The funding will accelerate the company’s efforts to integrate its AI-driven SOMNUM software, capable of diagnosing sleep disorders in minutes, into the US market while advancing the technology’s applications in other areas.


Summary: HoneyNaps, a South Korean AI sleep data analysis company, secured $11.6 million in series B funding, nearly tripling the $3.9 million raised in series A in 2021. Key investors included Korea Industrial Bank, Hi Investment Partners, and QUAD Investment Management. The company has raised $16.2 million to date. HoneyNaps’ AI sleep diagnosis software, SOMNUM, received FDA approval in 2023. The new funding will support domestic growth and expansion into the US market and further AI advancements for diagnosing other diseases.

Key Takeaways:

  • HoneyNaps raised $11.6 million in series B funding, nearly three times the $3.9 million from series A, with contributions from major investors like Korea Industrial Bank, Hi Investment Partners, and QUAD Investment Management.
  • The company’s AI sleep diagnosis software, SOMNUM, received FDA approval in 2023.
  • HoneyNaps plans to use the new funding to enhance SOMNUM and expand its AI applications to other critical areas such as cardiovascular disease, dementia, and Parkinson’s disease.

HoneyNaps, a South Korean company in artificial intelligence (AI) sleep data analysis, announced it has closed its series B round of funding, securing $11.6 million.

The series B funding, nearly three times the $3.9 million raised through series A in 2021, included investors such as Korea Industrial Bank, Hi Investment Partners, and QUAD Investment Management.

Founded in July 2015, HoneyNaps has amassed about $16.2 million to date, starting with seed funding for about $0.7 million, secured through success-share funding from the Ministry of SMEs and Startups in 2019. 

FDA Approval and Expansion in the US Market

HoneyNaps obtained US Food and Drug Administration 510(k) clearance for its AI sleep diagnosis software SOMNUM in 2023, establishing partnerships with major university hospitals across the US through its Boston-based American branch. The company cited domestic sales growth coupled with the perceived potential for export to the American medical market as key drivers to the company’s success in funding.

SOMNUM is an algorithm that analyzes biosignal data during sleep and provides disease diagnoses in under five minutes using its self-developed AI model. This AI diagnosis software is integrable into any medical and healthcare market using real-time large-scale biosignal.

“This successful funding amidst a challenging investment climate has validated our position as Korea’s leading Sleep-Tech company,” according to a release from HoneyNaps. “These resources will enable us to achieve results in the domestic and American medical market and earn recognition. Beyond the SOMNUM’s current use in sleep disease diagnosis, we plan to further advance the AI to expand its application to other critical areas such as cardiovascular disease, dementia, and Parkinson’s disease.”

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