BusinessMedical Devices

Device Companies Renew Interest in Startups

1 Mins read
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: __________________________________ Large Medical Device Companies Show interest in Startups… 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.

183 posts

About author
I serve the interests of medical technology company decision-makers, venture-capitalists, and others with interests in medtech producing worldwide analyses of medical technology markets for my audience of mostly medical technology companies (but also rapidly growing audience of biotech, VC, and other healthcare decision-makers). I have a small staff and go to my industry insiders (or find new ones as needed) to produce detailed, reality-grounded analyses of current and potential markets and opportunities. I am principally interested in those core clinical applications served by medical devices, which are expanding to include biomaterials, drug-device hybrids and other non-device technologies either competing head-on with devices or being integrated with devices in product development. The effort and pain of making every analysis global in scope is rewarded by my audience's loyalty, since in the vast majority of cases they too have global scope in their businesses. Specialties: Business analysis through syndicated reports, and select custom engagements, on medical technology applications and markets in general/abdominal/thoracic surgery, interventional cardiology, cardiothoracic surgery, patient monitoring/management, wound management, cell therapy, tissue engineering, gene therapy, nanotechnology, and others.
Related posts

Extremely Important Organization Tips for Psychotherapists

3 Mins read
An organized office leads to more productivity and brings about a feeling of security and control that’s quite comforting for everyone connected…

Essential Guidelines for Maximizing Medical Practice Revenue as Competition Swells

3 Mins read
Running a medical practice has presented a number of new challenges over the last year. There were some practices that were deemed…
BusinessHospital Administration

11 Crucial Hospital Management Tips

3 Mins read
Proper management is the primary key to success in any organization, and the same applies to the hospital management systems. The following…