Cadence, a New York-based clinical AI company that manages chronic disease care for older adults, raised $100 million in Series C funding on June 23, 2026, according to the company's announcement. The round was led by Spark Capital, with participation from Thrive Capital, General Catalyst, Coatue, B Capital, and health system investors Corewell Health Ventures, Memorial Hermann, and Duke Health.
The financing values Cadence at $1.23 billion and brings its total capital raised to $241 million, the company said. Alongside the round, Cadence announced new affiliations with Duke Health and Texas Health Resources, adding to a roster the company says now includes more than 20 health systems and over 100,000 active patients enrolled in its program.
What the platform does
Cadence embeds AI agents inside partner health systems' electronic health records and clinical workflows. The agents monitor patients' vital signs daily, flag readings that fall outside clinician-set thresholds, and support medication adjustment recommendations, which are reviewed and authorized by supervising physicians rather than acted on autonomously, the company said. Cadence has pointed to data published in the Journal of Cardiac Failure and in NEJM Catalyst describing improved rates of guideline-directed medical therapy among enrolled heart failure patients, and the company said its program saves Medicare roughly $2.7 million a week. These figures come from Cadence's own published research and public statements; none of it has been independently verified by a third party for this post, and readers should treat it as company-reported.
Why the timing matters
The raise lands in the middle of a regulatory fight over exactly the billing model Cadence depends on. In 2025, the HHS Office of Inspector General published a report on Medicare billing for remote patient monitoring (RPM), finding that Medicare RPM payments exceeded $500 million in 2024 and that roughly 43% of enrolled patients did not receive the full range of services they were billed for, citing gaps in device setup, patient education, and data transmission.
Separately, UnitedHealthcare adopted a new medical policy, effective January 2026, that stops paying physicians to remotely monitor several chronic conditions, including hypertension, COPD, depression, and diabetes, on the grounds that RPM is "not reasonable and necessary due to insufficient evidence of efficacy" for those conditions, according to the insurer's own policy language as reported by STAT News. Cadence has publicly challenged the policy change, and STAT News reported the dispute could produce appeals or legal challenges from RPM vendors.
Who is affected
Health systems already running or considering an RPM-based chronic care contract with Cadence or similar vendors are the most directly affected. Their reimbursement for these programs now depends partly on which payer a given patient carries: Medicare fee-for-service billing continues under the OIG's compliance scrutiny, while UnitedHealthcare's Medicare Advantage and commercial lines have narrowed what they will pay for.
Patients enrolled in Cadence's program are not the subject of a specific safety finding in any of the sourced reporting. The OIG report's concerns center on billing accuracy and service completeness, not on a finding that RPM itself is unsafe.
What health system and payer teams should know
Health systems weighing a new or expanded RPM contract should ask vendors directly how a given patient's coverage is structured before enrollment, since UnitedHealthcare's narrower policy applies specifically to remote physiologic monitoring of the conditions it named, not to Medicare fee-for-service RPM broadly. Compliance and revenue-cycle teams should also review the OIG's specific findings on incomplete service documentation, since that is the compliance exposure the report identifies, separate from any question about clinical benefit.
Cadence has not disclosed, in the sources reviewed for this post, whether it plans changes to its billing practices in response to the OIG report.
What happens next
Cadence said the new funding will go toward expanding its AI agents, growing its value-based care contracts, and adding health systems beyond the Duke Health and Texas Health Resources affiliations announced with the round. No specific timeline for further health system additions was disclosed.
The broader billing dispute is unresolved. UnitedHealthcare's policy took effect in January 2026 and STAT News has reported that vendors, including Cadence, are contesting it, but no ruling, appeal outcome, or CMS response had been reported as of the sources reviewed here. Any change to Medicare's own RPM billing rules, which the OIG report was written to inform, would affect Cadence and every other vendor selling into the same reimbursement structure.
Sources: Cadence · STAT News · Fierce Healthcare · MedCity News · HHS OIG · STAT News