Ozlo Raises $22M Series B Led by Modi Ventures to Expand Sleepbuds

Ozlo, the Boston-based sleep technology company behind Ozlo Sleepbuds, has raised $22 million in Series B funding led by Modi Ventures. The round size includes previously issued convertible instruments. The company did not disclose a valuation.

Existing investors LifeArc, Artis Ventures, Resmed, Scrum Ventures, Drive by DraftKings, Wheelhouse 360, WISE Ventures, Niremia Collective, Accelerate Ventures and World Solver Syndicate also participated. Individual backers include Super Bowl champion Nick Foles, Olympic snowboarder Danny Davis, Whole30 founder Melissa Urban and high-performance psychologist Michael Gervais. Ozlo did not disclose its total funding to date.

Earbuds Built by Former Bose Engineers

Ozlo was founded by former Bose engineers to make products designed specifically for sleep. Its flagship Sleepbuds combine engineered audio, intelligent noise masking and all-night comfort, with a design meant to work for side sleepers and to blunt nighttime disruptions such as snoring and city sounds.

In July 2026 the company launched Sleepbuds 2, which offer up to 14 hours of battery life, improved connectivity and an upgraded audio system. Ozlo says it has surpassed 260,000 customers in under two years.

"Ozlo's ambition extends well beyond a single product," said N.B. Patil, CEO of Ozlo.

From Sleepbuds to a Tinnitus Filing

The new capital will go toward scaling the Sleepbuds business globally, increasing investment in hardware, software, engineering and R&D, and developing next-generation products and personalized experiences. Ozlo also plans to advance the regulatory work required to submit a tinnitus product to the U.S. Food and Drug Administration.

The company is partnering with Dreem Health, a nationwide virtual sleep clinic, connecting its technology with sleep specialists who can evaluate, diagnose and treat common sleep disorders. Fitt Insider reported that Ozlo has acquired Segotia to apply neuroscience to more sleep conditions, starting with tinnitus and epilepsy.

Modi Ventures Bets on Comfort First

For lead investor Modi Ventures, the case starts with whether people will actually wear the device all night.

"We believe any wearable sleep technology must get comfort right first—without it, even the most advanced technology will struggle to gain adoption," said Sahir Ali, founder of Modi Ventures.

Ali pointed to Ozlo's customer traction as evidence it has cleared that bar, and said the firm sees room for the company to evolve into a sleep health platform powered by biosensing, AI and neuromodulation. Ozlo also plans to use the round to grow consumer and clinical awareness, form new partnerships and expand internationally.

Why It Matters

Most consumer sleep technology measures sleep after the fact. Ozlo is building something that sits in the ear for the whole night and acts on the sleep environment in real time, and this round funds an attempt to turn that position into a health platform rather than a single accessory.

The tinnitus work is the hinge. A product headed for FDA review moves Ozlo from consumer audio into regulated medical territory, with a different cost structure, evidence bar and sales path. Pairing that with a virtual clinic partner like Dreem Health suggests Ozlo wants a route from consumer purchase to clinical care.

The cap table, which pairs institutional and strategic investors with athletes and wellness names, reflects that dual pitch. Ozlo is courting both everyday sleepers and clinicians, and the Series B is a bet that one device can serve both.

Source

GlobeNewswire — Ozlo Raises $22 Million Series B Led by Modi Ventures to Expand Its Sleep Technology Ecosystem