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Using GLP-1s drug injections for weight loss has become one of the latest ways some big names in the market are shedding extra pounds. Elon Musk recently tweeted about how using Novo Nordisk’s Wegovy helped him lose weight. Fanatics CEO Michael Rubin recently told CNBC’s “Squawk Box” that using a different version of Novo Nordisk’s same drug, Ozempic, which is most commonly associated with diabetes care, made him much less hungry.

“The weekly shot is amazing. … I started this about a year ago, it’s been life changing for me,” Rubin said. 

Social media influencer Remi Bader said she was prescribed Ozempic after experiencing issues with insulin and weight gain.

GLP-1s — which stands for glucagon-like peptide-1 — are receptor agonists that work by imitating the effects of the GLP-1 hormone, activating GLP-1 receptors inside of the pancreas and producing more insulin inside the body. The insulin helps lower blood sugar levels, which can be helpful in managing Type 2 diabetes. GLP-1s also have been found to help with weight loss as they make individuals who use them feel fuller for a longer period of time.

It’s not only the GLP-1 drugs that are helping celebrities and the wealthy, but also their ability to receive high quality clinical and obesity care that helps them lose the weight, according to Zachariah Reitano, the co-founder and CEO of telehealth company Ro. That’s why his company has launched a program to offer GLP-1 drugs and corresponding medical care to individuals struggling with obesity or weight loss issues.

“I think what we’re able to do now is leverage all of the technology that we have to give everyone access to something that only a few people have access to now,” Reitano said in a recent interview with CNBC. 

Ro’s Body Program offers personalized treatment for GLP-1s and weight management. The year-long program uses a combination of GLP-1s and personal coaching. In clinical trials, these drugs have helped participants lose an average of 15% of their weight over a year.

Pairing personalized coaching with GLP-1s is the key to effective weight loss treatment, Reitano said, and helping patients maximize their results.

“I think what’s really important is, yes, it’s access to the medication … but once they have the medication, we want to hold their hand throughout the entire process, and we have built the technology to be able to do that at scale,” Reitano said.

With the Ro Body Program, participants are first diagnosed, entering information about their health history, any weight loss and obesity challenges, and lifestyle and diet, and then are sent an at-home lab test to obtain measures of A1C blood sugar test, cholesterol and kidney function, among other health metrics. Based on their test results and an initial consultation, a doctor may prescribe patients to start off with a low dosage of GLP-1s that is slowly ramped up over time to meet the desired dosage amount.

Diabetes, obesity and a nationwide drug controversy

Ozempic – the brand of semaglutide, a GLP-1 receptor agonist, marketed for Type 2 diabetes treatment – recently made headlines for a nationwide shortage as its use as a weight loss drug gained popularity. When Wegovy, the brand semaglutide marketed for weight management, began experiencing shortages, some using the medicine were prescribed off-brand Ozempic, makin the drug much harder to find. Many with Type 2 diabetes that relied on Ozempic to treat it have been left scrambling to find the medication. There have also been reports of people looking for weight loss help turning to multiple other drug solutions as a result of difficulty finding GLP-1 drugs.

Both obesity and Type 2 diabetes affect a large number of Americans. According to the CDC, the adult obesity rate in the United States was 41.9% in 2017, and about one in 10 people in the United States have Type 2 diabetes. Reitano said it is important to recognize both obesity and diabetes as diseases that deserve proper treatment.

“I think what we’re actually going to see over the next 5 to 10 years is a weight-centric approach to metabolic health,” Reitano said, who noted in a subsequent interview with CNBC’s “Mad Money” on Thursday night that his father’s personal experience with GLP-1 drugs was a motivating factor for his business decision. “I’ve seen GLPs have a tremendous impact on my dad,” he said.

He told CNBC’s Jim Cramer that the once a week injections do three “very, very important things” when comes to obesity. They help regulate sugar levels; they help regulate appetite; and they slow the passage of food from the stomach to the small intestine. This combination of controls has helped patients in clinical studies lose on average 15% of body weight over a year.

Novo Nordisk, Ozempic and Wegovy’s manufacturer, told NBC News last week the company is still experiencing supply chain issues that will last through the month, though access to some dosages of Ozempic for patients with Type 2 diabetes has improved.

The GLP-1 drug Wegovy for weight issues or obesity is approved for individuals with a BMI of 26-plus and co-morbidities, or those with a BMI of 30-plus.

A new real-time approach to weight management

Reitano said it should not be an either/or scenario involving diabetes management of weight loss and that will change over the next decade.

“If we saw obesity as a disease, and we’re both focused on preventing it but once it happens treating it and treating it as a disease, I think we’re going to see an entirely different approach,” he said.

Reitano said the weight loss and obesity management program fits within his company’s broader goal of changing the way patients receive medical care and reach health goals, from doctor visits to pharmacy and ongoing health issue management.

“High-quality obesity care is an important part of it,” he told Cramer. “Patients can’t just receive these medications and be left to their own devices.”

In addition to shipping the GLP-1 drug to a patient’s home, the Ro Body program tracks patients in real-time with remote monitoring. That is facilitated by a cellular-connected smart scale also sent to the patient which tracks weight and sends data to an app so medical professionals can tweak dosages of the drugs to make sure the patient is receiving the right dose to achieve the weight loss results they want. Patients also receive one-to-one coaching with nurses over the year-long period and up to 24 telehealth visits with a doctor.

“The speed with which we can communicate with patients, update their plans and really be there for them and guide them through this experience, and have that serve as a really strong compliment to their overall primary care, is one of the things I think we’re really excited about,” Reitano said in a recent phone interview with CNBC.

