In May 2026, New York City’s tech startups witnessed significant funding activity, especially in AI infrastructure and healthcare sectors. Modal Labs led the pack with a remarkable $355 million Series C round to advance its serverless cloud computing solutions for machine learning and data processing. In healthcare, Nourish and Garner Health each secured $100 million rounds, underscoring the growing investment in this field. Other notable rounds included H1.co’s venture round focused on healthcare data analytics, Cinder Technologies’ Series B for AI content moderation tools, and Pace’s Series B for an AI-driven insurance operations platform. The month highlighted a strong interest from major investors, including Accel, Sequoia Capital, and Andreessen Horowitz, in supporting innovative solutions across various industries such as biotechnology, finance, and cybersecurity.

