Omada Health is the digital health company that helps people avoid getting chronic diseases in the first place. While Virta reverses diabetes, Omada prevents it — along with hypertension, musculoskeletal problems, and behavioral health issues. The company works with employers and health plans to deliver virtual care programs that have been shown to reduce the onset of Type 2 diabetes by 58%. Prevention is cheaper than treatment. Omada is proving it at scale.
Founded
2011
HQ
San Francisco, USA
Total Raised
$255 million
Founder
Sean Duffy, Adrian James
Status
Private
Website
www.omadahealth.comTHE ORIGIN STORY
Sean Duffy was inspired by the Diabetes Prevention Program (DPP) — a landmark NIH study showing that lifestyle interventions reduced diabetes risk by 58%. The problem was that the DPP was a clinical research program, not a scalable product.
Duffy and Adrian James founded Omada in 2011 to digitize the DPP and make it available to millions of at-risk Americans through their employers and health plans. Omada was the first digital health company to receive full CDC recognition as a Diabetes Prevention Program provider.
WHAT THEY ACTUALLY DO
B2B2C subscription model. Employers and health plans pay Omada to provide prevention and chronic disease management programs to their members.
Revenue comes from per-member-per-month fees and outcomes-based contracts where Omada earns more when patients achieve health improvements.
THE PRODUCTS
Omada Prevention (diabetes prevention program). Omada for Hypertension.
Omada for Musculoskeletal. Omada for Behavioral Health.
Connected devices (smart scales, blood pressure monitors). Health coaching and peer support.
HOW THEY GREW
Employer and health plan partnerships. Omada grew by proving clinical and cost outcomes to HR and benefits leaders.
The DPP recognition from the CDC was a powerful sales tool. The company expanded from diabetes prevention into hypertension, musculoskeletal, and behavioral health to serve more of the employer market.
THE HARD PART
Proving ROI to cost-conscious employers. Digital health fatigue is real — employers are overwhelmed with vendors claiming to save money.
Omada must continually demonstrate measurable health outcomes and cost savings. Competition from Livongo (Teladoc), Virta Health, Noom, and dozens of other digital health companies.
MONEY TRAIL
Series A
2013 · Led by US Venture Partners
$5M raised
Series B
2014 · Led by Andreessen Horowitz
$23M raised
Series C
2017 · Led by Cigna Ventures
$50M raised
Series D
2019 · Led by Various
$73M raised
Series E
2021 · Led by Various
$57M raised
WHO BACKED THEM
Backed by Andreessen Horowitz, Cigna Ventures, US Venture Partners, and various healthcare investors. a16z led the Series E.
Cigna's investment signals payer validation.
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