Freed says 20,000 clinicians are using its medical AI transcription ‘scribe,’ but competition is rising fast
Even generative AI critics and detractors have to admit the technology is great for something: transcription. If you’ve joined a meeting on Zoom, Microsoft Teams, Google Meet or other video call platform of your choice at any point in the last year or so, you’ve likely noticed an increased number of AI notetakers joining the conference call as well. Indeed, not only do these platforms all have AI transcription features built in, but there are of course other stand alone services like Otter AI (used by VentureBeat along with the Google Workspace suite of Apps), and models such as OpenAI’s new gpt-4o-transcribe and older open-source Whisper, aiOla, and many others with specific niches and roles. One such startup is San Fransisco-based Freed AI, co-founded in 2022 by former Facebook engineers Erez Druk and Andrey Bannikov, now its CEO and CTO, respectively. The idea was simple: give doctors and medical professionals a way to automatically transcribe their conversations with patients, capture accurate health specific terminology, and extract insights and action plans from the conversations without the physician having to lift a finger. The AI Impact Series Returns to San Francisco – August 5 The next phase of AI is here – are you ready? Join leaders from Block, GSK, and SAP for an exclusive look at how autonomous agents are reshaping enterprise workflows – from real-time decision-making to end-to-end automation. Secure your spot now – space is limited: https://bit.ly/3GuuPLF The idea worked well, as the medical scribe platform recently reached a new milestone: 20,000 paying clinician users, Druk shared in a recent conversation with VentureBeat, each saving 2-3 hours saved daily in manual transcription or note organization tasks. With nearly 3 million patient visits per month, Freed is rapidly becoming a foundational tool for documentation in small and mid-sized healthcare settings. That time dividend has helped drive a high degree of emotional resonance with customers, who often describe the product in terms of restored work-life balance. “Clinicians spend more than 11 hours a week on documentation,” Druk noted. “We built Freed to reduce that burden by listening to the visit and writing the clinical note.” Rising competition But Freed’s success has attracted intensifying competition. Just today, Doximity — the publicly traded physician networking company — released a free ambient AI scribe available to all verified U.S. physicians, nurse practitioners, physician assistants, and medical students, as Axios and Stat News reported. The move highlights a shift toward commoditization in the AI scribe market, where pricing is emerging as a differentiator. “We want to provide free access to tools our customers have asked for,” Doximity’s chief physician experience officer Amit Phull told Axios, “and they can figure out on their own whether the standard offering — or if they’re paying for something else — stacks up.” That launch follows other high-profile scribe funding rounds in the tens or hundreds of millions. While investors pitch visions of EHR-scale platforms, those ambitions still hinge on proving value in billing, chart review, and compliance — not just note creation. Still, Druk and the Freed team believe they have an edge. Turning burnout into opportunity Freed wasn’t born out of a technical brainstorm but from a personal pain point. Druk credits the idea to his wife’s struggles as a practicing family physician, where the constant burden of note-taking became a daily source of stress. “For seven years, every day I heard at home, ‘I have notes to do’ — more than I heard ‘I love you’ from my wife,” he said. “That’s how burdensome documentation is.” That lived experience turned into a deliberate product vision: to remove the documentation burden from clinicians and give them back control over their time and mental energy. “The idea for Freed was: why is nobody building something to help clinicians?” Druk said. “Everyone is doing things to them, not for them.” More than transcription: a modular AI system built for medicine Freed’s system does more than record and transcribe conversations. The core product is a structured, specialty-aware AI documentation engine that generates clinical notes tailored to each user’s preferences. Druk explained that Freed’s architecture relies on a highly modular pipeline. While initial transcription is powered by a fine-tuned version of OpenAI’s open source Whisper model — optimized specifically for clinical vocabulary — that’s only the starting point. The company’s platform layers on hundreds of targeted AI tasks to extract structure, filter out small talk, adjust terminology to medical standards, and match user-specific templates. “It’s not just about transcription accuracy,” Druk said. “It’s about building a system clinicians trust — one that gets smarter over time and adapts to their workflow.” “Our engine learns from clinician edits,” he added. “Over time, Freed becomes your own personal scribe, not a generic one.” More than 20 in-house clinicians regularly audit anonymized notes to improve model performance. And as clinicians make edits, the system continues to learn. Pricing and accessibility Freed offers straightforward pricing: $90/month for individual clinicians $84/month per user for teams of 2–9 clinicians Custom pricing for 10+ seats Each plan includes a 7-day free trial, and the company offers 50% discounts to students, residents, and trainees. Freed’s platform is also compliant with HIPAA, HITECH, and SOC 2 standards. Audio recordings are encrypted and deleted by default, and clinicians retain full control over their notes at all times. Quietly building a $20M ARR business While Freed recently raised $30 million in Series A funding led by Sequoia Capital, its financial momentum has come largely from its existing customer base. In April 2025, Druk publicly shared on X that Freed has surpassed $20 million in annual recurring revenue. That growth reflects not just strong product-market fit but also a clear go-to-market strategy. Rather than chase enterprise contracts with large hospital systems, Freed has focused on small clinics and solo practitioners — a segment often overlooked by health tech vendors. “We’re focused on the long tail, supporting small clinics — the 40% of clinicians in private practice — to help keep them alive,” Druk