Wharton

| OPIM 469 | May 6, 2013

OPIM 469
Prof. Lorin Hitt
May 6, 2013

Sunny Shah

Wharton | OPIM 469 | May 6, 2013

+ Product Introduction
The Braille-O-Matic is a device that allows the blind and visually impaired to read digital text by generating Braille characters at the pace at which Braille is read. It is a rotating system that simulates the natural act of reading Braille by having the dynamically generated Braille characters roll across the users fingertips. The basic systems structure consists of a cylindrical drum fixed on a motor, a remote device for manipulating speed and a client device used as a textinput device. Our users will primarily be blind or visually impaired individuals who rely on Braille to read. Given that we are located in Philadelphia, we expect our initial user base to be located in the Philadelphia metropolitan area. Given the government support for enabling the disabled, there are many pockets of our target market that we can tap into; we can do this by communicating with school districts and non-profits. Within this group, we want to specifically target those who are avid readers, as they can provide us with useful feedback, and beginners. Our secondary market will consist of hobbyists that simply want to learn Braille and developers that may find our API useful for their own projects. At the present time, our device is optimized for having users read messages sent explicitly to their device through the Internet. After completing this iteration of our development cycle, our device will allow users to read online text messages and stay updated with social media feeds. As the Braille-O-Matic develops, it can serve as a USB plugin for personal computers and tablets. This will allow the user to read whatever is on their screen in Braille; this could include a book on the Kindle, a news article on the iPad and a text document on a PC. Given that our product is a small, physical device relying on a flexible ALI, it can become the standard to-Braille translator for any digital media channel. With a headphone jack plugin, it can dynamically convert any character that is being read into audio. The products API allows it to remain flexible in terms of what type of document it is actually reading. While this is relatively straightforward to implement in a purely virtual context, the product will strive to push the boundary into the physical world. In other words, a future iteration of the product may include some feature that matches characters on a piece of paper to digital characters. These digital characters can then pave the way for Braille generation through our primary device and also enable features like audio output. Given that a working prototype has been built and demoed, this document will consider the market for its fully developed version. To summarize, the Braille-O-Matic can read any digital text on any standard digital media device, such as a personal computer or a tablet, and translate it into Braille at adjustable speed levels. We will walk through different versions and their pricing strategies in the Business Model section.

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+ Product Demo
A proof of concept was developed in April 2013 and demoed in UPenns Introduction to Embedded Systems course (ESE 350) as well as to George Papas, the SEAS Electrical Engineering dean. Below is a blog that follows Braille-O-Matics progress from conceptualization to demo day. The time frame for development was between 3 and 4 weeks. There were proposals and design documents developed prior to the beginning of this time frame. Blog: http://brailleomatic.blogspot.com Here is a systems overview of the device with labels describing the notable components.

Here is a short explanation of what our final demo product consists of. Note that for the purposes of this document, we are assuming that this final demo product has been advanced even further to what was outlined at the end of the Product Introduction section. Final Demo Overview: http://www.youtube.com/watch?v=XGLpsbEda3s&feature=youtu.be Finally, here is a simple conceptual demonstration of how the current iteration works. Demonstration: http://www.youtube.com/watch?v=_ZysfFS6xn4
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+ Market Analysis
The Braille-O-Matic plays in a very niche market consisting of approximately 6,636,900 blind individuals within the United States1. While there are no generally accepted definitions for what is considered visually impaired, blind or low vision, we abide by the definition of the National Federation of the Blind. They encourage persons to consider themselves blind if their sight is bad enough- even with corrective lenses- that they must use alternative methods to engage in any activity that person with normal vision would do using their eyes. However, not all blind individuals read Braille; visual and auditory options are also available. Out of 59,193 blind children, approximately 8.8% or 5,186 of them are Braille readers. A more in-depth breakdown of how these children develop in terms of reading can be found in the figure below.

