Eargo

{{Infobox company

| name = Eargo, Inc.

| type = Private

| traded_as = {{NASDAQ was|EAR}} (2020-24)

| genre =

| foundation = {{start date and age|2010}}

| founders = Florent Michel (inventor)
Raphael Michel
Daniel Shen

| dissolved =

| location_city = San Jose, California

| location_country = U.S.

| location =

| locations =

| area_served = United States

| key_people = Christian Gormsen (president, CEO, and director){{Cite web|url=https://ir.eargo.com/corporate-governance/leadership|title=Leadership | Eargo, Inc}}

| industry =

| products = Hearing aids

| services =

| market cap =

| revenue = {{increase}} $45 million (as of 2020){{Cite web |url=https://www.thestreet.com/ipo/news/eargo-ipo-launch |title=IPO Launch: Eargo Proposes Terms for $100 Million IPO |access-date=October 17, 2020 |archive-date=October 17, 2020 |archive-url=https://web.archive.org/web/20201017201833/https://www.thestreet.com/ipo/news/eargo-ipo-launch |url-status=dead }}

| operating_income =

| net_income =

| aum =

| assets =

| equity =

| owner =

| num_employees = 184

| num_employees_year = 2020

| num_advisors =

| parent =

| divisions =

| subsid =

| homepage = {{URL |https://www.eargo.com/}}

| footnote =

}}

Eargo, Inc. is an American hearing aid manufacturer based in San Jose, California.{{cite news | last=Magee| first=Christine| title =With $13 Million From Maveron, Eargo Is The Hearing Aid Of The Future| work = TechCrunch| date =June 25, 2015| url =https://techcrunch.com/2015/06/25/with-13-million-from-maveron-eargo-is-the-hearing-aid-of-the-future/#.smaqsx:2GOb| access-date =July 27, 2015}}{{cite web |url=http://www.xconomy.com/san-francisco/2015/06/26/eargo-secures-13000000-series-a-financing-round/ |title=Eargo Secures $13,000,000 Series A Financing Round |author= |website=www.Xconomy.com |date=June 26, 2015 |publisher=Xconomy |access-date=July 27, 2015}}{{cite news | last=Lee| first=Tyler| title =Eargo Could Be The Hearing Aid Of The Future| publisher = UberGizmo| date =June 26, 2015| url =http://www.ubergizmo.com/2015/06/eargo-hearing-aid-future/| access-date =July 27, 2015}}{{cite magazine | last=Sarrell| first=Matthew D.| title =Eargo Hearing Aids| magazine = PC Magazine| date =August 4, 2015| url =https://www.pcmag.com/article2/0,2817,2488793,00.asp| access-date =September 3, 2015}} Christian Gormsen was CEO until 2023 when William Brownie replaced him.

History

Eargo was founded in 2010 by Florent Michel, his son Raphael Michel, and Daniel Shen.{{Cite web |title=Eargo Venture Capital and Private Equity Financings |url=https://vcnewsdaily.com/Eargo/venture-funding.php |access-date=2025-05-16 |website=vcnewsdaily.com}} Florent was an ear, nose, and throat surgeon serving as the designer and inventor.{{cite news|url=http://www.geekwire.com/2015/maveron-backed-eargo-looks-to-reinvent-the-hearing-aid-with-rechargeable-devices-modeled-on-a-fishing-fly/|title=Maveron-backed Eargo looks to reinvent the hearing aid with rechargeable devices modeled on a fishing fly|last=Sherman|first=Michael|date=June 25, 2015|access-date=July 27, 2015|work=GeekWire}} Raphael served as the company's first CEO and Shen the company's chief science & clinical officer.{{Cite web |title=The Eargo 6 is a virtually invisible hearing aid with new Sound Adjust technology |date=March 11, 2022 |url=https://us.cnn.com/2022/03/11/cnn-underscored/eargo-6-hearing-aid/index.html}} In 2013, they received seed funding from various a range of funds and angels, including Maveron. In June 2015, they received $13.6 million in Series A funding from a group of 9 investors, including Maveron, Crosslink Capital, Dolby Family Ventures, and Birchmere Ventures.{{cite news | last=Perenson| first=Melissa| title =Hands-on with Eargo, a New Approach to Hearing Aids| publisher = Wearables Insider| date =June 25, 2015| url =http://wearablesinsider.com/2015/06/25/hands-on-with-eargo-a-new-approach-to-hearing-aids/| access-date =July 27, 2015}}

