Google DeepMind-Backed Isomorphic Labs Reportedly in Talks for Funding at Up to $50B Valuation

AI drug discovery startup Isomorphic Labs is reportedly in early discussions for a new funding round, with a post-money valuation of at least $40 billion and potentially as high as $50 billion, according to media reports. Sources said the deal has not been finalized and terms could still change. The company has not yet responded.

Isomorphic Labs was spun out of Google DeepMind in 2021 and is headquartered in London. Its founder and CEO is Demis Hassabis. In May 2026, the company completed a $2.1 billion Series B round. The company uses AlphaFold-based technology to virtually screen and design candidate drug molecules, covering the early-stage drug discovery process. In July 2026, it was preparing to begin human testing of its AI-designed drugs.

The company has partnered with major pharmaceutical firms including Eli Lilly and Novartis, focusing on oncology and immunology treatments, while also advancing its own pipeline. Hassabis has set a goal of using AI to compress drug development timelines from years to months.

Major AI players such as Google and OpenAI have also entered the life sciences sector. Industry analysts note that while AI is improving R&D efficiency, most AI drug discovery programs remain in early stages and commercialization will require more time to validate.