Of those who are readers, below is a figure reflecting how many of those who truly do not have sight (not simply legally blind which is 20/200 vision) use Braille to read.

https://nfb.org/factsaboutblindnessintheus

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If we assume the 8.8% reflects the total percentage of the blind population that will read Braille and, based on the previous diagram, remain assured that Braille is the preferred option among those with no sight, we can bring our total market size to approximately 584,047 individuals. Given that we will be a startup with capital constraints, it will not be possible to reach all of these people at once; we will start with areas close to our Philadelphia headquarters. We will first softlaunch in Pennsylvania, New Jersey and New York where there are, as of 2011, approximately 259,500, 168,200 and 351,900 blind individuals, respectively. Using our 8.8% statistic along with some 5% market penetration through the aid of non-profits and governmental organizations, we estimate to reach about 1142, 740 and 1548 individuals in each of those states. Assuming we sell only our basic model to these individuals, we would have revenue of just over 2 million dollars. As we continue to develop, we aim to spread this product to the entire domestic market. With the effects of economies of scale, we aim to provide our devices to the much larger global market. According to the World Health Organization, there are approximately 39 blind people in the world; over 90% of these individuals live in developing nations2. The Himalayan Cataract project claims that about 90% of these individuals are not employed, contribute about 0.5% of the GDP3; this implies a low disposable income but, considering the employment opportunities that come with reading ability, also a strong incentive to learn Braille as a step towards their becoming a more productive member of society. Considering the average world Internet penetration of 34.3%4, we may be able to target up to 13.2 million additional people if we can cut our manufacturing costs even more drastically. With the BBC claiming that in large economies, like China, the monthly income is about $200 in USD5, our reach goal would be to have the upper bound price on each basic device set at $75.

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http://www.who.int/mediacentre/factsheets/fs282/en/ http://www.cureblindness.org/world-blindness/ 4 http://www.internetworldstats.com/stats.htm 5 http://www.bbc.co.uk/news/magazine-17512040

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+ Competitors
There are many companies that specialize in providing haptic devices to the blind/visually impaired. On one hand, there are companies whose mission statement involves building devices for the blind to assist them in their day-to-day routine. On the other hand, there are companies that design complementary products or features that help the blind use their original product. A good example of the first type is Freedom Scientific whose mission statement is To develop, manufacture, and market technology-based products that provide equal access to information and computing for those with vision impairments or learning disabilities. A good example of the second type is Apple who outfits its iPad with a VoiceOver application that the blind can use right out of the box. Haptic Device Companies Based on the American Foundation for the Blind, there are at least 27 products in the category of Refreshable Braille Displays (RBD)6. The RBD is used in sync with a computer and it generates Braille characters (by raising and lowering pins) as the user moves his or her cursor around. They typically rest under the keyboard and allow users to switch between the keyboard and the display for editing and viewing purposes. Unlike text-to-speech software it provides instant and customized information depending on how the user drags the cursor; most noticeably, the RFB is quiet. These products sell for between $1,500 and $15,000. Additional features, longer battery life, etc. explain the variance in price. Some competitors include Optelec7, HandyTech8, HumanWare9, Freedom Scientific10, Perkins Products11 and Baum Retec12. These companies are either headquartered in the United States or in Germany. Although there are dozens more companies that are in this category, these are recognized by the American Foundation for the Blind and are decidedly the important players in the space. They are differentiated from each other primarily on the audiences they serve and the features they offer. The bulk of them focus on assisting users in professional settings by having storage capabilities, speech synthesizers and having more characters; the standard amount of characters is 40 although some RBDs have 70 or 80 characters. The following image provides an image of a Refreshable Braille Display13.

