Age Tech broadly refers to technology-related products and services targeting the senior population (usually defined as aged over 65). In 2022, seniors were estimated to represent a total purchasing power of USD 3.2 trillion in the US. Age Tech covers the technology solutions to enhance seniors’ quality of life and enable independent living or aging at home. These products and services range from advanced wheelchairs, smart hearing aids, and customized communication devices/platforms to virtual reality (VR)-based monitoring, end of life planning, and platforms for social interaction.
The age tech market primarily includes products that enable seniors to age-in-place. This includes five broad segments: 1) products and services promoting Independence, 2) healthcare and wellness related products, 3) caregiver platforms, 4) social and communication platforms, and 5) end-of-life planning.
In addition to the five segments above, the industry also includes products for caregivers and medical professionals. Notably, among the disruptors and watchlist companies, most of the companies catered to the independence and caregiver and healthcare provider technology platforms segments. Around half of the companies identified were in the early stage.
Incumbents in the healthcare and wellness related products segments mainly comprise of legacy players in home care or emergency response systems extending their product range to smart wearables, which are often developed in-house. Insurance providers such as Generali Global Assistance and Allianz have entered the space offering bundled senior care products to policyholders.
Acquisitions are common in the caregiver platform segment. Brighter, a Swedish health-tech company delivering smart care solutions for chronic diseases expanded into senior care with its acquisition of Nectarine Health for EUR 1.5 million (approximately USD 1.8 million) in January 2020.
US electronic retail giant Best Buy, has been aggressively expanding its solutions in the space primarily through acquisitions. Amazon has entered the space by leveraging its voice-based assisted living technology, Amazon Alexa.