Oura Acquires Counsel Health for $625 Million

Oura has made a significant move in the healthcare space by announcing its acquisition of AI-native primary care company Counsel Health for $625 million. This deal comes at a time when Oura had previously postponed its IPO indefinitely due to market uncertainty.

Counsel Health is an innovative platform that leverages artificial intelligence to provide users with personalized medical advice and access to licensed physicians through its chat-based experience. Its service was integrated into the Oura app in June, allowing users to connect with Counsel's medical AI for guidance on various health-related matters.

Users of Oura can now get instant answers to their medical questions and even consult a physician when needed, all within the Oura app. With this acquisition, the two companies plan to expand their existing partnership to cover a broader range of healthcare services, including preventative care, acute care, and specialty and chronic care.

Oura's dominance in the smart ring market has been under pressure from emerging competitors like RingConn and Ultrahuman, forcing the company to innovate and explore new business opportunities. By acquiring Counsel Health, Oura is seeking to expand its offerings and provide users with more comprehensive healthcare solutions.

The acquisition marks a significant milestone for Counsel Health, which had raised a total of $36 million in funding led by prominent investors such as Andreessen Horowitz (a16z) and GV.

Oura's acquisition of Counsel Health is expected to bring significant expansion to its AI-native care model, allowing it to reach more people beyond its existing membership base. The company will continue to serve existing and new enterprise partners, leveraging Counsel's expertise in medical AI that prioritizes trust, safety, and responsibility.

Counsel CEO Muthu Alagappan will join Oura as chief clinical AI officer, bringing his team of 70 employees with him. This move is expected to further solidify the integration of the two companies' visions and cultures, which have been aligned from the start according to Alagappan's statement.

Oura's data and Counsel's medical AI capabilities are set to combine in a way that will provide clinicians with more informed care options for their patients. This partnership has been years in the making, with Oura and Counsel negotiating their deal over several months.

The acquisition is expected to close before the end of 2027, marking a significant milestone in Oura's journey so far. The company's financials have also seen significant growth, with revenue reaching $533 million for the quarter ended on September 30, representing a year-over-year increase of 153%.

Oura's valuation has been steadily increasing, reaching an impressive $11 billion following a $900 million funding round in October 2025. The company's fiscal year 2026 saw revenue of approximately $1.75 billion, marking a 92% year-over-year growth rate.

As Oura continues its rapid growth trajectory, it's clear that the company is committed to expanding its offerings and capabilities through strategic acquisitions.

The company's fiscal year 2026 saw revenue of approximately $1.75 billion, marking a 92% year-over-year growth rate. This significant increase in revenue has undoubtedly provided the financial muscle for Oura to pursue ambitious expansion plans, including the acquisition of AI-native primary care startup Counsel Health for a reported $625 million.

The acquisition is expected to significantly enhance Oura's capabilities and offerings, enabling the company to provide more comprehensive and personalized health solutions to its customers.