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http://www.afb.org/ProdBrowseCatResults.asp?CatID=43 http://www.optelec.com/en_US/about/company-history 8 http://www.handytech.de/info.php 9 http://www.humanware.com/en-usa/home 10 http://freedomscientific.com 11 perkins.org 12 http://www.baum.de/cms/en/ 13 http://www.afb.org/section.aspx?FolderID=2&SectionID=7&DocumentID=3652

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Here, the device is connected to the computer via a USB cable. The Braille cells are displayed on the gray section with small plastic pins that move up and down based on the character being displayed. However, the extremities of the gray section have cells that tell the user when on the screen their cursor is. The blue buttons are meant to replace many of the common keyboard keys such as tab and space. At the present time, there are no rotating braille displays on the market. However, the concept has been patented in 2003 by Askk14 and written about in a paper published by the National Institute of Standards and Technology15. Complementary Haptic Products We do not view companies that supplement their existing products with assistive capabilities to be competitors. Typically, laptops and computers already have assistive capabilities built in (for example, the Mac has magnification features) but it is their lack of fully satisfying standards that opens up the market to RBD manufacturers such as the ones mentioned earlier. In fact, we view companies that provide popular products or services- and dont have sufficient assistive support for the blind- as potential partners. We can provide them value by opening up a new market for them and they can add value for us by improving our market penetration and our ability to scale into larger markets.

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http://www.itl.nist.gov/iad/894.05/docs/roberts_rotating_wheel_braille_display.pdf http://www.itl.nist.gov/iad/894.05/docs/roberts_rotating_wheel_braille_display.pdf

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+ Product Step-Through \ User

We will walk through the steps that a visually handicapped user - lets call him Steve Urkeltakes in using this device. Urkel is in the 4th grade and has just grasped the basics of Braille. He just opened a Twitter account and now, he wants to see what his friends are tweeting at him. Before, he would have his mom read the posts out loud but ever since he got the Braille-O-Matic, he has been itching to see if he can read the posts himself. 1. When Steves mom bought him the Braille-O-Matic, she configured it to connect to Steves Twitter account when the button 1 is pressed, Steves text messages when the button 2 is pressed and custom documents when buttons 3-9 are pressed. 2. Steve places his hand on the device and presses the 1 button. The device, using either WiFi (through a WiFly shield) or an Ethernet connection, connects to the Internet and runs through two rotations of the full-cell; this is the state where all of the Braille dots are raised. This assures Steve that everything is working normally. 3. Now that the device has been given enough time to access the Twitter API, it begins going through the instructions (in Braille) of how Steve can navigate Twitter through this device. Steve presses 1 to skip this set of instructions. 4. Now, the device goes down the list of Twitter users on his Twitter feed and their respective messages. Steve has the option to skip around to whichever part he wishes to read. He can also lower the speed to correspond to his beginner knowledge of Braille. 5. When he is done, he turns the device off, picks his hand up and smiles because he no longer needed his moms help to read his Twitter feed!
Figure 1: An Enlarged, Conceptual Overview of the Device

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+ Value Proposition
Value Proposition to Users The Braille-O-Matic provides value to various types of users. Here, we will systematically identify each anticipated user group and describe how we can provide value to that group. Braille-Reading Users We provide this user group the cheapest refreshable Braille display on the market. Although it is a character-by-character display, it rotates at a quick enough speed to simulate a natural reading motion. Further, we enable these users to read documents, social media feeds and any other sort of digital text providing versatile usage. For individuals that enjoy audio as they read, we have a headphone jack on our more advanced versions that allow word-by-word readings. Low Vision Users As a certain number of Braille users or beginners have a limited amount of sight left, we wanted to make it as easy as possible for them to read from our device. That is why we offer an LED screen on one version that is bright and bold enough to magnify the characters being read from their Braille-O-Matic device. They also have the value-add of audio capabilities. Beginners to Braille Given the low rate (~10%) of Braille usage among those who are blind, this device makes it easy for them to pick up Braille. First off, its slowest mode makes it easy for beginners to get a feel for sentence, word and character structures of any form. Further, with each version we allow for a headphone connection that sounds out each character that is being displayed; this feature, for all versions, is not a substitute for audio reading since the audio comes on a per-letter basis and is meant for education purposes only.

