Oura Ring 4
Courtesy: Oura
LISBON — Samsung’s push into smart rings has nothing to do with Oura, the boss of a pioneer in the product — in fact, Tom Hale says he’s seeing the business grow.
“I’m sure a big tech company will make a statement saying, ‘Hey, this is an important category. This is going to be a big thing.’ I think that might be helpful,” Hale told CNBC this week. .
“In terms of impact on our business, it’s had zero impact. If anything, our business has gotten stronger since they announced it.”
In an interview with CNBC at the Internet Summit in Lisbon, Hale discussed Oura’s plans to provide users with new areas of insight, his thoughts on the new device and the company’s intentions for international expansion.
Oura’s flagship product is the Oura Ring 4, a device known as a smart ring. It’s equipped with sensors that can track a number of health metrics, allowing Oura app users to learn more about the quality of their sleep or how prepared they are for the day ahead.
The company was founded in Finland in 2013 and is called a pioneer in smart rings by analysts. Oura says it has sold more than 2.5 million rings since launching its first product. CCS Insight predicts that Oura will occupy 49% of the market share in the smart ring field by the end of the year.
Competition in the field is beginning to rise. Samsung, the world’s largest smartphone maker, made its first foray into smart rings this year with the launch of the Galaxy Ring, which some analysts said put the device category on the map and popularized it among a wider audience.
Hale is keen to position Oura as “a health company and a science company from the beginning” with its products targeted to be “clinical grade”. Oura is seeking U.S. Food and Drug Administration (FDA) approval of its ring for diagnostic use, but Hale declined to provide too many further details.
He did say Oura’s focus on health and science is what sets it apart from its competitors.
“If you actually think of yourself as a healthcare company, it’s very different in a lot of ways, and you probably have a different attitude towards data privacy… So don’t act like a company where data is some kind of data Tech companies extract oil like that and then use it to create some kind of network effect advantage, we are actually a health care company and your data is sacrosanct,” Hale said.
Oura’s business model relies on selling the hardware, as well as a $5.99-per-month subscription service that allows users to get insights from their rings. Oura says it has nearly 2 million subscribers.
“We look more like a software company than a hardware company. I think that’s a function of the business model, and it’s working. Our subscribers will continue to pay,” Hale said.
Oura sees nutrition as the next ‘pillar’
Oura uses the data collected by the ring to provide insights to its users, focusing on a person’s sleep levels, activity levels and readiness for the day.
Hale said the company is currently testing nutritional content, and users can take photos of their meals and log them into the Oura app. Also in the nutrition space, he highlighted Oura’s recent acquisition of Veri, a metabolic health startup that captures data from continuous glucose monitors (small devices that insert into a person’s arm) to provide insights into someone’s blood sugar levels. Hale says this, combined with Oura’s food tracking feature, can tell users how certain meals affect their blood sugar levels.
Today, many glucose monitors are invasive and require insertion into the skin. Some observers believe non-invasive glucose monitors on wearable devices could be transformative, but Hale warns that’s a difficult goal to achieve.
“I think it’s definitely a Holy Grail that wearables will enable this, but like the Holy Grail, they may never find it because it’s a very difficult problem to solve with any precision,” Hale said. .
“Never say never. Of course, technology continues to advance and so do all capabilities,” he added.
New hardware and artificial intelligence
While Oura currently only sells rings, Hale expects the company to develop new products in the future. He declined to elaborate.
“I think we will undoubtedly see other Oura-branded products outside of the ring,” he promised.
He also said the company hopes to work with other devices as well, even if they aren’t Oura’s own hardware.
Like many hardware companies, e.g. apple Like Samsung, Oura is investigating how to leverage advanced capabilities in artificial intelligence to provide users with more personalized insights. Smartphone makers talk about so-called “artificial intelligence agents,” which they see as assistants that can anticipate user needs.
Oura is testing an artificial intelligence product called Oura Advisor in a similar manner.
“Think of it like a doctor in your pocket who knows all your data,” Hale said.
International recommendation
Haleof Attending the Lisbon Internet Summit highlights his commitment to increasing Oura’s brand awareness in markets outside the United States, especially as more people learn about smart rings.
“I think what people are understanding about this category is that the unique benefits of this maturity work in our favor. We are expanding internationally,” Hale said.
He said he was particularly “excited” to enter Western Europe, including countries such as Britain, Germany, France and Italy. Looking further into the future, Hale said an initial public offering for the business was not currently being considered, adding that operating as a private company would give Oura more “freedom.”
“I really enjoy the freedom that we get as a private company. We are accountable to our investors and shareholders, but they are willing to let us operate with a lot of licenses,” he said. “If we decide we want to turn a profit because we want to invest in owning some type of healthcare software, that’s fine. They’ll be happy about it.”
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