Medical Device Software
The five global medical device companies that are profiting from a companion software to their hardware products are Medtronic, Fresenius, Philips Healthcare, GE Healthcare, and Siemens Healthineers. According to the ProClinical Global market report on "The top 10 medical device companies (2018)", "there is a high level of technological advancement over recent years, sub-sectors such as health technology — where medical devices meet innovative software technology — have grown exponentially. The companies listed under "The top 10 medical device companies (2018)" based on their annual revenues and have made companion software to their hardware products are listed below.
- Medtronic is in the top medical device companies list of the world for 2018 and has an annual revenue of $30 billion in 2017.
- The company offers a variety of products and services including additional core technologies, implantable mechanical devices, drug, and biologic delivery devices, and powered and advanced energy surgical instruments that are based on the stronger collaboration between med technology companies, payers, and clinicians.
- Medtronic has conducted a software companion share with IBM Watson Health to develop the Sugar IQTM smart assistant that works with the Medtronic continuous glucose monitors to reveal gainful insights related to someone with diabetes gains.
- The Sugar IQTM smart assistant for treating diabetes comes under the diabetes group business of the company and generated $2.1 billion in their overall revenue of ($30b).
- Fresenius is in the top medical device companies list of the world for 2018 and had annual revenue of $20.7 billion in 2017.
- Fresenius offers high-quality medical devices and services for dialysis, hospitals, and outpatient treatment through its Medical Care and Fresenius Kabi segments for treating people with chronic kidney failure.
- The company carries a wide range of products and services related to dialysis, apheresis, infusion therapy, clinical nutrition, transfusion technology, and others.
- Fresenius dialysis machines (Hemodialysis) is a computer-controlled dialysis machine and is the most crucial medical device that is used for the treatment of chronic renal patients and accounts for about 88% of all dialysis therapies. "The system has a number of automatic monitoring and control functions that ensure a safe and efficient dialysis treatment for patients".
- Fresenius dialysis machines are a part of the Medical Care segment of the company. Fresenius Medical Care Dialysis Services comprised of +5% of revenues in the year 2017 of the overall group revenue and $16,739 sales (2017).
- Philips Healthcare is in the top medical device companies list of the world for 2018 and has an annual revenue of $20.7 billion in 2017. Philips Healthcare is a medical technology company and is a subsidiary of the multinational technology conglomerate Philips.
- The company offers varied medical products and services in the range of critical care, respiratory care, palliative care including patient monitoring solutions, radiography, MRI systems and solutions, computed tomography, among others.
- In the anesthesia clinical specialty products and services of Philips Healthcare, the company in collaboration with Accenture Technology Labs, provided a comprehensive anesthesia solution by experimenting with Google Glass in the OR, which by connecting to the medical device IntelliVue monitoring system provides real-time vital signs. The user could view patient demographics, radiology images, lab results, and more.
- Anesthesia Specialty Clinical Specialties forms part of Diagnosis & Treatment businesses of the Philips Healthcare which generated sales of $6.891 billion in 2017 of the total annual sales of $17.8 billion.
- GE Healthcare is in the top medical device companies list of the world for 2018 and had annual revenue of $19.1 billion in 2017. The company witnessed increased sales in the year from its Health Care Systems and imaging products, particularly mammography and CTs (computerized tomography).
- GE Healthcare offers a wide range of medical technologies, digital infrastructure, data analytics, and decision support tools from its businesses of Imaging, ultrasound, life care solutions, and enterprise software and Solutions.
- In the Medical Imaging & Technology solution offered through Computed Tomography, the company uses CT scanner connected with Smart Dose Technologies with is a suite of intelligent CT tools designed to help millions of patients and achieve better patient care, improved efficiency, and expanded applications.
- The Imaging products particularly CTs (computerized tomography) largely added to the 2017 revenue growth rate of the company. GE Healthcare revenue grew by 5% based on the increasing use of diagnostics and monitoring inpatient care continue to fuel demand for healthcare systems.
- Currently, more than four million imaging, mobile diagnostic, and monitoring units have been installed globally.
- Siemens Healthineers is in the top medical device companies list of the world for 2018 and had annual revenue of $16.5 billion in 2017. The company develops medical devices and technology for a wide range of therapy areas, with a particular focus on medical imaging and diagnostics.
- Siemens Healthineers is a leading medical technology company which has benefited around five million patients globally through its wide range of innovative technologies products and services in the areas of diagnostic and therapeutic imaging, laboratory diagnostics and molecular medicine, as well as digital health and enterprise services.
- In the Imaging IT solutions, the company provides customized and scalable solutions, from practices to clinics to hospital chains through remote scanning assistance connected to Syngo Virtual Cockpit, which further helps in achieving a higher level of standardization that leads to more accurate diagnoses.
- In 2017, the revenue growth in the Siemens Healthineers business (2%) was mostly driven by the growth in sales of the company’s diagnostic imagining business. The Imaging IT Solutions, which is a part of Imaging business of the company, contributed $8.2 billion in revenue out of the total revenue of $13.4 billion in 2018.
As the request was very particular and required comprehensive information on the 5 (based on time available for the job) global medical device companies which should offer variety of products/services in their medical devices portfolio in varied segments and have been generating significant revenue from their companion software, we firstly initiated our research by identifying the top players in the medical device industry through credible market reports and other related sources such as ProClinical, MPO Magazine, and Verdict Medical Devices.
Through the research, the recent report from ProClinical listed the "Top medical device companies (2018)" based on their revenues and mentioned that these key players are leveraging the high level of technological advancement, where medical devices meet innovative software technology and have gained exponential growth. Further, through individually researching each of the companies listed in the report, we identified the above listed five medical device companies. These companies have been included based on the following inclusion criteria:
- The company is in to medical device and holds a diverse portfolio and offers a variety range of products / services.
- The company should share a reference of their companion software used with their hardware products.
- The companion software or the business/segment which constitutes this technology product/service should be contributing a marginal revenue share in the total revenue of the company
Based on the fulfillment of the above check points, these five medical device companies are included. Through conducting indepth research on each companies official website and searching through the sections related to 'About,' 'products and services,' 'technology,' 'portfolio,' 'annual report,' 'financial statement, and news,' all the required details related to the company overview, products, and offerings, companion software details, along with the aggregate revenues it supports in the total company financials has been provided.