eye, wrist, body … where is the wearables market headed?

WELCOMEJune 25, 2014Welcome to the Eye, Wrist, Body … Where Is the Wearables Market Headed WebinarBrought to you by Aeris Communications

SPEAKERSModerator: Peggy SmedleyEditorial DirectorConnected World magazineSpeaker: “Z” Hosain CTO and FounderAeris Communications

WEARABLES MARKETThe wearables market is taking off and we are seeing massive adoption in M2M-embedded sensors that will allow monitoring of applications in hospitality, travel, healthcare, sports and fitness, military operations, athletics, etc. What’s next?

MARKET GROWTHOn a whole, MarketsandMarkets says the global wearable electronics market revenue is expected to cross $8 billion, and the total unit shipment is expected to exceed 130 million units globally by 2018.

SMARTWATCHESStrategy Analytics says the smartwatch category will be the largest category, reaching 71 million units in 2018, and accounting for 46% of global wearable device shipments.

EXPEDITED LAUNCHESIn order to help bring wearable devices to market faster, tech companies are creating development kits.

For example Salesforce.com created Salesforce Wear a new software kit for developers.

HEALTHCARE

The healthcare wearables market, in particular, is growing at an unprecedented level and healthcare professionals need to stay educated.

TOP INDUSTRIESIs 2014 going to go down as the year of Wearable Technology?– Gamification– Glasses/fitness– Smart clothing– Health monitoring– Health management– Empowering patients

© 2014 Aeris Communications, Inc. All Rights Reserved.

Eye, Wrist, Body … Where is the Wearables Market Headed?

Syed Zaeem Hosain (“Z”)

[email protected], Twitter: @AerisCTO

10© 2014 Aeris Communications, Inc. All Rights Reserved

Who is Aeris Market Sectors Revenue Forecasts Design Factors Manufacturing Factors What Lies Ahead in the Future Conclusions

Agenda


Aeris CommunicationsEnabling customers to radically change their businesses

• Company M2M Pioneer > 18 years

HQ in Silicon Valley

Services since mid-1990’s

• Solution M2M / IoT platform

Complete M2M stack

Connectivity to application enablement

• The Numbers 99.995% infrastructure reliability

Operation in 190 countries

300 Million M2M messages / day

Aeris M2M Platform

Data and voice connectivity

Device & IP session control

Provisioning / Activation

Real time information

Alerts and alarming

Billing & reporting

Account level NOC support

Utilities

Consumer Automotive

Point of Sale

Healthcare

Monitoring & Control

Telematics 500+Cellular Carriers

2G | 3G | 4G for CDMA | GSM | LTE

M2M BSS & OSS

M2M Application Enablement PlatformAerCloud

M2M Connectivity Enablement PlatformAerPort

M2M Core NetworkAerCore

App 1 App 2 App 3

Cellular Connectivity ServicesAerConnect


Wearable Technology Market SectorsGrouped into seven market sectors

Safety• Security & safety devices for firemen, police, SAR, and military applications

Medical• Professional monitoring for patient vital signs, chronic disease management

Wellness Monitoring• Consumer healthcare monitoring. For example, weight and sleep monitoring

Sport / Fitness• Solutions for activity monitoring, fitness, sports performance data gathering

Lifestyle Computing• Interactive web and data access, gaming and sharing experiences

Communication• Interaction with other people, using voice, text messaging, and e-mail

Fashion & Glamor• Appearance statements with emotion information displays, and decorative lighting


Wearable Technology ApplicationsSectors, applications, functions and products expanding dramatically


CharacteristicsShort / long-range data transports, shared access and analytics

• Bluetooth, WiFi, ZigBee, 6LoWPAN, Cellular• Data can be transient and storedSafety

• Bluetooth, WiFi, ZigBee, 6LoWPAN, Wired, Cellular• Data can be transient, stored & shared – analytics are importantMedical

• Bluetooth, WiFi, ZigBee, 6LoWPAN, Wired, Cellular• Data can be transient, stored & shared – analytics are importantWellness Monitoring

• Bluetooth, WiFi, ZigBee, 6LoWPAN• Data is mostly personal – limited analytics may be neededSport / Fitness

• Bluetooth, WiFi• Data is usually personal – with little need for analyticsLifestyle Computing

• Bluetooth, WiFi• Typically data interfaces to other devices & applicationsCommunication

• Usually has no transport or data requirements, but …• Could be integrated into above functions – with their requirementsFashion & Glamor


Cellular Use in Wearables

Increased Cellular use in Wearable Telehealth Apps

• Natural transport for wide-area, long-range transmissions

• From simple monitoring to mission-critical, emergency care

Information Requirements are Expanding

• Real-time … sent directly to clinics, doctors and care-givers

• Patient privacy and data access/ownership/regulations concerns

Product and Technology Evolution

• Hybrid technology transmissions for short-range + long-range wireless

• “Continual connection” between patients and their care teams

Increased Patient-Care Team Involvement


Global Wearables Revenue ForecastGrowing steadily from recent past into the future


Wearable Tech Mobile App ForecastGlobal information


DesignWhat are the design factors that need to be considered?

