From RB - not sure who the people writing this are.
EVENT FLASH
Mobility Trends: Are Xybernaut's Wearable Computing Technologies and Services Finally Gaining Acceptance ?
Richard Dean
I N T H I S E V E N T F L A S H
Wearable computing technologies have long been recognized as a futuristic concept with a somewhat limited
application beyond the retail and transportation industries. However, that belief could be changing, as one
pioneering vendor, Xybernaut, continues to help shape the adoption curve of this emerging marketplace with a
focus on migrating the wearable computing and communications concept from selected applications to more
mainstream acceptance. This IDC Flash discusses the significance of Xybernaut's recent contract with the U.S.
Department of Defense and how the related services opportunity plays a prominent role in annuity revenue
creation.
S I T U A T I O N O V E R V I E W
Originally incorporated in 1990, Fairfax, Virginia-based Xybernaut and its wholly owned subsidiary Xybernaut
Solutions have been engaged in the research, development, manufacture, marketing, and sales of mobile,
wearable computing and communication systems and related software and service solutions. These technologies,
when combined intelligently, are designed to enhance mobile worker productivity and improve product
management, asset management, and the accuracy, timeliness, and utilization of captured data in a variety of
information-driven business processes.
As part of the firm's business development strategy, Xybernaut announced on September 15, 2003, that it had
received an additional $510,000 contract from the U.S. Department of Defense (DOD) for wearable computing
hardware that will be used by the Air Force, Army, and National Guard personnel for maintenance activities. The
new contract is in addition to a previously announced DOD contract for $600,000 in hardware and $1.6 million in
services. Under terms of the agreements, Xybernaut will provide professional services and mobile/wearable
technology solutions, ranging from software integration to systems training and validation.
While still modest in terms of depth, Xybernaut's product support and professional services offerings currently
consist of the following:
! One-year return-to-factory product warranty (Mobile Assistant and the Atigo series of products)
! Toll-free help desk and product technical support (available 9:00 a.m. to 9:00 p.m., Monday through
Friday)
! Mobile Solutions includes a complete range of end-to-end business solutions, readiness assessments,
pilot project services, and implementation and training services.
! Project Management offers software and services that help improve project management processes
and/or provide the tools to support existing processes.
! Asset Management helps accurately track and maintain assets, extending asset lifecycle and ensuring
maximum productivity for workers.
! Software Development provides custom application development for computer systems that require
graphics, data compression, text processing, relational databases, and data acquisition.
F U T U R E O U T L O O K
While the total dollar value of the DOD contracts is significant for a firm of Xybernaut's size (the firm reported
$4.6 million in total revenue through the first two quarters of fiscal year 2003, ending June 30), the true importance
of the announcement is not found in the immediate financial rewards. Rather, this announcement is significant for
its broader acknowledgement of wearable computing technology's more prominent role in the mobile
communications and computing mainstream.
In fact, the concept of wearable computing is beginning to make a global impact. Xybernaut has begun working
collaboratively with China Electronics Corp. (CEC), one of China's most prominent information technology companies,
to introduce wearable computing technologies to the People's Republic of China across all of its various industries. In
IDC's view, as more real-world applications (e.g., public safety, healthcare, etc.) are tested and refined around the
world, the more significant the impact wearable computing technologies will have on enterprise mobility. For services
organizations interested in capturing share in this emerging market, developing a set of solutions based on the art of
business process transformation will be a critical success factor.
Global Headquarters: 5 Speen Street Framingham, MA 01701 USA P.508.872.8200 F.508.935.4015 www.idc.com |
