
These figures signal a strong belief among venture capitalists that AI holds the key to faster, more efficient drug development pipelines.
Thrive Capital Bets Big—Again
The raise also underscores Thrive Capital’s growing influence in the tech and life sciences sectors. The firm, founded by Joshua Kushner, has been behind some of the biggest VC deals in recent memory.
- In December 2024, Thrive led Databricks’ eye-popping $10 billion round, valuing the data giant at $62 billion—the largest VC deal of the year.
- Just months earlier, the firm led OpenAI’s monumental $6.6 billion funding round, which saw the AI powerhouse reach a jaw-dropping $150 billion valuation.
With its investment in Isomorphic Labs, Thrive is now placing a high-stakes bet on AI-driven drug discovery, an area poised to redefine pharmaceutical R&D.
The Future of AI Drug Development
Isomorphic Labs is entering a fiercely competitive space, but its deep ties to Alphabet and Google DeepMind’s AI expertise give it a solid edge. The company plans to use its new war chest to accelerate its in-house therapeutic programs and further enhance its proprietary AI-driven drug design engine.
As biotech and AI continue to converge, this landmark raise may prove to be a turning point—not just for Isomorphic, but for the entire pharmaceutical industry. By combining deep learning with biological research, startups like Isomorphic aim to shorten drug discovery timelines, reduce costs, and eventually bring life-saving treatments to market faster.
