Stepful Raises $55 Million to Expand AI-Powered Healthcare Workforce Training Platform

Stepful has raised $55 million in Series C funding to expand its AI-powered healthcare workforce training platform, as healthcare providers across the United States continue to grapple with staffing shortages. The round was led by Oak HC/FT and included participation from new investors Foresite, Hearst Ventures, and the Citi Impact Fund, along with existing investors SemperVirens, Y Combinator, and Intermountain Health.

The financing brings Stepful’s total funding to $105 million. Founded in 2021, the company provides training programs for healthcare careers and partners with health systems to help build, train and retain their workforce. The latest investment will support expanded healthcare system partnerships, the launch of advanced programs in nursing and respiratory technology, and further development of the company’s artificial intelligence capabilities.

Healthcare staffing shortages remain a widespread challenge for providers. Demand for healthcare workers is expected to continue rising faster than supply due to population aging and workforce attrition, with the United States projected to face shortages of millions of healthcare workers by 2030, including medical assistants, home health aides, and nursing assistants.

Stepful offers accelerated training programs for healthcare careers and provides employer-sponsored pathways designed to allow students to complete training without taking on educational debt. Through partnerships with healthcare organizations nationwide, the company connects graduates with job opportunities after certification. Current programs include medical assistant, pharmacy technician, medical administration, practical nursing, dental assistant and surgical technologist training, with plans to expand into more advanced fields.

According to Carl Madi, chief executive officer and co-founder of Stepful, traditional educational pathways can create barriers for individuals seeking entry-level healthcare positions because they may require up to two years of study and cost as much as $20,000.

“Stepful focuses on training people with a high school education to get access to healthcare jobs. Essentially, we’re an AI-powered learning platform, and using technology and using AI, we’re able to make that education much more cost-effective, so it can be like 10x cheaper and it can be four times shorter for the medical assistant program,” Madi said.

Madi also said the company operates as both an academic institution and a technology company. Its model allows healthcare employers to determine who will be trained and when training takes place, while using Stepful’s technology and accreditation framework. The platform also enables health systems to help existing employees move into more advanced positions.

The company says it works with more than 35 healthcare systems, including Ochsner Health, Providence Foundation Health Partners, Ohio State University Physicians, and Mount Sinai. Since its launch, Stepful has graduated more than 32,000 healthcare workers and is reporting meaningful revenue growth. Last year, it acquired St. Louis College of Nursing Careers in St. Louis, Missouri, to add accredited academic programs to its education and training offerings.

Stepful’s platform incorporates artificial intelligence across instruction, simulation, assessment, and workforce planning. Students receive personalized support through AI-driven learning tools combined with live instructor-led sessions. The company also uses high-fidelity avatar-based patient simulations that replicate real-world clinical scenarios and support remote training.

The platform allows students to practice clinical skills remotely using at-home medical kits and AI-assisted evaluations. It can assess physical and verbal performance through autonomous clinical competency evaluations that provide real-time feedback. For employers, the company offers tools to screen, map, and upskill existing staff.

One example of its employer partnerships is its work with Mount Sinai to establish a specialized patient care associate training program focused on ancillary clinical support roles, including electrocardiography, phlebotomy, and direct patient care. Jane Maksoud, senior vice president and chief human resources officer of the Mount Sinai Health System, said the initiative is intended to support the development of a broader and more sustainable pipeline of ancillary staff from the communities the health system serves.

Healthcare workforce shortages remain one of the most pressing challenges facing the medical industry today. To address this growing issue, Stepful has announced a significant funding round, securing $55 million to accelerate the expansion of its AI-powered healthcare workforce training platform. The investment marks a major milestone for Stepful as it continues to modernize healthcare education and create new pathways into high-demand clinical careers.

Stepful Secures Major Funding to Accelerate Growth

The latest funding round provides Stepful with substantial resources to expand its educational offerings, enhance its technology infrastructure, and reach more aspiring healthcare professionals across the United States. By combining online learning with practical career preparation, Stepful aims to make healthcare training more accessible, affordable, and effective.

The new capital will allow Stepful to scale operations while supporting students seeking certifications and job opportunities in rapidly growing healthcare fields.

How Stepful Uses AI to Transform Healthcare Training

A key differentiator for Stepful is its use of artificial intelligence to personalize the learning experience. The platform leverages AI-driven tools to help students progress through coursework, identify knowledge gaps, and receive targeted educational support.