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Re: May 9 - DAY 4: Medical Device Communications, Part 2
Digital_Angel_316@yahoo.com   5/8/2013 7:20:35 PM

The U.S. Medical Device Industry in 2012: (continued)



The U.S. medical device industry faces the confluence of many internal challenges. Four significant weaknesses of this ecosystem are: a growing talent and development gap, a slow and cumbersome regulatory system, an excise tax on medical devices, and a lack of a permanent R&D tax credit.


Foreign outsourcing of manufacturing, R&D, and other operations, combined with industry consolidation, is forecast to decrease the number of industry operators during the next five years. Small companies are common and typically specialize in developing niche technology, while larger players frequently seek to acquire these firms to expand their product range or gain access to a particular technology. However, during the past five years, consolidation has swept the industry, with the number of companies decreasing at an average annual rate of 5.5% to total 828.


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