Coralville based-company Digital Diagnostics, formerly known as IDx, announced this week that it has purchased 3Derm Systems, a move to expand its AI technology to detect more illnesses.
The acquisition comes as the company rebrands its name to Digital Diagnostics, part of a plan to continue to expand into medical specialties beyond its initial focus on eye care. The company is seeking to build a broader portfolio of autonomous diagnostic products.
In 2018, Digital Diagnostics received FDA approval for its medical device that uses AI to detect diabetic retinopathy without input from a doctor. It was the first such device with that approval. Now, the company hopes to develop 3Derm’s AI system, which detects skin cancer.
As part of the acquisition, Digital Diagnostics will take on 3Derm’s employees, according to Dr. Michael Abramoff, founder and executive chairman of Digital Diagnostics.
Since founding in 2010, Digital Diagnostics has grown rapidly. In Sept. 2018, the company raised a $33 million Series A financing round. According to Clay & Milk findings, this was the largest investment round raised by an Iowa company in all of 2018. The company filed paperwork in June of this year indicating it had raised an additional $12.5 million in funding.
IDx files paperwork showing $12.5 million raise -June 17, 2020
Middle Bit: IDx’s AI diagnostics system launches in Retail Clinics -Dec. 26, 2019
IDx raises $33 million in Series A financing round -Sept. 27, 2018