OpenAI-backed biotech firm Chai Discovery raises $130M Series B at $1.3B valuation (techcrunch.com)

Chai Discovery, an AI-driven biotech startup backed by OpenAI, has successfully raised $130 million in a Series B funding round, achieving a valuation of $1.3 billion. Led by General Catalyst and Oak HC/FT, this funding also saw participation from notable investors like Menlo Ventures, Dimension, and Thrive Capital, bringing the company's total funding to over $225 million. Chai Discovery aims to revolutionize drug development by utilizing AI to enhance the speed and success rates of molecule design, particularly in the creation of custom antibodies. The company’s latest model, Chai 2, represents a significant advancement over previous methodologies, specifically in de novo antibody design. By employing foundation models tailored for drug discovery, Chai aims to create a "computer-aided design suite" for molecular development, potentially increasing the efficacy of therapeutic targets. CEO Josh Meier emphasizes that these models can design drugs with desired properties, addressing historically challenging targets. This funding round and technological progress position Chai Discovery at the forefront of the biotech industry, leveraging AI to reshape how new drugs are developed and tested.