Baidu, investors said to be in talks to raise US$2 billion for biotech start-up using AI technology

Baidu is raising money for a start-up that will use AI to discover new drugs and diagnose diseases, according to a source

The plans come at a time of increased investment in the health care sector since the start of the Covid-19 pandemic

Reading Time:2 minutes

Baidu’s plans to raise money for a biotech start-up come at a time of increased investment in the health care sector since the outbreak of the Covid-19 pandemic. Photo: Reuters

Published: 9:30am, 10 Sep 2020Updated: 9:30am, 10 Sep 2020

Chinese tech giant Baidu is in talks with investors to raise up to US$2 billion over three years for a biotech start-up, which will use artificial intelligence (AI) technology to discover new drugs and diagnose diseases, a person with direct knowledge of the matter said.

A second person confirmed the start-up plan.

Baidu is unlikely to be the controlling investor, the first person said. Both sources spoke on condition of anonymity, adding they did not have more details on the investment as talks were still under way.

Baidu’s plans come at a time of increased investment in the health care sector since the outbreak of the Covid-19 pandemic, with many companies expanding into online diagnosis options to fill the gaps left by overstretched, overcrowded hospitals.

WeDoctor, backed by Tencent Holdings, Alibaba Group Holding’s health care arm and Ping An Good Doctor have joined the fray to develop apps that offer diagnosis, prescriptions, appointment bookings, 1-hour drug delivery and insurance.

(Alibaba is the parent company of the South China Morning Post.)

Select Voice

Choose your listening speed

Get through articles 2x faster

1.25x

250 WPM

Slow

Average

Fast

00:0000:00

1.25x