Device Companies Renew Interest in Startups

March 12, 2011
38 Views
At a recent medtech conference, and discussed by WSJ, it was noted that the big device companies (e.g., J&J, Medtronic, Boston Scientific) are looking to startups to help bolster their innovation and product pipelines (see abstract and link below). Maybe it was a slow news day, but this is hardly a recent trend.

At a recent medtech conference, and discussed by WSJ, it was noted that the big device companies (e.g., J&J, Medtronic, Boston Scientific) are looking to startups to help bolster their innovation and product pipelines (see abstract and link below). Maybe it was a slow news day, but this is hardly a recent trend. Yes, the relatively recent drop in VC funding and capital market pinch in general has made startups more amenable to courtship by established med device companies, but the long development process for devices, including the sluggish FDA approval process, even under 510(k), has long driven the big medtech players to look toward independent entrepreneurs for sources of innovation that have already proven themselves in proof of concept, preclinicals or more. Moreover, the big guys have also for some time been a bit more aggressive in their interests, as evidenced by their willingness to pursue startups at earlier and earlier stages (note, this means they are LESS interested in those companies who have done five, six or more dog-and-pony shows of “emerging” medical technologies or IN3-like yawn-fests). The J&Js and Medtronics of the world have become adroit at recognizing the value of innovations at very early stages — including for companies only a few months old. The medtech market really is that competitive, and to think otherwise is to miss out badly on highly promising innovations.

(See also the Medtech Startups Database: http://mediligence.com/startups-db.htm.)
__________________________________

Large Medical Device Companies Show interest in Startups

http://www.topix.net/business/medical-equipment/2011/03/large-medical-device-…

According to the Wall Street Journal, start-up companies building new devices for doctors face trouble at both ends of the spectrum these days, with a dearth of early-stage funding on one end and a practically non-existent IPO market on the other.

Posted via email from medmarket’s posterous

    

You may be interested

What to Look for in Patient Solutions Software
eHealth
365 views
eHealth
365 views

What to Look for in Patient Solutions Software

Robert Cordray - August 17, 2017

The medical sector is one area where technology has had a significant impact, largely by providing tools that simplify many…

Can Natural Remedies Like RediCalm Decrease Stress and Anxiety?
Wellness
2 views
Wellness
2 views

Can Natural Remedies Like RediCalm Decrease Stress and Anxiety?

Ryan Kh - August 16, 2017

According to research from the National Institute of Mental Health, anxiety disorders are the most common mental illness in the…

How to Alleviate Stress Related Insomnia
Specialties
400 views
Specialties
400 views

How to Alleviate Stress Related Insomnia

JohnHenning - August 15, 2017

Do you have difficulty falling asleep or staying asleep every night? You aren't alone. According to multiple studies, including one…