- Telebehavioral health leader Talkspace announced it raised $50 million
- This round of funding was led by Revolution Growth. Existing investors Norwest Venture Partners, Qumra Capital, Spark Capital, and Compound Ventures also joined.
Talkspace, a leader in telebehavioral health, announced it has raised $50 million in a new round of funding led by Revolution Growth. Existing investors Norwest Venture Partners, Qumra Capital, Spark Capital, and Compound Ventures also participated in this round.
What does Talkspace do? Talkspace’s signature psychotherapy product is able to connect individual users with a network of more than 5,000 licensed therapists through a simple and HIPAA-compliant web and mobile platform. Using Talkspace, users are able to send their dedicated therapists unlimited text, video, picture, and audio messages. Plus Talkspace is also able to provide psychiatry services such as prescription fulfillment, adolescent therapy, and couples counseling.
In conjunction with this round of funding, Patrick Conroy of Revolution Growth is joining Talkspace’s board of directors. Including this round, Talkspace has raised a total of $110 million.
With this round of funding, Talkspace is going to expand access to mental health services and improve quality of care through its network of more than 5,000 licensed and credentialed providers. Plus this funding will accelerate the growth of Talkspace’s commercial business where it partners with employers, health plans, employee assistance programs (EAP), and educational organizations to make therapy available and affordable.
“Our advanced capabilities in data science enable us to not only open access to therapy, but also identify the attributes of successful therapeutic relationships and apply that knowledge throughout the predictive products we build, to the therapists that use our platform, and in the content we provide,” said Talkspace co-founder and CEO Oren Frank.
Founded by Oren Frank and Roni Frank in 2012, Talkspace is also known for providing services to employees via commercial relationships with Aetna, New Directions Behavioral Health, Magellan Health, and several other companies. And now Talkspace’s commercial business covers over 5 million lives. Ultimately, Talkspace’s mission is to make therapy available for all and eliminate the stigma associated with mental health.
“We view the addressable market for Talkspace as an enormous opportunity that is growing in both size and importance,” added Patrick Conroy of Revolution Growth. “Talkspace is a rare breed of company that is applying novel technologies to help consumers dramatically improve their quality of life. The progress they’ve made thus far underscores the overwhelming demand for greater and easier access to mental health services. Affordable, convenient, and high-quality care is a critical need for tens of millions of Americans and our partnership will help ensure that treatment can be available at the click of a button.”
Talkspace is also going to utilize the funding to develop capabilities in two new international markets and continue to define new standards for therapeutic quality and integrity through its breakthrough capabilities in machine learning and AI.
“The round closes as Talkspace launches key partnerships with Optum’s behavioral health business. With all of our groundbreaking, strategic relationships, millions of members will benefit from unprecedented access to our services through managed Behavioral Healthcare. It is a testament to over two years of efforts to build the infrastructure, capabilities and industry-leading, evidence-based quality of care needed to deliver a healthcare solution that can improve accessibility at scale,” explained Talkspace’s Chief Commercial Officer Lynn Hamilton.
