What’s going on here? Oura – the Finnish smart ring brand adored by celebs and execs – just raised $200 million, bringing its valuation to $5.2 billion: double what it was in 2022. What does this mean? Finally, a big deal that isn’t about AI… mostly. This isn’t Databricks-big, but it is one of the chunkiest deals Europe has seen all year for a company whose bread and butter isn’t AI. And it’s easy to see the appeal: Oura’s sleek, stylish rings track your sleep and heart rate, and they’re sported on some very famous fingers – like those belonging to Jennifer Aniston, Prince Harry, and Jack Dorsey. No wonder the firm has seen its sales surge to $500 million this year. This new influx of cash will help the brand finance its global expansion, a potential leap into medical applications, and – yes, fine – investment in a dash of AI wizardry to keep things interesting. Why should I care? For markets: The power of subscriptions. Oura’s cashing in on the booming smart ring market, which is up 90% this year alone – even as smartwatch sales slip. But it’s the firm’s $5.99-a-month subscription model that’s the real golden ticket. It turns what would otherwise be a one-time sale into a steady, predictable revenue stream – giving Oura software-like margins, financial stability, and a little extra twinkle in investors’ eyes. The bigger picture: Mind over matter. Wearables like Oura track your body’s every move, but the next frontier will flip the script: your thoughts will actually control the tech. Or, that’s the plan. And brain-computer interfaces from companies like Neuralink and Precision Neuroscience are edging closer to making it a reality – likely a profitable one too. |