Minimum Viable Ecosystems - Lux Research, Inc

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Minimum Viable Ecosystems:Finding Growth in a Quantified WorldJaideep RajeManaging Consultant – EMEA, Lux Research“Smarter Living” TrackJune 16, 2015

The dawn of the Age of Self-QuantificationPersonal and medicalwearablesSmart home andintelligent buildingsSource: Stratos, ASID, SmartHome012

The dawn of the Age of Self-Quantification:The crazy restPing, the socialnetworking garmentSmarter Socks Plus Necomimi Brainwave Cat EarsPeekibooAurora Dream InducingHeadband3

The desire for self-quantification stems from twofundamental consumer antifiedSelfempoweredSustainabilityClean LabelSelfpromoted4

Today’s “toys” will stretch out into areas known andunexpected, but uniformly meaningfulThe Slam DunksHigh-end athleticsFitness buffsNutritionally aware/enlightened consumers‘Pre’ obesityPre-diabetesHealth at HomeAging in Place5

Traditional product thinking falls short of unlockingthe “smarter living” growth emsFoodReadout e6

Traditional product thinking falls short of unlockingthe “smarter living” growth emsTraditional “product” thinkingFood Cool gadgetry Noisy dataReadout e7

Unlocking growth: A “smarter living” solutionnecessarily transcends product msFoodReadout e8

Illustrative demand moment: Good morning!9

Components of this “solution” – minimum viableproducts – already exist as proofs of concept (1)Smart homeSleep Number x12 bedSmart lightingSmart appliances11

Components of this “solution” – minimum viableproducts – already exist as proofs of concept (2)Saliva-based hydrationmeasurement devicesGlucose sensing patchUC San DiegoTracks liquid calorie intakeCarbon nanotube-basedbiosensors for point-of-carediagnosticsLactate sensing patchUC San DiegoCNT-based sensors for breathbased lung diagnosticsMonitors blood flow, heart rate,tissue fluid levels, and bodymovement, to calculate calorieintake as well as burning12

Components of this “solution” – minimum viableproducts – already exist as proofs of concept (2)Why do I (the consumer) need to do the hard work ofenvisioning this and integrating it?Minimum Viable Ecosystem Integration of suitably-mature products that together satisfythe right consumer need13

Commercial entry strategy in a minimum viableecosystem must look at the full solutionProof of conceptMass market readiness1-3 years1-3 years0-1.5 yearsSmart appliances0-3 yearsWearable devices0-3 years“Sensor” science5 years14

Summarizing our journey to sustainable growth in aSelf-Quantified World“Smarter living” is here to stayProofs of concept are abundant but companies struggle toembrace an overarching visionCapturing growth within this vision of a minimum viableecosystem will require very different strategic actions17

Thank youJaideep RajeManaging Consultant – EMEAjaideep.raje@luxresearchinc.com 31 (06) 2762 3275Lux Research Inc. 100 Franklin Street, 8th Floor Boston, MA 02110 USA Phone: 1 617 502 5300 Fax: 1 617 502 5301 www.luxresearchinc.com

Sleep Number x12 bed . Components of this "solution" - minimum viable products - already exist as proofs of concept (2) 12 Monitors blood flow, heart rate, tissue fluid levels, and body movement, to calculate calorie intake as well as burning . Glucose sensing patch .