New Mountain Capital Launches AI-Driven Revenue Cycle Management Powerhouse

New Mountain Capital has made a significant move in the healthcare technology sector by combining three of its portfolio companies to create Smarter Technologies, a comprehensive artificial intelligence-backed revenue cycle management (RCM) platform. This strategic merger aims to address the growing administrative and operational challenges faced by healthcare providers.

Formation of Smarter Technologies

Smarter Technologies is the result of combining Access Healthcare, SmarterDx, and Thoughtful.ai, all of which received investments from New Mountain Capital earlier this year. The newly formed company will serve over 200 clients, including more than 60 hospitals and health systems, and is expected to generate over $800 million in revenue.

Jeremy Delinsky, former chief technology officer at Athenahealth and an executive advisor to New Mountain, has been appointed as CEO of Smarter Technologies. The company boasts an impressive workforce of 27,000 employees across 24 global service centers, supporting more than 500,000 providers and processing over 400 million transactions annually.

AI-Driven Solutions for Healthcare Administration

Smarter Technologies' platform combines agentic AI agents with scaled human-in-loop delivery capabilities and clinically driven billing algorithms to automate revenue management workflows. The company's offerings include:

1. Smarteraccess: A modular RCM service designed for hospitals and health systems, combining proprietary virtual agents with human operators.

2. SmarterDx: An insights engine using AI, machine learning, and custom algorithms to identify new revenue and quality opportunities.

3. Thoughtful.ai: Leverages AI agents, natural language processing, and machine learning to address key RCM functions.

The platform's AI capabilities are particularly noteworthy. Nebula, an agentic AI platform for workflow automation, can automate up to 70% of revenue cycle tasks. SmarterDx claims to deliver an average of $2 million in net new annual revenue per 10,000 patient discharges, providing a 5:1 ROI for its clients.

Addressing Healthcare's Administrative Burden

The formation of Smarter Technologies comes at a crucial time for the healthcare industry. A McKinsey study found that hospitals and health systems spend over $250 billion annually on costs associated with billing and collections, involving significant errors and inefficiencies. An American Hospital Association survey revealed that 50% of hospitals and health systems reported having more than $100 million in accounts receivable for claims older than six months.

Delinsky emphasized the potential of AI to streamline healthcare payments and reduce administrative costs. "What's possible today is the ability to take a lot of cost out of the administrative side of healthcare," he stated. "We now use AI, specifically virtual agents and agentic AI, to take out a lot of costs and also deliver a much faster process, with more accuracy by having technology do it."