DayTwo

High-Level Overview

DayTwo was a US-Israeli biotechnology company specializing in precision nutrition through gut microbiome analysis. It developed testing kits, apps, and algorithms to predict individual blood sugar responses to foods, targeting consumers with diabetes, prediabetes, obesity, and metabolic conditions, as well as B2B partners like insurers and employers.[1][2][3] The platform combined DNA sequencing of gut bacteria with machine learning—rooted in Weizmann Institute research—to deliver personalized diet plans, virtual dietitian support, and tools reducing healthcare costs by up to $5,000 per person per year while improving outcomes like time in glycemic range.[1][2][5] Initially B2C-focused, it pivoted to B2B around 2018 for scalability, raising over $85 million before ceasing operations in August 2024 amid financial and competitive pressures.[1][5]

Origin Story

Founded in 2015 in Israel by CEO Lihi Segal, DayTwo emerged from groundbreaking research by Weizmann Institute professors Eran Segal and Eran Elinav, published in *Cell*, which demonstrated that gut microbiome profiling and machine learning could accurately predict post-meal blood sugar responses.[3][4][5] The idea crystallized into a startup applying this science commercially: users submitted stool samples via kits, answered lifestyle questionnaires, and received app-based nutrition scores for foods.[1][3] Early traction came from a 2017-2018 trial rollout in Israel, followed by a $12 million Series A and expansion to the US with 70,000 users by 2020, partnerships like Clalit Health Services, and demonstrated clinical impacts like reduced medication costs.[3][4][5] This evolution shifted focus from direct-to-consumer to B2B collaborations with US employers and European insurers.[1][5]

Core Differentiators

• Scientific Foundation: Built on the world's largest proprietary microbiome dataset with deep DNA sequencing, enabling precise glycemic predictions validated clinically—unlike broader wellness apps.[2][3][5]
• Prediction Accuracy: Used machine learning algorithms to score foods and combinations pre-consumption, outperforming generic diets; "Food as Medicine" approach doubled A1C reduction effectiveness.[2][3]
• Holistic Delivery: Integrated testing kits, smart apps, API for clinicians/businesses, and virtual care by registered dietitians for sustained adherence and remission paths.[1][2][3]
• B2B Scalability: Offered employers/insurers cost savings (e.g., $5,000 PPPY), high retention, and outcomes like better time-in-range, distinguishing it from pure B2C competitors like ZOE (DNA-focused) or Viome (RNA-advanced).[1][2]

However, it relied on older DNA analysis versus emerging RNA methods, contributing to competitive challenges.[1]

Role in the Broader Tech Landscape

DayTwo rode the personalized nutrition and microbiome revolution, fueled by AI, genomics, and the chronic disease epidemic (diabetes, obesity affecting millions).[1][2][3] Timing aligned with post-2015 microbiome research booms and rising "Food as Medicine" adoption, amplified by payer demands for cost-effective interventions amid US healthcare spending surges.[2][5] It influenced the ecosystem by validating microbiome-driven precision health commercially—pioneering B2B models with insurers like Clalit and US employers—while building the largest dataset for future algorithms targeting beyond diabetes.[3][5] Market forces like AI advancements and consumer health tech growth favored it, though rivals with dynamic RNA tech and deeper funding captured share.[1]

Quick Take & Future Outlook

DayTwo's shutdown in 2024 underscores biotech pitfalls: scaling science amid fierce competition from RNA innovators like Viome/ZOE and funding squeezes.[1] Its legacy—vast dataset, proven outcomes—likely seeds acquisitions or tech licensing, accelerating microbiome AI in metabolic health.[5] Looking ahead, trends like multimodal omics (DNA+RNA+wearables) and insurer-backed precision nutrition will dominate, potentially reviving DayTwo's IP under new stewards to cut chronic care costs globally. This trailblazer proved gut science's real-world power, priming the next wave for broader impact.