Story of Eight Sleep - sleep fitness company making smart mattresses and trackers, recently raising $100M
Story of Eight Sleep
Matteo Franceschetti grew up in Italy with a passion for
athletics. As a teenager, he spent countless hours playing tennis, skiing down
slopes, and even competing in motorsports. These early experiences taught him
the importance of recovery, performance, and discipline—lessons that would
later shape his mission in the sleep industry.
From Law Books to Courtrooms
After high school, Matteo pursued law at the University of Ferrara, where he
graduated magna cum laude. He joined the Italian Bar Association and began his
career at two prestigious British law firms, Freshfields Bruckhaus Deringer and
Allen & Overy. Though he thrived in finance law, Matteo often felt a pull
toward entrepreneurship, realizing the courtroom was not where his long-term
dreams lived.
First Step into Entrepreneurship
In 2008, Matteo co-founded Global Investment, a cleantech company
focused on developing solar plants across Europe. The venture succeeded and was
eventually acquired in 2011, marking his first taste of building and exiting a
company. This experience boosted his confidence and cemented his desire to
innovate.
Another Startup Journey
After his first exit, Matteo co-founded GIR, another cleantech venture.
This company, too, found success and was acquired in 2014. By then, Matteo had
become known as a serial entrepreneur with a knack for spotting opportunities
and scaling companies. But deep down, he was still searching for a mission that
connected more closely to human well-being.
The Realization About Sleep
That same year, Matteo began questioning why a third of human life—sleep—hadn’t
seen meaningful innovation in decades. Despite his background in sports and
health, he realized there was little technology helping people optimize rest.
This insight sparked the birth of Eight Sleep, a company he co-founded
in October 2014 in New York City.
Early Struggles and Breakthrough
In 2015, Eight Sleep launched its first crowdfunding campaign on Indiegogo. The
team raised $100,000 and sold over 8,000 units in pre-orders. However, their
journey wasn’t easy—they were rejected twice by Y Combinator before finally
being accepted into the summer 2015 cohort after bringing a full bedroom setup
to the interview. This turning point gave them credibility and resources to
refine their vision.
Introducing the Pod
Eight Sleep developed The Pod, a temperature-controlled mattress that
uses AI and machine learning to track biosignals and optimize sleep. The Pod
doesn’t just make nights more comfortable—it helps compress sleep, improve
recovery, and even scan the body for health insights. This innovation put the
company on the map, especially among athletes and high performers.
Story of Eight Sleep - sleep fitness company making smart mattresses and trackers, recently raising $100M#startup#age#net worth#investor#Eight Sleep
Recognition and Awards
By 2018, Eight Sleep was gaining worldwide recognition. TIME named The Pod one
of its “Best Inventions” in both 2018 and 2019. That same year, Fast
Company recognized Eight Sleep as one of the “Most Innovative Companies.”
These awards signaled that the startup was no longer just another mattress
company—it was pioneering the field of “sleep fitness.”
Funding Success and Key Investors
The company quickly attracted top investors, raising over $150 million in
earlier rounds from names like Founders Fund, SoftBank, Khosla Ventures, Y
Combinator, and Valor Equity Partners. Influential backers such as Naval
Ravikant and Patrick Collison also joined. Their confidence in Eight Sleep
helped accelerate research and global expansion plans.
Building Science-Backed Innovation
To strengthen its credibility, Eight Sleep created a Scientific Advisory
Board in 2019, bringing together experts in health and technology to merge
product development with scientific research. This move reassured customers
that the company wasn’t just selling gadgets—it was reshaping health through
validated science.
Series C Growth
In August 2021, Eight Sleep announced its Series C funding round of $86
million, pushing its valuation close to $500 million. The round fueled
deeper product development and distribution, helping them expand their
offerings beyond just the Pod to covers, apps, and bio-tracking features.
Series D and Star-Studded Backing
A year later, in 2022, Eight Sleep raised $100 million in Series D funding,
bringing total funding above $260 million. The round was led by HSG and
included support from investors like Valor Equity Partners, Y Combinator, and
celebrities including F1 driver Charles Leclerc, McLaren CEO Zak Brown, and
actor Kevin Hart. With this capital, Eight Sleep focused on scaling globally
and entering the medical technology space.
Matteo’s Role and Philosophy
Though he holds patents in health and tech and serves on the Forbes Technology
Council, Matteo emphasizes team effort over personal credit. He has learned to
trust advisors and investors, drawing inspiration from mentors like Keith
Rabois and Antonio Gracias, who shaped Tesla and SpaceX. Matteo now focuses on
vision, innovation, and storytelling, while his team executes the operational
details.
Looking Ahead
Today, Eight Sleep calls itself a “sleep fitness company”, aiming to
fuel human potential through better rest. Its products have improved sleep
quality by up to 32%, according to the company. With expansion into
international markets, a strong AI roadmap, and plans for health-specific
interventions, Matteo believes Eight Sleep will naturally achieve unicorn
status. His dream is simple yet profound: to build a legacy brand that
redefines how the world sleeps.
