Medical device makers are committing new research and development funding to bring next-generation medical devices. Constantly expanding array of such devices approved by prominent regulatory agencies, such as the FDA, has expanding the potential of medical devices markets. The value chain of device makers have been going through a marked shift in strategic focus. They are in coming years expected to include not just patients and consumers, but also providers and payers. Demands for new wearables and services in emerging economies, particularly in Asia Pacific, have spurred in recent years, increasingly attributed to the prevalence of lifestyle-driven diseases. Such trends are usually prominent in countries such as China and India. The drive for reducing the hospital visits will be a key motivation for medical devices makers to support a spirit of innovation and constant technological advancements.
However, pressure on pricing has made a significant bearing on the profitability of medical device companies, hence new markets must take into account such trends. Further, contraction in healthcare budget spends by governments in several nations has also chipped away the revenue margins of top manufactures in the medical devices market in recent times.
The contours of innovation efforts in various medical devices markets will be led by new regulations that are expected to kick in near future or have already been implemented. A case in point is European Medical Device Regulation that will come into effect somewhere in the middle of 2020. Regulation in other countries, notably in China, will also play crucial role in shaping the growth trajectories of the different medical devices markets where players are setting their sights on gaining stronghold. On completely different vein, companies alien to healthcare industry will make moves to get a stake in the medical devices markets by promoting data-driven growth to encompass all—patients, providers, and payers—in the value chain.