What the business is
Osmosis makes medical-education videos and sells access to its larger library through individual and institutional subscriptions, plus sponsored content.
The bet
Osmosis bet a continuously updated medical library could make learning more efficient and monetize through subscriptions, institutions, and sponsorships.
Starting capital
$2.5M seed round anchored by Greycroft, with FundRx and Greg Coleman participating
How it started
Shiv Gaglani and Ryan Haynes conceived Osmosis in 2012 as anatomy partners at Johns Hopkins. They found medical education antiquated and built software to make healthcare learning easier; early on they recruited the team behind Khan Academy's health-and-medicine section.
What happened
The founders were initially reluctant to take outside capital, but accepted a $2.5M seed round to accelerate content coverage. Revenue was growing 120% year over year; the company had 43 remote employees and contractors, more than 1,000 videos, over two dozen institutional customers, $159 annual subscriptions, and sponsorships with Kaiser Permanente.
How it ended up
Osmosis was scaling as a subscription-led medical-education business: it reported 350,000+ registered users, tens of thousands of patients, 50M total views, and an audience of more than 850,000 on YouTube.
What has to be true
Medical knowledge changes constantly, making an updateable digital library more useful than static course material.
The founders began with a narrow student workflow but designed the content to extend naturally to patients, caregivers, institutions, and continuing education.
Free videos created a large discovery funnel while subscriptions, institutional sales, and sponsorships supplied recurring or contracted revenue.
What can be applied
In education, a free distribution layer can build reach while subscriptions, institutions, and sponsorships pay for continuously updated specialist content.
Aftermath
At the supplied material's late-2018 snapshot, Osmosis had moved from a student-built study aid to a scaling medical-education business. It had 350,000+ registered users, 50M views, more than 850,000 YouTube followers or viewers in its audience, and a $2.5M seed round; the source gives no later exit or shutdown, so none is claimed.
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