Product Design

Power

Sensors

Wearability

Connectivity

Size

Security

Privacy

Analytics

Features


Design Factors to ConsiderDetails could be critical to eventual product success

•Does the device need to work for long periods?•How large a battery might it need? Rechargeable?Power•What sensors are available for the measured data?•Is the cost of the sensor(s) sufficiently low?Sensors•How cumbersome is the product to put on and off?•Will it be worn or discarded after the novelty wears off?Wearability•Where is the data being sent from? Home? Outside?•Is the technology / transport appropriate for the use-cases?Connectivity•Do the product components require special miniaturization?•What impact does this have to design and manufacturing?Size•Is the device protected from being compromised?•Is the application purpose life-threatening if compromised?Security•Where is the data being sent and to whom?•Who has access to the data (device, transport, destination)?Privacy•Is the data transient or stored for later access and analysis?•What data analytics support is needed?Analytics•What features are needed for deployment?•Can the software and features be updated later / remotely?Features


ManufacturingWhat are the manufacturing factors that need to be considered?

Product Manufacturing

Good Partners

Component Costs

Process Technology

Form-Factors

Scaling

Materials

Yield

Rework

Testing


Manufacturing Factors to ConsiderDetails could be critical to scaling growth

•Can the manufacturer assist with design issues?•Do they have engineering skills to assist on “designing for manufacturability”?Good Partners•Does size reduction drive component costs too high?•Are there multiple sources for the components?Component Cost•Does the production process require new technology?•Does the new technology impact the yield too much?Technology•Will the design require special manufacturing equipment?•Does the device form-factor require unusual “touch”?Form-Factors•If product is successful, can the manufacturer scale production rapidly?•Will production scaling needs impact quality?Scaling•Are there materials in the device that require complex supply chains?•What impact does this have on production times and cost?Materials•Does the manufacturing process yield good product quality?•Is the manufacturer able to enhance the yield over time?Yield•Can test failures be reworked with sufficient quality?•Will field failures be easily repairable by the manufacturer?Rework•Are there any unique test requirements for the device?•Will the testing catch real-world use case faults?Testing


Product Features … Four W’s of WearablesSome questions to consider when deciding product features

• Who– Who is the expected user of the device?

– Is it targeted at a particular age group? Or gender-specific?

• Why– Why would someone want to wear it?

What is its purpose?

– What is the value to the user? Fun or serious functional utility?

• When– Is this a device that will be worn

24hrs / 7days per week?

– Or during a specific activity?

• Where– Is it worn on the head? Over the eye?

On the wrist? In clothing?

– Is it embedded in the skin or implanted inside the body?

Sources: getsmartlet.com


Early capture of body real estate is important– But, the wrong product(s) could get discarded quickly fads?

Big companies are focused on this real estate– Apple, Samsung, Google … consumer devices today medical

– Small companies & startups can play … carefully

Human Body Real Estate is LimitedLimited room is available on the human body

Sources: techradar.com,


Aesthetics are extremely important– If devices are not actually worn, the purpose is lost

– Must keep it seamless and unobtrusive

Body Area Networks & Gateways help real estate issue– Need for interoperability, standards and API’s

Aesthetics & Body Area NetworksEarly clumsy solutions leading to new trendy products

Sources: MedsMagazine.com, Misfit Wearables


Body real estate getting crowded– Eye, wrist, head … can only support so many devices

– Clothing, footwear … requires “wear it” action by users

Driving new technologies & sensors– Discardable “attachables” for short-term use

– Skin patches and “implantables” for longer-term use

Wearables Attachables ImplantablesEssential to efficiently use available body real estate

Sources: Coleman Labs, Idealabs, Univ of Pennsylvania, Isansys, Information Week, www.preventice.com


Visual Interface Need Driving TechnologyCellphone sizes shrink … then smartphone screens drive size increase

Sources: arstechnica.com, incrediblethings.com, mashable.com


Sensors & computing separated from visual interface– Google Glass is only the first step to the near-future

Wearable glasses LED contacts Retinal Implants – Bluetooth, solar-powered contact lenses in early development

– Argus® II Retinal Prosthesis system in commercial production

The Eyes Have It“Some day we will have full-fledged streaming in your contact lenses” – Prof Babak Parviz

(2011)

Sources: Second Sight Medical Products, Journal of Micromechanics and Microengineering (U of Washington)


The future for wearable technology is extremely bright– Markets and revenue growing globally

Wearables can be a life-changing experience– Fitness and health monitoring leading to better care

Many big companies are playing in the field– However, opportunities for smaller entities exist

Body real estate limits driving new technologies– Related markets benefit (sensors, semiconductors, communications)

Aesthetics and security are important– Must engage users and provide trust in the data and devices

Conclusions

Exciting Times Ahead

eye, wrist, body … where is the wearables market headed?

Technology

healthcare wearables

market growth

founder aeris communications

monitoring of applications

activity monitoring

m2m embedded sensors

healthcare professionals

wearable devices