During Phase 1, in collaboration with sensor technology providers, the Minimum Viable Product (MVP) and product development plan have been defined. The MVP has been narrowed down for the first 6 key applications, i.e. small industrial assets (generators, pumps, compressors, conveyors, heat exchangers and fans). Project resource and project risks were evaluated and a budget was estimated. Contacts were made and negations took place between Cassantec and key partners (Sensosurf, First Sensor, Factor-E Analytics and Siemens) in regards to the product development phase, but also for the commercialization phase. During the product development, the focus area will also be IP Management, to secure the future commercial benefits. Pilot users for the validation during product development were secured by own means and via the BVMW. During Phase 1, the target market of 5.33 million SMEs, active in Manufacturing, Construction and Transportation was assessed. In our initial assessment, this target market will give substantial market opportunity for the commercialization steps after Phase 2, thus generating significant profit (€9.7 M) and providing an attractive ROI of 5 over 5 years. Market barriers were evaluated and a commercialization as well as a communication plan prepared. First commercial interest by customers such as BRÜGGEN Fahrzeugwerk & Service GmbH and IFA Rotorion were secured.