Owlet Unveils ‘Owlet360’ – Turning Infant Health Data Into Peace of Mind for Parents

Rhea-AI Summary

Owlet (NYSE: OWLT) has launched Owlet360, a new subscription service that provides detailed insights into infant health and development. The service leverages data from monitoring over 1.7 million babies and 17 trillion heartbeats to offer personalized analytics on pulse rate, oxygen levels, movement, and comfort temperature.

The service is priced at $5.99 per month with a seven-day free trial, while core safety features remain free. Owlet360 allows parents to monitor health metrics, compare their baby's data with Owlet's extensive dataset, track sleep patterns, and access enhanced video capabilities.

During initial testing, the majority of subscribers used the service daily. The platform aims to address common parental concerns and reduce unnecessary healthcare visits through data-driven insights. The service is currently available in the U.S., with international expansion planned for later this year.

Positive

• Launch of new revenue stream through subscription service at $5.99/month
• Extensive data collection from 1.7 million babies and 17 trillion heartbeats
• High daily engagement from initial users during testing phase
• Planned international expansion later this year

Negative

• Core features remain free, potentially limiting subscription appeal
• to U.S. market initially

Insights

Product Strategy & Market Research Analyst

The launch of Owlet360 marks a pivotal strategic shift that could significantly impact Owlet's financial trajectory. With a current market cap of $71.7M, this subscription service represents a important move toward recurring revenue streams, potentially transforming the company's business model from hardware-dependent to a more sustainable software-as-a-service (SaaS) approach.

The pricing strategy at $5.99 per month appears carefully calibrated. Based on Owlet's installed base and the extensive dataset of 1.7 million monitored babies, even a modest 10% conversion rate could generate substantial recurring revenue. The decision to keep core safety features free while monetizing advanced analytics demonstrates a sophisticated freemium strategy that could minimize customer resistance while maximizing long-term value.

The competitive moat created by Owlet's vast dataset of 17 trillion heartbeats is particularly noteworthy. This data advantage creates significant barriers to entry, as competitors would need years to accumulate comparable insights. The personalized benchmarking feature, comparing individual babies to the broader dataset, represents a unique value proposition that could drive strong user engagement and retention.

Initial user testing results showing daily engagement among the majority of subscribers suggest promising product-market fit. The focus on actionable insights addresses a critical gap in the market - transforming raw data into meaningful guidance for parents. This could reduce customer churn and extend the typical usage period beyond the traditional 12-18 months of pure hardware solutions.

For investors, this launch represents a potential inflection point. The transition to a hybrid hardware-software model could lead to:

• Higher gross margins typical of SaaS businesses
• Improved customer lifetime value through extended engagement
• More predictable revenue streams
• Enhanced ability to cross-sell future products and services

This new subscription service, exclusive to Owlet users, gives parents a deeper, personalized understanding of their baby’s development, health, and sleep trends.

LEHI, Utah--(BUSINESS WIRE)-- Owlet, Inc. (“Owlet” or the “Company”) (NYSE: OWLT), the pioneer of smart infant monitoring, today announces the launch of Owlet360™, a new subscription service available to Owlet customers. This innovative new service leverages the Company’s infant health and sleep data to provide caregivers a place to turn to for answers about their babies’ development and health, empowering them with actionable information – while ensuring Owlet’s core safety features, including live vitals monitoring and real-time alerts, remain free of charge.

Owlet's new service, Owlet360, leverages the Company’s infant health and sleep data to provide caregivers a place to turn to for answers about their babies’ development and health, empowering them with actionable information – while ensuring Owlet’s core safety features, including live vitals monitoring and real-time alerts, remain free of charge. (Graphic: Business Wire)

A New Era Of Parenting Confidence

The demands on new parents are greater than ever. Caregivers often face sleepless nights, constant worry, and a lack of reliable resources to answer critical questions about their baby’s health and development. Frequently turning to friends or online resources, parents ask questions like, “Is this normal for my baby?” or “When should I take my baby to the doctor?” This uncertainty, coupled with high stress and fatigue, underscores the urgent need for a trusted, data-driven solution. Owlet360 helps solve this by providing actionable insights that aim to empower caregivers, support babies' well-being, and potentially reduce unnecessary healthcare visits.

