
Hosted by Rebecca Bellan
Written by a model from the transcript; not yet reviewed.
This episode of Equity explores the intersection of artificial intelligence and the stagnant hearing aid industry with Matthew DeYoug, co-founder and CEO of Fortell. The conversation covers how traditional hearing aids provide indiscriminate amplification that overloads users in noisy environments, whereas Fortell uses custom AI chips and multi-microphone inputs to separate important speech from background noise in real time. The discussion also examines the company's venture backing from firms like Founders Fund and Thrive Capital, the high cost of medical-grade hearing devices, and the regulatory and clinical hurdles of scaling an audiology business.
What makes this episode worth listening to is the candid breakdown of why medical hardware startups face unique structural barriers, from navigating state-level telemedicine laws to competing against the entrenched market share of the five major incumbent device manufacturers. Listeners gain concrete insight into how custom silicon design principles from other tech sectors can be successfully applied to medical devices to address sensory and cognitive challenges.
Hosts introduce the episode, explain the focus on hearing aids, and welcome Matthew DeYoung of Fortell.
DeYoung recounts his upbringing, engineering education, hedge fund experience, and personal family history that spurred his interest in hearing aids.
Fortell raised $160 M with Founders Fund, Thrive Capital, and Antonio Gracias, citing the prevalence of hearing loss and the unmet need for better devices.
Fortell uses a custom AI processor to separate important sounds from background noise in real time, improving clarity and focus for users.
Hosts wrap up, share contact info, and direct listeners to Fortell’s website and Reddit community for more information.
The team leveraged their chip‑design expertise to create a low‑power, high‑compute processor and used multiple microphones to localize sound sources.
Fortell positions itself as a high‑end medical device, pricing at $6,800 with bundled care, OTA updates, and a focus on affordability relative to incumbents.
The company expands through new clinics, remote fitting, and careful navigation of state‑by‑state telemedicine laws to reach more users.
Background in Medical Devicesstory
The guest explains how working on a handheld ultrasound machine at Butterfly Network provided the technical foundation, confidence, and access to capital needed to tackle hearing aid technology.
The guest shares how watching four grandparents lose their hearing and drift away into cognitive decline sparked a decades-long obsession to build better hearing aids.
AI Semantic Sound Filteringinsight
The company's technology separates incoming sounds into important and unimportant tracks in real time, amplifying speech while attenuating background noise.
Designing Custom Siliconstrategy
Drawing on early experience designing tensor processing chips at Google and ultrasound hardware, the team built custom silicon to run heavy AI workloads on low power.
Venture Backing and Valuationdata
Fortell raised $163 million from investors like Founders Fund, Thrive Capital, and Valor Equity Partners at a valuation of $740 million.
Fortell prices its top-tier hearing aids at $6,800, which includes five years of audiological care, a three-year warranty, and free over-the-air software updates.
“For 30 years, hearing aids have gotten really good at making sure the world is loud enough for you to hear it.”
“We built this little AI processor. My co-founder, one of my co-founders, our CTO, was an early designer on the Google Tensor Processing chip.”
“We bundle it with five years of audiological care, three-year warranty, extensive diagnostics.”
“We just released, we call it AI 2.0, and it was a major improvement to the core experience of the hearing aid, and it went out as a free over-the-air update to all of our patients.”
“We’re doing it at, you know, a pretty exciting scale now, and I’m really excited about this as a tactic to get quickly to people who need us.”
“Why do I have to beg my grandparents to put on their hearing aids, but no one has ever needed to ask me to put on my glasses?” That’s the question that drove Matthew de Jonge to spend six years building Fortell, an AI hearing aid startup that recently raised $163 million from the likes of Founders Fund, Thrive Capital, and Valor Equity Partners CEO Antonio Gracias. The buzzy startup aims to build hearing aids that understand the sounds around you in real time, figure out what’s important and turn down the rest — instead of turning everything up at the same time, as most hearing aids do. On this episode of TechCrunch's Equity Equity podcast, Rebecca Bellan is joined by de Jonge to break down what it takes to disrupt a decades-old industry where five companies make 97% of the products, insurance won’t cover the cost, and innovation has been slow to arrive. Listen to the full episode to hear more about: How de Jonge went from mechanical engineering and a hedge fund career to building handheld ultrasound machines at Butterfly Network, and why that experience gave him the confidence to take on hearing aids next. The AI architecture behind Fortell's approach, including a custom chip built by a former Google TPU designer. Why the five companies that dominate the hearing aid industry have been so slow to innovate, and how that shaped Fortell's pitch to investors. De Jonge's take on Apple's AirPods as both a hearing aid alternative and an at-home hearing test, and why he sees them as complementary rather than a threat. The regulatory hurdles around remote hearing aid fittings, and how state-level telemedicine laws are shaping Fortell's path to scale. Subscribe to Equity on YouTube, Apple Podcasts, Overcast, Spotify and all the casts. You also can follow Equity on X and Threads, at @EquityPod. Chapters: 00:00 Intro 1:14 Why Matt built Fortell 5:16 The problem with hearing aids: everything's just... loud 7:36 How Fortell's AI separates important sound from noise 12:12 The funding pitch that won over Founders Fund and Thrive 16:31 Hearing aids vs. AI wearables (Meta, Apple, Legato) 20:34 Pricing, insurance, and the hearing aid "cartel" 23:25 Scaling up: new clinics and remote fitting 26:57 Outro Learn more about your ad choices. Visit megaphone.fm/adchoices
4,838 words · 2 speakers
Speaker names marked are inferred from speaking time and the show’s known hosts — they are not voice-verified.
Page updated · transcript and summary are machine-generated