Periodic Reporting for period 1 - neuronSW (Early detection and prediction of mechanical malfunction of machinery by sound analysis)
Reporting period: 2018-02-01 to 2018-05-31
Neuron Soundware (NeuronSW) is an innovative breakthrough solution combining advanced algorithms, machine learning and big data analysis to emulate the human auditory cortex enabling the early detection and prediction of mechanical malfunction of machinery. Through NeuronSW, manufacturers achieve intelligent audio diagnostics to monitor the key machinery equipment using the sound they generate.
During Phase 1, the Minimum Viable Product (MVP) and product development plan was defined. The MVP has been narrowed down for the first key applications. Project resource and project risks were evaluated and a budget of €1.41 M was estimated.
Contacts were made and negations took place between NSW and key partners 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.
During Phase 1, the target market segment of large companies and more than 5.3 million companies, 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 (€507 M) and providing an attractive ROI of 307 over 5 years. Market barriers were evaluated and a commercialization as well as a communication plan prepared.
During Phase 1, the impact of the new product development and commercialization on the company was better understood and aligned with the overall business and financial strategy. The NSW team is fully committed to develop final solution and the company is financially solid to cover the co-financing part of the Phase 2 project.
Overall, Phase 1 provided time and resources to research the market, and better understand the use cases. Also, dozens of discussions took place with potential stakeholders, based on which NSW was able to better define the objectives and the next steps. In summary, Phase 1 convinced the management of NSW to further pursue the idea and to prepare next steps towards the product development, to be conducted also with the help of Phase 2 of the Horizon 2020 grant scheme.