Better Therapeutics, in an all-too-familiar echo of fellow digital therapeutics maker Pear Therapeutics’ recent desperate attempts to cut costs, has begun making its own cost-cutting moves.
According to a filing (PDF) with the US Securities and Exchange Commission on Friday, Better is laying off approximately 35% of its employees. According to the company’s most recent annual report (PDF), it had 44 employees as of the end of 2021, which means that 15 people could lose their jobs.
Better estimated that severance costs and benefits payments would add about $400,000 to its second-quarter earnings report.
Karbe went on to explain that Better is still awaiting FDA approval for its first prescription digital therapeutic, which is designed to help people with Type 2 diabetes reduce their blood sugar. Last December, the FDA approved the application. In preparation for the expected clearance, the company is shifting its focus from R&D to its commercial teams.