Enhancing Apple’s EcosystemTeam 1 - Nir Hertz and Ronald Jordan

Apple’s Ecosystem & Beats Acquisition

● Brand Recognition/Customer loyalty● Control over user experience● Beats Electronics

Looking towards the future

● Health Application ● Patents

The Problem

● Health applicationrequires manual entries

● Making the technology=Time+Money

Valencell, Apple, and Beats

● Ecosystem: Completed Cycle● Fully integrate into earphones● Health App - live data● Device transferable

o Apple watcho Earphones

● Beats Music

How It Will Work?

● Earphones - accurately track fitness biometrics

● iPhone - Viewlive data

● Beats Music - audio feedbackbased on data

Valencell PerformTek Sensor

● So small, it fits in your ear● Eliminates need for

other devices● Accelerometer

+Optical Device

Wearable Computing Tech

WearableTechnology

FitnessTracker=40%

Wearable Computing Tech Revenue

WearableTechnology

Fitness RevenueForecast=$91.5M

Potential Costs

Major Costs●Licensing - charge $/deviceOR●Acquisition - More efficientMinor Costs●Integration/Manufacturing Costs●Marketing Costs

Potential Benefits

● Patent/Licensing rights● Increase in revenue● Better customer loyalty● Major competitor in more industries

o Wearable Technology-$19Bo Health and Fitness Applications-$26Bo Internet Radio Streaming-$1.3B

Drawback/Solution #1

● Users that don’t useApple/Beats earphoneso Wrist Band - Same

Technology, ButDifferent Apple Watch

Drawback/Solution #2

● Need data/WiFifor Beats Musico Beats Music can

save a playlistto your iPhone

Enhancing Apple’s EcosystemTeam 1 - Nir Hertz and Ronald Jordan