The Business Case for Adaptive Technology Jim Fruchterman, Benetech

Adaptive Technology Different Approaches  The Business Case depends on the approach Universal Design Specific features Scratch-built products  The Business Case depends on the markets Seniors and children High incidence disability Low incidence disability

Universal Design Approach Easy business case  Designing for the broadest audience consistent with core product positioning Served market expands Ease of use benefits  Designers just need to think broadly about the customer The customer is usually not well represented by the designer  Minimal product cost impacts

Specific Feature Approach Adding in features aimed at disabled consumers  Additional feature has relatively low cost Easier to justify on marginal cost  Non-disabled users often use these features Curb-cuts Vibrating pagers (and cell phones) Etc.  Regulatory requirements Section 255 for telecommunications Section 508 for federal procurements

Scratch-built Approach Most challenging business case  Products designed for a specific disability group typically have smaller markets  Often required to meet needs Wheelchairs are different Standard product can’t be adapted  Small companies often target  PR benefits

Mass Market Aiming for the broadly typical consumer  The typical consumer is likely to not be a mid- forties white guy of average height, weight, strength & intelligence By designing for a range of characteristics, the base market is larger  Consumers can be temporarily disabled In a meeting Driving a car Bright or loud conditions  Seniors, kids, shorter people, taller people: they add up!

High Incidence Markets Large population disabilities  Learning Disabilities  Hard of hearing  Low Vision  Wheelchairs

Low Incidence Markets Narrow population disabilities  Blind  Deaf  Non-speaking  Multiple disabilities

Case Study: Arkenstone Optical Character Recognition  1989 Market was under $1 million  Limited adoption of commercial product Hardware adaptations 1-2% of HP scanner market Grew to $5 million Purchased by a roll-up: Freedom Scientific

Case Study: Henter Joyce Screen Readers  Small market  Still grew to 10+ M$ revenues High margins Also purchased by Freedom Scientific

Case Study: Sunrise Medical Durable Medical Equipment  Wheelchairs Started as a rollup of five companies  Year 2000 revenues: $600 million plus Markets to a range of disabilities  Founder left in 2000 to create Freedom Scientific Richard Chandler

Conclusion Adaptive Technology --  Worth considering in every product plan  Range of options for entry  Can build and support mass market products  Business opportunities are real and worth pursuing