Eargo announced $25 million in Series B funding led by New Enterprise Associates in December 2015,{{Cite news|title = Eargo Raises $25M in Series B Funding From New Enterprise Associates|url = https://www.reuters.com/article/idUSnMKWlwbZya+1c4+MKW20151209#LI8fBp1u8lcIHFey.97|archive-url = https://web.archive.org/web/20151211030025/http://www.reuters.com/article/idUSnMKWlwbZya+1c4+MKW20151209#LI8fBp1u8lcIHFey.97|url-status = dead|archive-date = December 11, 2015|newspaper = Reuters|date = December 9, 2015|access-date = December 10, 2015}} and in October 2017 closed the first tranche of Series C funding intended to raise $45m.{{cite web |first=Amirah |last=Al Idrus |url=https://www.fiercebiotech.com/medtech/eargo-pulls-first-tranche-series-c-worth-up-to-45m |title=Eargo pulls in first tranche of series C round worth up to $45M |website=FierceBiotech |date=October 20, 2017 }} There were other subsequent rounds of funding including a $52M series-D in 2019 and a $71M series-E in mid 2020.{{Cite web |title=Eargo Receives Notification from Nasdaq Related to Delayed Annual Report on Form 10-K |url=https://finance.yahoo.com/news/eargo-receives-notification-nasdaq-related-210100786.html}}

Christian Gormsen was named CEO in the summer of 2016 and served until June 2023, when William Brownie replaced him.{{Cite web |date=2023-07-03 |title=Cost reduction plan costs CEO job at US-based Eargo |url=https://medwatch.com/News/hearing_health/article16226072.ece |access-date=2025-02-12 |website=medwatch.com |language=en}}{{Cite web |last=HHTM |date=2023-07-03 |title=Eargo Announces Cost Reduction Plan and Leadership Change |url=https://hearinghealthmatters.org/hearing-news-watch/2023/eargo-cost-reduction-willie-interim-ceo/ |access-date=2025-02-12 |website=Hearing Health & Technology Matters |language=en-US}}

Eargo filed for an IPO on September 25, 2020,{{Cite web|last=Nasdaq|title=Hearing aid manufacturer Eargo files for a $100 million IPO|url=https://www.nasdaq.com/articles/hearing-aid-manufacturer-eargo-files-for-a-%24100-million-ipo-2020-09-25|website=Nasdaq.com}} and was officially listed on NASDAQ on October 16, 2020.{{Cite news|title=Eargo, Inc. Announces Upsized Pricing of Initial Public Offering|url=https://seekingalpha.com/pr/18046296-eargo-inc-announces-upsized-pricing-of-initial-public-offering|access-date=October 19, 2020|newspaper=Seekingalpha|language=en}} In 2022, Patient Square Capital, a healthcare investment firm, became the majority owner of Eargo.{{Cite web |date=2022-11-30 |title=Hearing aid tech company Eargo has a new majority owner |url=https://www.mobihealthnews.com/news/hearing-aid-tech-company-eargo-has-new-majority-owner#:~:text=Healthcare%20investment%20firm%20Patient%20Square,of%20Eargo's%20outstanding%20common%20stock.&text=Eargo,%20which%20makes%20tech-enabled,majority%20owner%20of%20the%20company |access-date=2025-02-12 |website=MobiHealthNews |language=en}} The company was taken private by Patient Square Capital in January 2024, and its stock was delisted from NASDAQ.{{Cite web |date=30 October 2023 |title=Eargo To Be Taken Private By Patient Square Capital |url=https://www.sec.gov/Archives/edgar/data/1719395/000095010323015472/dp201999_ex9901.htm |access-date=2024-12-18 |website=www.sec.gov}}

