Virtual primary and urgent care provider Carbon Health announced another round of layoffs, noting the company is letting go of more than 200 people.
The company’s CEO Eren Bali announced the layoffs via Twitter, saying Carbon Health will shift its focus to its core primary care and urgent care services, “unwinding” its programs in public health, remote patient monitoring, hardware and chronic care.
“There are some incredibly talented people impacted across all roles. Every company would be lucky to have them. Please let us know if you have critical positions to fill. We would love to help,” Bali said in his social media post.
“We’re still optimistic about the future. The current market conditions force us to be more diligent, focused and patient. We’re sad to see our colleagues go, but I couldn’t be more proud of what we achieved together.”
Carbon Health didn’t immediately respond to a request for comment.
THE LARGER TREND
This is the second round of layoffs for the company in the past year. In June, Carbon health laid off 250 employees, about 8% of its global workforce, noting the company needed to shut down some of the COVID-19-specific businesses that garnered significant revenue during the pandemic.
When looking back on 2022’s funding environment for MobiHealthNews‘ year-in-review series, Myoung Cha, Carbon Health’s chief strategy officer and president of home-based care, said, “It has been brutal for mid-to-late-stage digital health startups and we have seen a lot of it play out with restructurings, layoffs and even bankruptcies and shutdowns. There is still a lot more to come in 2023, as the funding environment is unlikely to improve materially next year.”
Still, in September, the hybrid care provider announced a partnership with Blue Cross Blue Shield of Massachusetts, in which the health insurer would offer its members a new virtual primary care option through Carbon Health or Firefly Health. The new primary care model launched early this month.
Carbon Health raised a massive $350 million in 2021. The company then acquired remote patient monitoring company Alertive Healthcare, a chain of New Jersey urgent care clinics, two clinic chains in Arizona and California and a group of clinics in Southern California. The company also acquired integrated diabetes care platform Steady Health.
According to Axios, Carbon Health’s Cha said at an event last month that the company is in the middle of talks to license its EHR software to other practices.