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+ Business Model
Versioning Based on the user groups we anticipate will most heavily use the product, we have created three distinct versions. These versions are priced differently based on the features they provide and how competitors price similar products. Advanced Version In our most advanced version, we will offer the following features to users:

This version is targeted towards blind individuals who may or may not have lost all sight. For that reason, it is targeted to visual, auditory and Braille readers as well as beginners to Braille. Device: The device is 8 inches wide, 5 inches long and 4 inches tall. The manufacturing and assembly cost is about $2 if the materials are bought in bulk16. LED Screen: Unlike the basic version, the advanced version contains a bright, bold LED screen that illustrates each character the device is outputting. This is a perfect supplement for those who have trouble reading the small letters that often appear on computer or tablet screens. The cost of a powerful RGB LED screen is about $6017. Audio Jack: The user has an option to hear every character or word being outputted. This aspect is targeted towards beginners who may still be getting a feel for the language. It is also meant to

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http://www.eplastics.com/Plexiglass_Acrylic_Sheet_Clear https://www.sparkfun.com/products/760

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target those that rely on purely auditory reading; this figure stands at approximately 17.4% for blind readers. This can help the latter group transition seamlessly from the reading style they are accustomed to into the style that is more employable. This cost is negligible. Control Pad: This device is able to connect to or store up to 9 different digital channels or digital documents. The navigation buttons are all demarked in Braille text so as to provide a fully intuitive experience for the user. This keypad and storage space would cost a total of $126. Braille Cell(s): There are a total of 8 rotating cells in this device. We estimate the cost per cell to be $2418. Speed: The speed is adjustable from 0 cycles per minute to 150 cycles per minute at increments of 15 cycles per minute. The max speed is representative of the pace at which speed-readers read Braille (200 words per minute). We estimate the cost of a capable motor to be $8719. Battery Life: There will be a power adapter included at purchase. Users will have the option to buy a rechargeable lithium ion battery with a use time of approximately 4 hours for an additional $150. The estimated cost of providing power is then $1320. Based on the price of the individual components, the total manufacturing price is about $480. With a margin of about 108% we would plan to retail this for $999. This makes it more than 2 times cheaper than the average retail price of similar read-only, refreshable Braille products. Basic Version

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https://www.sparkfun.com/products/11015 http://www.amazon.com/Ramsey-Winch-Motor-Bi-DirectionalMBJ4407/dp/B003PL9IUO/ref=sr_1_13?ie=UTF8&qid=1367552468&sr=8-13&keywords=dc+motor 20 http://www.amazon.com/Power-Supply-2-5mm-Regulated-Adapter/dp/B006XIVN72

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The basic version is targeted towards auditory and Braille readers. It does not contain the LED matrix meant to help visual learners transition into Braille. Finally, it has less storage space to store digital documents and channels. That said, the user is allowed to call into our customer service line and request one or more control pad buttons to change functions (Facebook to Twitter, for example). Device: The device is 8 inches wide, 5 inches long and 4 inches tall. The manufacturing and assembly cost is about $2 if the materials are bought in bulk21. LED Screen: Not applicable in the basic version. Audio Jack: The user has an option to hear every character or word being outputted. This aspect is targeted towards beginners who may still be getting a feel for the language. It is also meant to target those that rely on purely auditory reading; this figure stands at approximately 17.4% for blind readers. This can help the latter group transition seamlessly from the reading style they are accustomed to into the style that is more employable. This cost is negligible. Control Pad: This device is able to connect to or store up to 4 different digital channels or digital documents. The navigation buttons are all demarked in Braille text so as to provide a fully intuitive experience for the user. This keypad and storage space would cost a total of $63. Braille Cell(s): There are a total of 6 rotating cells in this device. We estimate the cost per cell to be $2422. Speed: The speed is adjustable from 0 cycles per minute to 150 cycles per minute at increments of 15 cycles per minute. The max speed is representative of the pace at which speed-readers read Braille (200 words per minute). We estimate the cost of a capable motor to be $8723. Battery Life: There will be a power adapter included at purchase. Users will have the option to buy a rechargeable lithium ion battery with a use time of approximately 4 hours for an additional $150. The estimated cost of providing power is then $1324. Based on the price of the individual components, the total manufacturing price is about $307. With a margin of about 95% we would plan to retail this for $599. This makes it the absolute cheapest Braille reader on the market with our advanced version as the runner up.

