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Biz Model for Tactus
 

Biz Model for Tactus

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My students use ideas from my (Jeff Funk) class on business models to create a business model for Tactus, Tactur supplies a revolutionary new form of new technology that enables better touch screens. ...

My students use ideas from my (Jeff Funk) class on business models to create a business model for Tactus, Tactur supplies a revolutionary new form of new technology that enables better touch screens. Using MEMS, portions of the screen rise up thus making it easier for the user to more easily interact with touch screen displays. these slides analyze the value proposition, customer selection, method of value capture, scope of activities, and method of strategic control for Tactus.

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    Biz Model for Tactus Biz Model for Tactus Presentation Transcript

    • Tactus Technology Tactile User Interface for Touchscreen Devices Dynamic Buttons rise UP from your touchscreen Buttons when you need them; gone when you don’t.MT 4002 Technology Management Strategy | Tactus
    • Presentation Overview 1. Introduction to Tactile Layer o What is the Tactile Layer o Value Proposition - Why is Tactile Layer better? 2. Market for Tactile Layer o Opportunities for business o Customer Selection 3. Value Capture o Product offering o Money Flow within existing market o Method of Value Capture & Revenue Models 4. Scope of Activities 5. Strategic Control o Long term survival and growthMT 4002 Technology Management Strategy | Tactus
    • The Touchscreen Experience • Interactive User Experience • Intuitive & Easy to use • Unable to recreate true tactile responses • Low accuracy during useMT 4002 Technology Management Strategy | Tactus
    • Problem Compromised User Experience • Data entry errors • Poor typing speed • Constant visual monitoring - inconvenient or even dangerous • No way to blind-navigateMT 4002 Technology Management Strategy | Tactus
    • Compare advantages of two most common Interaction Methods Physical Buttons Touch Screen • High speed typing • Bigger screens • Accuracy and confidence • Fastest pointing device • Free from sensitivity and • More interactive browsing calibration problems experience • New dimension to games and appsMT 4002 Technology Management Strategy | Tactus
    • SolutionTactus Technology Demo Video Click to Watch
    • What is the Tactile Layer user interface? • Application-controlled, completely transparent real and physical buttons that rise up from the touchscreen surface on demand • Tactile Layer™ easily integrates with today’s touchscreen- based devices o Replaces ‘window’ layer and requires no change to the underlying display or touch sensor • A ‘best of both worlds’ solution combining the comfort of a physical keyboard with the versatile experience provided by a touchscreenMT 4002 Technology Management Strategy | Tactus
    • So how does Tactile Layer Work? • Replaces the front layer of the display stack, known as the cover lens or window. • Little or no change to the underlying touch sensor or display.MT 4002 Technology Management Strategy | Tactus
    • Technology • Venture-backed company headquartered in Fremont, California • Sole product: Tactile Layer TM • Availability: Commercially available in 2013 • Direct competitor: None • Business model is product business modelMT 4002 Technology Management Strategy | Tactus
    • Value PropositionMT 4002 Technology Management Strategy | Tactus
    • Types of Buttons – Truly Dynamic Interface Square Rectangle Round • Multiple Button Shapes • Controllable button height • Programmed to custom-fit current Orientation screen SensitiveMT 4002 Technology Management Strategy | Tactus
    • The Tactile Layer: More than simply ‘best of both worlds’ – A superior value proposition Tactile Layer introduces new value to the end user • Enables multi-tasking by reducing user’s need to look at the screen while using a touchscreen device • Improved SafetyMT 4002 Technology Management Strategy | Tactus
    • Superior Value Proposition • Improves speed and accuracy while using a touchscreen deviceMT 4002 Technology Management Strategy | Tactus
    • Superior Value Proposition • Provides an overall improved user experience with touchscreen deviceMT 4002 Technology Management Strategy | Tactus
    • Key Benefits of Tactile Layer to End Users • Higher performance - addresses conformation and orientation ‒ Higher Accuracy ‒ Faster speed • Improved Safety • Improved overall user experience Key Takeaway: 1. People care about these areas of problems 2. These benefits are add-ons, without sacrificing any of the existing touchscreen featuresMT 4002 Technology Management Strategy | Tactus
    • Applications / Value Prop for Users Using capacitive Better/ Realistic Better typing efficiency screen with gloves Games Full-screen Full-screen Work Compatible with existing Entertainment Processing & Presentation phone coversMT 4002 Technology Management Strategy | Tactus
    • Market Opportunities & Customer SelectionMT 4002 Technology Management Strategy | Tactus
    • Customer Selection Potential Applications of Non-Touch Screen, Physical Tactus’s Tactile Keyboard Phones Layer Hand Phone Industry Touch Screen, Physical Keyboard-less Phones First Adopters Hybrid Phones Market SegmentsMT 4002 Technology Management Strategy | Tactus
    • Market Opp of Tactus Touchscreen demand to grow by 90- 48.64% of people surveyed still want percent, led by mobile, tablet markets qwerty keyboards Touchscreen demand to grow by 90-percent, led by mobile, Sales of touch screen devices with built in keyboards: tablet markets 48.64% of people surveyed still want qwerty keyboards Mobile phones Sales of keyboard peripherals to touch screen devices Sales of touch screen devices with built Sales of keyboard peripherals to touch in keyboards: Mobile phones screen devicesMT 4002 Technology Management Strategy | Tactus