Data That Makes A Difference

Since its inception, Owlet has monitored more than 1.7 million babies, tracked over 17 trillion heartbeats, and built one of the most extensive pediatric health datasets in the industry. This unmatched collection of data forms the backbone of Owlet360, enabling us to deliver insights no other platform can provide.

Building on features existing Owlet users enjoy, Owlet360 allows caregivers to:

• Monitor Baby’s key health metrics by diving deeper into daily and weekly trends for pulse rate, oxygen level, movement, and comfort temperature.
• Compare Baby’s health and sleep data to the vast Owlet infant health data set, offering meaningful context and reassurance.
• Understand sleep and gain daily insights and guidance on Baby’s sleep patterns.
• Track Baby’s comfort temperature to let parents know if their baby is too warm or too cold and to adjust the sleeping environment.
• Watch, share, and save more video clips of Baby’s precious moments or important notifications, like when their baby is moving or crying is detected.
• View sleep environment insights like temperature and humidity trends in Baby’s room.

Babies’ safety and parents’ peace of mind are the core of the Company’s mission. Access to key health and safety features, such as live vitals tracking and real-time alerts, is not changing. The Owlet Dream App will continue to provide pulse rate and oxygen level tracking, plus critical alerts, at no cost.

Putting Actionable Insights Into Parents’ Hands

"We believe the launch of Owlet360 marks a transformative moment not just for Owlet, but for the entire industry. With over a decade of experience pioneering at-home infant monitoring technology, we’ve built a deep understanding of what parents truly need – actionable insights, peace of mind, and a seamless way to track their baby’s health and development,” said Kurt Workman, Owlet Chief Executive Officer and Co-Founder. “Owlet360 is the next evolution of our connected ecosystem, leveraging our large pediatric health dataset to deliver personalized, proactive care. This is more than a subscription; it’s a new standard in parenting support."

In its first months of testing with a limited set of Owlet users, Owlet360 became a trusted tool for caregivers, with the majority of subscribers using it daily. Parents tell us that having deeper insights into their babies’ health and sleep provides the confidence they need:

• “As a first-time mom, I am learning so much. I like the trends so I can see that she’s doing things just like other babies her age.”
• “Having statistics and averages of other babies who use Dream Sock is super helpful and comforting because if I get concerned about my baby's statistics, I can see that he is trending alongside other Owlet babies.”
• “I love that they show me exactly the type of rest that my baby is getting throughout the night and showing me where I need to help with improvement.”

Owlet360 is available with a seven-day free trial for all new and existing Owlet Dream App users in the U.S. only, with plans to expand the service internationally later this year. Introductory pricing is $5.99 per month, with future plans for additional pricing options and expanded available features. To learn more, please visit www.owletcare.com/pages/owlet360.

About Owlet, Inc.

Owlet’s digital health infant monitoring platform is transforming the journey of parenting. The Company (NYSE: OWLT), a small-cap healthcare growth equity, offers FDA-authorized medical and consumer pediatric wearables and an integrated HD visual and audio camera that provide real-time data and insights to parents who safeguard health, optimize wellness, and ensure peaceful sleep for their children.

