Alterra Labs, a New York–based startup, announced on November 10, 2026 that it has raised $12.5 million in a seed round led by Oak HC/FT to build simulated environments for testing and training medical AI models. The funding is intended to help the company evaluate AI models on clinical tasks, identify errors, and improve performance through reinforcement learning.
Founded in 2025 by Akash Kapoor, Alterra Labs develops simulated clinical environments where AI agents can practice medical decision-making. The company leverages clinical feedback to help models improve judgment, safety, and performance in high‑stakes healthcare scenarios such as imaging, clinical trials, and telehealth.
How Alterra Labs’ simulated environments work
Alterra Labs creates simulated clinical settings that let AI systems be tested and trained on realistic tasks. By combining clinical feedback with reinforcement learning, the startup aims to surface errors and refine model behavior before deployment in care settings.
Funding and plans
The $12.5 million seed round was led by Oak HC/FT, with participation from Flare Capital Partners and Company Ventures. Alterra Labs says it will use the capital to further build out its simulated medical environments and expand capacity to provide training and post‑training services to frontier AI labs and healthcare providers. Company website: https://alterralabs.com
