Blue Arbor Technologies Nets $5M for Neuromuscular Interface System

Blue Arbor Technologies Inc. has formed a strategic partnership with Ottobock that is anchored by a $5 million investment from the latter firm to initiate Blue Arbor’s Series A financing round. As a major investor, Ottobock has earned a seat on Blue Arbor’s Board of Directors.

The pair’s partnership aims to redefine the possibilities in upper and lower limb prosthetics by delivering a clinically validated, fully implanted neuromuscular interface that can restore more natural and intuitive movement for limb loss patients.

“Blue Arbor’s neuromuscular interface represents a promising innovation for the next technological leap in prosthetic control—one that aligns perfectly with our mission to enhance human mobility through meaningful innovation,” Ottobock CEO Oliver Jakobi said. “We were impressed by their first-in-human case at the Medical University of Vienna and are excited to partner with them as they move into clinical trials.”

The investment builds significant momentum for the next phase of clinical validation, product development, and commercial readiness of Blue Arbor’s flagship RESTORE Neuromuscular Interface System. Touted as a first-of-its-kind platform, it directly connects advanced prostheses to a patient’s residual muscles and peripheral nerves. The RESTORE System enables independent and simultaneous control of the fingers, wrist, and elbow, unlocking levels of dexterity, speed, and reliability that approach natural limb movement and provide control of most advanced prostheses.

“The RESTORE System is about restoring intuitive, volitional movement—not asking patients to adapt to technology, but designing technology that adapts to human biology,” Blue Arbor Technologies CEO Tod Borton stated. “Ottobock’s investment and strategic partnership validate the potential of this platform and position us to move faster toward broad clinical impact.”

Unlike conventional prosthetic control approaches—and other neuromuscular interface systems under development that have not demonstrated fully implanted, in-human performance—the RESTORE System provides a direct link to muscles connected to the patient’s nerves, delivering consistent, reliable signals for prosthetic control, according to the company. These signals are processed through a wireless sensing unit to enable simultaneous, multi-degree-of-freedom movement commands for commercially available robotic prostheses. In early feasibility human trials, the system has shown stable, high-quality motor signal capture for more than five years,¹ addressing one of the most persistent limitations of current and emerging solutions.

Clinical momentum for the RESTORE System is building, Blue Arbor bigwigs claim. In December, Medical University of Vienna surgeons conducted the first implant using the RESTORE External Sensing Unit. The physicians implanted RESTORE System electrodes into multiple targeted muscle reinnervation sites. Within days, the patient demonstrated functional use of the system with an Ottobock prosthetic.

“What makes this technology remarkable is how quickly patients can translate intent into movement,” said Dr. Oskar Aszmann, director of the Christian Doppler Laboratory for Restoration of Extremity Function at the Medical University of Vienna. “We are seeing control that feels more natural and responsive than anything currently available, which has profound implications for patient independence and quality of life.”

Blue Arbor’s approach is built on leadership at the intersection of neuromuscular science, reconstructive surgery, and neural engineering. Over the past 17 years, the company’s three founders—Dr. Paul Cederna, president; Dr. Theodore Kung, chief medical officer; and Dr. Alex Vaskov, chief technology officer—have collectively been awarded more than $60 million in direct research grant funding, driving the foundational science behind the RESTORE System. Their work has resulted in more than 200 peer-reviewed publications.

The RESTORE System received U.S. Food and Drug Administration (FDA) Breakthrough Device Designation and has been accepted into the agency’s Total Product Life Cycle (TPLC) Advisory Program (TAP) Pilot.

Blue Arbor Technologies is a medical device company developing next-generation robotic control systems for people with limb loss. The RESTORE System is a neuromuscular interface system that provides a direct connection between the patient’s peripheral nervous system and his/her robotic prosthetic limb. The privately held company is located in Grass Lake, Mich.

Ottobock combines more than a century of tradition with innovative strength in prosthetics, neuro-orthotics, and exoskeletons. Ottobock develops fitting solutions for people with limited mobility. Founded in Berlin in 1919, the company maintains business activities in 45 countries with nearly 9,300 employees (FTEs) worldwide and operates the largest international patient care network with about 400 patient care clinics. Ottobock boasts more than 2,600 patents and patent applications. The company has been a partner and supporter of the Paralympics since 1988.

Reference
¹ Tian, Y., et al Merging Humans and Neuroprosthetics through Regenerative Peripheral Nerve Interfaces. Semin Plast Surg. 2024 Feb 6;38(1):10-18. DOI: https://pubmed.ncbi.nlm.nih.gov/38495064/