Moderate Growth Expected for Global Medical Device Market

While the global market for medical devices reached an estimated USD 361 billion in 2014, the average growth was only 3%. These are the latest findings of Kalorama Information (New York, NY, USA), an independent medical market research firm.

The growth was driven by countries outside of the traditional markets that include the United States, where the second year of collections on the medical device tax has begun, and in Europe, where reimbursement challenges and the threat of new legislation loom. Emerging markets, such as Brazil, Turkey, South Africa, Chile, Mexico, and others, which represent almost a fifth of the world device market, helped to boost revenues, although other emerging nations saw growth rate reductions.

As a result, more device companies are expected to focus on these import-heavy markets, find new markets, boost innovation and technology, and merge in order to remain competitive. In all markets, the report found, the key customers of medical devices are hospitals, and so to some degree they determine the success and development areas of the market. Catheters, orthopedic, dialysis, patient monitoring, ultrasound, X-Ray, medical beds, infusion pumps, stents, respiratory, point of care testing devices, and dental equipment are some of categories of medical devices that showed growth.

“It’s a challenging market with mild growth for standard products, but there are opportunities for companies that can innovate, and there’s been considerable amount of value placed on companies that are acquired.” said Bruce Carlson, Publisher of Kalorama Information. “Though most of revenue in the market is earned by eighteen [companies], there are hundreds of smaller companies that develop innovative single products or services.”

The eighteen companies that are the drivers of the global revenue in the device market include such conglomerates as Johnson & Johnson (New Brunswick, NJ, USA), GE Healthcare (GE; Little Chalfont, United Kingdom), Siemens (Munich, Germany), and Medtronic (Minneapolis, MN, USA).

Related Links:
Kalorama Information
Johnson & Johnson
GE Healthcare