Recently MD+DI published an article, “The U.S. Medical Device Industry in 2012: Challenges at Home and Abroad.” The article speaks to the Industry being a source of jobs, innovation and revenue for Americans. In addition, U.S. has been the longtime world leader for the medical device industry.
However, there is a looming fear that the U.S. will lose its place on the leaderboard. What threatens this prized position? The article elaborates to the weaknesses of medtech industry in 2012, as well as aspects that threaten the US leadership, including:
- Threats (Globalization challenges, Reimbursement difficulties, Attracting Venture Capital)
- Weaknesses (Talent, Regulatory Environment, Medical Device Tax, Lack of Permanent R&D Tax Credit)
It’s not all doom and gloom. There were many strengths and opportunities also outlined in the article.
- Opportunities (Growing and Aging Population, Emerging Markets, Scientific Progress)
- Strengths (Market Size, Regulatory Standards, Rising Consumerism Empowers Patients, Abundance of Capital)
Perhaps the most interesting part of the article is in the concluding remarks by the author, Yair Holtzman, who states, “The U.S. medical device industry—known for producing life-saving innovations and creating millions of jobs across the country—is facing unprecedented challenges that could prove catastrophic not only to the industry itself and to the livelihoods of its employees, but to the health of the patients who benefit every day from its technologies.” The suggestions to change the current course of the country:
- Repeal the medical devices tax
- Reform the FDA approval process
- Work out a tax policy that acts as a stimulator of discovery
Check out the article for a more in-depth look into each analysis and let us know your thoughts. Do you disagree with any points raised? What do you think will help get the US back on track? Let us know.
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