How Can Early-Stage Medical Device Companies Survive Market Turmoil?

The coronavirus pandemic has caused market turmoil that has had a negative impact on medical device companies of all sizes. While the large, established medical device players like Medtronic have the balance sheets and product pipelines to  emerge from the pandemic stronger than ever, the real concern is in how younger companies will survive. The secret may lie in a business model that's more often found in the biopharma world than in medtech. "What we're doing at Orchestra BioMed is applying what have been fairly long-established and proven business strategies from the biopharma side of healthcare innovation to our pipeline of therapeutic device innovations," David Hochman, founder and CEO of Orchestra BioMed, told MD+DI. "What I mean by that is really looking at risk-reward sharing or, another way of thinking about it is trying to leverage the mutual strengths of an organization like ours, which is smaller, nimble, focused on new technology and product innovation and product development, with the strengths of large, global commercial partners." New Hope, PA-based Orchestra BioMed, which is one of MD+DI's 20 private medtech companies to watch in 2020, gained a powerful strategic partner last year when Tokyo-based Terumo agreed to help Orchestra BioMed bring its Virtue sirolimus-eluting balloon (SEB) to the market. "For a few decades now the idea of partnering licensing for development and commercialization has been widely used ...
Source: MDDI - Category: Medical Devices Authors: Tags: Business COVID-19 Source Type: news