Since 2012, over 2 million parents worldwide have used Owlet’s platform contributing to one of the largest collections of consumer infant health and sleep data. The Company continues to develop software and digital data solutions to bridge the current healthcare gap between hospital and home and bring new insights to parents and caregivers globally. Owlet believes that every child deserves to live a long, happy, and healthy life. To learn more, visit www.owletcare.com.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 (the “Reform Act”). All statements contained in this press release that do not relate to matters of historical fact should be considered forward-looking statements, including, without limitation, statements regarding the Company’s launch of its Owlet360 subscription service in the U.S. and the impacts, growth prospects, and expanded product and service offerings and availability in the U.S. and international markets. In some cases, you can identify forward-looking statements by terms such as “estimate,” “may,” “believes,” “plans,” “expects,” “anticipates,” “intends,” “goal,” “potential,” “upcoming,” “outlook,” “guidance,” the negation thereof, or similar expressions, although not all forward-looking statements contain these identifying words. Forward-looking statements are based on the Company’s expectations at the time such statements are made, speak only as of the dates they are made, and are susceptible to a number of risks, uncertainties, and other factors. For all such forward-looking statements, the Company claims the protection of the safe harbor for forward-looking statements contained in the Reform Act. The Company’s actual results, performance or achievements may differ materially from any future results, performance or achievements expressed or implied by our forward-looking statements. Many important factors could affect the Company’s future results and cause those results to differ materially from those expressed in or implied by the Company’s forward-looking statements. Such factors include, but are not limited to, (i) the availability of, adoption and commercial success of Owlet360 within the U.S. and international markets, (ii) the regulatory pathway for the Company’s products, including submissions to, actions taken by and decisions and responses from regulators, such as the FDA and similar regulators outside of the U.S. as well as the Company’s ability to obtain and maintain regulatory approval or certification for our products and other regulatory requirements and legal proceedings; (iii) any developments in litigation in which the Company is involved, including the Butala and Cherian cases described in the Company’s reports filed with the U.S. Securities and Exchange Commission (the “SEC”); (iv) the ability of the Company to maintain listing of its Class A common stock on a national stock exchange; (v) the Company’s competition and the Company’s ability to profitably grow and manage growth; (vi) the Company’s ability to enhance future operating and financial results or obtain additional financing to continue as a going concern; (vii) risks associated with the Company’s current loan and debt agreements, including compliance with debt covenants, restrictions on the Company’s access to capital, the impact of the Company’s overall debt levels and the Company’s ability to generate sufficient future cash flows to meet the Company’s debt service obligations and operate its business; (viii) the ability of the Company to implement strategic initiatives, reduce costs, grow revenues, develop and launch new products, innovate and enhance existing products, meet customer demands and adapt to changes in consumer preferences and retail trends; (ix) the Company’s ability to acquire, defend and protect its intellectual property and satisfy regulatory requirements, including but not limited to requirements concerning privacy and data protection, breaches and loss, as well as other risks associated with the Company’s digital platforms and technologies; (x) the Company’s ability to maintain relationships with customers, manufacturers and suppliers and retain Owlet’s management and key employees; (xi) the Company’s ability to upgrade and maintain its information technology systems; (xii) changes in applicable laws or regulations; (xiii) the impact of and disruption to the Company’s business, financial condition, operations, supply chain and logistics due to economic and other conditions beyond the Company’s control, such as health epidemics or pandemics, macro-economic uncertainties, social unrest, hostilities, natural disasters or other catastrophic events; (xiv) the possibility that the Company may be adversely affected by other economic, business, regulatory, competitive or other factors, such as changes in discretionary consumer spending and consumer preferences; and (xv) other risks and uncertainties set forth in the Company’s other releases, public statements and filings with the SEC, including those identified in the “Risk Factors” section of the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2023, subsequent Quarterly Reports on Form 10-Q, and any current or periodic reports filed with the SEC. All such forward-looking statements attributable to the Company or any person acting on the Company’s behalf are expressly qualified in their entirety by the cautionary statements contained or referred to above. Moreover, the Company operates in an evolving environment. New risk factors and uncertainties may emerge from time to time, and factors that the Company currently deems immaterial may become material, and the Company can't predict such events or how they may affect the Company. Except as required by law, the Company assumes no obligation to update any forward-looking statements after the date of this press release, whether because of new information, future events or otherwise, although the Company may do so from time to time. The Company does not endorse any projections regarding future performance that may be made by third parties.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250128526672/en/

Media Contact:

pr@owletcare.com

Investor Contact:

ir@owletcare.com

Source: Owlet, Inc.

FAQ

What features does Owlet360 subscription service include?

Owlet360 includes detailed health metrics monitoring, sleep pattern tracking, comparative data analysis, temperature monitoring, enhanced video capabilities, and sleep environment insights.

How much does Owlet360 (OWLT) subscription cost?

Owlet360 is priced at $5.99 per month with a seven-day free trial for all new and existing Owlet Dream App users.

What data has Owlet (OWLT) collected to support Owlet360?

Owlet has monitored over 1.7 million babies and tracked more than 17 trillion heartbeats, creating one of the largest pediatric health datasets in the industry.

When will Owlet360 expand internationally?

Owlet plans to expand the Owlet360 service internationally later in 2024, after its initial U.S. launch.

Which features remain free in the Owlet Dream App?

Core safety features, including live vitals tracking, pulse rate and oxygen level monitoring, and real-time alerts remain free in the Owlet Dream App.