Phantom Neuro, an Austin-based neurotechnology company, has closed an oversubscribed $19 million Series A funding round to accelerate development of its next-generation human-machine interface. The round was led by prosthetics giant Ottobock, with participation from both returning backers like Breakout Ventures and Tim Draper’s Draper Associates, and new investors including Actual VC and METIS Innovative. This brings Phantom Neuro’s total funding to $28 million, marking a major inflection point in its commercialisation journey.
The infusion of capital will power the company’s expansion efforts on several fronts. Key priorities include preclinical testing, regulatory submissions, and completion of first-in-human trials for Phantom X, the company’s flagship robotic control platform.
It will also bolster R&D to extend Phantom X’s capabilities beyond prosthetics, targeting wider applications in robotic and assistive devices. Ottobock’s strategic involvement on the board strengthens Phantom Neuro’s access to global prosthetics markets, signaling a strong commercialisation push.
A mission born from personal experience
The idea for Phantom Neuro originated from co-founder Dr. Connor Glass’s deeply personal journey. Initially aspiring to serve in the military, Glass faced recurring stress fractures that redirected his path. After observing a brain surgery, he became captivated by neuroscience and pivoted toward becoming a neurosurgeon.
As he dug deeper into the intersection of neurotechnology and patient care, he noticed a striking gap. While robotics was rapidly advancing, many amputees still weren’t using prosthetics due to limited functionality and control. That disconnect inspired him to come up with Phantom Neuro in 2020. The Johns Hopkins University School of Medicine spin-out is committed to making a scaled impact by restoring real-world utility and independence through intuitive neurointerfaces.
Next-level prosthetics: Control that feels natural
Phantom Neuro’s Phantom X platform breaks from the norm of risky brain implants. Instead, it uses a thin, flexible sensor implanted just beneath the skin through a small incision. The sensor sits atop muscle tissue, where it detects electrical activity from nerves. These neural signals, naturally produced when a person thinks about moving, are captured and interpreted by AI algorithms that translate them into highly accurate control signals for prosthetic limbs. This minimally invasive method allows for high fidelity without the complications of brain surgery, and results in a near-natural user experience.
What sets Phantom Neuro apart?
What distinguishes Phantom Neuro in the neurotech landscape is this elegant combination of simplicity and precision. While many interfaces either lack accuracy or require complex surgical procedures, Phantom X offers an outpatient-friendly solution that delivers 94% accuracy across 11 essential hand and wrist gestures. Its underlying software intelligently interprets intent and transforms it into smooth, real-time motion, bringing robotic control closer than ever to natural human function.
The platform’s promise is further reinforced by two FDA designations: Breakthrough Device and TAP (Targeted Acceleration Pathway), which both validate its potential to improve patient outcomes and fast-track regulatory review.
Market implications and what we think
The startup’s rise comes at a crucial moment, as wearable robotics and AI continue to converge with healthcare. With Ottobock’s expertise and the FDA’s support, Phantom Neuro is positioned to move from cutting-edge lab innovation to real-world clinical impact.
What makes Phantom stand out is its real-world readiness. Its solution is designed for scalability and accessibility, making it a neurotech with a purpose. If it continues on its current trajectory, the startup could redefine what assistive technology to not just to restore motion, but to enhance human potential.
“Ottobock’s backing underscores the growing convergence of neurotechnology, prosthetics, and robotics,” said Dr. Connor Glass, Founder and CEO of Phantom Neuro. “For decades, Ottobock has been at the forefront of restoring mobility for millions of people. By partnering with them, we’re accelerating Phantom X’s path to market and laying the groundwork for the future we all desire where assistive devices truly function as natural extensions of the human body.”
“Phantom Neuro is transforming the way people interact with assistive devices, and their minimally invasive neural interface technology represents an exciting step forward for the field,” said Ottobock CEO, Oliver Jakobi. “Our investment reflects our ambition as a MedTech champion to lead the prosthetics market, ensuring that patients have access to the most effective solutions possible. We look forward to working with Phantom Neuro to expand access to this groundbreaking technology.”
