NovaSom

About NovaSom

NovaSom, Inc. operated as a diagnostic service provider focused on home-based testing for obstructive sleep apnea (OSA). Founded in 1992 and formerly known as Sleep Solutions, Inc., the company established itself as a pioneer in the remote sleep diagnostics market. It secured the first FDA clearance for an unattended home sleep test designed for patient use, a significant milestone that offered a more convenient alternative to traditional, lab-based polysomnography.

The company's business model revolved around providing these diagnostic services to physicians, private insurers, and government health organizations. NovaSom's primary product was a home sleep testing (HST) device, the AccuSom, which recorded key respiratory and cardiac data overnight. This device featured wireless data transmission via an integrated cell chip, allowing for next-day test results. The data was uploaded to a proprietary, cloud-based platform called MediTrack, where sleep specialists could review the information and provide a diagnosis to the ordering physician. Revenue was generated by billing for these diagnostic tests, positioning the service as a cost-effective method for payers to manage the high costs associated with undiagnosed and untreated OSA.

Throughout its history, NovaSom attracted substantial investment from prominent backers, including Johnson & Johnson's venture capital arm, TPG Biotech, and Safeguard Scientifics, raising over $55 million in multiple funding rounds. Despite its technological advancements and established market presence, the company faced financial difficulties. After developing a new wireless device between 2010 and 2012, sales did not meet expectations, and NovaSom failed to achieve profitability. Following unsuccessful attempts to find a buyer or secure further growth capital, NovaSom filed for Chapter 11 bankruptcy in August 2019. The company's assets were ultimately acquired by SleepMed, a subsidiary of the French technology firm BioSerenity, for $5.5 million in October 2019.