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http://www.eplastics.com/Plexiglass_Acrylic_Sheet_Clear https://www.sparkfun.com/products/11015 23 http://www.amazon.com/Ramsey-Winch-Motor-Bi-DirectionalMBJ4407/dp/B003PL9IUO/ref=sr_1_13?ie=UTF8&qid=1367552468&sr=8-13&keywords=dc+motor 24 http://www.amazon.com/Power-Supply-2-5mm-Regulated-Adapter/dp/B006XIVN72

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+ Risks & Uncertainties

As our product is a new market entrant, we will be exposed to virtually every uncertainty in the marketplace. Therefore, we will systematically analyze how we can respond optimally. Readability For our product, readability is the biggest influencing factor. Simply put, if a user has doubts about his or her ability to read the characters that are generated, then the device provides them no value. This, in turn, inflicts severe damage to our brand. We will continually work with different sets of Braille-reading individuals to ensure that different groups of people can read our devices output. This will help us guarantee readability and also give us insight into how, from a mechanical perspective, we can redesign the system to better match users reading styles. In our initial testing, one suggestion we have built into our system is multi-speed capabilities to match users normal reading speeds. Read Only vs. Read & Write As described, the current iteration of the product is read only. Unfortunately, this does not match the needs of many individuals who would like to both read and write. This poses an uncertainty as to whether the market actually demands such a product. From our study of competitors, we have found that many products, such as the ALVA 544 Satellite Traveller25 and Easy Braille26, offer read-only products for a minimum retail price of about $5000. This implies that there is a market for read-only devices. From a business as well as social impact perspective, the BrailleO-Matic will be able to provide that market with similar value at a ten times cheaper rate. Decline of Braille Usage A major risk in our market is the decline of the Braille language itself. A statistic in 201027 claims that 10% of those who are blind can read Braille. This is down from a rate of about 50% in the 1980s28. At the same time, over 80% of the blind that are employed can read Braille. This tells us that while not every blind individual does read Braille, there is significantly more job opportunities available to those that are able to read and write. Therefore, while there may be an overall decline in Braille usage, its importance still reigns steady. Even with alternative options such as text-to-audio available, the customized reading patterns that Braille offers (one can choose their speed of reading- this option is not easily done with text-to-audio software) is superior. Initial Implementation A natural question to ask given the features of this device is- well, how will the blind actually get it set up? Many of the use cases we described, such as reading messages or social media feeds, are self-contained in the sense that the user never has to locate or navigate to anything

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HTTP://WWW.AFB.ORG/PRODPROFILE.ASP?PRODID=270&SOURCEID=43 http://www.afb.org/prodProfile.asp?ProdID=1215&SourceID=43 27 http://newsok.com/decline-in-braille-use-threatens-literacy/article/3430908 28 https://nfb.org/images/nfb/publications/bm/bm06/bm0609/bm060905.htm

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outside of the device itself to get any feature to work. For instance, if the user presses 3, the device automatically connects to Facebook and begins reading off the newsfeed. These types of features do not have dependencies on any external physical feature and, as a result, it will be independently controllable by the user. However, for the initial setup as well as for any username/password changes, it is necessary for the user to input their information when the device is plugged into a device such as a laptop or a tablet. Since the current iteration of the device is read only, it is necessary for the user to have someone they trust input their information. Alternatively, it will be possible for them to call into our customer service line to have us input the persons account information; this will presumably only be an option until a write-enable feature is added onto the device. However, for the time being, it will be necessary for the user to use one of the two aforementioned routes to initially set up their Braille-O-Matic device. The Internet connectivity will have to done with either Ethernet or WiFi. This can be set up by plugging the device into a router and declaring it a trusted device. This is only applicable when the device wants to access social media feeds and other online digital channels; stored digital documents can be accessed even without Internet connectivity.

