Reducto

San Francisco, CA, USA All United States companies → — Founded 2023

Clinical AI Platform Developer Platform / API Revenue Cycle / Billing

Internal Medicine Pathology Radiology

Developer Tools & APIs Documentation & Scribing

Series B — $108M

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Reducto Document Ingestion API

Reducto

Developer Tools & APIs

Reducto offers AI document parsing and extraction software, including "Deep Extract," to transform complex, unstructured documents into accurate, structured, and LLM-ready data for various workflows, particularly in healthcare, finance, and legal sectors.

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About Reducto

Reducto is a leading AI document intelligence platform that specializes in transforming complex, unstructured documents into clean, structured, and Large Language Model (LLM)-ready data. For physicians and healthcare organizations, this capability is critical as Reducto can accurately parse and extract vital information from a wide array of healthcare-specific documents. This includes clinical notes, medical records, lab reports, patient data, discharge summaries, insurance claims, Explanation of Benefits (EOBs), prior authorization requests, consent forms, protocols, and study documentation. The platform employs a sophisticated multi-pass system that integrates traditional Optical Character Recognition (OCR) with advanced Vision-Language Models (VLMs) and Agentic OCR. This approach ensures high accuracy and reliability, even when dealing with challenging formats such as scanned pages, handwritten content, and intricate tables, which are common in medical documentation.

Reducto’s technology addresses a significant bottleneck in healthcare AI development by enabling AI systems to interpret documents with human-like comprehension. It offers a developer-friendly API and Reducto Studio, an interactive workspace, to convert unstructured data into structured JSON, specifically optimized for retrieval-augmented generation (RAG) workflows and other advanced AI applications. Key features relevant to healthcare include layout extraction, support for over 30 file types (including PDFs, images, spreadsheets, and Word documents), multilingual parsing, and intelligent document chunking. These functionalities empower healthcare AI teams to efficiently unlock valuable insights from their extensive data, accelerating AI development for clinical workflows, care coordination, clinical decision support, reimbursement processes, and research. Reducto emphasizes enterprise-grade performance, robust security measures (including SOC 2 Type II auditing, HIPAA compliance with Business Associate Agreements (BAAs), and zero data retention options), and scalability, processing millions of pages per month for leading enterprises while ensuring data privacy and compliance.

Focus Areas

AI document intelligence document parsing data extraction unstructured data to structured data LLM-ready inputs healthcare finance legal insurance logistics government supply chain clinical data extraction medical records clinical notes claims processing RAG (Retrieval Augmented Generation)

Business Intelligence

Key Investors	Andreessen Horowitz (a16z), Benchmark, First Round Capital, BoxGroup, Y Combinator, SVAngel, Liquid2, Arash Ferdowsi (founder of Dropbox), Andrew Ofstad (founder of Airtable), Kulveer Taggar (founder of Zeus), JJ Fliegelman (founder of WayUp), Richard Aberman (founder of WePay), Ralph Goottee and Tracy Young (founders of PlanGrid)
Partnerships	Scale AI, Vanta, Harvey, Rogo, Stack AI, Anterior, August, LEA, Elysian, Gumloop
Technology	Combines traditional Optical Character Recognition (OCR) with modern Vision-Language Models (VLMs), Agentic OCR framework, developer-friendly API, Reducto Studio, cloud-native, hybrid VPC, on-premises/VPC deployments, HIPAA-compliant processing pipelines, SOC 2 Type II audited, zero data retention options, layout-aware models, intelligent chunking

What Physicians Need to Know

AI Document Intelligence & Data Extraction

Reducto specializes in converting complex, unstructured documents (e.g., PDFs, scans, spreadsheets, images, clinical notes, medical records, claims) into structured, LLM-ready data. It employs a 'vision-first, agent-driven parsing pipeline' that combines advanced OCR and Vision-Language Models (VLMs) to ensure high accuracy, layout preservation, and contextual understanding. The platform supports multi-lingual parsing and delivers outputs in formats like JSON, HTML, and XML.

