This Company Is Now Worth $1.5 Billion. Its Product Is a Better Night’s Sleep |
This Company Is Now Worth $1.5 Billion. Its Product Is a Better Night’s Sleep
Would you buy a $5,000 smart sleep system to help you get better shuteye?
BY CHLOE AIELLO, REPORTER @CHLOBO_ILO
Sleep is a very valuable commodity—so valuable that sleep tech company Eight Sleep is now worth $1.5 billion on the back of a $50 million funding round.
The strategic funding round, announced on Wednesday, was led by Tether Investments, the venture capital arm of crypto company Tether, and follows a $100 million funding round that the New York City-based startup announced it raised last August. Founded in 2014, Eight Sleep plans to use its new funding to push its technology from reactive sleep optimization into AI-powered prediction.
“Sleep was just the beginning,” Matteo Franceschetti, Eight Sleep co-founder and CEO, said in a statement.
Eight Sleep’s primary offering is its Pod system. The system is made up of a gadget, called a hub, that sits next to the bed; it functions as the system’s brain and manages the water-based heating and cooling system of the bed. The temperature regulating and sleep tracking mattress cover also comes standard in the Pod system. Consumers have the option to select additional accessories, such as a base that slides between the bed and mattress, and a smart blanket and pillow case. The system is meant to be used with any existing mattress.
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Features include various sounds to help people fall asleep and soft vibrations and temperature changes at wake-up. The mattress cover contains sensors that track biometrics such as heart rate, breathing, sleep stage, snoring, and overall sleep time, and the base is capable of moving in the night to increase comfort and reduce snoring. The system is meant to make adjustments automatically, based on various signals. It can, for example, adjust the temperature of the bed to help maintain sleep. And Eight Sleep says its current AI-powered system can learn from its users.
With its new investment, Eight Sleep plans to further its AI ambitions, developing an AI agent that can anticipate sleep disruptions and act accordingly. These actions would be based on factors such as elevated stress, evening exercise, travel, or a warm bedroom environment. It is also expected to offer recommendations throughout the day, suggesting routines that could help aid sleep and recovery later.
“Our goal is to build a Sleep Agent that runs thousands of scenarios in advance and prepares the ideal environment for your body before you get into bed,” a spokesperson wrote via email. “In other words, instead of fixing problems while you sleep, the system will anticipate them and prevent them. That’s the transition from a smart bed to what we believe will become the operating system for sleep and longevity.”