Palo Alto-based startup Sabi has secured $50 million in a funding round announced on October 9, 2026. The investment was led by Khosla Ventures, Accel, Initialized Capital, and DST Global. The company intends to allocate these funds toward enhancing its hardware and developing a proprietary Brain Foundation Model.

The startup is developing a wearable brain-computer interface in the form of a beanie, which utilizes between 70,000 and 100,000 miniature EEG sensors to read electrical activity from outside the skull. A more discreet baseball cap version is also under development. The device aims to convert internal thoughts into digital text or commands at an estimated speed of 30 words per minute.

Sabi claims its AI model is trained on a dataset comprising 100,000 hours of recordings from approximately 100 volunteers. The company, founded around 2023, emerged from stealth in mid-April 2026. It plans to begin shipping its products by the end of 2026, while emphasizing data security through end-to-end encryption and external audits.

The technology is positioned as a non-invasive alternative to surgical brain-computer interfaces like Neuralink. By utilizing a high density of sensors and AI to process signals through the skull, Sabi aims to provide brain-computer interaction without the need for invasive medical procedures.