Gestala Secures $21 Million to Advance Non-Invasive Ultrasound Brain-Computer Interfaces
In a significant development within the brain-computer interface (BCI) sector, Chinese startup Gestala has successfully raised $21.6 million (approximately CN¥150 million) just two months after its inception. This funding round, which values the company between $100 million and $200 million, was co-led by Guosheng Capital and Dalton Venture, with additional participation from Tsing Song Capital, Gobi Ventures, Fourier Intelligence, Liepin, and Seas Capital. Notably, the round was heavily oversubscribed, with investor commitments exceeding $58 million.
Gestala, founded by serial entrepreneur Phoenix Peng, is pioneering the development of non-invasive, ultrasound-based BCI systems. This approach contrasts with traditional implantable BCI technologies, such as those developed by Elon Musk’s Neuralink and OpenAI-backed Merge Labs in the United States. Peng’s vision is to harness ultrasound technology to interact with neural activity without the need for surgical procedures, thereby mitigating the risks associated with brain surgery.
The company’s immediate plans for the newly acquired capital include:
– Research and Development: Accelerating the creation of their first-generation prototype, with a target completion by the end of the year.
– Team Expansion: Growing their workforce from the current 15 employees to approximately 35 by year-end.
– Manufacturing Infrastructure: Establishing a dedicated manufacturing facility in China to support large-scale production.
The global BCI industry is witnessing a surge in interest and investment in ultrasound technology. Gestala stands out as the first Chinese company to venture into this domain, positioning itself alongside several U.S.-based startups that have emerged in recent years, including Merge Labs, which is among the largest in the field.
Peng emphasizes the potential of ultrasound technology to revolutionize BCI applications. Unlike implantable electrode systems, ultrasound-based BCIs can monitor a more extensive portion of the brain, including deep neural circuits. Utilizing phased-array ultrasound, Gestala’s system aims to precisely stimulate or suppress neural activity without invasive procedures. This non-invasive approach addresses one of the most significant barriers to BCI adoption: the inherent risks of brain surgery.
Despite the current geopolitical tensions, Peng remains optimistic about the prospects for collaboration between the U.S. and China in deep-technology research. He highlights the complementary strengths of both nations: China’s capacity for large-scale clinical research and efficient supply chains, and the U.S.’s world-class scientific talent. Peng envisions joint efforts focusing on building extensive clinical datasets to support global neuroscience research.
Gestala is exploring multiple applications for its technology, with chronic pain management as its lead program. Chronic pain affects vast populations in both the U.S. and China, and existing academic studies suggest that ultrasound stimulation can significantly reduce pain levels. Additionally, the startup is investigating applications in mental health conditions, including depression, PTSD, autism, and OCD, as well as stroke rehabilitation. Longer-term targets encompass Alzheimer’s disease, essential tremor, and Parkinson’s disease. In total, Gestala is researching six to eight potential indications, though most are currently at the early research stage rather than in clinical trials.
A key advantage that Gestala holds over its global competitors is its ability to leverage China’s integrated manufacturing ecosystem. This strategic positioning enables the startup to transition from development to production more rapidly than many international counterparts. Furthermore, Gestala is collaborating with major Chinese hospitals to expedite clinical trials at significantly lower costs—approximately 20% to 33% of comparable studies in the U.S. or Europe. Concurrently, the company is building what it calls an Ultrasound Brain Bank, a large clinical dataset designed to train AI models to decode brain signals and support future neurological diagnostics.
In summary, Gestala’s recent funding success underscores the growing interest and investment in non-invasive BCI technologies. By focusing on ultrasound-based systems, the company aims to overcome traditional barriers associated with implantable devices, offering a safer and more accessible solution for interacting with neural activity. As Gestala progresses in its research and development efforts, it holds the potential to make significant contributions to the fields of neuroscience and medical technology.
