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Friday, November 28, 2008
MobiWatch to launch handheld emergency alert device
By Efrain Viscarolasaga
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A Waltham startup has taken OnStar out of the car and LifeAlert out of the home to create a keychain device that connects to your cell phone for times when you need to call for help quickly.
The device targets the need for immediate emergency response when a person is away from the home or car, as well as the need for the peace of mind that comes with simply having the capability to push a button and receive help at a moment’s notice. The maker, MobiWatch Inc., designed it to include a two-way communication device, so users can talk with an operator.
“During our research, we found that a lot of women called their husbands or friends when they were in situations where they felt unsafe. But, while that may make them feel a bit safer, it isn’t very effective if something bad does happen,” said MobiWatch co-founder Stephen Pearse, who is a general partner at the local angel investor group CommonAngels and a former executive at Bay Networks Inc.
MobiWatch spent two years engineering the Bluetooth connections and arranging partnerships with Sprint Nextel Corp. for the connectivity, and Cambridge-based emergency response service provider ProEMS Solutions Inc. to support the device. The company is now preparing to bring the product to market, and the device, which has been beta-tested with Sprint, is expected to launch in early 2009. The monthly service fee is expected to be priced between $6 and $10 per month.
The device itself is a keychain fob with a dime-sized button guarded by a plastic slide so it can’t be pressed inadvertently. During a perceived or real emergency, opening the slide and pushing the button initiates a Bluetooth connection to a user’s cell phone, which in turn calls an emergency response call center. An operator can then pinpoint a caller’s location using GPS and cell tower triangulation, and contact the appropriate parties, be they police, ambulance or family members. A subscriber can also pre-register special instructions, such as medical allergies or instructions for specific emergencies.
Market projections for such a product are difficult to pin down, but in 2005, the year before LifeLine Systems Co. of Framingham was acquired by Philips Electronics for $750 million, LifeLine reported $151 million in revenue. And, while General Motors does not separate OnStar revenue from other income, industry insiders speculated in 2006 that the unit was generating $1 billion per year for the automotive giant, according to published reports.
Peace of mind in a purse
The company said women are the main audience based on its own research and field tests on college campuses. MobiWatch found that women have concerns about their personal safety in a number of environments outside of the home or car, including walking to and from a vehicle, while working late, while running or when traveling on business. Forty percent of women, according to MobiWatch’s research, already carry some sort of self-defense implements, including pepper spray or a stun gun, said MobiWatch co-founder Jonathan Sieg, a former executive at wireless technology developer NMS Communications Inc. in Framingham.
Ross Trimby, the COO of the Institute for Pediatric Innovation and the former vice president of sales and marketing for LifeLine Systems, who is familiar with MobiWatch, said there is considerable market potential for a device that brings the LifeLine-type of service to a mobile environment. Specifically, he said, the company’s two biggest markets could be with women in the working sector, as well as the “active elderly” who are frequently outside their homes.
Executives at MobiWatch are in the early stages of raising funding to help support the product’s upcoming rollout. The product will be available on the company’s website, and officials hope to begin solidifying partnerships with university-based women’s groups and other organizations active in women’s safety.
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