Eight Sleep has raised $50 million in a strategic investment round led by Tether Investments, bringing the New York-based sleep technology company’s valuation to $1.5 billion. With the latest financing, Eight Sleep has now secured more than $250 million in total funding.
The raise follows a $100 million round completed in August 2025, when the company was valued at $1 billion. That marked a significant increase from its approximately $500 million valuation at the time of its $86 million Series C in August 2021.
Founded in 2014, Eight Sleep develops technology-enabled sleep products designed to integrate physiology and data analytics. The company initially launched a smart mattress system, known as the Pod, equipped with embedded sensors to track sleep metrics and identify behavioral trends. In 2018, it introduced an AI-powered sleep coach that provides personalized insights, such as sleep duration comparisons and recommendations to improve REM cycles.
The newly raised capital will support the company’s expansion into what it describes as “predictive, AI-driven health,” extending its data-driven capabilities beyond sleep optimization.
Executives characterized 2025 as a milestone year, citing the achievement of free cash flow positivity and the launch of three new products: Pod 5, Pod Pillow Cover, and Thermal Blanket.
“Sleep was just the beginning,” said Matteo Franceschetti, co-founder and CEO of Eight Sleep, in a release. “We’ve built the most advanced AI-powered health sensing system in the world — one that learns your body better every night and acts on that knowledge. This investment gives us the resources to take that intelligence beyond the bedroom and into every dimension of personal health. … Our goal is to build the defining health technology company of this generation.”
Eight Sleep’s funding comes amid sustained investor interest in sleep-focused health technologies. Companies developing treatments for sleep-related conditions and consumer sleep optimization tools have attracted substantial capital in recent years. Oura, which manufactures biometric-tracking wearable rings, has raised $1.25 billion in equity funding to date, including a $900 million Series E at an $11 billion valuation in October 2025.
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