Affiliate Disclosure: All links pay commissionReading Time: 2 minutes
Whoop gets $100m
Strain and recovery wearable, the WHOOP strap, has just announced a whooping series 5 funding round of $100million.
New investors include some of the sporting elite, namely SoftBank Vision Fund 2, Accomplice, Two Sigma Ventures, Collaborative Fund, Thursday Ventures, Nextview Ventures, Promus Ventures, Cavu Ventures, D20 Capital, and LionTree Partners. Professional athletes investing include 2x NBA Finals MVP Kevin Durant (via ThirtyFive Ventures), 11x Pro Bowler Larry Fitzgerald, Super Bowl MVP Patrick Mahomes, 2x Super Bowl MVP Eli Manning, 4x Major Champion Rory McIlroy, and Major Champion Justin Thomas.
Their move to a subscription model seems to be paying off and you have to wonder what they are going to do with £100million and what the exit strategy is.
The answer to my own question would be that we will see a new Whoop sensor soon enough. The tech hasn’t moved on so much from the original. Even the Whoop 3.0, IIRC, just involved a few software tweaks to on-device calculation and broadcast.
As to the question of who will buy them, then I’ve no idea. There’s clearly value in the revenue stream but it’s a revenue stream that comes with risks.
- Ignoring the sensor, Whoop’s basic platform offering is good. However, it is relatively easily replicated.
- IIRC Whoop subscribers will get the Gen4.0 sensor free (assuming there is a new sensor).
Want to buy WHOOP? Well, the price tag to gain control right now would be something like $1.2bn based on normal multiples and a premium for control.