Fractional AI, a leader in applied AI, has acquired Fabius, a Y Combinator startup specialising in automating sales and operational workflows using AI. The acquisition strengthens Fractional's position as the fastest growing AI-native service provider. Founded in 2020 and part of YC's Winter 2023 cohort, Fabius brings experience in applying generative and embedding-based models to real-world workflows. The combined entity will expand the scope and scale of AI systems delivered to clients, particularly in private equity-backed portfolio companies. Fractional AI, an OpenAI partner, builds custom generative AI solutions that integrate into business workflows and support critical decisions. The acquisition comes as enterprise demand for production AI systems accelerates.

Fractional AI has launched Fractional AI Health, a dedicated division for healthcare and life sciences enterprises. The new unit builds production-grade AI systems aimed at driving operational efficiency, accelerating revenue growth and improving clinical outcomes. Headquartered in North Carolina's Research Triangle, the division pairs engineering expertise from over 50 production AI deployments with healthcare-specific knowledge. Led by Kyle Bryant and Dr Rebecca Bilbro, Fractional AI Health focuses on automating workflows, building AI-powered features and upskilling internal teams whilst maintaining rigorous standards for patient safety, data privacy and regulatory compliance. The company has already worked with clients including Claritev, Iodine Software, Definitive Healthcare, Beghou Consulting and Atropos Health. Fractional AI is an OpenAI partner founded by Chris Taylor and Travis May.