Calm

Is Calm a publicly traded company?
No, Calm is a privately held company. Despite achieving unicorn status with a $1 billion valuation in 2019 and a $2 billion valuation in 2020, the company has not gone public and remains privately owned.

Who founded Calm?
Calm was founded on May 4, 2012, by Michael Acton Smith and Alex Tew. Smith previously founded Mind Candy, while Tew was known for creating the Million Dollar Homepage.

What is Calm's valuation?
Calm was valued at $2 billion in its 2020 Series C funding round, which raised $75 million. The company has raised $218 million in total funding from investors including Lightspeed Venture Partners, TPG, Insight Partners, and Sound Ventures.

How many subscribers does Calm have?
Calm has approximately 3.5 million paid subscribers as of 2025, down from approximately 4 million in 2024. The app has more than 180 million total downloads across 190 countries.

What is Calm's revenue?
Calm generated an estimated $210 million in revenue in 2025, a 24% decline from 2024's estimated $277 million. Revenue peaked at approximately $355 million in 2022.

Who is the CEO of Calm?
In April 2026, David Ko stepped down as CEO after four years and transitioned to senior advisor to the board. The founders, Michael Acton Smith and Alex Tew, resumed leadership of the company. Ko had joined in 2022 to evolve Calm into a mental health platform integrated with the healthcare system.

What services does Calm offer?
Calm offers guided meditations, sleep stories, breathing exercises, and relaxation programs through its flagship app. The company also operates Calm Sleep (a standalone sleep app launched September 2025), Calm Health (clinical mental health services through employers, health plans, and providers, covering 39 million lives), Calm Lifestyle (a content hub with partner brands), and physical products including a bedding collection sold at Target.

What is Calm Health?
Calm Health is the company's clinical mental health platform, launched in October 2022 following the acquisition of Ripple Health Group. It provides mental health services through employers, health plans, and provider networks, serving 39 million covered lives across more than 100,000 organizations. In January 2026, Calm Health joined the Solera network, adding more than 16 million individuals.

Calm was founded on May 4, 2012, by Michael Acton Smith and Alex Tew. Smith, known for creating the entertainment company Mind Candy, brought extensive experience in digital entertainment. Tew was known for creating the Million Dollar Homepage website. The founders initially struggled to secure funding, meeting with over 100 people before securing their first angel investors. They raised $1.5 million between 2012 and 2014.

The company launched its meditation app with a focus on guided meditations, sleep stories, and relaxation techniques. Calm gained significant traction and was named Apple's "App of the Year" in 2017, generating $22 million in revenue that year and reaching an annual revenue run rate of $75 million.

By 2018, Calm was ranked by Inc. as one of the fastest-growing private companies in America. The company raised a Series A of $27 million in 2018, following the viral success of Harry Styles' Sleep Story. In 2019, Calm achieved unicorn status with a $1 billion valuation. The company raised $75 million in its Series C in late 2020, reaching a $2 billion valuation.

During COVID, Calm grew revenue from approximately $150 million to more than $500 million. Revenue peaked at an estimated $355 million in 2022 before declining to $300 million in 2023, $277 million in 2024, and $210 million in 2025.

In February 2022, Calm acquired Ripple Health Group, leading to the launch of Calm Health in October 2022. The company laid off 20% of its workforce (approximately 90 employees) in August 2022 as part of restructuring efforts.

David Ko joined as CEO in 2022, succeeding the founders. Ko previously served as COO at Zynga and held leadership roles at Rally Health and UnitedHealth Group. Under Ko's leadership, Calm evolved from a consumer app into a mental health platform integrated with the healthcare system. Ko launched Calm Health, which scaled to 39 million covered lives.

In April 2026, Ko stepped down as CEO after four years, transitioning to senior advisor to the board. Ko stated that his departure was driven by the rise of AI and its potential risks for young people, saying "If we didn't have AI, I would not leave." Ko is now working with former Democratic Rep. Patrick Kennedy on AI guardrails for children through The Kennedy Forum. The founders, Michael Acton Smith and Alex Tew, resumed leadership of the company.

