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Business Models for Emerging Technologies: The Case of Affective Computing

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Authors: Olga Ignatyeva, Dmitry Sokolov, Olga Lukashenko, Aleksandra Shalakitskaia, Sebastian Denef, Tatjana Samsonowa

In: 8th International Conference on Affective Computing and Intelligent Interaction Workshops and Demos (ACIIW)

This paper explores the key features of disruptive business models in the affective computing industry, where particular business benefit and technological value are yet to be discovered. We designed the business model canvas for emotion recognition (ER) solutions based on analysis of 80 companies from secondary sources, as well as six case studies that we conducted ourselves. Based on these insights, our research highlights the elements in each block of the business model canvas that are typical for emerging technologies, namely not fully understood value proposition, B2B customer segment, free demos and trials in customer relationship, SaaS and technology licensing in revenue streams, investors and academia as key partners and R&D as key activity. We designed the canvas as a tool useful for anybody creating or analyzing ventures in emerging tech industries and, in particular, ER solutions. Our study contributes to the existing literature on disruptive business models for technological innovations by consolidating existing practices of ER sector and emphasizing on important patterns for emerging tech industries in general.