    • Existing Value Network Service Providers OS Developers OEMs (Hardware Phone Component Manufacturers Manufactures) Application Consumers Developers Phone Retailers Content Providers Indirect customers to Tactus Logical categorisation Customers/ Stakeholders to TactusMT 4002 Technology Management Strategy | Tactus
    • New Value Network with Tactus Service Providers Tactus OS Developers Tactile Layer + Other Hardware Phone Application Components Consumers Manufacturers Developers Manufacturers OEMs Content Providers Phone Retailers Direct customers to Tactus Indirect customers to Tactus Logical categorisation Customers/ Stakeholders to TactusMT 4002 Technology Management Strategy | Tactus
    • Value Proposition for Direct Customers • Provide a new, innovative Service Providers feature Phone • Easy integration - no need to re- Manufactur engineer display stacks ers • Opens up new markets and allows for creation of new and Phone innovative products (lighter, Retailers bigger screen, curved) • Premises for new types of OS Content interaction/ applications Consumers Providers • Provides new dimension of user experience within applicationsMT 4002 Technology Management Strategy | Tactus
    • Value Proposition for Indirect Customers High sales volume expected Service Applications may use more data Providers Phone Manufactur ers PhoneHigh sales volume expected Retailers Content Providers Improved user experience Consumers Higher work performanceMT 4002 Technology Management Strategy | Tactus
    • Value CaptureMT 4002 Technology Management Strategy | Tactus
    • Product Overview Tactile Layer Tactile Hardware Tactile To control Products Controller Tactile Layer Offered To access Tactile Controller & Product Key manipulate Tactile LayerMT 4002 Technology Management Strategy | Tactus
    • Cash flow within Existing value network Operating System Licensing fee/ Buy OEMs (Component Developers Advertising Components Manufacturers) Platform Provide Handset Makers Platform for Sell development Phones Sell Content/ Application Developers Consumers Advertising revenue Slight differences may exist between firms with different revenue models • Apple makes both the handset and the OS, so costs are internalized • Android OS is free but Google makes money through advertising • Symbian is licensedMT 4002 Technology Management Strategy | Tactus
    • Cash flow with Tactus (A unique OEM) Operating System Licensing fee/ Buy OEMs (Component Developers Advertising Components Manufacturers) Platform Provide Handset Makers Platform for Sell Sell Tactile development Tactus Technology Phones Layer & Sell Controller Product Key Sell Content/ Application Developers Consumers Advertising revenue Method of value capture for access key sales would vary according to platform, since the various developers have different revenue modelsMT 4002 Technology Management Strategy | Tactus
    • Revenue Model Tactus Technology Tactile Layer & Tactile Product Key Tactile Controller to Interface Smart phone Closed Source/ Open Source Model makers Proprietary Model Others Android App (Blackberry, Direct Sales Apple Developers Symbian & Windows Phone makers) Commission per Commission per Direct Sales sale made sale madeMT 4002 Technology Management Strategy | Tactus
    • Pricing • Incorporating new MEMS device introduces added cost to manufacturing smartphones • But smartphone market and market for mobile MEMS is growing, suggesting larger volumes which may help reduce costs • Smartphones contribute 45.6% of overall handset market shipments in 2012 and this will increase to 67.4% by 2016 (source: iSuppli - http://www.isuppli.com/Abstract/P23710_20120928151741.pdf)MT 4002 Technology Management Strategy | Tactus
    • PricingMT 4002 Technology Management Strategy | Tactus
    • Scope of ActivitiesMT 4002 Technology Management Strategy | Tactus
    • Business Flow Tactus Technology Application Application Programming Sales of Programming Interface Interface (API) development Product Key Tactile Layer Tactile Layer Tactile Layer Tactile Layer & Tactile Sale & Controller Design R&D Manufacturing Distribution Global External Vendors MEMS IC Distribution Manufacturing Manufacturing SupportMT 4002 Technology Management Strategy | Tactus
    • Business Functions Tactus Technology Strategic Management Application Finance Application Programming Sales of Programming Interface Interface (API) development HR and IT Operations, Legal, Product Key Sales R&D Tactile Layer Tactile Layer Tactile Layer Tactile Layer Marketing & Tactile Sale & Controller Design R&D Manufacturing Engineering PR Distribution & Partnership Customer Service Global External Vendors MEMS Supply Chain IC Distribution Manufacturing Manufacturing SupportMT 4002 Technology Management Strategy | Tactus
    • Strategic ControlMT 4002 Technology Management Strategy | Tactus
    • Key Features/ Appropriability Regime • First entrant • Control standards which will create a barrier to entry • Most important complementary assets are R&D, Marketing and Distribution • Strong protection for the technology • Sustainability via acquisition • Economics of scale • Access to complementary assetsMT 4002 Technology Management Strategy | Tactus
    • PatentsMT 4002 Technology Management Strategy | Tactus
    • Key Features/ Appropriability Regime • First entrant • Control standards which will create a barrier to entry • Most important complementary assets are R&D, Marketing and Distribution • Strong protection for the technology • Sustainability via acquisition • Economics of scale • Access to complementary assetsMT 4002 Technology Management Strategy | Tactus
    • ConclusionMT 4002 Technology Management Strategy | Tactus
    • Conclusion – Business Prospects • Haptics is a growing field • Business plan o Maintain industry leadership through innovation • Potential for Tactus to branch out to other industries o E.g. Automotives/medical equipment/etc.MT 4002 Technology Management Strategy | Tactus
    • THANK YOU! Q&AMT 4002 Technology Management Strategy | Tactus