Accenture has acquired Boston-based product design company Altitude to help companies create new business models by harnessing the internet of things (IoT).
Altitude has expertise in harnessing consumer insight and product engineering to help companies develop new physical products and services.
Leveraging consumer insights, Altitude helps companies to determine new opportunities and then to commercialise them. Financial terms of the acquisition have not been disclosed.
The acquisition is part of Accenture’s plans to enhance its Connected Product Lifecycle Services in North America. It plans to setup a Connected Products Studio in Boston.
Accenture expects that this acquisition can create a unique combination of Altitude’s innovation, design and engineering expertise and Accenture’s industry expertise in, consulting, technology and digital capabilities in creating an integrated set of connected-product services.
It can also help Accenture’s clients to take up IoT business models and support plans to create new revenue streams in the connected products and services market.
As claimed by a piece of research by Accenture, only 27% of businesses have a strategy for the IoT with the remaining companies citing a lack of resources needed to direct their business models towards IoT and harness the concept.
Accenture Connected Product Innovation in North America managing director Brian Doyle said: “Disruption introduced by connected products and the IoT is re-writing the old rules of a product-based business model, forcing manufacturers to transform to deliver value-added services and deliver meaningful outcomes for consumers.
“The addition of Altitude strengthens Accenture’s position as a premier innovation partner for companies looking to seize the opportunities in the new connected world.
“Together we will provide the vision and end-to-end capabilities to help clients become disruptors and innovate at the speed of a start-up, but with less risk.”
Altitude founder and chairman Brian Matt said: “Altitude has helped companies invent and change the way they deliver goods and services for the future, such as integrating robots into homes, redefining mobility for aging populations, personalising consumer experiences, and turning an industrial equipment company into a service provider.
“Together with Accenture, we can amplify our impact and help clients realize a new future, one they wouldn’t get to on their own.”
Some of Altitude’s clientele include Anheuser-Busch, DeWalt, ThermoFisher Scientific and Under Armour.