Checking Up on Patient Monitoring: Medtronic and Covidien

Checking Up on Patient Monitoring: Medtronic and Covidien

Medtronic’s roughly $43 billion acquisition and merger with Covidien created the world’s second-largest medical device company. The deal had significant implications in terms of enhanced market presence and company financials with the Medtronic’s move to Covidien’s Ireland home. The deal also made Medtronic-Covidien a stronger leading player in the advanced remote patient monitoring system market. Together, the two companies will feature a diverse set of solutions spanning inpatient to home care, and cardiac to respiratory and blood-based monitoring.

The advanced remote patient monitoring market includes wireless and remote devices and technologies that monitor and transmit data through an internal network or secure wireless transmissions. The market includes the devices and associated systems to deliver current or real-time patient data outside of the patient room or from the home. Within the market space, Medtronic’s acquisition of Covidien is estimated by Kalorama Information to have pushed the the former’s overall market share beyond 15%. Covidien’s advanced remote patient monitoring portfolio is inpatient-centric, Medtronic’s home care-centric.

A core patient monitoring product for Covidien is its Vital Sync virtual patient monitoring system that provides integrated ventilator, pulse oximeter and capnography data to a central station or other access point for clinicians. Other Covidien patient monitoring products are in the respiratory function market segment and include Capnostream (portable and beside capnography or respiratory carbon dioxide monitors), Nellcore (pulse oximetry devices), and BIS monitors (measures patient consciousness under anesthesia). Overall, Covidien has a strong presence in patient monitoring during anesthesia, which is largely within the respiratory system monitoring segment. Kalorama Information estimates Medtronic to have acquired a 10-15% market share in the respiratory monitoring space with Covidien.

Medtronic’s strengths in advanced remote patient monitoring relate to the transmission and management of implantable and on-patient device-generated data. Medtronic’s CareLink Network is able to deliver data from implantable pacemakers and defibrillators with cardiac resynchronization features, insulin pumps, and continuous glucose monitoring devices. The devices and systems are relevant to the cardiac event and function and blood management and function (diabetes monitoring) market segments under advanced remote patient monitoring. Kalorama Information estimates Medtronic’s share in the segments combined to be near 20%.

Thorough vendor product overviews, market segmentation and market share analysis within advanced remote patient monitoring is available from Kalorama Information in its latest report: Advanced Remote Patient Monitoring Systems, 7th Ed.