This paper details the development of a neonatal device for treatment of hyperbilirubinemia by phototherapy and swaddling. Hyperbilirubinemia is a condition which affects more than half of all neonates. It is commonly treated by phototherapy, but conventional phototherapy does not allow for swaddling which is extremely important to neonates. The functional goals of this device are to provide adequate phototherapy, to swaddle the neonate, and to enable access to the neonate during treatment. With feedback from neonatal intensive care unit physicians and nurses, we assembled a prototype of this device to demonstrate proof-of-concept. The prototype proves the feasibility and potential for the device concept. This paper describes the design criteria, features, comfort and safety details, and next considerations for future work.