Eight Sleep, a sleep fitness company, raised $100 million of new funding in a Series D fundraising round in August 2025. Founded in 2014 by Italian entrepreneurs in New York City, Eight Sleep uses artificial intelligence (AI) to optimize sleep and health. Its key product is a $3,000 mattress cover and smart blanket in one, known as the Pod, which monitors physiology to provide customized solutions to optimize sleep.

The Series D round included participation from investors such as Founders Fund, Y Combinator, Atreides, Valor Equity Partners, and HSG. Individual investors included the CEO of McLaren Racing Zak Brown and the Ferrari F1 Driver Charles Leclerc. The company’s current valuation is close to $1 billion.

The Pod integrates hardware, software, and AI to improve sleep quality. It monitors breathing patterns, heart rate, body temperature, sleep stages, snoring, physical movement, and other variables. These data points allow the technology to make adjustments to bed temperature, firmness, and elevation.

“We’re creating digital twins of your sleep physiology to simulate, test, and personalize your recovery before you even close your eyes,” said CEO Matteo Franceschetti. “This is the next frontier: AI that doesn’t just track you, it understands and adapts to you in real time.”

The company has done $500 million of sales since 2019. It collects recurring revenue through subscription fees. While the Pod costs around $3,000, a membership is required for the first 12 months. The membership covers an intelligent sleep system that provides personalized temperature and comfort adjustments while you sleep. The membership also generates sleep and health reports to improve your sleep fitness. Eight Sleep has customers in over 30 countries.

Eight Sleep is popular among professional athletes. Other high performing individuals, such as tech CEOs like Mark Zuckerberg and Elon Musk, are also fans of the Eight Sleep smart mattress cover. Additionally, the company has received a number of celebrity endorsements.

The co-founders, Matteo Franceschetti, Andreasi Bassi, and Alexandra Zatarain, continue to be involved in leadership roles with the company.

The company intends to use the funds raised from the Series D round to further refine its AI capabilities and expand into the medical space. For example, Eight Sleep released a new feature called Hot Flash Mode, which provides cooling in response to menopause symptoms. While smart technology that tracks health data can create privacy concerns, the company emphasizes that its biometric sensors protect user privacy. It passive monitors biometric data without requiring the user to wear any device.

“We’re not replacing your doctor, but we are giving you nightly, high-accuracy health monitoring so you can act early if trends shift,” stated Chief Marketing Officer Alexandra Zatarain. “Over time, this data can complement medical care.”

As people have become increasingly health conscious, awareness of the importance of quality sleep to overall health has taken center stage. Eight Sleep is likely to benefit from the increased prioritization of sleep and health. The company hopes to expand into new international markets, including China, in the near future.