That same year, in April, Eargo agreed to a $34.37 million settlement with the U.S. Department of Justice for allegedly submitting “claims for hearing aid devices for reimbursement to the Federal Employees Health Benefits Program (FEHBP) that contained unsupported hearing loss diagnosis codes.”{{Cite web |date=2022-04-29 |title=Hearing Aid Company Eargo Inc. Agrees to Pay $34.37 Million to Settle Common Law and False Claims Act Allegations for Unsupported Diagnosis Codes |url=https://www.justice.gov/opa/pr/hearing-aid-company-eargo-inc-agrees-pay-3437-million-settle-common-law-and-false-claims-act |access-date=2024-12-18 |website=justice.gov |language=en}}

Products

Eargo hearing aids are certified Class 2 medical devices. Their design is modeled after the standard fishing fly,{{cite news |last=Parvez |first=Husain |date=June 26, 2015 |title=Eargo Is The Heading Aid Of The Future: Backed By $13 Million From Maveron |url=http://www.techvoize.com/gadgets/2015/06/26/eargo-is-the-heading-aid-of-the-future-backed-by-13-million-from-maveron/ |access-date=July 27, 2015 |publisher=TechVoize}} with a small speaker surrounded by medical-grade silicone fibers (for which the company uses the trademark Flexi Fibers);{{cite news | last=Huang| first=Ruochen| title =Investments For Hearables Surge| work = TechCrunch| date =July 30, 2015| url =https://techcrunch.com/2015/07/30/vcs-arent-hard-of-hearing-for-innovation-as-investments-for-hearables-surge/| access-date =September 4, 2015}} the fibers allow natural bass sounds to flow more freely into the ear canal,{{cite news | title =Eargo is all about that bass ... and that mid-range, and the treble| publisher = Medical Plastic News| date =June 30, 2015| url =http://www.medicalplasticsnews.com/medical-devices/eargo-is-all-about-that-bass-and-that-mid-range-and-the-tre/| access-date =July 27, 2015}} so that only treble ranges require amplification.

The devices come in two sizes and are pre-programmed with four standard profiles. To change the setting, wearers double-tap their ear, and an acoustic switch changes the sound profile. The settings for the devices in each ear can be changed independently. Users can also send their personal audiograms to licensed hearing professionals at Eargo who will custom-calibrate the device for that individual's specific needs. The hearing aids can be charged using a portable charging device that is sold with them, and are designed to hold a charge for up to 16 hours. The charging device itself is designed to last up to a week on a single charge.

The product designer is Ammunition Design Group, which modeled the shape of the charger on a river rock and designed it for ease of use and high visibility of the hearing aids within. The company logo is based on a visualization of a digital recording of Florent Michel saying "Eargo".{{cite web |last=Budds |first=Diana |date=October 13, 2017 |title=Ammunition Designs Slick Hearing Aids For People Who Don't Want Hearing Aids |url=https://www.fastcodesign.com/90146645/ammunition-designs-slick-hearing-aids-for-people-who-dont-want-hearing-aids |website=FastCo.Design}}

In June 2015, Eargo launched the first hearing devices available for order. The Eargo Plus was introduced in 2017,{{Cite web |title=Eargo Plus Hearing Aid Review |url=http://www.hearreview.com/EargoPlusReview |access-date=August 14, 2018 |website=www.hearreview.com |language=en}} and, in 2018, the Eargo Max was introduced.{{cite magazine |title=A Hearing Aid Meant for the Masses: The 50 Best Inventions of 2018 |url=https://time.com/collection/best-inventions-2018/5454218/eargo-max/ |access-date=November 18, 2019 |magazine=Time}} The Eargo Neo was launched in 2019, and in 2020, the Eargo Neo HiFi was launched.{{Cite web |last=Kim |first=Stefani |date=January 7, 2020 |title=Eargo Launches Neo HiFi - Hearing Review |url=https://www.hearingreview.com/hearing-products/hearing-aids/otc/eargo |access-date=October 19, 2020 |language=en-US}}