woensdag 8 juni 2011

Healthcare – a procrastinated market ready to explode

Bluetooth wireless technology already is a de facto standard and one of the measures that brought it here is the regulation for car drivers to have a hands free connection to the mobile phone while driving. I mention this because Bluetooth Low Energy has a similar faith. As I mentioned before, its chances of making it into the real world seemed slim at the beginning, but as soon as it was adopted by the Bluetooth SIG and the focus market shifted to healthcare products, there was only one tiny step left for it to be introduced in a regulation of some sort. And it was; Continua Alliance included it as a standard for certified healthcare products.

The growth of this technology was rather fast, faster than others for sure. An IMS Research predicts that by 2014 there will be over 1 billion Bluetooth low energy chip sets, with most of those units being dual-mode ICs. The same research reports that both dual and single mode ICs will be produced while only 10% of the BT LE chips will be single mode chips next year. All predictions have it that BT LE is bound to open the doors of innovation in healthcare/telehealth products. “By 2016, Bluetooth Low Energy connected healthcare and fitness devices will reach 467 million annual device shipments,” notes practice director Sam Lucero, ABI Research.

Bluetooth low energy is optimized for transmission of small amounts of data from the sensor/actuator to the Application Host Device. It goes without saying that pulse monitoring for the elderly or heart rate control for cardio activities are just some tangible examples in which the technology can connect to a mobile network and bring solutions that have been so long expected. ABI Research’s “Wireless Healthcare and Fitness Market Data” sees huge potential in the market. However, they too observe the delay of more than six months according to what many in the industry had expected.

The industry is fickle enough as it is, if you build up expectation, you might be surprised to see that producers turn to other wireless technologies. But why was there this procrastination? Is it the desire to improve the specs from the technological point of view? Or is it because major players wanted to buy some time and put out their products ahead of other competitors? Continua Alliance adopted the standard a while before its actual coming on the market. Now if we look at the products launched just after Bluetooth Low Energy being bundled up with Bluetooth v4.0 Core Specification, we do notice that some companies are also part of the alliance (I am thinking of Nordic Semiconductors but not only). Now maybe I like to put a dramatic light but it seems just too fishy for this delay to be purely technical. And there is another question to be answered: What business model can make the numbers with this innovation? Because let’s face it, a standard remains a standard. Technology can, undoubtedly, give it an upper hand, but if there is no marketing for the product encompassing the technology, it will surely fade out and die. Maybe the delay was buying marketing time to come up with the right product.

3 opmerkingen:

  1. Hi Irina,

    Keep up the good work. I like the way you are dealing with subject. I also like your tone of voice, namely raising questions and then answering them. It is as if you are into a dialogue with yourself. That is nice way of dealing with difficult issues on letting the reader into your subject also.

    On the negative side, your entries seem to be focussing (each of them) on the three main questions at hand: 1) technology (that is clear enough though), 2) the type standardisation organisation, and 3) whether it is going to be a success or not?

    I am curious where your blog will end, what your main conclusions are going to be.

    Kind regards,

    Jan Smits

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  2. Great article. Perhaps you can find more answers to your question in my recent post:
    http://continualliance.blogspot.com/2011/06/mhealth-business-and-shadow-of.html

    Ciao!

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  3. Thank you both for your feedback.

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