Chinese brain interface startup Gestala has raised $21.6 million (CN¥150 million) just two months after launching, signaling growing momentum in the global brain–computer interface (BCI) sector. Founder and CEO Phoenix Peng revealed that the funding values the company between $100 million and $200 million, highlighting strong investor confidence in its non-invasive BCI technology.
Investors co-led the funding round through Guosheng Capital and Dalton Venture, while Tsing Song Capital, Gobi Ventures, Fourier Intelligence, Liepin, and Seas Capital also participated. The round attracted overwhelming demand, as investor commitments reached more than $58 million, Peng said.
Currently, this round represents the largest early-stage funding deal in China’s BCI industry. Therefore, Gestala plans to allocate the capital toward research and development, expand its team from 15 to about 35 employees by the end of the year, and establish a manufacturing facility in China. Moreover, the three-month-old startup aims to complete its first-generation prototype by year-end.
Meanwhile, the global BCI industry is witnessing a surge of investment in ultrasound-based technologies. Gestala has emerged as the first ultrasound BCI company in China, although it is not the first globally. In the United States, several companies already explore similar technologies, including Merge Labs, which ranks among the largest ultrasound BCI startups.
Peng believes ultrasound technology could shape the next generation of brain–computer interface systems because it enables broader access to brain activity. According to him, ultrasound technology may open new ways for humans to interact with neural signals.
The founder also emphasized that non-invasive ultrasound could overcome one of the biggest obstacles to BCI adoption: the risks linked to brain surgery. Compared with implanted electrode systems, ultrasound-based technology can monitor larger portions of the brain, including deep neural circuits. Furthermore, the system uses phased-array ultrasound to precisely stimulate or suppress neural activity without surgical procedures.
Despite growing geopolitical tensions, Peng still hopes that researchers in the United States and China will collaborate on deep-technology innovation.
“Both countries bring different strengths,” Peng said. “China offers large-scale clinical research capacity and efficient supply chains, while the U.S. has world-class scientific talent.”
He also suggested that joint initiatives could focus on building large clinical datasets to support global neuroscience research.
At present, Gestala is exploring several potential applications for its technology. The company has prioritized chronic pain management as its lead medical program because chronic pain affects large populations in both China and the United States. In addition, existing academic research suggests that ultrasound stimulation can significantly reduce pain levels, Peng explained.
Furthermore, the startup is studying potential uses for mental health conditions such as depression, PTSD, autism, and OCD. At the same time, researchers are examining stroke rehabilitation as another possible application.
Over the longer term, the company aims to investigate treatments for Alzheimer’s disease, essential tremor, and Parkinson’s disease. Overall, the startup is researching six to eight possible indications, although most of them remain in the early research phase rather than clinical trials.
Gestala believes it holds a competitive advantage over global rivals because of its development speed and production scale. By leveraging China’s integrated manufacturing ecosystem, the startup expects to move from development to production faster than many international competitors.
Additionally, the company is collaborating with major Chinese hospitals to accelerate clinical trials at significantly lower costs. According to the startup, these trials cost roughly 20% to 33% of comparable studies conducted in the United States or Europe.
At the same time, Gestala is building what it calls an “Ultrasound Brain Bank,” which will function as a large clinical dataset designed to train artificial intelligence models. These datasets will help decode brain signals and support future neurological diagnostics.
Overall, Gestala’s rapid funding round and ambitious research roadmap highlight the intensifying global race to develop advanced brain–computer interface technologies. As ultrasound-based BCIs gain traction, the company aims to combine China’s manufacturing strength with cutting-edge neuroscience research to accelerate innovation and unlock new possibilities in neurological treatment and human–machine interaction.
