Affect Therapeutics – a company reimagining addiction treatment for the digital age – recently announced a $16 million Series A led by TechBio-focused ARTIS Ventures with additional participation from previous investors AlleyCorp and CityLight, along with new investments from LifeArc Ventures, Samsung Next, and What If Ventures. This funding round will enable national expansion, program expansion, and engineering innovation in the Affect app. And Stuart Peterson of ARTIS Ventures has joined the Board, and Dr.Imran Hamid of LifeArc Ventures has joined the Board as an observer.
The company delivers purpose-built treatments for specific substance use disorders, including alcohol, marijuana, cocaine, methamphetamine, and prescription stimulants such as ADHD medications.
Launched in 2020, the company fills a huge void in the addiction treatment landscape by offering clinically intensive treatment that is all-digital, accessible, and cost-effective. Utilizing decades of research on behavior change, Affect has established a scientifically-proven program that supports the recovery journey. It is the first company to reward healthy behavior with financial incentives, known as contingency management, to drive motivation resulting in increased retention and more durable sobriety. The company’s approach is based on the best research in the field, including its NIH-sponsored studies.
It is estimated that 46 million Americans meet the criteria for having a substance use disorder. But only 10% receive any treatment, most commonly due to structural barriers such as financial costs or program access.
The Affect team are experts at unlocking behavior change and motivation, with members receiving rewards for success in treatment, including engagement and provision of adverse drug and alcohol screens. And the company’s approach couples this type of cognitive behavioral therapy with counseling, medical oversight, and case management, delivering a comprehensive program based on decades of research.
In the company’s short time in market, Affect has already treated thousands of patients with results that are proven to be twice as effective as traditional treatment models by key metrics insurance and medical partners value most. More importantly, these outcomes change peoples’ lives and lead them to manage the chronic disease of addiction into lasting remission.
Affect currently holds outpatient treatment licenses across 20 states and aims to serve most U.S. population by the end of 2023. And the company partners with the country’s most significant health insurance payers, including UnitedHealthcare, Aetna, Humana, Molina, and Centene.
KEY QUOTES:
“Drug overdose deaths have reached record levels in the U.S., with no signs of abating, and yet the standard of care for substance use disorders is largely based on decades-old approaches with generally poor patient outcomes. By thoughtfully innovating with sound research, data, and well-proven engagement techniques, we can change all of that. We are relentless in developing innovative, evidence-based solutions that we deliver with extraordinary care and empathy to help millions of patients struggling with addiction.”
— Kristin Muhlner, co-founder and CEO of Affect Therapeutics
“Addiction is a growing epidemic that affects far more than just the individual. It impacts families, businesses, and communities, and yet real innovation and effective solutions in the treatment space are nearly non-existent. Affect’s approach uses science-backed studies that have shown the power to change behavior, which is proving to be life-changing for patients and their families. Early results are remarkably impressive, with treatment initiation and engagement at more than 2-3X national benchmarks*. With Affect, we have a massive opportunity to drive impact around addiction and recovery at scale.”
— Stuart Peterson, Founder and Managing Partner at ARTIS Ventures
“Affect is easy to use, flexible, adapted to the needs of the individual, and backed by robust data-driven research. By combining the latest in smart phone and digital health technology, it offers real hope to millions of people who struggle to break the cycle of addiction.”
— Dr. Imran Hamid, Senior Investment Principal at LifeArc Ventures
