1. Does it work?
2. Is it protectable and what is the IP ownership
3. Is there a demonstrated predecessor need?
4. Is it sufficiently better than alternatives? (what I termed "twice as good at half the price")
5. Will it be used?
6. Are there potentially better future competitive alternatives?
1. Yes.
2. There are several kinds of business advantage: one of these is being first to market (arguable benefits), another is incumbency (you have to remove whoever is there), another is IP protection (valuable if defensible), another is critical mass (eg you accrue the benefits of scale economies), another is strategic leverage (eg Microsoft's advantage in owning the OS), another is product leadership (ie remaining ahead of the competition in a competitive market), another is contractual advantage (partners are committed to your program under contract), another is financial strength (ie you can engage more effectively in price competition). You narrow the discussion by focusing so narrowly. You might ask, what are Wave's putative advantages. There are several, which others will doubtless enumerate.
3. Looking at various markets, probably. But it isn't obvious to a casual observer. Would you observe the need for house keys if you lived in a land without doors?
4. What alternatives? In the solutions market for "trustworthy" products, there are few if any identifiable competitors.
5. Will it be used? The market study Wave paid for (quibbles about independence) by an apparently objective and reputable third party (quibbles partially answered) gave results similar to those for the introduction of airbags. We all use airbags.
6. Yes. I haven't thunk of 'em yet, but I mean to. I'll be ready in 2011. Or put another way, it's not so much whether as when.
