Eight Sleep raises $100M to scale AI-powered smart mattresses
Roughly one in three adults in the U.S. regularly struggles with insufficient sleep—a growing problem that has fueled demand for smarter tools to monitor, analyze, and improve rest. Eight Sleep, a New York-based startup founded in 2014, is betting big on AI-driven solutions to make sleep not just restorative, but preventive.
On Tuesday, the company announced a new $100 million funding round, with backing from HSG, Valor Equity Partners, Founders Fund, Y Combinator, and high-profile investors including Ferrari F1 driver Charles Leclerc and McLaren Racing CEO Zak Brown. With the fresh capital, Eight Sleep has raised about $260 million to date, and says its valuation has doubled since its last round in 2021—pushing the company close to unicorn status.
“If we successfully execute our AI roadmap, launch internationally, and develop condition-specific interventions, achieving unicorn status will naturally follow,” said Alexandra Zatarain, Eight Sleep’s co-founder and CMO.
From Tracking to Proactive Health Monitoring
Eight Sleep’s flagship product, the Pod smart mattress, integrates AI and biometric sensors to measure sleep stages, heart rate, breathing patterns, and movement. The system can automatically adjust temperature, elevation, and firmness—and even elevate the bed in response to snoring.
Since its 2019 launch, the Pod has generated more than $500 million in sales, expanded Eight Sleep’s revenue tenfold, and collected insights from over one billion hours of sleep data. The company, which employs just over 100 staff, says its next frontier goes beyond tracking.
Its latest innovation, the Sleep Agent, uses large language models to create thousands of digital “twins” for each user, predicting outcomes and recommending interventions tailored to recovery. This AI-driven approach shifts sleep tech from reactive monitoring to proactive health management.
Differentiation in a Crowded Market
The sleep technology market is competitive, with players ranging from wearables like Oura, Fitbit, and Apple to medical-focused providers such as ResMed, and mattress makers like Sleep Number and ChiliSleep. Eight Sleep positions itself apart through Autopilot, an adaptive system that learns from the first night of use and continuously adjusts for seasonality, travel, stress, illness, and lifestyle changes—independently for each side of the bed.
Zatarain highlighted the company’s focus on health-grade monitoring. Its Health Check system can detect cardiovascular and respiratory patterns with up to 99% accuracy, all without requiring a wearable device. “We’re not replacing your doctor, but we are giving you nightly, high-accuracy health monitoring so you can act early if trends shift,” she said.
Expanding Capabilities and Reach
Eight Sleep is also exploring condition-specific solutions, such as a Hot Flash Mode to address menopause symptoms and contactless detection for sleep apnea. The company is pursuing FDA approval to formalize its role in healthcare.
Currently shipping to over 30 countries—including Canada, the UK, Australia, Mexico, and the UAE—the startup now has its sights on China, citing rising demand from a health-conscious middle class.
Privacy at the Core
With sensitive health data central to its platform, Eight Sleep emphasizes compliance and trust. The company says it adheres to GDPR, CCPA, and other local regulations, encrypts all user data, and never sells it. “Our biometric sensors are embedded in the bed surface—no wearables, no invasiveness, just passive, high-accuracy insights,” Zatarain noted.
Looking Ahead
As Eight Sleep builds toward unicorn status, its ambition is clear: to turn the bed into a preventive health device and make sleep a cornerstone of daily wellness. With fresh funding, international expansion plans, and an AI-powered roadmap, the startup aims to set the pace in the fast-growing sleep tech market.