In 2025, Calm launched several new initiatives. The "Not Calm Moms" program, launched in April 2025, is a multi-year maternal mental health program targeting 17 million millennial moms, combining in-app content, community experiences, and a Reddit community. The standalone Calm Sleep app launched in September 2025. The Calm Lifestyle hub launched in October 2025. The Hilton partnership and Target bedding collection launched in December 2025.

Calm's mission is to make the world happier and healthier, with sustainability and ethics practices focused on mental health accessibility, corporate wellness, and digital health innovation.

Mental Health Accessibility:

• Calm provides free basic content alongside premium subscriptions, though free content has been reduced from approximately 90% to roughly 5% of the library
• Calm Health offers mental health solutions to employers, health plans, and healthcare providers, expanding access to mental health support through workplace and healthcare settings
• The "Not Calm Moms" program targets 17 million millennial moms with maternal mental health resources, combining in-app content, community experiences, and a Reddit community
• Calm Health serves 39 million covered lives, with 77% of users completing a mental health screening and users 2x as likely to engage in outpatient mental health care

Healthcare Integration:

• Partnership with LifeStance Health (550+ centers) routes higher-acuity users into outpatient care, typically within one week
• Calm Health joined the Solera employer and health-plan network in January 2026, adding more than 16 million individuals
• Calm Health has expanded internationally into the UK and Canada

Digital Health Innovation:

• Development of meditation and wellness programs based on scientific research and clinical best practices
• Privacy protection measures for user mental health information
• The standalone Calm Sleep app integrates with Apple HealthKit for sleep tracking

Corporate Social Responsibility:

• Internal programs supporting employee mental health and work-life balance
• Partnerships with organizations to provide mental health resources to underserved communities
• Commitment to diverse representation in meditation guides and sleep stories

Calm has not obtained B Corp certification. The company publishes limited public ESG reporting due to its private status.

• Apple App of the Year 2017: Named Apple's App of the Year, providing major visibility and user growth
• Inc. Fastest-Growing Companies (2018): Ranked by Inc. magazine as one of America's fastest-growing private companies
• Unicorn Status (2019): Achieved $1 billion valuation, among the first unicorn companies in the digital mental health space
• $2 Billion Valuation (2020): Reached $2 billion valuation in Series C funding round
• Highest-Grossing Wellness App (2025): Remained the highest-grossing wellness app in 2025 despite revenue decline
• 180 Million Downloads: Surpassed 180 million total downloads across 190 countries and 7 languages
• Calm Health Scale: Scaled to 39 million covered lives across more than 100,000 organizations
• Sleep Stories Milestone: Sleep Stories have been played more than 1 billion times since launch

Calm has faced significant revenue and user declines in recent years. Revenue fell from an estimated $355 million in 2022 to $210 million in 2025, a 41% decline over three years. Paid subscribers declined from approximately 4 million to 3.5 million between 2024 and 2025. Downloads dropped to 7.3 million in 2025, a significant decline from 2020 figures.

In August 2022, Calm laid off 20% of its workforce, approximately 90 employees, as part of restructuring efforts during a period of declining growth.

The company has gradually reduced free content from approximately 90% to roughly 5% of its library, a strategy that has increased paying users from about 2% to 7% but has also drawn criticism from some users who feel the app has become too commercialized.

In April 2026, CEO David Ko stepped down after four years, transitioning to senior advisor to the board. Ko stated that his departure was driven by concerns about AI and its risks for young people, saying "If we didn't have AI, I would not leave." The departure raised questions about leadership stability during a critical period for the company, though Ko described the transition as intentional and the founders resumed leadership.

Calm Health operates in the healthcare sector, which carries regulatory requirements for clinical mental health applications. The company's partnership with LifeStance Health and integration with employer and health-plan networks requires compliance with healthcare regulations and data privacy standards.