Ozlo, the maker of comfy, easy-to-use “sleepbuds” that drown out outside noise so you will get higher relaxation, is popping its product right into a platform.
The corporate’s plan started to take form final month with the announcement of a partnership between Ozlo and meditation app Calm. But it surely kicked into excessive gear on the Shopper Electronics Present in Las Vegas this week as the corporate met with potential companions to broaden its attain.
These new companions might assist Ozlo faucet into new audiences and construct a income mannequin past consumer-focused {hardware} and into the profit-margin-rich world of software program subscriptions and healthcare. As an example, software program options that use AI or are designed to supply reduction to customers with tinnitus could possibly be supplied as premium subscriptions. And a current acquisition of a neurotech startup ought to assist Ozlo broaden past being a shopper product to getting into the medical gadget market, too.
How Ozlo’s platform ambitions start
Based by former Bose workers, Ozlo at all times meant to construct an ecosystem, Ozlo co-founder and CEO NB Patil defined on the sidelines of CES.
“The best way we did that from the start is we constructed the iOS and Android SDK — so our first-party app really runs on that SDK. Meaning no matter you see in our app will be made out there to anyone,” Patil stated.
The psychological wellness firm Calm, as an illustration, is utilizing the SDK to inform whether or not its sleep and meditation content material is definitely resonating with its clients. Whereas Calm can’t inform from its personal app if clients have fallen asleep, Ozlo’s sensors can. The gadget detects how physique actions and respiration charges change, and that information is distributed to the Ozlo charging case. There, a machine studying algorithm determines whether or not somebody is asleep or is relaxed.
Ozlo’s sensible case has different sensors as effectively, together with a temperature sensor and a light-weight sensor that may add extra information.
Now, that info will be shared with apps like Calm and others.
For instance, if a person began enjoying a respiration train, Ozlo might inform if their respiration fee had gone down and share that information with its associate. If the train is unsuccessful, the associate would know they should change the sample or do one thing completely different.
“So there are two components,” Patil notes. “Taking real-time motion when the client achieves the specified state [which Ozlo does with its feature that can shut off sounds after the user falls asleep] and the opposite half, which is essential, really — that content material creators will not be fairly enthusiastic about — is, are they investing in the proper content material?”
Patil explains that content material creators for some of these meditation and sleeping support apps are inclined to spend money on quantity with out measuring whether or not or not their content material is efficient.
“They don’t perceive, really, the way it works within the discipline as a result of there is no such thing as a information,” he says.
This relationship might additionally add one other income stream to Ozlo’s enterprise past promoting {hardware}. As an example, if a buyer is prompted to improve their subscription to the associate’s product, Ozlo might take a portion of that transaction.
Patil informed TechCrunch the corporate is already in discussions with different sleep and meditation apps, however this closed-loop suggestions system could possibly be used with any kind of content material, together with remedy and even audiobooks.
Ozlo can be engaged on tinnitus remedy instruments to deal with the ear-ringing drawback that impacts 15% of its buyer base. The corporate teamed up with Walter Reed Hospital final yr to launch a medical examine of the issue and located that enjoying the proper masking frequency in a single day for a lot of weeks can idiot the mind into stopping the irritating indicators producing the ringing sounds.
Patil says the tinnitus therapies can be out there by way of a subscription and can roll out within the second quarter of 2026.
An AI that can assist you sleep higher
Ozlo can be working to broaden the insights it gives its personal clients, and AI is an more and more necessary piece. The corporate launched Sleep Patterns within its app in November to assist clients perceive how lengthy and effectively they’ve slept, what their patterns are throughout the previous weeks, and what elements could possibly be disturbing their relaxation.
This yr, Ozlo plans to introduce an AI agent that clients can textual content with and use as a “sleep buddy.” (The corporate revealed the “buddy” identify for its AI agent in an Easter egg throughout the app. The app shows an animated character — “buddy” — that runs throughout the highest of the display if you open and shut the case 5 instances in a row.)
By integrating with different wearables and Apple’s HealthKit, Ozlo will be capable of higher perceive a person’s patterns and what they should sleep higher. It additionally needs to have the ability to join with IoT gadgets, like sensible thermostats, to set the proper sleeping temperature for customers as quickly as they open the case at night time.
The AI options are anticipated within the second quarter.
New {hardware}, EEG insights on the best way
Ozlo’s next-generation case will deal with the problem of the earbuds generally not being correctly seated within the charger.
“We modified the contours contained in the case — if you place [the sleepbud], it’s good. After which we’ll have a Bluetooth button to do the pairing,” Patil says.
Plus, the brand new gadget will embrace a redesigned antenna and extender for improved vary, and can add an amplifier to spice up how loud the headphones will be to drown out aircraft and practice noise, when wanted. This up to date {hardware} may also arrive in Q2.
When it comes to merchandise, Ozlo will launch a bedside speaker in Q2 that can provide comparable performance to the Sleepbuds, however received’t have to go within the ear. A 4×6-inch speaker would even have its personal sensor, permitting it to do issues like monitoring what number of instances you wakened for toilet breaks, or alert others in case you had fallen.
The speaker would permit the corporate to market to households with youngsters beneath 13, as children aren’t suggested to put on earbuds at night time. It might additionally make sense for aged people who aren’t as technically savvy and don’t need to fiddle with in-ear gadgets.
Just like the popular Hatch alarm clock, Ozlo is engaged on including a light-weight to a product sooner or later to softly wake you up. (The time-frame to launch remains to be being decided.)
The acquisition play
Acquisitions are additionally a part of Ozlo’s development technique.
The 60-person, Boston-based firm simply acquired Segotia, an EEG-focused neurotech firm from Ireland, that has been constructing “hearable” applied sciences. Ozlo believes it will permit it to deliver brain-level insights to its shopper gadget and later develop instruments to do real-time sleep intervention.
“Principally, we’re customized designing the eartip that’s going to measure {the electrical} indicators out of your ear. From that, really, you may derive the delta indicators from the mind, and it’s best to be capable of say what your mind is doing with regards to sleep, or with regards to consciousness, and all that,” Patil defined.
A product incorporating the EEG know-how will launch in 2027, permitting the corporate to maneuver into the medical merchandise discipline, as effectively.
With the busy yr forward, Ozlo might want to execute effectively on every new function and product in speedy order to keep up its present tempo and develop its buyer base. It should additionally want further capital. Patil informed TechCrunch the corporate is within the technique of closing a Sequence B spherical now, with extra particulars to return within the month forward.
