Heidi, a Melbourne-based AI health company, announced it is cutting approximately 18% of its global workforce and that two of its three co-founders are departing, SmartCompany reported. The company has more than 600 staff, meaning the cuts will eliminate at least 108 roles. The announcement came six weeks after Heidi closed a $475 million funding package.
Dr Thomas Kelly, Heidi's co-founder and CEO, announced the restructure to staff and wrote on LinkedIn that the team had spent recent weeks examining how the company was organised and determined that investment was not being directed toward the right teams and markets to best support continued growth. Heidi's Series C raise of US$100 million (AU$140 million) was led by Blackbird, valuing the company at AU$1.26 billion, and General Catalyst's Customer Value Fund led a separate US$240 million (AU$335 million) growth investment structured as a debt facility for customer acquisition.
The company describes itself as an AI clinical notes scribe and operates a platform used by medical professionals to record appointments and produce structured clinical documents. Heidi said it currently supports three million patient interactions every week.
Waleed Mussa, one of the departing co-founders, is stepping back for family reasons after what Kelly described as many late nights and extended time away from family, and will stay on briefly to wrap up remaining fundraise-related work and transition partnerships. Yu Liu is shifting to an advisory capacity centred on models and hardware, running until the end of March 2027.
Kelly wrote that Mussa and Liu built Heidi alongside him and that continuing without them would be difficult for all involved. Kelly told employees the changes would bring customer support functions closer to the product team, unify research and development under one roadmap, and give newer product businesses defined ownership and their own dedicated teams.
At least 108 Heidi employees across its global operations will lose their roles, with departing staff to receive severance and benefits above the minimum legal requirements in each country.
Reporting: SmartCompany
Background: SmartCompany, ACS Information Age
Written by Pick & Scroll News from the reporting and documents linked above.
