Center for Social Dynamics, Leader in ABA Services, Taps VR Startup to Scale Delivery of ABA Virtual Services

Rhea-AI Summary

Center for Social Dynamics (CSD) has expanded its partnership with Floreo, a VR technology company, to enhance the delivery of virtual autism therapy services in schools nationwide. Floreo, which received FDA breakthrough device designation in 2023, will collaborate with CSD to develop advanced VR curriculum for Applied Behavior Analysis (ABA) teletherapies, including new group therapy features.

The partnership aims to address growing demand for ABA therapy, as CDC data shows approximately 1 in 36 U.S. children are diagnosed with ASD. CSD will become the exclusive ABA provider of Floreo's VR curriculum in U.S. schools, joining Easterseals Southern California as a Floreo Premier Partner. CSD, recently acquired by Goldman Sachs Alternatives, currently provides over 1 million hours of evidence-based care annually for youth with autism across multiple states and modalities.

Positive

• Exclusive partnership for school-based VR curriculum distribution nationwide
• FDA breakthrough device designation validates technology
• Large-scale operation with 1 million hours of annual care delivery
• Backed by Goldman Sachs Alternatives through recent acquisition
• Technology addresses growing market (1 in 36 children diagnosed with ASD)

Negative

• Current market faces long wait times due to provider shortage
• High demand and supply of ABA therapy providers

Insights

Financial Analyst

Goldman Sachs Alternatives' acquisition of Center for Social Dynamics (CSD) represents a strategic expansion into the behavioral health services sector, now enhanced by this partnership with VR technology provider Floreo. The deal positions Goldman to capture value in the growing autism therapy market where demand significantly outpaces supply.

CSD's 1 million annual hours of autism care delivery provides Goldman with a stable, recession-resistant revenue stream in healthcare services. The exclusive school distribution agreement for Floreo's FDA-designated breakthrough VR technology creates a meaningful competitive moat and significant scaling opportunity across the US education system.

This investment aligns with the growing trend of private equity and financial institutions targeting behavioral health platforms, particularly those with technological differentiation and the ability to address provider shortages. With autism affecting 1 in 36 children according to CDC data and families facing extended waitlists, CSD's virtual delivery model addresses a critical market inefficiency.

While the financial terms remain undisclosed, this represents a textbook alternative investment strategy for Goldman - combining stable healthcare services revenue with technology-enabled scaling potential. The partnership particularly strengthens CSD's competitive positioning against other major ABA providers like Acorn Health, Autism Learning Partners, and Autism Spectrum Therapies.

Center for Social Dynamics has selected Floreo to expand delivery of immersive, virtual services incorporating VR autism therapy to schools nationwide.

WASHINGTON, April 3, 2025 /PRNewswire/ -- Center for Social Dynamics (CSD), leader in providing and innovating behavioral health services, today announced the expansion of a groundbreaking partnership with Floreo, pioneering developer of virtual reality (VR) lessons that help teach life skills to autistic and neurodiverse children. Leveraging CSD's national delivery platform and immersive programming and Floreo's VR-enabled curriculum, the partnership aims to improve school-based access to specialized care. In 2023, Floreo became the first VR autism technology to receive the Food and Drug Administration's (FDA) breakthrough device designation.

"Our mission is to make access to high-quality care available to every neurodiverse child in every zip code in the U.S. Our virtual program, combined with Floreo VR, is transformative step in achieving this mission," said Kelly Bozarth, CEO of Center for Social Dynamics. "By equipping therapists with VR technology, we are able to help give children with autism and other developmental conditions the ability to practice skills not otherwise possible in a singular setting, both at school and after school."

According to the Centers for Disease Control and Prevention, about 1 in 36 children in the U.S. were diagnosed with ASD, and demand for Applied Behavior Analysis (ABA) therapy—which has been shown to have positive long-term impacts on their academic, social, and emotional well-being—is growing. Children and families often experience long wait times due to a backlog of demand and limited supply of providers.