Unstructured to Structured Data for LLMs

The core offering is transforming messy, real-world unstructured data into clean, structured formats optimized for Large Language Models (LLMs) and Retrieval Augmented Generation (RAG) systems. Reducto provides 'LLM-ready chunks' and embedding optimization, which are crucial for building reliable and hallucination-free AI applications.

Healthcare Specialization

Reducto automates the extraction of critical clinical data from diverse healthcare documents, including physician notes, discharge summaries, progress notes, multi-format medical records, and claims. It offers HIPAA-compliant processing, zero data retention options, and secure deployment models (VPC, on-prem, air-gapped) essential for handling Protected Health Information (PHI).

Industry-Specific Solutions

Beyond healthcare, Reducto serves a wide array of regulated industries including finance, legal, insurance, logistics, government, and supply chain. This indicates specialized capabilities for documents pertinent to these sectors, such as invoices, contracts, policy documents, and regulatory forms.

RAG (Retrieval Augmented Generation) Enhancement

Reducto's outputs are specifically engineered to feed high-quality, accurate inputs into vector storage and retrieval systems (e.g., Elasticsearch). This capability is vital for enabling more reliable, contextually rich, and hallucination-free RAG and search experiences within enterprise AI systems.

Physician Tip

For physicians, Reducto stands out by directly addressing the significant administrative burden of unstructured clinical data. It automates the extraction of critical information from physician notes, medical records, and claims, transforming it into structured, LLM-ready inputs that can seamlessly integrate with Electronic Health Records (EHR) systems. This not only reduces transcription errors and clinician burnout but also enhances clinical decision support and care coordination. The platform's HIPAA compliance, zero data retention options, and bounding box citations for audit trails ensure the highest standards of data security, privacy, and traceability, which are paramount in healthcare. By providing accurate and auditable data, Reducto enables faster claims processing, prior authorizations, and clinical trial analysis, ultimately allowing physicians to dedicate more time to patient care.

Reducto is an API-first platform, offering flexible integration via its APIs and SDKs for Python, Node.js, and Go. It is designed as an 'ingestion layer' for AI teams, facilitating integration with various downstream AI and automation systems. Customers frequently integrate Reducto's structured outputs directly into their own applications, databases, and AI tools, including vector databases like Elasticsearch to power RAG systems and internal knowledge bases. It also supports data ingestion from cloud storage services such as Google Drive, Notion, and Dropbox.

At a glance

Founded 2023

HQ San Francisco, CA, USA · United States

Team size 24

CEO Adit Abraham

Funding Series B — $108M

Products 1

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Products by Reducto

1 product in the directory

Reducto Document Ingestion API

Reducto

Developer Tools & APIs

What the Web Says

Reducto (reducto.ai) is an AI-powered document parsing and extraction platform that transforms unstructured documents like PDFs, Excel, and PowerPoint into structured, LLM-ready data. It is particularly noted for its high accuracy in handling complex layouts, tables, and figures, and is used across various industries including finance, healthcare, legal, and insurance. The company emphasizes a fast-paced, high-ownership work environment with significant funding and strong perks, but also acknowledges the intensity and evolving processes of an early-stage company.

Overall: Positive

Strengths

High accuracy in document parsing and data extraction, even with complex layouts, tables, and figures.
Transforms unstructured data into LLM-ready structured JSON, improving retrieval and reducing hallucinations.
Offers features like schema-precise field extraction, multilingual/handwriting OCR, and automatic document splitting.
Provides an API for automation and allows for custom schema creation for specific data formatting needs.
Strong market position with significant funding and rapid adoption by enterprise customers.
Employer benefits include comprehensive health coverage, wellness stipends, unlimited PTO, and 401(k) match.

