Oura is moving from health tracking toward helping members act on what their health data may show. The company announced it will acquire Counsel Health, an AI-powered primary care service, for $625 million, expanding a partnership that already connects the two companies’ services through the Oura app.
From health data to access to care
Counsel combines a chat-based medical experience with access to licensed physicians. Since its integration into the Oura app in June, users have been able to ask Counsel’s medical AI for personalized advice and chat with a physician when needed, all within the app.
The planned expansion would take that offering beyond its current form. Oura and Counsel say they intend to build services across preventative care, acute care, specialty care and chronic care. In practical terms, this points toward a broader range of support around the health information members already see in Oura, from immediate questions to ongoing needs.
Oura CEO Tom Hale described the relationship as a way for members to move from understanding their physiology to taking action. The company’s announcement frames Counsel as a complement to the data and engagement Oura already has through its members.
Physicians remain part of the model
Counsel’s approach pairs medical AI with licensed clinicians rather than presenting the AI as a replacement for physician decisions. Counsel CEO Muthu Alagappan said the company built its medical AI around trust, safety and responsibility, with physicians involved in clinical decisions.
Alagappan is set to join Oura as chief clinical AI officer, alongside Counsel’s 70 employees, according to Bloomberg. The role signals that clinical oversight and the design of AI-supported care will be part of the combined company’s work.
Alagappan also pointed to Oura’s data as a source of context for clinicians, including trended biometrics and member engagement. The intended connection is between those signals and care delivered with physician involvement. The source does not describe specific clinical outcomes, so the potential value of the combination will depend on how the expanded service is developed.
A larger reach beyond Oura members
Counsel is expected to keep serving its existing and new enterprise partners after the acquisition. Oura says the aim is to extend Counsel’s AI-native care model to more people beyond Oura’s membership, suggesting the service is intended to retain a reach outside the ring’s user base.
The acquisition also gives Oura a path to broaden its business while competition in the smart ring market grows. RingConn and Ultrahuman are among the rivals identified as emerging competitors. Adding care access may help Oura differentiate its offering, though the announcement does not say how the companies plan to measure that effect.
Counsel raised a $25 million Series A a year ago, led by Andreessen Horowitz (a16z) and GV. PitchBook estimates the startup had raised a total of $36 million. The companies expect the acquisition to close before the end of 2027.
Deal arrives amid growth and IPO uncertainty
The acquisition announcement follows Oura’s decision to postpone its up to $2.2 billion IPO indefinitely, citing “uncertainty in the IPO market.” The company also reported strong revenue growth: revenue rose 153% year-over-year to $533 million for the quarter ended on September 30.
For fiscal year 2026, Oura generated revenue of approximately $1.75 billion, marking 92% year-over-year growth. The company reached an $11 billion valuation following a $900 million late-stage funding round in October 2025.
Together, the deal and the financial figures show Oura pursuing expansion while its IPO plans remain on hold. The acquisition’s success will hinge on turning the existing app integration into a wider care service that works for Oura members and Counsel’s enterprise partners alike.