Omada Health is among the first digital health companies to receive reimbursement from the U.S. federal government for its online diabetes prevention program. Omada is aimed at the roughly 86 million Americans with prediabetes. The government support is a big step forward for chronic disease prevention: The Centers for Medicare & Medicaid Services has always reimbursed for screening diabetes, but not for companies and providers that help prevent the progression of the disease altogether. CMS's decision is also a big deal for other digital therapeutic startups, which essentially take established offline programs and bring them online to make them accessible for more patients.
Omada Health’s program has more than 85,000 users, making it the largest diabetes prevention program in the U.S. The company’s revenue chiefly comes from employers, health plans, and health systems that are looking for ways to reduce their risk of prediabetes progressing to a full-blown disease. The company says it only makes money when patients participate in its program and achieve clinically meaningful weight loss outcomes.
users: 85,000 participants
headquarters: San Francisco, California