Function Health raised $298 million in a Series B round led by Redpoint Ventures, propelling the lab‑testing startup to a $2.5 billion valuation. The Austin‑based company provides consumer and clinician subscribers access to an extensive menu of laboratory tests and imaging services and plans to use the financing to scale operations, broaden test offerings and invest in technology. Function’s raise underscores investor appetite for vertically integrated diagnostic and consumer‑health platforms that aggregate clinical data and testing at scale. The company competes in a crowded market of direct‑to‑consumer and clinical lab innovators and faces operational and margin pressure as it scales volume. Investors signaled confidence in demand for accessible diagnostics and the recurring‑revenue model, while analysts flagged margins, reimbursement and regulatory pathways as execution points to watch.