Rumors have been rife for some time that Apple is working on including sensors for blood pressure, blood sugar and alcohol levels in an upcoming upgrade of the Apple Watch-series.
“iHealth” – for the lack of a better term – seems to be on the horizon. And while nothing is certain at this point – and never is for Apple – the rumors should give Health- and MedTech startups in the consumer space some pause. Because a crux time for monumental decisions may be coming up.
For those focusing on consumer hardware and software the basic question is this: Should we continue on our hardware path, or should we double down on software and let the likes of Apple take care of the hardware part?
The question is a valid one for everybody working in the personal health space, and if the rumors hold true there is no reason to believe Apple is going to stop there. The giant will be innovating full steam ahead and include more and more sensors and features in their wearable devices with battery life most likely being the main hurdle to success.
And why will they double down in this area? Two reasons.
First of all while there is great need for consumer-related Health- and MedTech devices, there is probably not much love lost for any of them, if they went away – from a pure customer experience point-of-view. Very few people get that emotionally attached to more clinical devices, but they do to Apples slick design, and the Cupertino-based company will likely in general hold a huge advantage in moving from consumer towards Health- and MedTech rather than the other way around.
The other reason for Apples focus in this area is one that I have mentioned before: They simply have to to drive shareholder value at their current valuation. A company as big as Apple needs super big new opportunities to grow, and the health sector is one of the only ones left with an opportunity that is big enough to make a difference to shareholders.
What may end up helping some Health- and MedTech companies looking at this enlarged competitive threat is the fact that not every consumer is into Apple. While the companies products and design is popular in many quarters a lot of the less well-off customer segments, who may also very well be overrepresented in the health statistics, simply can’t afford Apple products or don’t see the value to justify the price tag.
In order words there may be room for an Android like ecosystem of products and services that serves specific purposes at an affordable price. But is that juice enough for a Health- or MedTech startup looking to make it big in the consumer space?
That’s a really good question.