Limitations

Workload and pace can be intense, potentially leading to long hours and pressure.
As an early-stage company, processes may still be evolving, and there can be inherent job insecurity.
Limited remote flexibility, with a five-days-onsite culture in San Francisco.
Some users report that while parsing is good, the challenge remains in ensuring LLMs pick up all relevant information across documents, and that chunking can sometimes worsen completeness.
May not be ideal for simpler use cases that don't require extreme accuracy or for teams that need a full end-to-end document pipeline with classification and human review tools.
LLM confidence scores for extraction may not be reliable, requiring a separate human verification layer for critical accuracy in messy documents.

Based on reviews from: Built In, AI Agent Store, Jermaine Brown (Blog), Reddit, FeaturedCustomers, Slashdot, Extend vs Reducto Comparison (Blog), Anterior Case Study, Reducto vs Google Cloud Document AI Comparison (Blog), Y Combinator, Recruiting from Scratch, AWS Marketplace, YouTube

Last updated: 2026-07-22

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Frequently Asked Questions

How does Reducto's AI document intelligence platform specifically benefit healthcare organizations in managing clinical data?

Reducto's platform utilizes AI document intelligence and advanced document parsing to extract critical clinical data from unstructured medical records and clinical notes. This process transforms raw information into structured, LLM-ready inputs, significantly enhancing data accessibility for analysis, clinical decision support, and care coordination within healthcare systems.

What types of clinical data can Reducto extract, and how does it ensure compliance and address RAG concerns for sensitive patient information?

Reducto can extract a wide range of clinical data, including diagnoses, procedures, medications, lab results, and patient demographics. The platform is designed with robust compliance features, adhering to HIPAA and SOC 2 Type II standards, and addresses RAG concerns by providing secure, accurate, and contextually relevant data extraction with bounding box citations to minimize hallucinations.

Beyond clinical data, how can Reducto's technology support administrative and financial processes in a healthcare setting, such as claims processing?

Reducto's AI document intelligence extends to administrative and financial operations, enabling efficient data extraction from claims, invoices, prior authorizations, and Explanation of Benefits (EOBs). This capability streamlines claims processing, reduces manual errors, and accelerates revenue cycles by converting unstructured financial data into structured formats.

How does Reducto prepare extracted data for use with large language models (LLMs) and integrate with existing healthcare IT infrastructure?

Reducto's platform transforms unstructured data into structured, normalized, and semantically enriched LLM-ready inputs, optimizing it for advanced AI applications and Retrieval Augmented Generation (RAG) systems. It offers flexible APIs and connectors to integrate seamlessly with electronic health records (EHRs) like Epic and Cerner, practice management systems, and other existing healthcare IT infrastructure.

What specific compliance certifications and security measures does Reducto have in place to protect sensitive healthcare data?

Reducto prioritizes data security and compliance, maintaining SOC 2 Type II certification and offering HIPAA-compliant processing with Business Associate Agreements (BAAs). The platform provides options for zero data retention (24-hour expiry), on-premise or Virtual Private Cloud (VPC) deployments, end-to-end encryption, and strict access controls to safeguard sensitive patient and operational data.

Can you explain Reducto's pricing model and how it scales to accommodate different sizes of healthcare organizations or varying data volumes?

Reducto operates on a usage-based pricing model, where customers pay per credit or per page processed, without fixed recurring subscription fees. Pricing scales based on document complexity and the specific AI models required, with smart cost routing for simpler pages. This flexible approach ensures cost-effectiveness and scalability for healthcare organizations of all sizes and varying data volumes.

What is Reducto's approach to customer support, partnerships, and overall company stability to ensure long-term reliability for healthcare clients?

Reducto provides comprehensive customer support, including white-glove onboarding, schema design assistance, rapid Proofs of Concept (POCs), and ongoing technical support. The company actively seeks strategic partnerships within the healthcare technology ecosystem, including availability on AWS Marketplace. With significant funding totaling $108 million and processing nearly a billion pages monthly, Reducto demonstrates strong financial stability and rapid growth.

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