health care

Primary care startup One Medical raises $40 million, plans more clinics

April 17, 2014: 10:15 AM ET

With luxury offices and extra time and communication with doctors, One Medical Group is triaging patient care, one pain point at a time.

Tom Lee, an internal medicine physician, founded the San Francisco-based One Medical Group in 2007 after realizing how inefficient the average doctor's visit could be.  Photo: One Medical Group.

FORTUNE -- One Medical Group, the San Francisco primary care startup specializing in high-quality patient clinics, has raised $40 million in funding, bringing its total financial backing to $117 million, Fortune has learned. The latest round was led by Redmile Group, with participation from current institutional investors Benchmark Capital, Oak Investment Partners, and DAG Ventures.

According to CEO and founder Tom X. Lee, the funding will be used to open more clinics across the country -- at least one more is scheduled to open this year in San Francisco. The money will also be used to invest further in One Medical's iOS and Android mobile apps, and the company is expanding its enterprise program nationwide so any employer can enroll and offer One Medical Group's service as an employee benefit. Currently, 60-plus organizations offer the startup's services, including NBCUniversal, Adobe (ADBE), Uber, and Quantcast.

MORE: Google's ad prices are down. So what?

Lee, a doctor of internal medicine, founded One Medical Group in 2007 after realizing that going to the doctor was a broken, inefficient experience. Doctors weren't spending enough time with patients, patients were feeling herded along and rushed, and primary care groups weren't taking advantage of newer technologies to improve the doctor-patient relationship.

One Medical Group attempts to offer a primary care experience that's

One Medical Group attempts to offer a primary care experience that's "much more thoughtful about the patient's needs from a quality, care and convenience perspective," according to Lee (pictured).

So with $3.5 million in early funding from Benchmark, Lee set about designing and executing a better primary care experience. Six years later, One Medical has over 150 health care professionals across 27 locations later in Boston, Chicago, Los Angeles, New York, San Francisco, and Washington, D.C. Patients pay an annual fee of between $149 and $199 and receive access to a primary care experience that Lee says is "much more thoughtful about the patient's needs from a quality, care, and convenience perspective."

To wit, "perks" of the service include the ability to schedule day-of appointments, request prescription refills, and seek treatment for common ailments, such as seasonal allergies via a mobile app; patients can also select their providers and fill out paperwork ahead of time online. And all patient records are electronic.

The actual doctor's visit is also less rushed thanks to a better doctor-to-patient ratio: One Medical providers see at least 35% fewer patients daily than their typical counterparts. Adds Lee: "It's about being able to have longer discussions around your health issues in thoughtful detail with someone who's a helpful advocate vs. someone [who is] overly dogmatic."

  • A robotic pill? The drawbacks for diabetics

    Drugmakers are developing a needle-less way to deliver insulin to patients, but that's likely a long way from hitting the market.

    By Gerald Bernstein

    FORTUNE -- A recent article in the Wall Street Journal provided a fascinating description of a robotic pill designed to replace injectable drugs like insulin that are used to treat chronic conditions like diabetes.

    The robotic pill hasn't been tested in humans, and the Journal pointed out that it is MORE

    Mar 5, 2014 8:50 AM ET
  • Vinod Khosla bets big on big data

    The Silicon Valley startup Ayasdi is just the beginning, the Sun Microsystems co-founder says.

    FORTUNE -- Last year, entrepreneur-turned-venture capitalist Vinod Khosla made waves when he said technology would someday replace 80% of doctors. This morning, at a Menlo Park, Calif.-based event hosted by one of his firm's portfolio companies, Ayasdi, Khosla reiterated his belief that computational power -- not people -- will bring about massive improvements in nearly every field, MORE

    - Nov 13, 2013 5:48 PM ET
  • Stop playing games with health care

    Gamification is a buzzy word, not a real fix.

    By Ryan Bradley, senior editor

    FORTUNE -- Several months ago, I sat in on a case competition at Boston University's School of Management. The event played out over two days, during which 15 teams of five students from B-schools all over the world -- India, South Korea, Canada, but mostly the U.S. -- pitched their ideas for a company, one that would MORE

    Nov 4, 2013 11:46 AM ET
  • A health app based on real research

    And it might actually work, maybe

    By Ryan Bradley, senior editor

    FORTUNE -- A few weeks ago I wrote a column for the magazine about how most health apps don't work very well, aren't reaching those most in need, and -- besides -- counter to all claims that technology will save health care, several proven solutions involve real people, interacting with other real people, in real life. My goal was to call MORE

    Oct 3, 2013 2:45 PM ET
  • How mobile tech can transform health care

    Health care providers should be making use of new mobile technologies that can facilitate higher quality of care in every patient interaction. A look at what's available now.

    Sep 25, 2013 11:03 AM ET
  • Can design rehabilitate the ailing health care industry?

    Smart design has revolutionized everything from electronics to aircraft. A team of architects and designers think it can do the same for health care.

    By Clay Dillow

    FORTUNE -- There's very little that's sexy about the health care industry. Within the tangled threads connecting government regulation, opaque insurance policies, and the actual work of patient care itself, there's not a lot of room for glitz or style, and certainly very little MORE

    Jul 31, 2013 10:54 AM ET
  • Where pagers haven't gone extinct yet

    One field still counts on them.

    By Verne Kopytoff

    FORTUNE -- Pagers seemed like a fabulous invention in the years before mobile phones. To reach someone, all you had to do was call their number, enter your contact information, and hit the pound sign to send. The pager's owner, alerted by a symphony of beeping, would then return the call. Mobile phones, of course, eventually drove the technology to near-extinction.

    But pagers, MORE

    Jul 16, 2013 11:19 AM ET
  • Robots with your face want to invade workplaces and hospitals

    So-called robotic telepresence allows people to communicate remotely. Will it take off?

    By Clay Dillow

    FORTUNE -- Robotic telepresence remains one of those technologies that is always lingering just on the horizon; it's going to change everything, the futurists say, just as soon as it gets here. But while several clever telerobotics solutions have come to market in recent years (Vgo and Double Robotics for instance), no solution has yet been MORE

    Jun 10, 2013 11:56 AM ET
  • What great design can do for data

    Companies are waking up to the power of design to make data meaningful for customers and create better relationships with them in the process.

    By Olof Schybergson

    FORTUNE -- Companies that have long believed in the virtues of hoarding data are now looking for ways to use it to the benefit of their customers. Big data presents a massive opportunity for organizations across industries to become more transparent and trustworthy, get MORE

    May 15, 2013 6:45 AM ET
Current Issue
  • Give the gift of Fortune
  • Get the Fortune app
  • Subscribe
Powered by VIP.