Psychological well being platform Mindstrong to shut HQ, lay off 128 staff | NEWSRUX

Digital psychological well being firm Mindstrong is shedding 128 staff and completely closing its headquarters in Menlo Park, in keeping with a California WARN discover.

In accordance with reporting by Behavioral Well being Enterprise, the layoffs will embody lots of the firm’s C-suite executives, together with its CEO, chief expertise officer and chief monetary officer.

Mindstrong supplied 24/7 digital psychological healthcare through video messaging, video calls or telephone conversations. The corporate additionally supplied teaching, psychiatric providers and remedy through a cellular app. The corporate groups with payers to supply its providers in-network. 

On the finish of January, the corporate introduced in an electronic mail that it’s going to not supply its affected person providers as of March 10.

Mindstrong didn’t instantly reply to a request for remark. 

THE LARGER TREND

In the course of the peak of the pandemic, Mindstrong scored $100 million in Sequence C funding, bringing the corporate’s whole increase to $160 million. 

In September, the U.S. Division of Veterans Affairs named Mindstrong as a finalist within the Mission Dawn Problem, which would supply a $20 million grant to develop interventions to assist forestall veteran suicide. The corporate’s chief medical officer Dr. Holly Dubois mentioned the problem throughout a HIMSS TV interview in November. 

Mindstrong was based in 2014, however in 2017 former director of the Nationwide Institute of Psychological Well being Dr. Thomas Insel joined the group, taking up the title of cofounder along with president. Insel left Alphabet’s life science subsidiary Verily to hitch the startup. 

On the time, Mindstrong targeted on creating digital biomarkers that measure mind operate primarily based on patterns of interplay with a smartphone. It is since reworked right into a digital psychological well being platform.

Mindstrong is the most recent in a string of well being tech firms to announce layoffs over the previous 12 months. 

In simply the previous month, Philips stated it could minimize 6,000 jobs worldwide by 2025; Verily introduced a 15% discount in its workforce; Cue Well being let go of 388 staff; weight-loss startup Noom had its third spherical of layoffs previously 12 months; well being information analytics startup Innovacer laid off 15% of its workforce; Teladoc Well being laid off 300 staff; Carbon Well being let go of over 200 folks; and Akili Interactive, maker of video game-like digital therapeutics for youngsters, minimize 30% of its employees.