Price of these drugs, though, is an issue, with Wegovy costing as much as $1,700 a month without insurance. Reitano said Ro helps guide individuals through the insurance process and to get these drugs at the lowest price, but he conceded in his “Mad Money” interview that pricing in this pharmaceutical niche “can be challenging for patients.”

The Ro Body Program is the latest addition to Ro’s health care offerings. The company, which ranked No. 38 on the 2022 CNBC Disruptor 50 list, started off selling men’s health care products, helping to treat issues such as erectile dysfunction and hair loss, and has since expanded to provide multiple at-home services including pharmaceutical and fertility treatments. 

CNBC is now accepting nominations for the 2023 Disruptor 50 list – our 11th annual look at the most innovative venture-backed companies. Learn more about eligibility and how to submit an application by Friday, Feb. 17.

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Tesla stock slips after report EV maker is halting Cybertruck and Model Y production

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Tesla stock slips after report EV maker is halting Cybertruck and Model Y production

A Tesla Cybertruck sits on a lot at a Tesla dealership on April 15, 2024 in Austin, Texas. 

Brandon Bell | Getty Images

Tesla shares slid more than 2% Tuesday after a report that the electric vehicle maker was halting production of Cybertruck and Model Y models for a week in Austin, Texas.

The production stoppage begins June 30, Business Insider reported, citing a staff meeting where the announcement was made. The pause, which is for maintenance on production lines, would be the third such shutdown at the Austin facility in the past year, according to BI.

Tesla is tentatively launching the robotaxi in Austin on June 22, using Model Y vehicles equipped with a new version of the company’s “Full Self-Driving” technology.

CEO Elon Musk shared a video clip on X last week of a Model Y robotaxi on a road in Austin, adding to the buzz for the promised launch.

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CNBC has reached out to Tesla for comment on the reported pause.

Read the full BI story here.

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Tesla year-to-date stock chart.

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Reddit stock jumps after company rolls out new AI advertising tools

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Reddit stock jumps after company rolls out new AI advertising tools

Thomas Fuller | Lightrocket | Getty Images

Reddit shares popped about 5% after the social media company debuted new artificial intelligence-powered advertising tools.

The two new features, announced Monday in a post during the Cannes Lions festival, will help brands better leverage discussions on the platform. The company said the tools are powered by an engine called Reddit Community Intelligence that turns “posts and comments into structured intelligence.”

Reddit announced a “listening tool” called Reddit Insights, which shares real-time insights with marketers to help them identify trends and launch campaigns. The other tool, called Conversation Summary Add-ons, allows brands to show “positive” user content under their ads.

“These are tools for a new era of community marketing, one where brands can tap into Reddit’s authenticity and connect meaningfully with high-intent communities around the world,” the company wrote.

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The company said Publicis served as the exclusive alpha tester for Reddit Insights, while Lucid and Jackbox Games were among the early testers for Conversation Summary Add-Ons.

Companies across industries are betting on new ways to harness AI to improve advertising campaigns and better engage with users. These new tools are transforming the industry while also putting pressure on some advertising stalwarts.

The industry is also currently navigating a bumpy environment spurred by the trade war with China.

During the recent earnings season, many companies warned of sluggish advertising sales in certain regions due to a rocky macroeconomic environment. Recent developments, however, have suggested a cooling of tensions between the U.S. and China.

Last month, Reddit posted strong sales and upbeat guidance. The company has benefited from recent changes to Google search and internal site improvements, which include convincing logged-out users to open accounts. Logged-in accounts are more beneficial to advertisers.

WATCH: Outgoing WPP CEO says AI will ‘revolutionize’ advertising business

Outgoing WPP CEO says AI will 'revolutionize' advertising business

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Spotify’s Daniel Ek leads $694 million investment in defense startup Helsing

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Spotify's Daniel Ek leads 4 million investment in defense startup Helsing

Helsing uses AI to analyze large amounts of sensor and weapons system data from the battlefield.

Pavlo Gonchar | Sopa Images | Lightrocket | Getty Images

European defense technology startup Helsing on Tuesday said that it’s raised 600 million euros ($693.6 million) in a bumper new round of funding.

The investment was led by Prima Materia, the venture capital firm founded by Spotify CEO Daniel Ek and by Shakil Khan, an early investor in the popular music streaming app. Ek is also chairman of Helsing.

Existing investors Lightspeed Venture Partners, Accel, Plural, General Catalyst and Saab also put money in, alongside new investors BDT & MSD Partners.

Defense and the technology behind it have become a hot area for investors lately, amid major global conflicts, including the Ukraine war to Israel-Gaza. Last week saw a further escalation of war in the Middle East as Israel launched a series of airstrikes against Iran.

In 2024, venture funding in Europe’s defense, security and resilience sector reached an all-time high of $5.2 billion, according to a recent report from the NATO Innovation Fund. The sector grew 30% in the past two years, outperforming the broader VC market, which saw a 45% decline over the same period.

Founded in 2021, Helsing sells software that uses artificial intelligence technology to analyze large amounts of sensor and weapons system data from the battlefield to inform military decisions in real time. Last year, the startup also began manufacturing its own line of military drones, called HX-2.

Helsing, which operates in the U.K., Germany and France, said it would use the fresh cash to invest in Europe’s “technological sovereignty” — which refers to attempts to onshore the development and production of critical technologies, such as AI.

“As Europe rapidly strengthens its defence capabilities in response to evolving geopolitical challenges, there is an urgent need for investments in advanced technologies that ensure its strategic autonomy and security readiness,” Ek said in a statement out Tuesday.

Helsing did not disclose its new valuation following the latest financing round, which is subject to “certain approvals,” according to a statement. The firm was previously valued at around 5 billion euros in a 450 million euro funding round led by General Catalyst last year.

90% of defense executives say the future will be dictated by software-defined products, says Accenture A&D Lead

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