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Consolidation and maturation of the orthopaedic medical device market between 1999 and 2015

  • Nicolas S. PiuzziEmail author
  • Mitchell Ng
  • Simon Song
  • Stephen Bigach
  • Anton Khlopas
  • Sebastian Salas-Vega
  • Michael A. Mont
Original Article • GENERAL ORTHOPAEDICS - DEVICES
  • 127 Downloads

Abstract

Orthopaedic surgeons often require highly specialized medical devices, implants, and equipment, which are usually offered by several vendors/companies. This study assesses long-term market trends for orthopaedic medical device companies and examines various implications for healthcare cost. Using S&P Capital IQ, a Wall Street database, financial data were gathered on orthopaedic device companies, ranked by worldwide sales, from 1999 to 2015. Annual sales were aggregated to calculate market share and compounded annual growth rates (CAGRs). Overall, the global orthopaedic device market grew at 12.0% CAGR from 1999 to 2008, before slowing to 2.8% from 2009 to 2015. Between 1999 and 2015, the top 5 companies increased total market share from 52.8 to 62.2%. The orthopaedic device market is not only consolidating under a few dominant players, but also growing at a decreasing rate, both of which signal a maturing industry. These trends are likely to shape patient care and healthcare costs in orthopaedic surgery in years to come.

Keywords

Orthopaedics Medical devices Market share Industry growth 

Notes

Compliance with ethical standards

Conflict of interest

Dr. Piuzzi has nothing to disclose. Mr. Ng reports personal fees from Thessalus Capital, outside the submitted work; Mr. Song has nothing to disclose. Mr. Bigach has nothing to disclose. Dr. Khlopas has nothing to disclose. Dr. Salas-Vega has nothing to disclose. Dr. Mont reports other from Abbot, other from Cymedica, other from DJ Orthopaedics, other from Johnson & Johnson, other from Mallinckrodt Pharmaceuticals, other from Microport, other from Ongoing Care Solutions, other from OrthoSensor, other from Pacira, other from Peerwell, other from Performance Dynamics, other from Sage, other from Stryker, other from TissueGene, outside the submitted work.

Supplementary material

590_2019_2372_MOESM1_ESM.docx (41 kb)
Supplemental Table 1 Market capitalization and annual sales of top 10 orthopaedic medical device companies by market capitalization 1999 to 2015 (*all numbers in $M) (DOCX 46 kb)
590_2019_2372_MOESM2_ESM.docx (16 kb)
Supplemental Table 2 Since certain companies had reporting segments that did not relate to orthopaedic devices (e.g., Zimmer and Biomet report dental sales), revenue adjustments were made (DOCX 140 kb)

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Copyright information

© Springer-Verlag France SAS, part of Springer Nature 2019

Authors and Affiliations

  1. 1.Department of Orthopaedic SurgeryCleveland ClinicClevelandUSA
  2. 2.Instituto Universitario del Hospital Italiano de Buenos AiresBuenos AiresArgentina
  3. 3.Department of Biomedical EngineeringDuke UniversityDurhamUSA
  4. 4.The London School of Economics and Political ScienceLSE HealthLondonUK
  5. 5.Department of Orthopaedic SurgeryLenox Hill HospitalNew YorkUSA

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