Complying with Standards Fortunately, the Braille Authority of North America has set out domestic standards for Braille. Since our primary audience is located in the United States, we simply have to incorporate their Braille-cell requirements into our character displays. The risk comes from the fact that if distance requirements were changed, we would not be able to cheaply administer a recall or adjustment. However, we do not perceive this particular risk to be too significant since standards, by definition, should not change frequently. Also, the risk of a new standard wouldnt necessarily be a big threat since the new standard, in it of itself, does not diminish users ability to read Braille itself. In response, we would likely soft launch a new version with the updated standard for new users hoping to remain current with the Braille standard trend. A greater risk will emerge from this topic if we decide to target Braille-readers in different countries where the Braille standards and letters are different. In 1878, the International Congress on Work for the Blind proposed an international standard where scripts would be based on phonetics instead of on a specific languages syntax. This is now standard practice in languages in India, Africa, Russia and a few other countries. Prior to launching in these areas, it will be necessary to update our API to include the alphabet and standard Braille libraries of our target location. Dependent APIs Since a few components of our device rely on the APIs of social networking sites like Twitter and Facebook, we will need to ensure that each of our devices will be able to connect successfully to these. Realistically, their APIs develop as the company develops and if a particular class or function of an API becomes invalid, our inbuilt software may end up pulling no data, which provides no value for the user. Fortunately, this is a software issue and we can introduce patches to correct for this. This patch will be hosted through our website and can automatically update and recompile the software inside of our device. This can be done when the
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device is connected to the Internet and when the user presses a designated button on the device that is specifically for software updates. Price Our costs are summarized in the Business Model section. Since we recognize performance as a source of uncertainty, our immediate priority is to optimize motor speed, character output speed, motor cost and the cost of generating additional characters per cycle. Based on experimental data with varying levels of each of the four variables, we will address the performance vs. cost issue by utilizing a design that satisfies each users demands at a reasonable price point. The issues of cost will be addressed in our versioning strategy where we have users assign themselves to a different product and price depending on the performance level they desire and the price they are willing to pay. Lastly, our market research suggests that consumers are already willing to pay between $1,500 and $10,000 for similar reading tools. Considering that the ability to read is essential for their career, these reading devices are almost a necessity for our target users. Given that we are currently producing a read-only device, a minimum and maximum price point of $599 and $999, respectively, is very reasonable. Multiple Users We are able to support up to 2 users per basic device and 4 for the advanced devices. There are different storage constraints on each device; the basic device boasts 512KB while the advanced one stores 1 MB. Portability Given that our device draws a significant amount of current (~1 Amp) and requires 10 volts, we need a powerful battery with a long life span. We address the issue of portability by having all of our options outfitted with a wall adapter and then an separately purchased battery pack that enabled portability. This wall adapter is significantly cheaper than batteries and so, it fits the needs of users that dont require the Braille-O-Matic on the go. That said, there is a significant population that would benefit from being able to take advantage of their device far from a wall outlet; an airplane would be a good example. The portability issue would be addressed by providing a rechargeable, in-built battery pack. Maintenance While we guarantee that our initial shipment of the product will be fully functional, we cannot control for damage that may occur to the device as a function of time. For this, we can offer a 1year warranty that covers the immediate replacement of any Braille-O-Matic product due to malfunction of any internal component (such as a wireless chip not working). The product-specific software updates will be covered, free of charge, to ensure that Internet capability (and thus, the access to social media feeds) is not compromised.

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