Over-the-counter sales may usher in a boom time for A.I.-based hearing aids
Hello, and welcome to October’s special monthly edition of Eye on A.I. Kevin Kelleher here filling in for Jeremy.
The Food and Drug Administration’s move this month to make hearing aids available over the counter could help generate a boom in demand for a new breed of A.I.-powered hearing aids among the nearly 30 million Americans who struggle with hearing loss, executives at companies that make the devices told me.
In July, President Biden signed an executive order calling on the FDA to make hearing aids more easily available in stores. Last week, Walgreens, CVS, and Walmart began selling them directly to consumers. Previously, buying a hearing aid typically required a medical exam, a prescription, and other specialty evaluations. Audiologists or other service professionals would set the price of hearing aids, which could range between $90 and $7,000, according to the National Council on Aging.
The FDA estimates that about one in five people with mild to moderate hearing loss use hearing aids, partly because Medicare doesn’t pay for hearing aids, only diagnostic tests. Some patients also balked at the price of the devices or the involved process of getting fitted for one. The White House estimates that the average costs of hearing aids will fall by as much as $3,000, opening up the market to more consumers.
“The change by the FDA is one of the biggest changes in the medical-device industries in a generation,” says Andrew Song, founder and CEO of Whisper, a San Francisco-based maker of A.I.-based hearing aids. “It allows companies to develop more innovative products and it places more decision-making power in the hands of patients because hearing isn’t a one-size-fits-all thing.”
Song says Whisper’s hearing aids deploy A.I. in a sound-separation engine that processes all detected sounds to filter out background noise in public places like restaurants and open offices. It operates like self-driving cars using computer vision to see the world and navigate roadways. “We use A.I. in a similar way, but for the sense of hearing,” he says. “It’s kind of like computer listening.”
Whisper and other companies use deep-learning models that are trained on tens of thousands of hours of audio data in different environments and can be tailored to each patient’s individual preferences. Older hearing aids used directional microphones that needed to be manually turned on to emphasize nearby speakers and turned off to give the user an audio awareness of their spatial surroundings.
“The newer devices automatically detect when you’re in a quiet or noisy or musical or windy environment,” says Dave Fabry, chief innovation officer at Starkey, one of the largest hearing-aid makers. “Only then do they enable features like directionality, noise management, wind noise reduction, and feedback cancellation as appropriate.”
A.I. can also introduce other features into hearing aids that have traditionally not been available. Some of Starkey’s hearing aids have embedded sensors that can detect falls and notify trusted contacts via text (those with hearing loss are three times more likely at risk of falling, Fabry says.) The sensors can also monitor physical activity, counting daily steps to help address common co-morbidities of hearing loss such as heart disease.
Hearing aids can also have a Siri- or Alexa-like virtual assistant built in that can answer questions about the weather or offer reminders for everything from birthdays to when to take medications. “In the U.S., the adherence to chronic medication prescriptions is very low, less than 50%,” Fabry says. “Because people often forget when to take their pills”
Song and Fabry both believe that many hearing-loss patients will continue to seek out audiologists and other professionals for a fitting and ongoing maintenance. Over-the-counter options may appeal to those willing to do an online hearing test and do routine maintenance themselves—especially more tech-savvy users under age 60 who make up about a third of hearing-loss patients.
“Most people who have hearing loss just say it’s not that bad, that it just comes with aging, but really what they’re saying is that there is stigma associated with it,” Fabry says. “Some people are reluctant to go into clinical or medical facilities. And so any new channel like over the counter that creates more paths for people to procure hearing aids is a good thing.”
Fabry and Song expect the greater availability of hearing aids will not only lower some costs, but will also spur competition, which gives A.I.-based hearing aids a strong edge.
“Developing new products can take months, if not years, but I’m excited about what’s coming in the next 12, 18, 24 months,” says Song. “The real promise of A.I. is that it can enable what I think of as superhuman hearing for everyone. We’re not there today, but it seems more attainable than ever to prove that A.I. can help augment the very powerful engine that is the human brain.”
Thanks for reading.
The list of confirmed speakers for Fortune’s second annual Brainstorm A.I. conference keeps growing. Among the recently added speakers are Apple’s Yael Garten, Microsoft CTO Kevin Scott, and DeepMind’s Colin Murdoch. They’re part of an impressive line-up of A.I. luminaries participating in the event on Dec. 5th and 6th in San Francisco. Apply to attend today!
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