In a surprising turn of events, a new contender has emerged in the sleep headphone market, founded by former Bose executives who licensed IP from the headphone maker. Ozlo, the startup, has launched its Sleepbuds, which promise to deliver on the unfulfilled promise of Bose's discontinued product.

The new Sleepbuds boast the same form factor as Bose's, but with a crucial difference: they support Bluetooth audio streaming, a feature that was noticeably absent from Bose's offerings. This addition addresses a major pain point for consumers, who can now enjoy a more seamless listening experience.

Priced at $299, the Ozlo Sleepbuds are $50 more expensive than their Bose predecessors, likely due to increased production costs and R&D expenses. Despite this, the product's launch is a significant development in the wearables category, particularly for the 10% of the population living with tinnitus, a condition that Ozlo is also working to address with its FDA-clearance-seeking tinnitus therapy.