Through their expanded partnership, CSD and Floreo will co-develop advanced VR curriculum to augment ABA teletherapies and features, including new modalities to enable group VR therapy. CSD will also serve as the exclusive ABA provider of Floreo's VR curriculum in schools throughout the U.S., and will join Easterseals Southern California (ESSC), the largest provider of disability services in California, as a Floreo Premier Partner.

"This partnership is about harnessing the promise and potential of emerging technology to deliver high-quality care without geographic limitations," said Vijay Ravindran, founder and CEO of Floreo. "It's about reimagining how behavioral therapy is delivered and giving more autistic children the opportunity to gain the skills they need to thrive, and explore the world around them in a safe, supervised learning environment."

Center for Social Dynamics, recently acquired by Goldman Sachs Alternatives, delivers over 1 million hours of high-quality, evidence-based care for youth with autism annually across a growing number of states and all modalities, including in-person, virtual, and paired. Since its founding in 2016, Floreo's unique platform has been adopted by ABA practitioners, public and private school systems, vocational education programs, and healthcare systems throughout the nation to support neurodivergent individuals of all ages.

About Floreo
Floreo's vision is a world that is open and accessible for every neurodiverse person. Its mission is to create the first behavioral therapy metaverse, a virtual world that is safe for learners, equipping them with skills and tools they can apply in their everyday lives. Floreo has developed a virtual reality platform that teaches social, behavioral, communication and life skills for individuals with Autism Spectrum Disorder, ADHD, anxiety and other neurodiverse conditions. For more information, please visit floreovr.com.

About Center for Social Dynamics
Center for Social Dynamics provides services to those with Autism and other developmental conditions. CSD integrates personalized, evidenced-based therapies into natural routines in the home, in schools, in centers, and virtually through CSD Global Community. CSD offers serves across California, Washington, Oregon, Hawaii, Colorado, Georgia, and is expanding services to new states regularly.

CSD's multi-disciplinary team provides behavioral therapies to improve communication, adaptive behaviors, social and motor skills. CSD is recognized for its personalized, culturally sensitive programs that are grounded in science, compassion and humility. CSD mission is to open a world of possibilities for those with Autism and other developmental conditions by making access to high-quality care possible.

For more information about CSD, visit www.csdautismservices.com.

About Sustainable Investing at Goldman Sachs Alternatives
Goldman Sachs (NYSE: GS) is one of the leading investors in alternatives globally, with over $500 billion in assets and more than 30 years of experience. The business invests in the full spectrum of alternatives including private equity, growth equity, private credit, real estate, infrastructure, hedge funds and sustainability. Clients access these solutions through direct strategies, customized partnerships, and open-architecture programs.

The business is driven by a focus on partnership and shared success with its clients, seeking to deliver long-term investment performance drawing on its global network and deep expertise across industries and markets.

The alternative investments platform is part of Goldman Sachs Asset Management, which delivers investment and advisory services across public and private markets for the world's leading institutions, financial advisors and individuals. Goldman Sachs has more than $3.1 trillion in assets under supervision globally as of September 30, 2024.

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SOURCE Floreo

FAQ

What is the significance of Floreo's FDA breakthrough device designation for CSD's VR autism therapy?

Floreo's 2023 FDA breakthrough designation validates the technology's potential in autism therapy, enabling CSD to offer FDA-recognized VR solutions in their ABA services.

How many hours of autism care does CSD currently deliver annually?

CSD delivers over 1 million hours of evidence-based care annually for youth with autism across multiple states and modalities.

What is the current autism diagnosis rate according to CDC data mentioned in the partnership announcement?

According to CDC data, approximately 1 in 36 children in the U.S. are diagnosed with Autism Spectrum Disorder (ASD).

What new features will be developed through the CSD-Floreo partnership?

The partnership will develop advanced VR curriculum for ABA teletherapies, including new modalities for group VR therapy.

What is CSD's role in Floreo's school-based VR curriculum distribution?

CSD will serve as the exclusive ABA provider of Floreo's VR curriculum in schools throughout the United States.