Mindstrong sells tech assets to SonderMind, shuts down operations

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Digital mental health company SonderMind is acquiring Mindstrong’s technology assets months after the fellow mental health firm laid off more than a hundred workers and shuttered its headquarters.

The deal includes Mindstrong’s tech and some of the company’s tech-related workforce. According to reporting by Digital Health Business & Technology, about 20 workers will have jobs at SonderMind. The rest of Mindstrong has terminated operations. 

SonderMind said the purchase will allow the company to offer more personalized care journeys, clinical notes templates and improved measurement-based services. It will also add to their ability to treat patients with serious mental illnesses. 

“Technology has a critical role to play in improving mental healthcare delivery and outcomes, but not on its own,” Mark Frank, CEO and cofounder of SonderMind, said in a statement. “The future of technology-enabled, personalized mental healthcare that we’re building at SonderMind is only possible because of thousands of SonderMind providers. With the addition of Mindstrong technology, we will be equipping clinicians with the clinical capabilities they need such as tailored care pathways and enhanced measurement-based care using technology and data to strengthen their ability to deliver high-quality care that helps individuals get better, faster.”


Founded in 2014, Mindstrong initially focused on developing digital biomarkers to catch early signs of mental illness. Former director of the National Institute of Mental Health Dr. Thomas Insel joined the company in 2017. 

It later added virtual therapy and care services, with a focus on serious mental illness. Mindstrong raised $160 million in venture dollars, including a $100 million Series C announced in 2020. 

But the changing macroeconomic environment and slowing funding have hit a number of digital health companies, and some firms have pursued layoffs. In January, Mindstrong said it would end its patient care services in March. The company later said it would lay off 128 workers and permanently close its headquarters in Menlo Park, California.

SonderMind also cut 15% of its workforce late last year, according to reporting by Denver Business Journal. It’s been adding acquisitions too; in November, SonderMind said it had purchased Total Brain, a platform that allows users to track their mental capacity, emotions and stress levels.

In 2021, it bought Qntfy, a predictive-analytics platform that uses mental health biometric data to suggest potential treatment options.

Dr. Vin Gupta will offer more detail during his HIMSS23 session “Keynote: Healthcare Disruption: Accelerated Opportunities for Care Delivery Alternatives.” It is scheduled for Wednesday, April 19, at 8:30 a.m. – 9:30 a.m. CT at the West Building, Level 3, in the Skyline Ballroom, room W375.


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