Sword Health was officially founded in Portugal in 2015 but wouldn't go to market for another few years. The company's first four years were spent in the lab, slowly and meticulously perfecting the technology, now called the Digital Therapist. This extended research and development period was a critical foundation for Sword's success, as the technology and clinical precision are the core of the company's effectiveness.
During this time, Sword began collecting technology patents while ensuring the functionality of the proprietary Operating System and the accuracy of their motion sensors, which are four times more accurate than the human eye, and take more than 5,000 movement samples per second to assess patients' exercise form in real-time accurately. In 2016, the Digital Therapist became the first FDA-listed technology.
Sword Health launched in the U.S. in January 2020 and, in February 2020, raised a Series A extension of $9 million from Khosla Ventures and Founders Fund. During this time, the company signed their first U.S. customer, Concordia Plans, in 2020. A benefits provider for over 6,000 Lutheran Church organizations worldwide, Concordia began offering their members Sword's digital PT program.
In 2021, Sword Health raised a $25 million Series B, an $85 million Series C, and a $163 million Series D that year. These funding rounds propelled Sword Health to a $2 billion valuation less than two years after launching commercially. In 2021 the company also signed their first Fortune 50 client, validating that its solution offers real value to America's largest employers, and reached 100 total customers worldwide.