Medical electrical device industry
Notwithstanding the fact that the effects of ObamaCare on the medical device industry in the United States are yet to be determined, the US remains an attractive market with high potential for growth in the medical electrical device industry. In light of citizens’ increased access to health insurance, this industry is projected to grow at an annual rate of 6.6 percent from 2012 through 2017.
Although the use of medical devices for therapeutic and diagnostic purposes is manifold, the highest grossing categories - including spinal devices, cardiovascular devices, neuromodulation devices and diabetes devices - are likely to remain fixed. The global medical device market was sized at around 250 billion US dollars in 2012, when the sports medicine devices segment contributed about six billion US dollars.
Johnson & Johnson, General Electric, and Medtronic are ranked among the leading US-based companies in the field of medical electrical devices. In the fiscal year of 2013, Minnesota-headquartered Medtronic incurred a staggering 1.6 billion US dollars in research and development costs. In the same year, the medical technology company raked in revenues of just under 16.6 billion US dollars. By 2018, Medtronic’s revenue is projected to grow to around 20 billion US dollars. The company’s market share reached around five percent in 2013.