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While activity sensors in bracelet format abound, Tom Hale, the new CEO of Oura talks about the future of the connected ring and the company’s orientations in Tech Crunch. Newspaper.
In an interview published by Tech Crunch, the new director of Oura, Tom Hale, talks about connected rings, an alternative to watches and activity sensors. It is also an opportunity to take stock of the choices made by society and its future.
During the interview, the general manager of Oura revealed a strange detail. Indeed, in addition to a connected ring (which is not surprising), he wore an Apple Watch on his wrist. An unexpected combination which now seems almost natural to the leader and which is confirmed by the fact that 30% of users would be in the same case according to Oura.
This contrast marks the difference between the expectations of the team that designs the product and the way the public takes it. Oura was intended to be an alternative to fitness equipment in a less bulky version, it turns out that for many it complements a connected watch.
Discreet but impressive growth
When we talk about activity trackers, it’s hard not to think of the well-stocked market for devices that are worn on the wrist. Nevertheless, despite much lower visibility, Oura managed to make a name for herself and announced last month that she had sold her millionth ring.
A success that the company owes to its former boss, Harpreet Singh Rai, a true follower of the product who arrived at the head of the company in 2018 and who announced his departure after three years of activity, but also to various studies on health and partnerships with the NBA and NASCAR.
Software at the heart of the future
The new general manager, Tom Hale, brings with him his experience in the software aspect, having had many roles within companies such as Adobe, HomeAway, Momentive AI or Linden Labs (producer of Second Life), in a context where the company is increasingly interested in data collection.
During the interview, he highlights the importance of continuous data to extend the impact of wearables beyond sleep analysis, an aspect on which the French competition focuses with the Circular ring, designed to replace the bulkier bracelets.
According to Hale, hardware is the catalyst for software to become the key to tracking users’ health. His project for the company is to allow people to better control the data collected by discreet devices in order to personalize their health journey. This mission cannot be accomplished without data science and a minimum investment in the field.
Hardware-as-a-service
This need for data processing led the company to make a choice that put a brake on growth. Indeed, the company promised more in-depth information through its app, but moved some available data to a monthly subscription.
If the idea is to offer a complete software service, Hale admits that the company made a miscalculation by placing in a subscription information that users thought they could obtain directly by paying for a device at full price (around $300). To compensate for this, the boss says that it will certainly provide services that were planned for the next generation of device.
For this third generation precisely, the company is considering a HaaS model, thus offering the device at a reduced cost in combination with a monthly subscription. The physical accessory would therefore be an element carrying a health offer rather than the product itself.
To close the chapter on the company’s future, Hale also touched on a potential IPO, however, clarifying that they are not building “this company to go public, we are building this company to impact the world of health and put preventive medicine in the hands of the people who can improve their lives through it”. The operation is therefore not planned for the near future.