Smart ring maker Oura raises $900M from Fidelity

Oura, a Finnish health technology firm known for its smart rings, has successfully raised $900 million in a funding round led by Fidelity Management & Research Company. The investment saw contributions from new investor ICONIQ as well as Whale Rock and Atreides. This latest funding round elevates Oura's valuation to approximately $11 billion, more than doubling its worth since its last funding round in December. CEO Tom Hale expressed pride in the support Oura receives, emphasizing their commitment to fostering a global movement in proactive health. He stated, "This new funding is a testament to the strength of Oura business and the trust millions of members place in us every day." Oura plans to allocate the new capital towards innovations in artificial intelligence and production, with an eye on enhancing health features and expanding its global distribution network. Since its inception, the company has sold over 5.5 million smart rings, with the past year contributing significantly to sales growth, more than doubling its revenue to $500 million in 2024. Looking ahead, Oura anticipates continued sales momentum, projecting annual revenue to exceed $1 billion. According to a report from IDC, Oura maintains a commanding presence in the smart ring market, commanding over 80% of it. The company is also broadening its customer base, particularly appealing to women in their early twenties, as noted by chief commercial officer Dorothy Kilroy at the recent Elevate conference in Toronto. In October, Oura introduced the Oura Ring 4 and recently launched ceramic versions along with a new charging dock. Additionally, Oura is expanding into the health testing arena, having introduced a feature in its app called Health Panels. This allows users to book blood tests at Quest Diagnostics locations across the U.S. for $99. While Oura does not provide medical advice, users can view their reports within the app and consult its AI bot for general health suggestions. This new feature positions Oura in competition with other health tech startups, including Whoop, Ultrahuman, and Samsung, who are also expanding their offerings in this space.