Brightside Well being, a digital behavioral well being startup, raised $50 million in Sequence B funding led by ACME Capital and Mousse Companions, Brightside CEO Brad Kittredge tells Axios solely.
Why it issues: Funds have been pouring into behavioral well being, and there isn’t any signal of the flood abating, with Brightside the most recent instance.
Particulars: Present Brightside backers Bullpen Capital, Triventures and Trousdale Ventures additionally participated within the spherical, bringing Brightside’s whole funding to $75 million.
Context: Based in 2017, San Francisco-based Brightside was on-line earlier than the pandemic highlighted the scarcity of psychological well being instruments — one thing that originally offered challenges for its founders.
- “After we had been getting began, a number of traders had been like, ‘Are you able to even do that on-line? Is that this protected?,'” Kittredge tells Axios. “Now we’re going into a brand new cycle the place individuals are figuring out niches and areas for consolidation.”
The way it works: Brightside companions with payers and suppliers to supply its companies on a reimbursable foundation, and with employers and people.
- Particular person memberships price $95 per 30 days for remedy administration or $249 for medicines plus remedy.
- After answering a questionnaire to evaluate their signs, customers are matched with a supplier who establishes a care plan, together with what medicines may assist.
- The corporate says it makes use of a “precision prescribing strategy” to match customers with the correct remedy primarily based on their medical historical past and the precise options of their signs.
Flashback: Earlier than beginning Brightside, Kittredge labored at consumer-focused firms together with Jawbone and 23andMe, the place he says he “had a entrance row seat” to the conflict between Silicon Valley’s hyper progress mentality and the necessity to transfer slowly in well being care, he tells Axios.
- “Basically we simply don’t imagine psychological well being is a spot to maneuver quick and break issues,” says Kittredge.
Between the traces: Whereas many digital well being sectors are consolidating, trade observers and traders proceed to see promise in area of interest psychological well being options, the place there’s a probability to supply extremely customized assist to particular populations.
- That even contains traders who as soon as believed the digital well being panorama would develop overly crowded, comparable to Maverick Ventures managing accomplice Ambar Bhattacharyya.
- Behavioral well being is “such a deep class,” that it leaves room for startups of various fashions, Bhattacharyya says. “There are such a lot of firms, they usually’ve all executed so properly, it’s fairly mind-boggling.”
State of play: Competitors within the sector can also be driving a give attention to outcomes, main traders to develop into extra selective within the startups they again, Aike Ho, a accomplice with ACME who led the funding in Brightside, tells Axios.
- “Over the previous 5 years we’ve checked out just about each psychological well being firm you possibly can title,” Ho says, and “that is our sole funding within the house.”