Sword Health has launched a new mental health solution called Mind, which combines artificial intelligence with clinical expertise to provide continuous access to mental health care.

The company recently secured a $40 million funding round led by General Catalyst, which has increased its valuation to $4 billion, supporting its global expansion and AI development.

CEO Virgilio Bento highlighted that this funding will enhance AI research and facilitate expansion into the mental health sector, which has been plagued by ineffective treatment models.

This funding round included notable investors such as Khosla Ventures and Comcast Ventures, reflecting a strong commitment to investing in AI-driven healthcare solutions.

With its current valuation, Sword Health stands as the third highest-valued Portuguese 'unicorn' in the venture capital market, following Outsystems and Talkdesk.

Looking ahead, Sword Health's CEO has indicated plans for an initial public offering (IPO) by 2028, showcasing the company's growth ambitions.

Having previously focused on physical rehabilitation, Sword Health has treated over half a million patients and saved clients nearly $1 billion in unnecessary healthcare costs since its inception.

Mind aims to tackle the global mental health crisis, which affects nearly 1 billion people, with many lacking access to effective care, as evidenced by over 60 million adults in the U.S. experiencing mental illness last year.

Early users of Mind have reported positive feedback on its personalized and convenient approach to mental health care, which provides immediate support rather than relying on traditional appointment schedules.

This innovative model integrates traditional talk therapy with measurable biopsychosocial factors, offering a holistic view of patients' lives and enhancing access to mental health care.

Traditional therapy models often fall short in addressing the continuous and multifaceted nature of mental health, which has driven Sword Health to innovate with its AI Care model.

Additionally, the firm is considering market acquisitions to further enhance its growth and capabilities in the healthcare sector.