Is academia right approach in order to implement an idea presented in my MSc Thesis?
I think the very first thing you have to do is outline what time, skills, personnel and money is necessary to realize your idea. What is the technology readiness level you have achieved so far? At which point would you need industry help to develop the product? High-technology product development can easily take 5-10 years from lab idea to a certified product. A university/PhD is not a money source for a undefined part of a bigger project in its self-understanding.

For a PhD you have to publish and technical optimizations are not the scope of most journals. Could you publish single development steps? This is something you have to ask and plan with a possible supervisor.

Sometimes this is a good idea, especially as there are many funding sources for academia to develop and realize ideas together with industry and industry often has not the time/skills to write proposals. But also then, the PhD students often have to submit a project plan of their future PhD work, they get paid for working on working packages of the industry project and have to find and outline work separated (best case related to reduce work load) from these working packages to write a PhD thesis with scientific results rather than technical optimizations.

I just got funded such a project based on results of my master and PhD work and a following idea, identified possible university and industry partners, wrote proposal etc, got funded (overall 6-12 months minimum till money is available/project start)